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HomeMy WebLinkAboutAgenda Statement 1977/11/01 Item 10L11Y Ur I,HULH V1~IH COUNCIL AGENDA STATEMENT Item No. 10 For meeting of 11-1-77 ITEM TITLE Resolution 8871: Accepting Bids and Awarding Contract for the Construction of a Storm Drain on Whitney Street and Claire Avenue between "H".Street and "I" Stree SUBMITTED BY Director of Public Works/City Engineer ~~`~(~ ITEM EXPLANATION (4/5TH'S VOTE REQUIRED YES_ NO x ) The Director of Public Works received bids in the Engineering/Planning Conference Room at 11:00 a.m. on Thursday, October 20, 1977, for the construction of a storm drain on Whitney Street and Claire Avenue between "H" Street and "I" Street. This is the first of three projects funded under the EDA grant for storm drain projects, Group II. Funding for the three projects contained in the EDA grant has been set aside as follows: Claire Avenue and Whitney Storm Drain $ 77,273 Halecrest and Douglas Street Storm Drain 34,190 General Roca Park Storm Drain 99,055 Engineering Consultant Services 13,717 Total grant for Storm Drain Projects $224,235 Group II Bids were submitted by two contractors as follows: Mike Masanovich Construction Co., Inc., Arcadia, California Alternate 1 Alternate 2 Alternate 3 $ 86,808.50 Carver Corporation, Santee, California $101,726.00 $103,230.50 $104,465.00 (Continued on Supplemental Page) ~._ ". `~~ tXH IiS 1 15 Agreement Resolution x Ordinance Plat_ Notification List! Other ENVIRONMENTAL DOCUMENT: Attached Submitted on FINANCIAL IMPACT Cost of constructing this project is being financed with EDA grant ,funds. The City will have to assume maintenance of the improvements upon comple- tion of the project. STAFF RECOMMENDATION 1. City Council accept bids and award contract to Mike MasanoVich Con- struction Company for Alternate 1 in the amount of $86808.50. 2. City Council authorize the expenditure of $91,150 from Account No. 645-6450-PW-401. BOARD/COMMISSION RECOMMENDATION A,pPROti EL by the COUNCIL ACTION Ci.a;;~ Co~~^cil Choi :~. ~. -,_': z„ Cali:°ornia AGENDA ITEM N0. 10 Supplemental Page 2 November 1, 1977 Alternate 1 is for reinforced concrete pipe. Alternate 2 is corrugated steel pipe and Alternate 3 is for asbestos cement pipe. Mike Masanovich Construction Company submitted the low bid of $86,808 for Alternate 1. This is 29~ above the engineer's estimate of $67,517. Pending amount of low bids received for the other two projects under EDA Group II Storm Drain Project, the City may have to appropriate additional funds or cut back on the scope of these projects if bids are too high. Engineering staff has reviewed the two bids and has determined that the low bid submitted by Masanovich Construction is a reasonable and compe- titive bid. Reasons for the low bid being 29~ higher than the engineer's estimate are: 1. Contractors are busy and therefore are not bidding jobs at a minimum overhead and profit margin. 2. City's projects are in competition with other agencies which also have to award contracts within the 90-day time constraint imposed by EDA. 3. Heavy construction activity in the private sector has reduced the number of contractors available and willing to bid on public works projects. 4. The lOg minority contractor/supplier requirement and additional paperwork required by EDA has discouraged contractors from bidding or those bidding have increased their bids accordingly to compensate for additional overhead costs. Financial Statement Low Bid by Masanovich Construction $ 86,808.50 5~ Contingencies 4,341.50 Total Expenditure Requested $ 91,150.00 Group II Storm Drain EDA Grant - $224,235.00 Account No. 645-6450-PW-401 Engineering Consultant Fees $ 13,717.00 Construction Cost Including Contingencies $210,518.00 Total Unencumbered Funds Remaining in $119,368.00 EDA Grant, Group II Form No. F-229 12/73 CERTIFICATE OF CITY/DIRECTOR OF FINANCE Certification of Unappropriated Balance I HEREBY CERTIFY that the money required for the appropriation of funds for the purpose set forth in the attached resolution is available in the Treasury, or is anticipated to come into the Treasury, and is otherwise unappropriated. Amount $ Fund Purpose Bidder Director of Finance The City of Chula Vista Date By Certification of Unencumbered Balance I HEREBY CERTIFY that the indebtedness and obligation to be incurred by the contract or agreement authorized by the attached resolution can be incurred without the violation of any of the provisions of the Charter of the City of Chula Vista, or the Constitution or the laws of the State of California, that sufficient monies have been appropriated for the purpose of said contract, that sufficient monies to meet the obligations of the contract are actually in the Treasury, or are anticipated to come into the Treasury to the credit of the appropriation from which the same are to be drawn, and that said monies now actually in the Treasury, together with the monies anticipated to come into the Treasury, to the credit of said appropriation are otherwise unencumbered. Amount Not to Exceed $ 91.150.00 /~ 645 6450 PW 401 i~sr~--'~`~" r/ Director of Finance The City of Chula Vista Date 10/28/77 By Fund Public Works Bill Dept./Activity Public Works Bill Purpose Construction of Storm Drain on Whitney St. & Claire Avenue Biaaer Mike Masanovich Construction Certificate No. 36