REQUEST FOR CITY COUNCIL ACTION
SUBMITTED TO: Honorable Mayor and City Council Members
SUBMITTED BY: Oliver Chi, City Manager
PREPARED BY: Tom Herbel, Acting Director of Public Works
Subject:
title
Award and authorize the execution of a construction contract with MMC Inc., in the amount of $3,958,750 for the Slater Lift Station Project, CC-1561; and, authorize appropriation of funds
body
Statement of Issue:
On February 19, 2020, bids were opened for the Slater Lift Station Project, CC-1561. City Council action is requested to award the construction contract to MMC Inc., the lowest responsive and responsible bidder.
Financial Impact:
Total funds for the project, including contingency and supplementals, is estimated at $4,942,476. Funds for the project are available in Sewer Development Fee Fund account 21089015.82600 ($2,462,476) and in Sewer Service Fund account 51189011.82600 ($880,000). Staff requests a $1,600,000 appropriation from the Sewer Service Fund (511).
Recommended Action:
recommendation
A) Appropriate $1,600,000 from the Sewer Service Fund (511) to Account 51189011.82600; and,
B) Accept the lowest responsive and responsible bid submitted by MMC Inc., in the amount of $3,958,750; and,
C) Authorize the Mayor and City Clerk to execute a construction contract in a form approved by the City Attorney.
end
Alternative Action(s):
Reject all bids and provide staff with an alternative direction.
Analysis:
The existing Slater Sewer Lift Station, located at the Northwest corner of Slater Avenue and Springdale Street, was constructed in 1968 and is in need of replacement due to its age and insufficient wet well capacity. The issue concerning insufficient wet well capacity is problematic in two ways. First, the station lacks holding time, which limits maintenance staff’s ability to respond to any issues. Second, the undersized wet well causes the pumps to cycle excessively which reduces pump life and reduces the station’s reliability. The bids were publicly opened on February 19, 2020. The verified bid amounts are listed below:
|
Bidding Contractor |
Bid as Submitted |
Verified Bid |
|
GRFCO Inc. |
$2,981,775 |
$2,981,775 |
|
MMC Inc. |
$3,958,750 |
$3,958,750 |
|
Lonerock Inc. |
$3,980,700 |
$3,980,700 |
|
Pacific Hydrotech Corp. |
$4,196,310 |
$4,196,310 |
|
Vido Artukovich and Sons Inc. / VIDMAR Inc. a JV |
$4,572,250 |
$4,522,250 |
|
PCL Construction Inc. |
$4,614,270 |
$4,614,270 |
GRFCO Inc. the apparent low bidder, requested that their bid be retracted due to clerical errors, resulting in a bid that was not financially feasible. In addition their bid contained unacceptable proposed materials. Therefore staff is recommending award of the construction contract to the second apparent low bidder. Staff has checked references for MMC Inc., the second lowest bidder, and recommends award of a construction contract in the amount of $3,958,750. The total estimated construction cost is $4,942,476, which includes the construction contract, a ten percent (10%) contingency, and supplemental expenses, including contracted construction project management, and materials testing.
Public Works Commission Action:
The Public Works Commission reviewed and approved that the project was in substantial conformance with the CIP, on July 18, 2018, with a vote of 6-0 with one (1) absent (Cicerone).
Environmental Status:
The project is categorically exempt pursuant to Section 15304 of California Environmental Quality Act.
Strategic Plan Goal:
Enhance and maintain infrastructure
Attachment(s):
1. Location Map