HomeMy WebLinkAbout1987-02-03; City Council; 8592-3; ACCEPT BIDS, AWARD CONTRACT AND APPROPRIATE FUNDS FOR THE CONSTRUCTION OF CALAVERA HILLS COMMUNITY PARK, PHASE 1ClTIpF CARLSBAD - AGENDWILL .' .' "52
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AB# rK9%"3 DEPT. H TITLE: ACCEPT BIDS, AWARD CONTRACT, AND MTGm 02'03'87 CITYAT APPROPRIATE FUNDS FOR THE CONSTRUCTION I DEPT. MP I OF CALAVERA HILLS COMMUNITY PARK, PHASE I lcl~y MG t I I
RECOMMENDED ACTION:
Adopt Resolution No. F9iD I accepting bids, appropriat
funds, and awarding Contract No. 3173 for the construction of
Calavera Hills Community Park, Phase I.
ITEM EXPLANATION:
In the 1985-86 fiscal budget, the City Council appropri;
$1,038,500 to design and construct the Calavera Hills Commur
Park, Phase I project. On April 22, 1986, the City Cour
approved the plans and specifications and authorized
advertisement of bids for the project. Bids were receivec
June 6, 1986 with the lowest responsive bid totalling $1,337
for the construction portion of the project. Subsequent
evaluation indicated that the total estimated project I
including design, administration, inspection, soils test
construction, and contingencies would approach $1,783,83(
$745,336 over the original budget appropriation.
On July 15, 1986, the City Council directed staff and the I
design consultants to reduce development costs but retain
desired park amenities for the project, Primarily, a redesigl
the grading portion of the project was believed to y
potential cost savings. Consequently, bids were rejected by
City Council on July 15, 1986.
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Revised grading plans and specifications were then prepare1
the park design consultants to include a deductive alternatl
the project by potentially eliminating the grading of
northern ten (IO) acres of the site at this time reserved for
future development of Phase 11. The intended strategy was to
the project both ways thereby giving the Council flexibility
reviewing and awarding subsequent bids.
On December 2, 1986, the City Council approved the revised p
and specifications and authorized the advertisement of bids,
the optional deductive alternate, for the construction of
project. During discussion of this item, the City Cou
unanimously expressed its desire to construct this project in
most efficient and economical manner possible wit
compromising park quality by sacrificing some of the pa
amenities.
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Page Two of Agenda Bill No. rS?i?-$-s
On January 14, 1987, six (6) sealed bids were received for project as follows:
Deductive
Base Bid Alternate "A" Net Bi
1. Kirchnavy Construction $1,176,767 $ 83,400 $1,093,3
2. CHAMAC Construction 1,205,000 128,000 1,077,O
3. Net Enterprises 1,209,209 85,000 1,124,2
4. Louetto Construction 1,250,000 218,000 1,032,O
5. L. R. Hubbard Company 1,262,541 405,000 857,5
6. ERRACA, Inc. 1,490,000 193,000 1,297,(
Awarding of the lowest responsive base bid in the amount
$1,176,767 will produce the complete construction, ~r
installation of all intended park amenities, on the soutt
eight (8) acres comprising Phase I and the grading of
northern ten (IO) acres comprising the future Phase 11 project
Awarding of the lowest responsive net bid (base bid m:
deductive alternate "Af') in the amount of $1,032,000 will pro(
the complete construction of Phase I only. Under this appro;
the grading for Phase I1 would be deferred until the northern
(IO) acres are developed.
Therefore, the net cost of grading Phase I1 at this timf
$144,767 representing the difference between the lo\
responsive base bid of $1 ,176,767 and the lowest responsive
bid of $1,032,000.
The bid received from the L. R. Hubbard Company has I
determined to be non-responsive and therefore not qualified
award. In accordance with the provisions of the Stat
California's Public Contracts Code Section 5103, prospec
public contract bidders are allowed five (5) calendar
following receipt of sealed bids to notify the government ag
of errors and omissions in their bids. The sealed bids for
project were opened on January 14, 1987. On January 16, 1
the L. R. Hubbard Company hand delivered notice to the City o
error in assembling their bid and requested relief from awar
the contract. Please reference attached Exhibit 2. Follo
subsequent evaluation of their documentation, it was concl
that this bidder had in fact made errors in assembling the
In a letter dated January 20, 1987, the Purchasing Off
notified the L. R. Hubbard Company of approval of their req
to withdraw their bid. Please reference attached Exhibit 3.
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Page Three of Agenda Bill No, fd9;2-!!!
Staff recommends the City Council award the lowest respons
base bid in the amount of $1,176,767 to Kirchnavy Constructil
With the net cost of grading Phase I1 of $144,767, st
recommends taking advantage of the opportunity of proceeding w
portions of the ultimate development of the entire park site
this time. If Phase I alone is constructed, the grading ,
Phase I1 will encroach or otherwise disturb previously install
parking facilities, landscaping, and the general public's use
Phase I. With the rough grading of Phase 11 completed, I
development of the northern ten (IO) acres of the park wot
present a smoother transition between Phase I and the developme
of Phase 11. Deferring the grading, and therefore the cost,
the northern ten (IO) acres of the park to the fut\
construction of Phase I1 could potentially result in
significantly increased cost for this segment of the developmf
of the second phase.
FISCAL IMPACT:
In the 1985-86 fiscal budget, the City Council appropriat
$1,038,500 for the design and construction of this project.
summary of the estimated project costs under both approaches
as follows:
Award with
Base Bid
Award with
Alternate IrA"
Project Design $ 165,000 (est,) $ 165,000 (est,
Park Play Equipment not
included in bid 40,000 (est.) 40,000 (est.
Inspection of Grading,
Engineering and Building 45,000 (est.) 45,000 (est.
Soils and Compaction
Testing 30,000 (est.) 30,000 (est.
Project Administration 45,000 (est.) 45,000 (est.
Construction
Construction 1,176,767 1,032,000
Contingencies (1 5%) 175,000 155,000
Subtotal $1 ,656,767 (est.) $1,492,000 (est.
Available Project Funding $1,038,500 $1,038,500
Required Project Funding $ 638,267 $ 473,500
Funds in the amount of $638,267 are recommended to be transferr
from the unappropriated balance of the Public Facilities Fee Fu
account No. 320-941 to the project account No. 320-820-1810-31
to enable award of the project.
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Page Four of Agenda Bill No. ?.592-*3
The appropriation of these funds will reduce the Pub1
Facilities Fee Fund balance to $281,000.
The Council's decision on July 15, 1986 to reject bids at tt
time and redesign and rebid the project resulted in a net savir
of $161,069 in the construction portion of the project budget
the base bid is awarded, and $305,836 if the net bid with t
deductive alternate is awarded.
EXHIBITS:
1. Resolution No. 896 / accepting bids, appropriating ful
and awardinq Contract No. 3173 for the construction of i
Calavera Hilis Community Park, Phase I.
2. January 16, 1987 letter to the City from the L. R. Hubb;
Construction Company.
3. January 20, 1987 letter from the Purchasing Officer to the
R. Hubbard Construction Company.
4. Site Map of Calavera Hills Community Park, Phases 1 and 2.
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RESOLUTION NO. 8961
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF CARLSBAD, CALIFORNIA, ACCEPTING BIDS,
NO. 3173 FOR THE CONSTRUCTION OF THE CALAVERA
HILLS COMMUNITY PARK, PHASE I
APPROPRIATING FUNDS, AND AWARDING CONTRACT
WHEREAS, the City Council of the City of Carlsba
California, has determined it is necessary and in the pub
interest to construct the Calavera Hills Community Park; and
WHEREAS, bids for the construction of said project h
been received and are on file in the office of the Purchas
Department; and
WHEREAS, the City Council of the City of Carlsbad is
desirous to proceed to award a contract to the low
responsive bidder; and
WHEREAS, the low bid received for the construction of s
project for the base bid was submitted by William S. Kircht-
Construction, Inc. in the amount of $1,176,767; and
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~ WHEREAS,; a current appropriation exists in the amount
$1,038,500 for this project; and
WHEREAS, an additional appropriation in the amount
$638,267 is required to construct the project as desired;
NOW, THEREFORE, BE IT RESOLVED by the City Council of
City of Carlsbad, California, as follows:
1. That the above recitations are true and correct.
2. That the City Council has determined it neces:
and in the public interest to construct the Calavera H.
Community Park.
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3. That the City Council further determines that the I 1 I I
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~ submitted by William S. Kirchnavy Construction, Inc. in
amount of $1,176,767 for the construction of said project
hereby accepted and the Mayor and City Clerk are her ' authorized to execute a contract thereafter.
4. That an appropriation of funds in the amount
$638,267 from the unappropriated balance of the Put
' Facilities Fee Fund to the project account No. 320-820-If
3173 is hereby authorized and approved.
PASSED, APPROVED AND ADOPTED at a regular meeting of
Carlsbad City Council held on the 3rd day of February
1987 by the following vote, to wit:
AYES: Council Members Lewis, Kulchin, Pettine and Mamaux
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NOES: None
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ABSENT : None
ATTEST: CLAUDE A. LEWIS, Mayor -
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16ii In LZ-LZL 4, w, I'll ALETHA L. RAUTENKRANZ, City derk
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(SEAL)
'L.R. HUBBARD 0 CONSTRUCTION CO., INC.
Since 1956
January 16, 1987
City of Carlsbad
Purchasing Department
1200 Elm Avenue
Carlsbad, California 92008
Attention: Ruth Fletcher
* 7485 Ronson RI
San Dlego, Californ
277-9300
License # 40765
HAND DELIVI
Reference: Calavera Hills Park
Gentlemen,
-. Please be advised that we have discovered an error on our bid submitted on
January 14, 1987. The error occurred in the transcription of the telephone
bid submitted by grading subcontractor Napier-Donaldson.
It was our understanding that his price was $498,000.00 for the base bid
with a deduct of $398,000.00 for alternate #l. This was recorded on our
bid form on January 14, 1987. (A copy is enclosed for your information.)
Subsequent communication with the subcontractor has revealed that he understo
the alternate to be not a deductible price, but a net price after the deductio
was made. Therefore his intention was to submit a price of $498,000.00 for
a base bid with a credit of $100,000.00 for alternate number 1 thus resulting in a net price of $398,000.00,
Based on the above information it is obvious that implementation of the deduct
alternate as incorrectly submitted would result in the expectation that a
$398,000.00 grading job could be done for $100,000.00.
It is our understanding that a similar misinterpretation was made by one
of the other bidders regarding bid alternate 111.
For all of the above reasons we hereby request that our bid be deemed non-
responsive and removed from consideration for award.
Sincerely,
Ffl G.H, Byro y Jr.
President
GHB : sl
CONCRETE CONSTRUCTION CURB. GUTTER & SIDEWALKS GENERAL ENGINEERING CONST. CONCRETE CUTTIF
B;.la!ng Foundations Machine Extruded Curbs Parking Lots Concrete Cutttn
Sropmns Cenlers Concrete Berms Street Improvements Asphalt Cuttlng
TVI-Up Concrete Alleys Parks Core Drtlling
Warehouse Factlltles Swales Site Development Wall Sawing
Tennis Courts Demo B BreaKol
0 EXHIB~O. 2 Cont.
Construction J. V. Phone: 44
Lic. A49531 9 Phone: 44
January 16, 1987
L. R. Hubbard Construction Co.
7485 Ronson Road
San Diego, CA 92111
Attention: Steve
Reference: Calavera Hills Community Park
Gentleman :
This is to confirm my bid on January 14th. I phoned in a bid on the
grading for the Calavera Hills Park. My price for the base bid was
$498,800.00, and my price for the grading in alternate was $398,800.00,
which was a deduct of $100,000.00 for the alternate.
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L Aomas E. Donaldson
Partner
TED:clt
2157 Grufgon Street El Cajon, California 92020
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BIDDER f//f;, ,< ,."? I - r()&& &k? &A/
JOB c/3 L!L/FJ/ PQll 4 J*; e LJ DATE /- /(
PHONE 4 'rb c nD 3 BY TOA, J-94- 2kbf UNION: Y N MINORITY: Y N TAX: Y N ADDE
TYPE OF &'OH< Gm.4 //?@
TOTAL PRICE
5Ec. ?e 20 f'i; l2~/b~~ + ,,fry-, .-
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&J[- && - 4 98, 8 @6 -
4 LT] - _7w/ 8Db -
ZlJC. XPm>~/&$ ;,r Df$D ; ( r
b/JJ4<Ec 27. 1 r . &PC AqC (e&
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EXCLUSIONS f&& g I 1 I
L- %c &42 72pq l- x,- .+ j f; / O/,,
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abbdA&.(, vf r") 1, :>:):.I 1 . $&
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\ 1200 ELM AVENUE
CARLSBAD, CA 920081989
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ai9 of QCarISbab
. PUR HASlNG DEPARTMENT
January 20, 1987
G. H. Byrom Jr.,
President
7485 Ronson Road San Diego, CS 92111
This will acknowledge your hand delivered letter dated January 16, 1987 requesting removal of your bid for Calavera
Hills Community Park.
It has been determined that the mistake in your bid was not due to an error. in judgement: therefore; in accordance with the Public Contract Code Section 5103, your bid for
L.. R. Hubbard
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d Calavera Hills Community Park has been withdrawn. g-fimk
Rut$ Fletcher
Purchasing Officer
RF:ee
cc: Senior Management Analyst - Cahill J
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