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HomeMy WebLinkAbout2025-07-22; City Council; 02; Rejection of Bids Received for the Ponto Sewer Manhole Rehabilitation ProjectCA Review TL Meeting Date: July 22, 2025 To: Mayor and City Council From: Geoff Patnoe, City Manager Staff Contacts: Keri Martinez, Utilities Principal Engineer keri.martinez@carlsbadca.gov, 442-200-7376 Dave Padilla, Assistant Utilities Director dave.padilla@carlsbadca.gov, 442-339-2356 Subject: Rejection of Bids Received for the Ponto Sewer Manhole Rehabilitation Project District: 3 Recommended Action Adopt a resolution rejecting the bids received for construction of the Ponto Sewer Manhole Rehabilitation Project. Executive Summary This project will rehabilitate aging sewer access holes along the North Ponto Interceptor sewer line. The sewer access holes are about 50 years old and experiencing significant corrosion. Staff received two bids for construction of the project on May 27, 2025. Staff determined the low bid to be non-responsive because the bidder failed to demonstrate the required project experience or identify a subcontractor that would perform more than 0.5% of the work. Considering one bid was non-responsive and both bids significantly exceeded the estimated cost, staff recommend that the City Council reject the bids received for the project, consistent with Carlsbad Municipal Code Section 3.28.080(I)(3). Explanation & Analysis Project overview The Ponto Sewer Manhole Rehabilitation Project, Capital Improvement Program Project No. 5503-17, will rehabilitate nine sewer access holes on the North Ponto Sewer Interceptor, a 27-inch-diameter gravity sewer pipeline that conveys approximately 4.7 million gallons per day of Carlsbad’s wastewater to the Encina Wastewater Treatment Plant, about a half mile north of the project site. The site is bound by the Poinsettia Transit Station parking lot, the Waters End residential development on the east and the railroad tracks on the west, as shown in Exhibit 2. July 22, 2025 Item #2 Page 1 of 6 Docusign Envelope ID: 60E55B93-680C-4580-A807-CC2A0128BD7A The sewer access holes are within a sewer easement established in 1973 in the North County Transit District’s right-of-way. (Easements provide the city with access to private property to install or maintain public infrastructure.) The access holes are also located within a conservation easement that protects vegetation and wildlife species. The conservation easement includes the 7.4-acre Poinsettia Station Vernal Pool Preserve at the Transit District-owned Poinsettia transit station. The preserve is protected under the city’s Habitat Management Plan. Given this constrained location and the environmental sensitivity of the project site, the project design incorporates minimally invasive tools and equipment for site access, site preparation and lining operations. Site preparation will be completed using hand tools or small portable equipment. The rehabilitation activities must be done during the dry season, specifically during mid-August to mid-October, to avoid impacts to sensitive wildlife species and bird nesting. A full-time environmental consultant/inspector will be employed onsite during all construction activities. Bid process •The City Council approved the plans, specifications and contract documents on April 22, 2025, authorizing the City Clerk to advertise for bids. (Resolution No. 2025-083) •Two bids were received on May 27, 2025. •The bids received exceeded the engineer’s estimate of $440,000, with bids of $867,400 and $1,157,700. The city uses estimates by experienced and qualified professional engineers to obtain an estimate that will be as close to the actual costs as possible. The constraints on this project and a compressed bidding period to meet the defined construction schedule contributed to the bids significantly exceeding the engineer’s estimate. Additionally, staff determined one bid to be non-responsive for failing to demonstrate the required project experience or identify a subcontractor performing more than 0.5% of the work, in accordance with California Public Contract Code Section 4106. Fiscal Analysis There is no fiscal impact for rejection of the construction bids. Next Steps Staff will revise the contract bidding documents to further clarify the requirements for the contractor’s statement of technical ability and experience in sewer rehabilitation work. Staff will revisit the engineer’s estimate and revise as needed per current and expected construction cost increases. Staff plan to rebid the project with the specification clarification and a longer bidding period that will possibly attract additional bidders and result in more competitive bids. Staff will return to the City Council in early 2026 to request approval of revised plans, specifications and contract documents and authorization to rebid. Environmental Evaluation The proposed action is not a “project” as defined by California Environmental Quality Act Section 21065 and CEQA Guidelines Section 15378(a) and does not require environmental review under CEQA Guidelines Section 15060(c)(2) because the action is July 22, 2025 Item #2 Page 2 of 6 Docusign Envelope ID: 60E55B93-680C-4580-A807-CC2A0128BD7A limited to rejection of construction bids. The action has no potential to cause either a direct physical change in the environment or a reasonably foreseeable indirect physical change in the environment. Exhibits 1. City Council resolution 2. Location map July 22, 2025 Item #2 Page 3 of 6 Docusign Envelope ID: 60E55B93-680C-4580-A807-CC2A0128BD7A Exhibit 1 RESOLUTION NO. 2025-172 . A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARLSBAD, CALIFORNIA, REJECTING THE BIDS RECEIVED FOR CONSTRUCTION OF THE PONTO SEWER MANHOLE REHABILITATION PROJECT WHEREAS, the City Council of the City of Carlsbad, California, has determined that it is necessary, desirable and in the public interest to complete the Ponto Sewer Manhole Rehabilitation Project, Capital Improvement Program, Project No. 5503-17, or Project; and WHEREAS, the sewer pipeline and access holes are owned and operated by the city and are vital components of the wastewater collection system; and WHEREAS, on April 22, 2025, the City Council adopted Resolution No. 2025-083, approving plans, specifications and contract documents and authorizing the City Clerk to advertise for bids for construction of the Project; and WHEREAS, on May 27, 2025, staff received two bids in response to the bid advertisement; and WHEREAS, one bid received for the project was deemed non-responsive and the bids significantly exceeded the engineer’s estimate; and WHEREAS, the city may, in its sole discretion, reject all bids presented pursuant to Carlsbad Municipal Code, or CMC, Section 3.28.080(I)(3). NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Carlsbad, California, as follows: 1.That the above recitations are true and correct. 2.That the City Council has determined that the proposed action is not a “project” as defined by CEQA Section 21065 and CEQA Guidelines Section 15378(a) and does not require environmental review under CEQA Guidelines Section 15060(c)(2) because the action is limited to rejection of construction bids. The action has no potential to cause either a direct physical change in the environment or a reasonably foreseeable indirect physical change in the environment. 3.That the City Council rejects all bids received for the Ponto Sewer Manhole Rehabilitation Project, CIP Project No. 5503-17, in accordance with CMC Section 3.28.080(I)(3). July 22, 2025 Item #2 Page 4 of 6 Docusign Envelope ID: 60E55B93-680C-4580-A807-CC2A0128BD7A PASSED, APPROVED AND ADOPTED at a Regular Meeting of the City Council of the City of Carlsbad on the 22nd day of July, 2025, by the following vote, to wit: AYES: Blackburn, Bhat-Patel, Acosta, Burkholder, Shin. NAYS: None. ABSTAIN: None. ABSENT: None. ______________________________________ KEITH BLACKBURN, Mayor ______________________________________ SHERRY FREISINGER, City Clerk (SEAL) July 22, 2025 Item #2 Page 5 of 6 Docusign Envelope ID: 60E55B93-680C-4580-A807-CC2A0128BD7A LOCATION MAP VICINITY MAP AVECOSTALA B L V D C A R L S B A D RD ALGA PALOMAR AIRPOR T RD EL CAMI N O RE A L RA N C H O SAN T A F E RD POINSE T T I A LANE AL I C A N T E RD EL FU E R T E OLIVENHAIN RD. M E L R O S E D R . FARADAY COLLEG E BL V D PA S E O DEL NO R T E AVE A V E N I D A E N C I N A S CANNON RD MO N R O E ST CARLS B A D VILLAGE D R MARRON TAMAR A C K AVE RD LAKECALAVERA LAGOO N AGUA HEDION D A LAGO O N BATIQUITOS LAGOON A V I A R A PKWY POINSETT I A LANE PROJECT NAME PROJECT EXHIBIT NUMBER PROJECT SITE REHABILITATION PONTO SEWER MANHOLE 5503-17 1 PROJECT SITE 2 PROJECT Exhibit 2 July 22, 2025 Item #2 Page 6 of 6 Docusign Envelope ID: 60E55B93-680C-4580-A807-CC2A0128BD7A