REQUEST FOR CITY COUNCIL ACTION
SUBMITTED TO: Honorable Mayor and City Council Members
SUBMITTED BY: Eric G. Parra, Interim City Manager
VIA: Chau Vu, Director of Public Works
PREPARED BY: Denice Bailey, Capital Project Administrator
Subject:
title
Accept bid and authorize execution of a construction contract with Klassic Engineering & Construction, Inc. in the amount of $273,425.90 for the LeBard Park Improvements Project,
CC-1668 and authorize change orders not to exceed 15 percent
body
Statement of Issue:
Last year, on March 2, 2023, the City received several bids for the Le Bard Park Improvements Project, CC-1668 and awarded the construction contract to Aguilar & Calderon Corporation (Aguilar). However, the City had to issue a Termination for Convenience of the construction contract with Aguilar on February 6, 2024, and it is now requested that the City Council award a new construction contract to Klassic Engineering & Construction, Inc., (Klassic) the next lowest responsive and responsible bidder, to complete the remainder of the Le Bard Park Improvements Project.
Financial Impact:
Total construction cost for the project, including the base bid, contingency and supplemental expenses is $1,065,049.80, which was approved by Council on March 21, 2023. To date, $505,092.27 of the budget has been paid to Aguilar with an additional $150,000 in pending project expenditures.
The remaining project funds are available in the Park Development Impact Fee account 22845017.82900 ($281,569) and in Infrastructure Fund account 31440005.82800 ($73,885). Sufficient funds are available to cover the new, proposed contract with Klassic for $273,425.90.
Recommended Action:
recommendation
A) Accept the next lowest responsive and responsible bid submitted by Klassic Engineering & Construction, Inc. in the amended amount of $273,425.90; and,
B) Authorize the Mayor and City Clerk to execute a construction contract in the form approved by the City Attorney; and,
C) Authorize the Director of Public Works to execute change orders not to exceed a total of 15 percent of the contract construction costs, or $41,013.89.
end
Alternative Action(s):
Reject staff recommendation and direct staff to:
A) Reject all bids and rebid the project, or
B) Revise the proposed contract award to Klassic Engineering & Construction, Inc. to decrease the project scope.
Analysis:
The LeBard Park Improvements Project scope replaces tennis courts and removes the existing clubhouse building adjacent to the Santa Ana River at Indianapolis Ave. Prior improvement efforts made by Aguilar include demolishing the clubhouse building, replacing the tennis courts concrete slab, and installing irrigation. The remaining project scope includes repair of the existing tennis court fencing, windscreen, court resurfacing, netting, and replacement with park greenspace and table seating and renovations to adjacent park landscaping. The project was designed and bid with a base scope and two add alternatives for budget consideration. Add Alternate No. 1 included a concrete pad with table seating in lieu of an open green space replacing the clubhouse building. Add Alternate No. 2 includes replacement of an existing post piling park fence with a new lodge-pole fence.
Bids were opened on March 2, 2023 and are listed in ascending order below. Basis of award for the project is the price for the base bid and add alternate No. 1 and add alternate No. 2.
|
|
Bidder |
Submitted Bid |
|
1 |
Green Giant Landscape Inc |
$ 832,550.00 |
|
2 |
Aguilar & Calderon Corporation |
$ 999,879.50 |
|
3 |
Klassic Engineering & Construction Inc. |
$ 1,035,103.50 |
|
4 |
Elegant Construction Inc. |
$ 1,045,580.70 |
|
5 |
C.S. Legacy Construction, Inc. |
$ 1,095,578.00 |
|
6 |
KASA Construction, Inc. |
$ 1,226,743.75 |
|
7 |
Armstrong Cal Builders Inc. |
$ 1,253,498.00 |
|
8 |
JT Construction Group Inc |
$ 1,277,659.48 |
|
9 |
MBC Enterprises Inc. |
$ 1,288,621.70 |
|
10 |
Legion Contractors, Inc. |
$ 1,375,269.55 |
|
11 |
Rhome Profile Construction |
$ 1,376,461.24 |
|
12 |
M.S Construction Management Group |
$ 1,377,296.70 |
The low apparent bidder at time of bid opening was Green Giant Landscaping, Inc.; however, this firm did not possess the necessary licensing required at the time of bid opening. Therefore, Green Giant Landscape, Inc. was deemed non-responsive. The lowest responsive and responsible bidder, Aguilar, bid the project as outlined below excluding add alternates No.1 and No. 2, which were determined not needed at this time:
Award $ 887,541.50
10% Construction Contingency $ 88,754.15
Construction Administration $ 88,754.15
Total Project Cost $1,065,049.80
Aguilar was terminated for convenience due to an impasse on contractual issues. A Termination for Convenience enables the City to legally bring the contract to an end without the need to establish that either party was in default and allows the City to arrange for another Contractor to complete the project. Given the Termination for Convenience of Aguilar, the next lowest responsive and responsible bidder, Klassic, bid the remaining project scope as outlined below excluding add alternates No.1 and No. 2:
Award $ 273,425.90
15% Construction Contingency $ 41,013.89
Construction Administration $ 41,013.89
Total Project Cost $ 355,453.68
Environmental Status:
This project is exempt from the California Environmental Quality Act (CEQA) pursuant to Section 15301.
Strategic Plan Goal:
Goal 6 - Infrastructure Investment, Strategy C - Conduct an assessment of all City facilities to determine priorities for upgrades and repairs, implementation and financial priority.
For details, visit www.huntingtonbeachca.gov/strategicplan <http://www.huntingtonbeachca.gov/strategicplan>.
Attachment(s):
1. Vicinity Map
2. PowerPoint Presentation
3. Previously approved Project RCA
4. Klassic Engineering & Construction, Inc. Bid Proposal