REQUEST FOR CITY COUNCIL ACTION
SUBMITTED TO: Honorable Mayor and City Council Members
SUBMITTED BY: Oliver Chi, City Manager
PREPARED BY: Tom Herbel, PE, Acting Director of Public Works
Subject:
title
Accept the lowest responsive and responsible bid and authorize execution of a construction contract with Kana Pipeline Inc., in the amount of $2,271,700 for the Sunset Beach Water Main Project Various Locations, Anderson Street to Warner Avenue, CC-1435
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Statement of Issue:
On May 5, 2020, bids were publicly opened for the Sunset Beach Water Main Project Various Locations, Anderson Street to Warner Avenue, CC-1435. City Council action is requested to award the construction contract to Kana Pipeline Inc., the lowest responsive and responsible bidder.
Financial Impact:
The total estimated cost of the project, including contingency and supplemental expenses, is $2,750,000. Funds in the amount of $3,663,500 are available in Water Master Plan Fund account 50791006.82100.
Recommended Action:
recommendation
A) Accept the lowest responsive and responsible bid submitted by Kana Pipeline Inc., in the amount of $2,271,700; and,
B) Authorize the Mayor and City Clerk to execute a construction contract in a form approved by the City Attorney.
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Alternative Action(s):
Reject all bids, and provide staff with alternative direction.
Analysis:
The project consists of the construction of approximately 2,350 linear feet of 6-inch and 12-inch diameter potable water pipelines in Sunset Beach between Anderson Street and Warner Avenue within eleven (11) streets and alleys. There is also one location in downtown Huntington Beach in the alley between 12th and 13th Streets. The project will also provide asphalt and concrete surface improvements in the alleys and streets where the water pipeline construction will occur.
This is the third and final water main construction project located within Sunset Beach. The goal of all three projects was to replace deteriorating asbestos cement pipeline installed in the 1950s, and to provide better connectivity between the City’s water infrastructure in Sunset Beach and that located within Pacific Coast Highway and Huntington Harbour. The proposed project will improve connectivity, fire flow, water quality, and reliability of the water system in the area between Huntington Harbour and the Pacific Ocean.
The bids were publicly opened on May 5, 2020. The verified bid amounts are listed below:
|
Bidding Contractor |
Bid as Submitted |
Verified Bid |
|
Kana Pipeline, Inc. |
$2,271,700 |
$2,271,700 |
|
GRFCO, Inc. |
$2,355,221 |
$2,354,171 |
|
T.E. Roberts, Inc. |
$2,476,608 |
$2,430,468 |
|
Paulus Engineering, Inc. |
$2,489,280 |
$2,480,172 |
|
All Cities Engineering, Inc. |
$2,667,275 |
$2,963,145 |
|
Palp, Inc. DBA Excel Paving |
$2,668,183 |
$2,642,083 |
|
Caliba, Inc. |
$3,221,016 |
$2,854,476 |
|
Lonerock, Inc. |
$3,286,458 |
$3,286,458 |
|
Dominguez General Engineering, Inc. |
$4,306,740 |
$4,276,740 |
Staff has checked references for Kana Pipeline, Inc., the lowest bidder, and recommends award of a construction contract in the amount of $2,271,700. In addition, Kana Pipeline, Inc., has successfully completed projects of a similar nature for the City in the past.
The total estimated construction cost is $2,750,000, which includes the construction contract, a ten percent (10%) contingency, and supplemental expenses, including contracted construction project inspection and materials testing.
Environmental Status:
The project is categorically exempt pursuant to Section 15301 of California Environmental Quality Act. The project has also been deemed exempt by the California Coastal Commission.
Strategic Plan Goal:
Enhance and maintain infrastructure
Attachment(s):
1. Location Map