HomeMy WebLinkAbout2001-01-23; City Council; 16036; Vista/Carlsbad Interceptor Sewer Contract-
Cl-l Y OF CARLSBAD -AGENDA blLL
AB# TITLE: AWARD OF CONTRACT FOR THE CONSTRUCTION 1 & ; 03 b
OF THE VISTAKARLSBAD INTERCEPTOR SEWER REACHES MTG. l/23/01 VCSB THROUGH VC1 IA, PROJECT NO. 3182, THE SOUTH
CARLSBAD VILLAGE STORM DRAIN PROJECT NO. 3528 DEPT. ENG AND PAVEMENT OVERLAY PROJECT NO. 3667
RECOMMENDED ACTION:
Adopt Resolution No. JOd/ -a cs’ accepting bids and awarding the construction contract for
the Vista/Carlsbad Interceptor Sewer Reaches VC5B through VC1 1 A, Project No. 3182, the
South Carlsbad Village Storm Drain Project No. 3528 and Pavement Overlay Project No. 3667 to
Steve Bubalo Construction Company, Inc.
1 ITEM EXPLANATION:
PROJECT OVERVIEW AND SCHEDULE
This project replaces Reaches VC5B through VC1 1A of the Vista/Carlsbad Interceptor Sewer,
constructs a new sewer pipeline along Chestnut Avenue, constructs the South Carlsbad Village
Storm Drain, and places an asphalt pavement overlay on Jefferson Street, Oak Avenue, Chestnut
Avenue, and Harding Street. The construction schedule includes the following milestones: 1) Award
construction contract by January of 2001, 2) Pre-construction meeting in February 2001, 3)
Process material submittals and production of pipe from February to March 2001, 4) Contractor
mobilization to the site and start construction between March and May 2001.
Sewer Pipeline
Reaches VC5B through VC1 1A of the interceptor sewer include 36-inch to 54-inch diameter
pipelines in Jefferson Street from Las Flores Drive south to Oak Street, Oak Street from Jefferson Street to the railroad right-of-way and south in the railroad right-of-way from Oak Avenue to the
lagoon (see Exhibit 1). The interceptor sewer is jointly owned by the Cities of Carlsbad and Vista.
The existing interceptor sewer pipeline and manholes have been severely corroded due to
hydrogen sulfide, and the daily flow rate now exceeds pipeline design capacity. The existing
interceptor sewer pipeline will be abandoned in place along this reach. Staff recommends
proceeding with the proposed construction to replace the interceptor sewer to meet capacity
requirements and preclude potential pipeline failure resulting from corrosion.
The portion of the interceptor sewer project in Jefferson Street and Oak Avenue will be constructed
by microtunneling. The interceptor sewer within the railroad right-of-way will be constructed by open trench, with the exception that Tamarack Avenue will be crossed using microtunneling or pipe
jacking.
The sewer component of the project also includes construction of a collector sewer in Chestnut Avenue from the railroad right-of-way to Harding Avenue. Installation of this section of
sewer will relieve the over capacity collector sewer in Harding Street and transport wastewater
collected east of Interstate 5 directly to the interceptor sewer in the railroad right-of-way.
I
Page 2 of Agenda Bill No. 1-b i D 3 6
Storm Drain
The South Carlsbad Village Storm Drain Project includes installation of approximately 12,200 lineal
feet of l&inch to 84-inch diameter storm drain pipeline. The South Carlsbad Village Storm Drain
extends along Oak Street from Roosevelt Street to the railroad right-of-way, along Harding Street
from Oak Avenue to Magnolia Avenue, Chestnut Avenue from Harding to the railroad right-of-way,
along the railroad right-of-way from Oak Avenue to Agua Hedionda Lagoon and small sections
between Harding and Interstate 5 on Oak Avenue, Pine Avenue, Palm Avenue, and Magnolia
Avenue (see Exhibit 1). In an effort to minimize construction impacts, staff recommends proceeding with construction of the South Carlsbad Village Storm Drain in conjunction with Reaches VC5B
through VC1 1A of the VistaKarlsbad Interceptor Sewer.
Pavement Overlay
The contract documents include a pavement overlay of Jefferson Street, Oak Street (west of
Jefferson Street), Harding Street and Chestnut Avenue (see Exhibit 2). The pavement overlay will
restore the roadway surface to a new condition.
On September 26, 2000, City Council authorized the advertisement for bids for the construction of the Vista/Carlsbad Interceptor Sewer Reaches VCSB through VCllA, Project No. 3182, the
South Carlsbad Village Storm Drain Project No. 3528 and Pavement Overlay Project No. 3667.
The Purchasing Department received seven (7) sealed bids on November 20, 2000 as shown in
Table 1.
Table 1
Bids and Estimate
I 1. Steve Bubalo Construction Company, Inc. $15,629,51
The bids have been protested by the 2nd and 41h low bidders contending that Bubalo Construction
had an unfair advantage by proposing to use a substitute pipe material for the interceptor sewer and should be considered to be non-responsive. Staff has determined that by law, all bidders had
the opportunity to submit an “or Equal” or substitute materials for review and acceptance by the
City Engineer. In this instance, the City Engineer has determined that the material proposed by
Bubalo Construction does not meet the requirements for an “or Equal” pipe material and that
Bubalo will be required to provide one of the specified materials for the price bid.
The correspondence between the City and the protesting parties is included as Exhibit 3. Staff reviewed all the protests and we recommend that the protests be overruled and the contract
awarded to the low bidder, Bubalo Construction Company, Inc.
All bid documents submitted by Steve Bubalo Construction Company, Inc., have been reviewed by staff and found to be in order. Construction is anticipated to require approximately four hundred
twenty (420) working days from the date of issuance of the Notice to Proceed to the contractor.
Staff recommends that Council award the contract for the construction of the Vista/Carlsbad
Interceptor Sewer Reaches VCSB through VC1 lA, Project No. 3182, the South Carlsbad Village
Storm Drain Project No. 3528 and Pavement Overlay Project No. 3667 to Steve Bubalo Construction Company, Inc.
-
Page 3 of Agenda Bill No. 191 0 @
ENVIRONMENTAL:
The Planning Commission issued a Negative Declaration for the Vista Carlsbad Interceptor Sewer Replacement, Reaches VCSB to VC9 on February 13, 1998. The Planning Commission issued a Mitigated Negative Declaration for the VistaKarlsbad Interceptor Sewer Replacement, Reaches VC1 0 to VC1 1 A, and the South Carlsbad Village Storm Drain on September 15, 1998. The financing, bidding, and construction of the project would not create any additional environmental impacts that have not otherwise been evaluated and considered during the issuance of the documents noted above.
In addition to these environmental documents, the following additional permits have been acquired for construction of the project:
1. California Coastal Commission permit number 9-99-88 issued on January 7, 2000.
2. California Regional Water Quality Control Board 401 waiver issued on 10/8/99.
3. United States Army Corps of Engineers permit number 982006900 issued on June 26,200O.
4. California Regional Water Quality Control Board Permit for Groundwater Discharge issued on September 28,1999.
5. Encina Special Purpose Wastewater Discharge Permit No. 98-SPl issued on September 1, 1998.
6. State Department of Transportation Encroachment Permit No. 1 l-99-NDM0254 issued June 11,1999.
FISCAL IMPACT:
Table 2 shows City staffs estimate of the costs of constructing the project. Funds in the amount of
$22,228,417 have been appropriated for this project. Staff anticipates no additional funds will be
required for this project. Unused funds will be returned to appropriate accounts upon completion of
the project.
Table 2 Estimated Pro ect Costs “,:;;;. ,;,$j ,t:,, ;,m 1: &!l;~ ‘ibtf?!%$?$~@: :‘; ‘jj$j$C(j MBlN~~~~R~JEC~~~~~r MI-~~~~~~, .ij:::;ljid:!~:!,;;$; $i’#‘$>i’; :’ : ‘;:“~:;@ ,,:“;Q~~;&+ To~&&;~ !>?I!( e, v:&$:“; j yg ‘ ;ii ,,‘ .)X”$ 1 ~,$~;$i‘~~~..r,,,,., $? _:_ ;&; $,;;p$:; ‘ II 2, 3% _<s : _I Construction $15,629,511 Construction Contingency (10%) $1,562,951 Inspection, Surveying, Testing, Administration & Public Relations $1,997,000
Total Project Costs $19,189,462 Total Appropriation $22,228,417
ADDITIONAL APPROPRIATION $0
Carlsbad will be fronting the cost of construction for the Vista/Carlsbad Interceptor sewer and the City of Vista will reimburse Carlsbad for its proportionate share of the interceptor sewer cost in accordance with the agreement on joint ownership and the results of the pending mediation regarding the cost of microtunneling versus open trench construction methods. For the VC5B to VC8 reaches of the sewer interceptor, the City of Vista is responsible for 72.7% and Carlsbad is responsible for 27.3% of the cost based on open trench construction methods. In addition to the open trench cost sharing, the City of Carlsbad and the City of Vista have agreed to mediate the additional costs resulting from the use of the microtunneling construction method for reaches VC5B through VC9. For the VC9 to VCllA reaches of the sewer interceptor, the City of Vista is responsible for 62.7% of the cost and the City of Carlsbad is responsible for 37.3% of the cost.
3
Page 4 of Agenda Bill No.
It is estimated that the City of Vista will contribute approximately $5,500,000 to pay for their share of the project costs. Reimbursement payments from Vista will be processed on a quarterly basis
during the construction phase of the project.
The distribution of City appropriation of funds for construction of the sewer, storm drain and pavement overlay are shown below in Sewer Cost-Table 3, Storm Drain Cost-Table 4, and
Pavement Overlay Cost-Table 5, respectively.
Table 3 ,: ‘, !:$ L,,,l;, ;. &,;[: .!.‘_bl g:yq &ii ‘1 3;: ( :.ili:‘,, ,I, :’ ? *>’ ~,‘~:r’~~~71ia~“~::‘:~~~~~~~~~~ ‘,, ‘,:g<> _’ !_: :Y.i:Con~~~~~tIo~~~~~~~~~*~.V,l~~~~~~~l~~~~~~~t~~~~~t~~~~~~~~~~~~~~~~~~~~~ :y 1. ,~~:ir!li’ilii~~i”~~~~~ :“,:: $1; ,‘: :i,;;: _. :; s’;..:L ‘I, G i .;!r”:ijl;l:p:r,:,:~ ) :i,,_ :: ;$.i:’ 2’<4l’. ‘!,I? ‘ ;si .*j ~,‘:&q ‘$$.$ :li“j! : ‘i,‘ > ,’ _s L ,,I,:;p “:? ,~‘~:i’Che~t~BP;!AtvenuUI.S$‘~~~ ~~L;itiifi~~&~ :#9;$4 82f):$f154y1&> i ; ;;i !j;:,l:‘I:G;l, ,,; ‘!‘!ij:i?!;li,;i;,.;,~,~;“~~~~~ : ‘_i 33 :,: Ii.‘, 7 Sewer Construction (Schedule A&B) $7,839,697
Construction Contingencies (10%) $783,970
Inspection, Surveying, Testing, Administration & Public Relations $1,009,340
TOTAL ESTIMATED PROJECT COSTS $9,633,007
Existing Appropriation $11,194,466
_ ADDITIONAL APPROPRIATION $0
Table 4
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Table 5
EXHIBITS:
1. Location Map, Vista/Carlsbad Interceptor Sewer Replacement, Reaches VC5B through
VC1 IA, and South Carlsbad Village Storm Drain Projects, City Project Nos. 3182 and 3528.
2. Location Map, Pavement Overlay Project, City Project No. 3667.
3.
4.
Correspondence related to bid protest.
Resolution No. J&?/ 2s e accepting bids and awarding the construction contract
for the Vista/Carlsbad Interceptor Sewer Reaches VCSB through VC1 1 A, Project No. 3182, the South Carlsbad Village Storm Drain Project No. 3528 and Pavement Overlay Project
No. 3667 to Steve Bubalo Construction Company, Inc.
4
LOCATION MAP
JEFFERSON W b FREEWAY CRk”dNc
LEGEND
PROPOSED SEWER
~I~I=I=I- PROPOSED STORM DRAIN
- - - - - EXISTING SEWER
i& B i 9 1 3 s 8 I3 g G 1: ctuPmtsA VY l-
VISTA / CARLSBAD INTERCEPTER SEWER CONTRACT FIGURE
!ND SOUTH CARLSBAD STORM DRAIN PROJECT #3182’3528 #’
JEFFERSON BI b FREEWAY Cka.-JNG
LOCATION MAP
Project name :
PAVEMENT OVERLAY
C;;NT;;CT ( FIG;;E
k-kcMfQ1I. 3
November 21,200O
CITY OF CARLSBAD
1635 Faraday Avenue
Carl&ad, CA 92088
Al-l-N: TERRY L. SMITH, PROJECT MANAGER
RE: VISTA/CARLSBAD INTERCEPTOR SMlER AND SOUTH CARLSBAD STORM
DRAIN PROJECTS - Contract Nos. 3182,3528 and 3667
Bid Protest
Dear Terry:
This letter is to serve as an official Bid Protest of the Bid of Steve Bubalo Construction,
Inc. (SBCI) for the above-referenced project.
The specifications do not detail a specific protest mechanism; therefore, we will use our
own format.
The bid protest contains four specific issues.
1. Listing of jacking pipe material not approved by the City.
Exhibit 1. Meyers Polymer Concrete Pipe is not an approved pipeline
material for the microtunneling portion of the project. The specifications
clearly state the approved jacking pipe.
1. Section 02306-9, Sec. 2.1.A, including Addendum 2. - Exhibit 2
2. Section 15051- Exhibit 3
3. Section 15051-5, Sec. 2.2.A - Exhibit 3
4. Section 15051-18.,- Exhibit 4
5. Section 15073, Entire Section - Exhibit 5
6. Section 15083, Entire Section - Exhibit 6
None of the above-mentioned specifications refer in any way to Polymer
Concrete Pipe, nor do they refer to critical design features, such as joint
details or testing procedures of any kind.
Polymer Pipe was not approved at bid time; therefore, SBCI should be
deemed non-responsive and disqualified.
9164 Rehco Road l San Diego, CA 92121 l Telephone 858-550-1460 l Fax 858-550-1470
CIlY OF CARLSBAD
Page Two
November 21,200O
2. SBCI’s listing of Meyer’s Pipe for open cut installation of sewer main,
Exhibit 1. The specification is clear. The only approved material is
concrete pressure pipe (CPP) (refer to Section 15051-18 - Buried Piping
Schedule and Section 15073 - CPP), with emphasis on 15073, 2.2.D.
Also, the City was asked prior to the bid if other alternatives were ~
available for the open cut portion of the project. The answer was a clear
“no”. Exhibit 7.
It is clear that the City did not include any other material in the open cut
section of the project other than CPP. SBCI’s bid is, therefore, non-
responsive and should be disqualified.
3. SBCI has not listed all subcontractors according to the specifications.
Exhibit 8.
We have included the following list of subcontractor-related items that
have enough dollar value to be listed, but were not listed by SBCI:
Surveying
Asphalt Paving
Bid Items Dl, D2, & D3
Hydroseeding
Bid Item A-11
Striping
Bid Items A-4, D-5
approximately $85,000
Exhibit 9
approximately $440,000
Exhibit 9
approximately $12,000
Exhibit 9
approximately $43,000
Exhibit 9
We have serious reservations that SBCI has the in-house capability to
accomplish these tasks. If any of this work is done by subcontractors, it
should be considered “bid shopping”, a violation of Section 4100 of the
Public Contracts Code. Therefore, SBCI’s bid should be deemed non-
responsive and disqualified.
4. Replacement of named supplier. It has come to our attention that SBCI
may have to change the named supplier for the RCP. The supplier
named in the bid quoted all the pipe as a lump sum and will not split out
the RCP. This possible request should not be granted. All the bidders
knew the terms of the quotations prior to the bid. We would consider
this “bid shopping”, giving SBCI an unfair advantage over the remainder
of the bidders post-bid. Their bid should be deemed non-responsive.
It is clear that all of the bidders except SBCI used the approved and specified pipe
materials. SBCI had an unfair advantage by listing material that is clearly not specified.
CITY OF CARLSBAD
Page Three
November 2 1,200O
The City has shown by its response in Exhibit 7 that it was not going to change its
specification. Therefore, any or all the items listed above should deem SEWS bid as
non-responsive and should be disqualified. This will result in the City enforcing the bid
requirements and conformance with the specification.
The City must, therefore, award the project to the lowest responsive bidder, Vadnais
Corporation.
Sincerely,
Paul J. V&fnais
President
/-. _-.,
City of Carlsbad
January 12,200l
Mr. Paul Vadnais
President
VADNAIS CORPORATION
9164 Rehco Road
San Diego, CA 92121
VISTAKARLSBAD INTERCEPTOR SEWER AND SOUTH CARLSBAD STORM DRAIN
PROJECTS - DETERMINATION OF “OR EQUAL” MATERIALS
Dear Mr. Vadnais:
Thank you for your letter of November 21,200O related to the VistalCarlsbad Interceptor Sewer and South Carlsbad Storm Drain Projects (the “Project”). City staff has now had the opportunity to carefully review the Project bids, as well as the concerns expressed by various parties related to the low bid submitted by Steve Bubalo Construction, Inc. (“Bubalo”).
Based upon .the review of the bid packages, City staff will recommend that the Carlsbad City Council award the project to Bubalo at their meeting of January 23, 2001. The meeting will commence at 6:00 p.m. in the City Council Chambers located at 1200 Carlsbad Village Drive. An agenda can be obtained prior to the meeting on the City’s web page located at: http://www.ci.carlsbad.ca.us
Along with informing you of staffs recommendation, I wanted to respond to several points raised in your November 21 letter. It appears that you are primarily concerned with Bubalo’s use of Meyer Polymer Concrete Pipe (“Meyer Pipe”) in lieu of concrete pressure pipe for portions of the Project. You indicate that Bubalo’s inclusion of Meyer Pipe makes their bid non-responsive.
The City views Bubalo’s inclusion of Meyer Pipe as a request for the pipe to be considered an
“or equal” material pursuant to Public Contract’s Code Section 3400, Greenbook section 4-1.6
as amended by the bid specifications (page 64 of 112) and Addendum No. 2 to the bid
specifications. Pursuant to Greenbook section 4-1.6, Bubalo has submitted information about
Meyer Pipe to the City Engineer. The submitted information has been evaluated and a
determination made that the material will not be considered an “or equal” material for the
purposes of the Project. Based upon this determination, Bubalo will be required to provide those materials for the Project that are specified in the bid documents.
Your letter further suggests that by including a specific “or equal” reference for the
microtunneling portion of the Project, the City prevented “or equal” materials from being used in
the other portions of the project. As you know, the City cannot disallow the submission of
“or equal” materials if a contractor chooses to submit them in lieu of the specified material.
1635 Faraday Avenue - Carlsbad, CA 92008-7314 l (760) 602-2720 l FAX (760) 602-8562 @ /@
January 12,200l
VISTAKARLSBAD INTERCEPTOR SEWER AND SOUTH CARLSBAD STORM DRAIN
PROJECTS - DETERMINATION OF “OR EQUAL” MATERIALS Page 2
Greenbook Section 4-1.6 states in pertinent part, ‘(w)whenever any particular material, process or equipment is indicated, such wording is used for the purpose of facilitating its description and shall be deemed to be followed by the words or equal. . . . The Contractor may offer any material, process, or equipment considered to be equivalent to that indicated.” Here, the words “or equal” were deemed to follow all references to a specific material, including those for the open cut portion of the Project. Thus, all of the bidders had the same opportunity to offer an “or equal” material and risk whether the material would be accepted by the City. This opportunity enjoyed by all bidders makes it difficult for the City to see how Bubalo enjoyed an unfair advantage with their bid.
In addition to your concern that the inclusion of Meyer Pipe made the Bubalo bid non-responsive, you indicate that prior to the bid opening the City declined to accept other pipe materials for the open cut portion of the Project. Exhibit 7 to your letter was a copy of a fax between the City of Carlsbad and Hobas Pipe. It is clear from the City’s response that the rejection of Hobas Pipe for use in the open cut portion of the Project is directed to Hobas Pipe and not necessarily all pipe materials. City staff chose not to accept Hobas Pipe for this portion of the Project because Hobas Pipe is designed as a flexible pipe. Concrete pressure pipe and Meyer Pipe are both designed using rigid pipe design theory.
In your letter, you also indicate that Bubalo has not identified all of their subcontractors as. reauired bv the bid documents. The bid documents reauire the aeneral contractor to identifv all subcontra&ors whose portion of the work exceeds ‘9 whichever is greater. In this instance, 0.5% of the F Therefore, the only questionable item in Bubalo’s bid rel overlay bid. Surveying costs are spread throughout all b 05% limit. Bubalo’s approach to the Project is obviour Whereas Vadnais is performing their own microtunnelin{ performing their own street overlay. Bubalo has stated tl in the process of purchasing a new machine.
Finally, you ask in your letter about the process Equipment/Material Source Information requested on information only. Documents which comprise the Bidde identified on page 7 of the bid documents. The Equipme not part of the required information and, therefore, BubE material from any supplier or manufacturer.
Again, I thank you for sharing your concerns on these is3 (760) 602-2765 shouldyou have any questions.
TERRY L. SMITH Senior Civil Engineer
TLS:jd
c: Public Works Director Deputy City Engineer, Design Public Works Manager, Cook Purchasing Officer Deputy City Attorney, Brower Malcolm Pirnie, Inc., Paul Wilson
e
10,OOO”or 0.5% of the Project iost, reject cost is approximately $78,000. ative to the 0.5% limit is the pavement d items and are likely to fall below the #ly different than Vadnais Corporation. for the Project, Bubalo Construction is lat they own a paving machine and are
bf replacing a named supplier. The page 40 of the bid document is for ,‘s proposal and must be executed are It/Material Source Information sheet is lo has the right to submit the specified
ues. Please feel free to contact me at
02/18/2000 01:56 FAX _
1 l/21/00
@Ion
City of Carlsbad
1635 Faraday Avenue
Carlsbad, CA 92006
Attention: Terry Smith P.E.
Subject: Vista Carlsbad Interceptor Sewer
Dear Terry:
This letter is to advise you and the City of Cansbad that our company wishes to formally
protest the bid of the low contractor, Steve Bubalo Construction.
Per your bid schedule and specifications “Polycrete Pipe”( a non-reinforced Polymer
product) was not an approved option.
If the City awards the contract to low contractor they will be allowing them an unfair
advantage over the rest of the qualified bidders.
All other General Contractors who bid this project understood that Polycrete Pipe was
an inferior and unapproved bid product.
Our company was the low bid “named supplier” with all the other contractors on this
project. We bid the entire package lump sum including storm, open cut sewer, and
micro-tunnel sewer with RCP. Steve Bubalo Construction was the so/e contractor who
listed Polycrete Pipe for the Open Cut and Micro-tunnel sewer portion of the work. If
the other contractors were allowed to use substitute products, Vadnais would have
been low bidder.
If the City of Carlsbad allows unapproved substitutions of materials in their projects they
should also consider the long term impact of such substitutions and its effect on the
bidding process.
Some concerns in considering Bubalo’s bid and Polycrete Pipe are as follows:
1. Polycrete Pipe in not approved or listed in the Green Book specifications.
2. This product has not been approved by any major agency or project in
California or anywhere else in the United States that we are aware. The city of
Carlsbad would in effect be a beta test site.
CSR Hyde Conduit 23200 Tmwxl Canyon Road (92883) P.0. Bow 939 Comm, CA 92878-0939
Tehhone: 19091 277-2420- 0141 541-5171. Fachnilcr 19091 777-tOnh
02/18/2000 01:56 FAX _
3.
4.
5.
6.
7.
8. 9.
The major Southern California Sewer Agencies, including Los Angles County
Sanitation District, Orange County Sanitation District, City of San Diego, and City of
Los Angeles, do not allow this product. w
Meyer has had no success in obtaining a Pipe company to endorse
and manufacture this pipe in the United States.
Unlike the specified reinforced concrete pipe (RCP), this pipe shatters in a D-Load
type test at ultimate loading and results in a sudden catastrophic failure.
The joint integrity is highly suspect and may not meet the test specified for this
project.
The pipe is unlined.
The extreme jacking stresses imposed on this pipe could cause potential damage.
Any repair procedure would be untested and unproved by our major agencies.
10. Their listing of a microtunneling subcontractor who based his sub-bid using an
unspecified and unapproved pipe is also a concern.
In Conclusion, we appeal to the City of Carlsbad to reject the low bid of Steve Bubalo
Construction and to award the project to the next low bidder who met the project
specifications and bid requirements.
It is in the interest of the City of Cartsbad to enforce their bid requirements and maintain
bid project quality and conformance.
Sincerely,
CSR Hydro Conduit
Bob Shafer ’
General Manager
cc: Paul Vadnais (Vadnais Construction)
Bill Plummer (City of Carlsbad)
Ruth Fletcher (City of Carlsbad)
/3
City of Carlsbad
January 12,200l
Mr. Bob Shafer, General Manager CSR HYDRO CONDUIT 23200 Temescal Canyon Road P.O. Box 939 Corona, CA 92878-0939
VlSTAlCARiSBAD INTERCEPTOR SEWER AND SOUTH CARLSBAD STORM DRAIN PROJECTS - DETERMINATION OF “OR EQUAL” MATERIALS
Dear Mr. Shafer:
Thank you for your letter of November 21, 2000 related to the VistaKarlsbad Interceptor Sewer and South Carlsbad Storm Drain Projects (the “Project”). City staff has now had the opportunity to carefully review the Project bids, as well as the concerns expressed by various parties related to the low bid submitted by Steve Bubalo Construction, Inc. (“Bubalo”).
Based upon the review of the bid packages, City staff will recommend that the Carlsbad City Council award the Project to Bubalo at their meeting of January 23, 2001. The meeting will commence at 6:00 p.m. in the City Council Chambers located at 1200 Carlsbad Village Drive. An agenda can be obtained prior to the meeting on the City’s web page located at: http://www.ci.carlsbad.ca.us
Along with informing you of staffs recommendation, I wanted to respond to several points raised in your November 21 letter. It appears that you are primarily concerned with Bubalo’s use of Meyer Polymer Concrete Pipe (“Meyer Pipe”) in lieu of concrete pressure pipe for portions of the Project.
The City views Bubalo’s inclusion of Meyer Pipe as a request for the pipe to be considered an “or equal” material pursuant to Public Contract’s Code Section 3400, Greenbook section 4-1.6 as amended by the bid specifications (page 84 of 112) and Addendum No. 2 to the bid specifications. Pursuant to Greenbook section 4-1.6, Bubalo has submitted information about Meyer Pipe to the City Engineer. The submitted information has been evaluated and a determination made that the material will not be considered an “or equal” material for the purposes of the Project. Based upon this determination, Bubalo will be required to provide those materials for the Project that are specified in the bid documents.
Again, I thank you for sharing your concerns on these issues. Please feel free to contact me at (760) 602-2765 should ou have any questions.
TLS:jd
c: Public Works Director Deputy City Engineer, Design Public Works Manager, Cook Purchasing Officer Deputy City Attorney, Brower Malcolm Pirnie, Inc., Paul Wilson
1635 Faraday Avenue l Carlsbad, CA 92008-7314 l (760) 602-2720 - FAX (760) 602-8562
NW-22-2000 11:51 -
VIDO ARTUKOWCH b SON, INC. / VIDMAR, INC. A J.V.
11155 Rush Street
So. El Monte, CA. 91733
-
lH6 ARTUKOVICH COMPANIES SINCE 1923
Telephone 6264444286
1 I/WOO
City of Carlsbad
1635 Faraday ,4ve.
Carlsbad, Ca. 92008-73 14
Attn: Mr. Terry L. Smith
Re: ViWCarlsbad Interceptor Sewer
Contract Nos. 3 182,3528 and 3667
Dear Mr. Smith,
This letter represents our protest with regards to the apparent low bidder relative to the
above mentioned project.
P.02
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It was revealed at the bid opening, the apparent low bidder, Steve Bubalo Construction
Camp., has listed a non-specified pipe material and manufacturer on the project.
The Specification autborize in Section 3.12, Pipe Schedule, Page 1505 I-17 & 18 the typ<
of pipe for this project. This Section allows only CPP with PVC lining for open trench i
fnterceptor sewer. Its was read at the bid opening, Steve Bubalo Construction listed an ‘.
alternate pipe that was not not approved nor an approved joint.
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Rather than bidding the project under the same guidelines as all the other Contmctors
and providing the City an after award value engineering option, the Steve Bubalo
Company gambled in ignoring the Specifications and listed a cheaper pipe. This gave the
Steve Bubalo Company & unfair advantage. The listed pipe by the Steve Bubalo
Company is not the same as CPP, doubled-gasketed, flush bell, steel Carnegie bell and
spigot joint ring pipe.
If the Steve Bubalo Company is not deemed non-responsive due to it’s arrogance and
pretentiousness relative to writing their own Pipe Specification, we request to be
considered Low Bidder as our final price would be $2,000,000. lower.
In conclusion, we contend this is not a matter of fuzzy specifications, but rather a matter :
of fuzzy judgment as all other bids were compliant. I
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City of Ca’rlsbad
January 12,200l
Mr. Mark Artukovich VIDO ARTUKOVICH AND SON INC. 11155 Rush Street South El Monte, CA 91733
VISTAKARLSBAD INTERCEPTOR SEWER AND SOUTH CARLSBAD STORM DRAIN PROJECTS - DETERMINATION OF “OR EQUAL” MATERIALS
Dear Mr. Artukovich:
Thank you for your letter of November 22, 2000 related to the Vista/Carlsbad Interceptor Sewer and South Carlsbad Storm Drain Projects (the “Project”). City staff has now had the opportunity to carefully review the Project bids, as well as the concerns expressed by various parties related to the low bid submitted by Steve Bubalo Construction, Inc. (“Bubalo”).
Based upon the review of the bid packages, City staff will recommend that the Carlsbad City Council award the project to Bubalo at their meeting of January 23, 2001. The meeting will commence at 6:00 p.m. in the City Council Chambers located at 1200 Carlsbad Village Drive. An agenda can be obtained prior to the meeting on the City’s web page located at: http://www.ci.carlsbad.ca.us
Along with informing you of staff% recommendation, I wanted to respond to several points raised in your November 22 letter. It appears that you are primarily concerned with Bubalo’s use of Meyer Polymer Concrete Pipe (“Meyer Pipe”) in lieu of concrete pressure pipe for portions of the Project. You indicate that Bubalo’s inclusion of Meyer Pipe makes their bid non-responsive.
The City views Bubalo’s inclusion of Meyer Pipe as a request for the pipe to be considered an “or equal” material pursuant to Public Contract’s Code Section 3400, Greenbook section 4-1.6 as amended by the bid specifications (page 84 of 112) and Addendum No. 2 to the bid specifications. Pursuant to Greenbook section 4-1.6, Bubalo has submitted information about Meyer Pipe to the City Engineer. The submitted information has been evaluated and a determination made that the material will not be considered an “or equal” material for the purposes of the Project. Based upon this determination, Bubalo will be required to provide those materials for the Project that are specified in the bid documents.
Again, I thank you for sharing your concerns on these issues. Please feel free to contact me at (760) 602-2765 shoulr&you have any questions.
Senior Civil Engineer
TLS:jd
c: Public Works Director Deputy City Engineer, Design Public Works Manager, Cook Purchasing Officer Deputy City Attorney, Brower Malcolm Pirnie, Inc., Paul Wilson
1635 Faraday Avenue - Carlsbad, CA 92008-7314 l (760) 602-2720 l FAX (760) 602-8562
GINEERING
SOCIATION
& GENERAL CONTRACTORS
P.O. Box 81798, SAN DIEGO, CALIFORNIA 92138-l 798 61 g-692-0760 FAX: 619-692-0839
HAND DELIVERED
December 1,200O
Mr. Lloyd Hubbs
Director of Public Works
City of Carlsbad
1635 Faraday Avenue
Carlsbad, CA 92008
Re.: Award of VistaKarlsbad Interceptor Sewer and South Carlsbad Storm Drain Projects.
Dear Mr. Hubbs:
On behalf of the 150 members of the Engineering & General Contractors Association,
(EGCA), I want to express our concern and objection over the City of Carlsbad’s acceptance
of the non responsive bid of Steve Bubalo Construction, Inc. (Bubalo) for this very
significant contract.
The City’s plans and specifications are concise and specific on the types of pipe material that
will be accepted. Clearly, the Meyers Polymer Concrete Pipe bid by Bubalo does not
conform to these specifications and its attempted substitution for the pipe actually specified
is in clear violation of these contract documents.
Your attention is called to the attached November 2,200O Fax Transmittal Tom Terry Smith
of the City’s Engineering Dept. to Bijan Khamanian of Hobas Pipe USA, Inc., responding
to a request to substitute Hobas CCFRPM for micro tunneling, slip lining, jacking, and open
cut installations. Mr. Smith’s response clearly indicates an unwillingness on the part of the
City ” . . ..to deviate from the design philosophy that was developed over the past several
years....“. This is a very clear message, delivered only one day after receipt of the Hobas
request, that alternatives to the pipe specified in the contract about to be bid would not be
permitted by the City.
- -
Mr. Lloyd Hubbs
December 1,200O
PAGE 2
Bubalo’s bid should have been submitted based on using the pipe materials as specified in
the contract documents. Any proposal to use Meyers Polymer Concrete Pipe as an “or
equal”, (per Greenbook Section 4-1.6), for “jacking pipe” would necessarily have to be
made after bid submission. Its acceptance could only be determined after substantiation
submitted by the Contractor, subject to the City’s review and agreement, that the material
was in fact a satisfactory (“or equal”) product.
Bubalo’s bid proposal using Meyers Pipe for “open-cut sewer” installation is not allowed
by Specification 1501, nor is it included by Addendum No. 2, Item B, referring to “jacking
pipe”. The specification is crystal clear. The City only allowed CCP for open-cut sewer
installation and no “or equal”.
Award of this contract to Bubalo would be patently unfair to all of the bidders who
submitted their bids in good faith based upon the pipe materials specified in the contract.
Had “Meyers Polymer Concrete Pipe” been included as an alternative, the playing field
would then have been level and the City would have realized competitively bid prices on
this material by all the contracting firms submitting bids. Ifthe Bubalo bid is accepted, there
will be a real loss to the City and its tax payers by the absence of competitive bid pricing for
this substitute pipe material.
The bid of Steve Bubalo Construction, Inc. should now be rejected as non responsive, on
the basis of its failure to include pipe material for Interceptor Sewer Micro tunneling Pipe
and Interceptor Sewer Pipe as specified in the contract documents.
EGCA additionally requests that all work including, but not limited to: Surveying; Asphalt
paving; Bid Items D-l, D-2, & D-3; Hydroseeding; Bid Item A-l 1; Striping; and Bid Items
A-4, D-S be closely reviewed to ensure that such potential subcontractor work does not
exceed $10,000, without any such subcontractors being identified in the bid document
submitted by the apparent low bidder.
Executive Director
Engineering & General Contractors Association
Enc.
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City of Carlsbad
January 12,200l
Ms. Debbie Day
Executive Director
ENGINEERING & GENERAL CONTRACTOR’S ASSOC.
P.O. Box 81798 d
San Diego, CA 92138-1798”. .:
VISTAKARLSBAD INTERCEPTOR SEWER AND SOUTH CARLSBAD STORM DRAIN
PROJECTS - DETERMINATION OF “OR EQUAL” MATERIALS
Dear Ms. Day:
Thank you for your letter of December 1, 2000 related to the VistalCarlsbad Interceptor
Sewer and South Carlsbad Storm Drain Projects (the “Project”). City staff has now had the
opportunity to carefully review the Project bids, as well as the concerns expressed by
various parties related to the low bid submitted by Steve Bubalo Construction, Inc.
(“Bubalo”).
Based upon the review of the bid packages, City staff will recommend that the Carlsbad City
Council award the project to Bubalo at their meeting of January 23, 2001. The meeting will
commence at 6:00 p.m. in the City Council Chambers located at 1200 Carlsbad Village
Drive. An agenda can be obtained prior to the meeting on the City’s web page located at:
http://www.ci.carlsbad.ca.us
Along with informing you of staffs recommendation, I wanted to respond to several points
raised in your December 1 letter. It appears that you are primarily concerned with Bubalo’s
use of Meyer Polymer Concrete Pipe (“Meyer Pipe”) in lieu of concrete pressure pipe for
portions of the Project. You indicate that Bubalo’s inclusion of Meyer Pipe makes their bid
non-responsive.
The City views Bubalo’s inclusion of Meyer Pipe as a request for the pipe to be considered
an “or equal” material pursuant to Public Contract’s Code Section 3400, Greenbook section
4-1.6 as amended by the bid specifications (page 84 of 112) and Addendum No. 2 to the bid
specifications. Pursuant to Greenbook section 4-1.6, Bubalo has submitted information
about Meyer Pipe to the City Engineer. The submitted information has been evaluated and
a determination made that the material will not be considered an “or equal” material for the
purposes of the Project. Based upon this determination, Bubalo will be required to provide
those materials for the Project that are specified in the bid documents.
1635 Faraday Avenue l Carlsbad, CA 92008-7314 l (760) 602-2720 - FAX (760) 602-8562 a9 21
January 12,200l
VISTAKARLSBAD INTERCEPTOR SEWER AND SOUTH CARLSBAD STORM DRAIN
PROJECTS - DETERMINATION OF “OR EQUAL” MATERIALS
Page 2
In your letter, you also suggest that Bubalo may not have identified all of their
subcontractors as required by the bid documents. The bid documents require the general
contractor to identify all subcontractors whose portion of the work exceeds $10,000 or 0.5%
of the Project cost, whichever is greater. In this instance, 0.5% of the Project cost is
approximately $78,000. The City has considered this issue during the evaluation of bids and
has determined that Bubalo Construction has been responsive with their bid proposal.
Again, I thank you for sharing your concerns on these issues. Please feel free to contact
me at (760) 602-2765 should you have any questions.
Senior Civil Engineer
TLSzjd
c: Public Works Director
Deputy City Engineer, Design
Public Works Manager, Cook
Purchasing Officer
Deputy City Attorney, Brower
Malcolm Pirnie, Inc., Paul Wilson
-
LAW OFFICES
WIIAAM IL Mdwxm~. Je McHNEWNEY & DULLON
PROFS5Sl0NhL CORPOWFTION
UNtL KAISER PLAZA . IBTH FLOOR
OAK&AND.GALBFORNIA 34612-6810
TELEPHONC IS101 465.7100
FAX ~SIcil 445.9558
Decczmber 7,200O
CITY OF CARLSBAD
OFFICE OF THE CITY ATTORNEY
1200 Carl&ad Village Dr.
Carlsbad, CA 92008
ATTN: DAMIEN BROWER, DEPUTY CITY ATTORNEY
RE: VISTA/CARLSMD INTERCEPTOR SEWER AND SOUTH
CARLSBAD STORM DRAIN PROJECTS - Contract Nos. 3 182,352s
and 3667 Supplemental Bid Protest
Dear Sir:
This letter is written on behalf of Vadnais Corporation to supplement its November 21,
2000, official Bid Protest of the Bid of Steve Bubalo Constnxtion, ?k. (SBCI) fbr the above
referenced project.
The City of Carisbad cannot award the project to SIXI because SBCI did not submit a
responsive bid. A responsive bid is one that promises to complete all of the material terms
required in the invitation for bids and its specifhtions. (See i%yZo~ Bus service, Inc. v. Srm
Diego Bd of Eibcat?on (1987) 195 Cal.App.3d 1331.) Here, the fkilure of SBCI to list open-cut
installation sewer pipe mati& conforming to tbe specifications makes its bid non-responsive.
SBCI was required, as were all other bidders, to bid open-cut installation pipe to conform
with the Section 15051-18 Buried Pipe Schedule. As set forth in the Section 15051-18 Buried
Pipe Schedule, Concrete Pressure Pipe (CPP) must be used for Interceptor Sewer - Open Trench
work. Further, Section 15073 provides the speciEcations for the CPP to be used on this project,
Contrary to all other bidders, SBCI listed Meyers Po@er Concrete Pipe (‘%kyer~“). Since
Polymer Concrete Pipe is not CPP, or CCP compliant as set forth in Section 15073 and ret&red
by Sedion 1505 1-18, SBCl’s bii is non-responsive as a matter of law.
800/200lp-j 'NOTHa P A3NHBNI3W
23
99’28 P9P OTS XVd LS:OT OO/LO/ZT
-.
CITY OF CARLSBAD
OFFICE OF THE CITY ATTORNEY
December 7,200O
Page - 2 -
As firther evidence of SBCI’s non-responsive bid, the City of Carl&xl previously
declined to certi& Meyer’s joint bartde for open-cut ktallations on this project. On November 1, 2000, Hobas Pipe USA, Inc. requested its centrikgally east fiberglass reinforced polymer mortar
(‘UFRPM”) pipe (which has an identical joint band to Meyer’s) to be c&i&xl for this project.
On November 2,2000, The City of Carlsbad Engineering Department declined stating:,
“however, we see no reason for the City to deviate f&n the de&n philosophy
that was developed over the past several years. As such we will not be issuing
an addendum to allow Hobas pipe material for the open cut portion of the project,”
Indeed, despite gkling an “‘as equal clause?’ for Jacking Pipe in Addendum No. 2, dated
November 9,2000, the City of Carl&ad did not ease its open cut pipe requirements for the
project. In addition, Paul Vadnais called the City of C&bad Engineering Department pre-bid and was told Meyers wss not approved fbr the project. Never-the-less, SBCI submitted its bid
Wing Meyers for opcc out in&all&ions which is a mate&l &v&ion fkom the specikations.
Therefore, SBCI’s bid should have been rejected as non-responsive.
The City of Carlabad may not waive a mate&l dfaviation; only minor kreguhities may be
waived if no competitive advantage is obtained. Even if SBCl’s failure to list the correct type of
open-t installation material is deemed a minor irregularity, this may not be waived beaue
SBCI obtained a oompetitive advantage. When a bidder obtains an unfair competitive advantage due to the non codoming nature of its bid, nonc&onuity can not be waived. Kimi- BuFiness
Adi.~cMms (1988) 206 Cal.App.3d 449,456-458; see also Valley Crest Iamdwxpi~Z~, v- C@V
Cantsel(l9%) 41 cal.App.4th 1432,1440-1441.
SBCI ckly obtained a competitive ad-e by listingMeyers ti open-cut installations
on this project. Since bids are awarded to the lowest responsible bidder, substituting cheaper
materials awards an unfair advantage, All othf3r contra&m submitted bids baed on the more
expensive CPP, while SBCI was able to lower its overall bid price based on non-corrformip&
chqer, open-t installation mate&l. This u&ir substitution allowed SBCI to present a more attractive and competitive bottom line to the detriment ofthe other bidders.
Public agencies are required to a&exe strictly to the terms of the bid solicitations in
awmhg amtracts. (PO- v. S&He Deparbent of Tnvqwrtion (1983) 145 CalApp.3d 269.)
Any 0th~ rule could open the door fk fraud, fivoritism, and undue influence in public
contract&. The policy protecting the integrity of the bidding pmcess ia so strong that this rule
applies even where there is no evidence of improprieties and the &via&ms could save the pubhe
money. (Koniaa BusinmsiUiachitzes U.S.A., Inc. v. lhe Regents oftk Udrd~ of California
(1988) 206 Cal.App.3d 449)
Poe/coo IpJ
24 -. NOTII(I 0 A~rnI3W QPSB 9QP nTc YV..I LC: nT nn/ln/zT
CITY OF CARLSBAD
OFFICE OF THE CITY ATTORNEY
December 7,200O
Page-3 -
CONCLUSION
SBCl’s bid is non-responsive. Bemuse SBCh bid materially deviates from the bidding
requhments, the City of Carlsbad cannot accept SBCI’s bid aa a matter of law. Even if SBCI’s
bid s&&d from a azkr irreguhity, the City of Car&ad must reject SBCI’s bid as this
irregularity gave SBCI a unilateral and u&ir conptitive advautage.
LJ b+# fn+L-
William H. Mchemey, Jr.
WHM:jja
cc: Va4haisCorporation
Steve Bubalo Constru&on, Inc.
P00/b00 ijJ NOTII(I T" XiNKINI3W - 9998 '99b 019 xv.4 fx:nr nn/Jn/xT
RONALD R. BALL
CITY ATTORNEY CITY OF CARLSBAD
JANE MOBALDI 1200 CARLSBAD VILLAGE DRIVE
ASSISTANT CITY ATTORNEY CARLSBAD, CALIFORNIA 92008-l 989
(760) 434-2891
DAMIEN 8. BROWER FAX: (760) 434-8367
DEPUTY CITY Al-fORNEY
CINDIE K. McMAHON
DEPUTY CITY AlTORNEY January 12,200l
RANDEE HARLIB
SECRETARY TO CITY ATTORNEY ARDIS SEIDEL
LEGAL SECRETARY/PARALEGAL
William H. Mclnerney, Esq.
Mclnerney & Dillon
One Kaiser Plaza, 18’ Floor
Oakland, California 94612-3810
Dear Mr. Mclnerney:
RE: VISTA/CARLSBAD INTERCEPTOR SEWER AND SOUTH CARLSBAD
STORM DRAIN PROJECTS
Thank you for your letter of December 7, 2000 related to the Vista/Carlsbad
Interceptor Sewer and South Carlsbad Storm Drain Projects (the “Project”). City
staff has now had the opportunity to carefully review the Project bids as well as
the concerns expressed by various parties related to the low bid submitted by
Steve Bubalo Construction, Inc. (“Bubalo”).
Based upon the review of the bid packages, City staff will recommend that the
Carlsbad City Council award the Project to Bubalo at their meeting of January 23,
2001. The meeting will commence at 6:00 p.m. in the City Council Chambers
located at 1200 Carlsbad Village Drive. An agenda can be obtained prior to the
meeting on the City’s web page located at: http://www.ci.carlsbad.ca.us
Along with informing you of staffs recommendation, I wanted to respond to
severat points raised in your December 7 letter. It appears that you are primarily
concerned with Bubalo’s use of Meyer Polymer Concrete Pipe (“Meyer Pipe”) in
lieu of concrete pressure pipe for portions of the Project. You indicate that
Bubalo’s inclusion of Meyer Pipe makes their bid non-responsive.
The City views Bubalo’s inclusion of Meyer Pipe as a request for the pipe to be
considered an “or equal” material pursuant to Public Contract’s Code Section
3400, Greenbook section 4-1.6 as amended by the bid specifications (page 84 of
112) and Addendum No. 2 to the bid specifications. Pursuant to Greenbook
section 4-1.6, Bubalo has submitted information about Meyer Pipe to the City
Engineer. The submitted information has been evaluated and a determination
made that the material will not be considered an “or equal” material for the
purposes of the Project. Based upon this determination, Bubalo will be required
to provide those materials for the Project that are specified in the bid documents.
Your letter further suggests that by including a specific “or equal” reference for
the microtunneling portion of the Project, the City prevented “or equal” materials
from being used in the other portions of the Project. As you know, the City
cannot disallow the submission of “or equal” materials if a contractor chooses to
submit them in lieu of the specified material. Greenbook Section 4-1.6 states in
pertinent part, “(w)henever any particular material, process or equipment is
indicated, such wording is used for the purpose of facilitating its description and
shall be deemed to be followed by the words or equal. . . . The Contractor may
offer any material, process, or equipment considered to be equivalent to that
indicated.” Here, the words “or equal” were deemed to follow all references to a
specific material, including those for the open cut portion of the Project. Thus, all
of the bidders had the same opportunity to offer an “or equal” material and risk
whether the material would be accepted by the City. This opportunity enjoyed by
all bidders makes it difficult for the City to see how Bubalo enjoyed an unfair
advantage with their bid.
You also describe a pre-bid conversation that Paul Vadnais indicates that he had
with a member of the City of Carlsbad Engineering Department. In this
conversation, Mr. Vadnais states that he was informed that Meyer Pipe was not
approved for the Project. I have discussed this portion of your letter with those
members of the Engineering Department who may have talked with Mr. Vadnais.
They inform me that they do not recall ever telling Mr. Vadnais that Meyer Pipe
was not approved for the Project. In addition, I would draw your attention to
Page 7 of the Notice Inviting Bids for the Project, which states that:
Any prospective bidder who is in doubt as to the intended meaning
of any part of the drawings, specifications or other contract
documents, . . . may submit to the Engineer a written request for
clarification or correction. Any response will be made only by a
written addendum duly issued by the Engineer a copy of which will
be mailed or delivered to each person receiving a set of the
contract documents. No oral response will be made to such
inquiry. Prior to the award of the contract, no addition to,
modification of or interpretation of any provision in the
contract documents will be given by any agent, employee or
contractor of the City of Carlsbad except as hereinbefore
specified. No bidder may rely on directions given by any
agent, employee or contractor of the City of Carlsbad except
as herein before specified.
27
In addition to your concern that the inclusion of Meyer Pipe made the Bubalo bid
non-responsive, you state that the “city had previously declined to certify Meyer
joint bands for open-cut installation on the project.” I have been unable to locate
any support for this suggestion. While City staff chose not to accept Hobas Pipe,
I do not believe that their decision was based upon the fact that Hobas Pipe
contains joint bands and instead it appears based on staff’s decision not to
deviate from existing City design philosophy.
Finally, your letter provides a reminder that public agencies are required to
adhere strictly to the terms of the bid solicitations in awarding contracts. The City
of Carlsbad of course agrees with your reminder and believes that both the terms
of the bid solicitations as well as public contract law have been followed
throughout this process.
Again, I thank you for sharing your concerns on these issues. Please feel free to
contact me should you have any questions.
Ve
r
truly yours,
Deputy City Attorney
afs
MARKC.HARGAN
6 10 Newport Center Drive, Suite 700
Newport Beach, California 92660
(‘760) 434-8367
Mr. Damien Brower
Deputy City Attorney
City of Carlsbad
1200 Carlsbad Village Drive
Carlsbad, California 92008
Re: VistaKarlsbad Interceptor Sewer and South Carlsbad
Storm Drain Projects
Contract No.‘s: 3 182, 3528, and 3667
Dear Mr. Brower:
I represent Steve Bubalo Construction Company (“Bubalo”) in regard to the above
project. This letter is in response to the letter dated December 7, 2000 by Mr. William H.
McInerney, Jr., attorney for Vadnais Corporation protesting the award of this project to Bubalo.
Bubalo’s bid is responsive to the Notice Inviting Bids both factually and legally. Bubalo
listed an “or equal” manufacturer (Meyers Polymer Concrete Pipe, “Meyers”) for the Interceptor
Sewer Pipe as is the right of all bidders pursuant to Public Contracts Code 0 3400.
Public Contracts Code @3400(a) provides:
“NO agency of the state nor any political subdivision, municipal corporation or
district, nor any public officer or person charged with the letting of contracts for
the construction, alteration or repair of public works shall draft or cause to be
drafted specifications for bids, in connection with the construction, alteration or
repair of public works, (1) in such a manner as to limit the bidding, directly or
indirectly, to any one specific concern, or (2) except in those instances where the
product is designated to match others in use on a particular public improvement
December 262000
Page 2
either completed or in the course of completion, calling for a designated material,
product, thing, or service by specific brand or trade name unless the specification
lists at least two brands or trade names of comparable quality or utility and is
followed bv the works “or equal” so that bidders may furnish any equal, material
product, thing or service. In applying this section, the specifying agency shall, if
aware of an equal product manufactured in this state, name the product in the
specification. In those cases involving a unique or novel product application
required to be used in the public interest, or where only one brand or trade name
is known to the specifying agency, it may list only one. Specifications shall
provide a period of time prior to the award of the contract for submission of data
substantiating a request for a substitution of “an equal” item. [Emphasis added.]
Thus, California public agencies are compelled to permit contractors to furnish any equal
material, product or things on most projects. These statutory requirements appear in the
Standard Specifications for Public Works Construction, Section 4-l .6.
The courts have held that contractors may use an “or equal” product that is not exactly
like that specified, so long as it functions as well as the specified product. Ln Sherwin Electric
Service v. United States (1971) 436 F2d 992, the contract was for an emergency electrical
system at the Veterans Hospital in Fresno, California. Only one manufacturer’s automatic
transfer switch could meet the specifications. The government had refused to permit the
contractor to use the product which the contractor had-submitted as an equal to the specified
switch. The court, first, held that the use of such a proprietary specification amounts to the same
thing as specifying the product by its brand name. Then the court stated the legal test for
determining what is an equal: “Whether the substitute functions as well, in all essential respects,
as the specified equipment.” The court concluded that the switch proposed by the contractor
should have been accepted as an equal as it “would have proved as effective and as durable in
performance of the contract work as the switch described in the specifications.”
In the case of Arno Construction Co. v. County of Los Angeles (1969) 271 Cal.App.2d
54, the contractor proposed a partition that did not have single line joints and did not extend all
the way to the floor with continuous thickness, as did the specified brand. The court ruled in
favor of the contractor holding that although the partitions were not exactly as stated in the
specifications they provided the same function for the contract and thus was an “equal.”
In this project, Bubalo proposed to use the sewer pipe manufactured by Meyers as an
“equal. ” The Meyers pipe is of comparable quality and utility and thus will substitute as well, in
all essential respects, as the specified pipe.
Both Public Contracts Code $3400 and the Bid Proposal anticipate a period of time after
bids are open for the City of Carlsbad and the contractor to make a final decision of the type and
December 26,200O
Page 3
manufacturer of sewer pipe to be installed. Section 3400 provides, “Specifications shall provide
a period of time prior to the award of the contract for submission of data, substantiating a request
for a substitution of “an equal” item. The “Equipment/Material Source Information to
Accompany Proposal” form, at page 40, provides “Awarding of a contract under this Bid will not
imply approval by the City or the manufacturers listed by the Bidder.”
Thus, the City of Carlsbad and Bubalo are well within their rights to consider and make a
determination of a manufacturer of sewer pipe of comparable quality and utility as that specified,
after Bids are open. Furthermore, the “or equal” sewer pipe does not have to match the exact
specifications in the Bid Proposal, as long as it functions as well as the specified equipment.
If the City of Carlsbad decides not to allow the use of the Meyers pipe then Bubalo may
use any other pipe approved by the City for this project. Because of the wording on the
Equipment/Material Source Information form that awarding of a contract does not imply
approval of the manufacturers listed by the Bidder, Bubalo cannot and will not withdraw its Bid
and Bid Bond if the City decides not to use the Meyers pipe. Bubalo is bound to perform this
project at the price in its Bid Proposal no matter who the ultimate manufacturer of the sewer pipe
turns out to be. Bubalo will work with the City to arrive at a pipe to its satisfaction.
None of the cases cited by the Vadnais Corporation’s attorney in his letter address the
right of a bidder to substitute an “or equal” manufacturer. They only state the general rule that a
bid must be responsive to the Bid Proposal. Bubalo’s bid was responsive because it listed an “or
equal” manufacturer as was the right of any bidder on this project.
The fact that Paul Vadnais’ claims, in his attorney’s letter of December 7, 2000, that he
called the City of Carlsbad, Engineering Department pre-bid and was told Meyers pipe was not
approved for the project does not provide Vadnais with any relief. The Notice Inviting Bids at
page 7 clearly states in bold type that no bidder may rely on oral direction given by any agent,
employee or contractor of the City.
The bottom line here is that Vadnais Corporation is attempting to confuse the issue of
bidder responsiveness with the right of the City and the lowest responsible bidder (Bubalo) to
make a determination of the type of “or equal” sewer pipe to be installed on this project, after
bids are open. Bubalo is the lowest responsible bidder on this project and should be awarded the
contract.
December 26,200O
Page 4
If you have any questions please call. Bubalo looks forward to working with the City of
Carlsbad on this project.
Sincerely,
LAW OFFICES OF MARK C. HARGAN
BY: mt+
MARK C. HARGAN
MCH/dr
cc: Steve Bubalo Construction Company
Mr. Terry L. Smith, P.E.
Senior Engineer
City of Carlsbad
163 5 Faraday Avenue
Carlsbad, California 92008-73 14
(City of Carlsbad.20019 1201-001)
32
Mark c. Wargan
Law Ofjces of
MARK C. HARGAN
610 Newport Center Drive, Suite 700
Newport Beach, California 92660
Telephone: (949) 851-l 229
Telecopier: (949) 851-5014
January 2,200l
Vfa Facsimile and W.S. Mzil
(760) 434-8367
Mr. Damien Brewer
Deputy City Attorney City of Carlsbad 1200 Carlsbad Village Drive
Carlsbad, California 92008
Re: VistaKarlsbad Interceptor Sewer and South Carlsbad
Storm Drain Projects
Contract No.%: 3 182,3528, and 3667
Dear Mr. Brewer:
This letter supplements my letter to you of December 26, 2000 in regard to my client,
Steve Bubalo Construction Company’s (“Bubalo”) bid on this project.
I have reviewed the documents received fiom your office on December 29, 2000 in
response to my request for all correspondence protesting the award of this project to Bubalo. AI1
of the protest letters attempt to assert that Bubalo’s bid was not responsive because of the simple fact that it wrote the word “Meyers” as the manufacturer for the sewer pipe on the
Equipment/Material Source Information form at page 40 of the 112 page bid form. As stated in
my letter of December 26, 2000 Bubalo listed an “or equal” manufacturer (Meyers Polymer
Concrete Pipe, ‘Meyers”) for the Interceptor Sewer Pipe as is the right of all bidders pursuant to
Public Contracts Code p 3400.
The Equipment/Material Source Information form at page 40 of the bid states, “Awarding
of a contract under this bid will not imply approval by the City or the manufactures listed by the
Bidder.” Thus the form on its face advises the bidder that the decision as to the manufacture of
the pipe will be determined abler bids are open, between the City and the lowest bidder (Bubalo). ‘There is no provision in the law that an agency require bidders to list manufactures and it is
January 2,200l
Page 2
submitted that the ~uipment/Makrial Source Inf’ofmation form is for informational purposes
only. The simple name of a manufacture on this form without more itiormation could in no way
invalidate a bid. As long as a bidder completely fills out the form it is responsive.
Also the project specifications at page 6 incorporate the Standard Specifications for
Public Works Construction, 2000 Edition which at section 4-1.6 “Trade Names and Equals” clearly states the process for submitting a.r~ “or equal” material which is exactly how the City and
Bubalo are proceeding. Section 4-l .6 provides in part,
“The Contractor may supply any of the materials specified or offer an equivalent. The
Engineer shall determine whether the material offered is equivalent to that specified.
Adequate time shall be allowed for the Engineer to make this determination.” . ..The Contractor may offer any material, process, or equipment considered to be equivalent to that indicated. The substantiation of offers shall be submitted as provided in the contract documents.. . ’
The section goes on to state that the contractor is responsible for the cost and testing of the
material to be approved by the eligineer and if the material is not approved states,
w c a su sti t ered b the
material, the Contractor shall furnish rend install the snecMed material”
Bubalo will work with the City to provide whatever type of pipe the City determines is best for
this project.
The letter of the Engineering & General Contractors Association (EGCA) dated
December 1, 2000 makes several misstatements of law and fact. This letter incorrectly asserts that the Meyers Polymer Concrete Pipe (Meyers) does not conform to the specifications and that
a submission of an “or equal” would have to be made afier bid submission. First, Public
Contracts Code 3400 (a) provides that no agency shall limit the bidding to any one concern or draft specifications, . _ . ’ calling for a designated material, ptoduct, thing, or service by specific
brand or trade name unless the specification lists at least two brands or trade names of
muarable aualitv or utility and is followed bv the works “or eaual” so that bidders mav furnish
any equal, material oro&ct, thing or Service.. . Svecifkations shall provide a Deriod of time vrior
to the award of the contract for sub&&n of data substantiatina a reauest for II substitution of “an eaual” item.” There is nothing here that requires the bidder to wait until after the bids am
open to submit an “or equal”. However, the code does allow a period of time after the bids are
open to submit “data” for the proposed “or equal”.
14
MFIRK C. HFIRGAN . -
January 2,200 1
Page 3
Second, the Meyers pipe submitted by Bubalo as an “or equal” meets or exceeds the design criteria used for concrete pipe for the project sewer pipe including both the jaGking and open cut portions. The Meyers pipe is currently in use on similar sewer projects in LOS hgeles. Bubalo submitted the design specification data for the Meyers pipe within 5 days of bid opening, as required by the specifications and will work with the City to make a final determination regarding the manufacture of the sewer pipe for this project, Some of the protest
letters suggest that Bubalo somehow benefited by submitting a cheaper "or eclual” pipe. To the contrary if the City ultimately decides to use a manufacture different than Meyers then Bubalo
will bear any cost difference.
The reference to the City’s response to a request by Bobas Pipe US4 Inc. that “Hobos
pipe” will not be allowed for the “open cut” portions of the project can not be ar&gized to the
Meyers pipe issue. The Hobas pipe does not meet the iequimments for the “open out” portion of
the pipe installation and could not be considered an “or equal”.
The EGCA December 1, 2000 letter also misstates the specification requirements for
listing subcontractors wherein its states that subcontractors in excess of $10,000 must be listed in the bid. The specification at page 43 which identify the guide for completing the designation of subcontractor forma requires that subcontractors who will perfbrm more than 5 Dereent of the
9ontractors total bid or $10.000 wh* ever is uter muswbe r Bubalo’s total bid was $15,629,511 and thus only subcontractors who perform more than $78,148 must be listed in its
bid. Bubalo has listed all subcontractors that are required under the bid. Bubalo’s plan for
completing the work is apparently different then Vadnais Corporation and it does not agree with
the dollar values that Vadnais stated in its letter of November 21,200O in relation to the work to be perf?oxmed by subcontractors.
In regard to the comment in the letter by Vido Artukovich & Son, IncNidmar, J&l. A
IV. dated November 22, 2000 that the Meyer pipe is somehow $2,000,000 cheaper, this is
totally inaccurate. Bubalo was the lowest bidder at $15,629,511 and Vadnais Corporation was
next at $16,187,521 which is a $558,000 difference. It should be noted that the difference ia the
cost of Meyers pipe to any other manufacture is less than this difference.
The contract specifications and specifically section 4-1.6 of the Standard Specification for Public Works Construction, 2000 Edition incorporated therein, clearly provide the process that any bidder may use to submit an “or equal” material which is exactly the procedure the City and Bubalo are following. Bubalo will provide the type of pipe that the City decides is the best
for this project. Bubalo is the lowest responsible bidder on this project and should be awarded
the contract.
CQRK C. HARGAN 7148515014 P. 05
Januaty 2,200l
Page 4
If you have any questions please call. Bubalo looks forward to working with the City of
Carlsbad on this project.
Sincerely,
LAW OFFICES OF MARK C. HAlWAFT
BY:_
cc: Steve Bubalo Consfmction Company
Mr. Terry L. Smith, P.E. Via Fax and U.S. Mail (760) 602-8562
Senior Engineer City of ChrIsbad
1635 Faraday Avenue Carlsbad, California 92008-73 14 (c&y 0fcarl6bd.200/91201-001)
RONALD R. BALL
CITY ATTORNEY
JANE MOBALDI
ASSISTANT CITY ATTORNEY
DAMIEN B. BROWER
DEPUTY CITY ATTORNEY
CINDIE K. McMAHON
DEPUTY CITY ATTORNEY
CITY OF CARLSBAD
1200 CARLSBAD VILLAGE DRIVE
CARLSBAD, CALIFORNIA 92008-l 989
(760) 434-2891
FAX: (760) 434-8367
January 12,200l
RANDEE HARLIB
SECRETARY TO CIM ATTORNEY
ARDIS SEIDEL
LEGAL SECRETARY/PARALEGAL
Mark C. Hargan, Esq.
Law Offices of Mark C. Hargan
610 Newport Center Drive, Suite 700
Newport Beach, California 92660
Dear Mr. Hargan:
RE: CARLSBADNISTA INTERCEPTOR SEWER AND SOUTH CARLSBAD
STORM DRAIN PROJECTS
You asked that I contact you regarding developments related to the
VistaICarlsbad Interceptor Sewer and South Carlsbad Storm Drain Projects (the
“Project”). City staff has now had the opportunity to carefully review the Project
bids as well as the concerns expressed by various parties related to the low bid
submitted by Steve Bubalo Construction, Inc. (“Bubalo”).
Based upon the review of the bid packages, City staff will recommend that the
Carlsbad City Council award the Project to Bubalo at their meeting of January 23,
2001. The meeting will commence at 6:00 p.m. in the City Council Chambers
located at 1200 Carlsbad Village Drive. An agenda can be obtained prior to the
meeting on the City’s web page located at: http://www.ci.carlsbad.ca.us
Please contact me should you have any questions.
Very truly yours,
\ I I’- a?-
DAMlEN B. BROWER
Deputy City Attorney
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January 2,200l
Mr. Damien Rower
Deputy City Attorney
City of Carlsbad
1200 Carlsbad Village Drive
Carlsbad, California 92008
Re: VistaKarlsbad Interceptor Sewer & South Carlsbad Storm Drains Projects
Contract Ng’s 3 182,3528, and 3667
Via Fax
Dear Mr. Bower:
The Associated General Contractors of California is a state-wide trade
association with 1100 plus members consisting of General Contractors, Specialty
Contractors, Material Suppliers and other businesses servicing the construction
industry in California. The AGC’s members routinely engage in public
contracting though the public bidding process and perform in excess of 50% of
the annual dollar volume of public works construction in California. Steve
Bubalo Construction Company has been a member of the Associated General
Contractors of California for over 40 years, testifying to their Skill, Integrity and
Responsibility in the California construction community. The association and its
members have a vested interest in ensuring that the policies attendant on public
contracting of promoting fairness, integrity and stimulating advantageous
marketplace competition are father protected.
There is no question of responsibility in Bubalo’s bid in the above caption. The
contract documents and supplemental provisions for this project state:
“...the Contractor shall have five (5) days fi-om the date of bid
opening to provide the submission of data substantiating the
Contractor’s request for a substitution of “an equal” item. If, in
the sole opinion of the Engineer, the substitution is determined to
be unsatisfactory .., the Contractor shall provide the specified
item.”
Bubalo has complied with all the provisions of the contract documents, and is
further supported by Public Contract Code $3400 and the standard specifications
I’ Ii t ASSOCIATED G I: N E If ,\ I, C tl N 'I' H A C T 0 II S 0 F f.Al I,:O”N,A. I N f:
38
January 2,200l
Mr. Damien Brower
Page Two
for public construction outlined in the 2000 Edition of the Greenbook, 94-I .6:
“The Contractor may supply any of the materials specified or offer an equivalent. The
Engineer shall determine whether the material offered is equivalent to that specified.
Adequate time shall be allowed for the Engineer to make his determination.”
Bubalo proposed to use a sewer pipe manufactured by Meyers Polymer Concrete Pipe in this project
as an “equal.” The Meyers pipe is of comparable quality and utility and thus will substitute as well,
in all essential respects, as the specified pipe.
There should be no cohsion regarding bidder responsiveness. The City of Carlsbad and Bubalo,
the lowest responsible bidder, have the right to make a determination of the type of “or equal” sewer
pipe to install on this project. Bubalo is the lowest responsible bidder on this project and is bound
to perform this prqject in its Bid Proposal no matter who the ultimate manufacturer of the sewer pipe
turns out to be.
On the issue of sub-contractor listing and amount of contracts, Page 43 of the Guide for Completing
states:
When the Bidder proposes that any bid item will installed by a Sub-contractor or
Owner Operator/Lessor the amount, in dollars... must be entered under the columns
“Amount of Subcontracted Bid Item Including Subcontractor’s Overhead & Profit”...
unless the dollar amount of all work performed... is less than one-half of one percent
(0.5%) of the Bidders total bid or ten thousand dollars ($10,000) whichever is
greater.”
The $10,000 ceiling was taken out of context by the protesting party.
If you have any questions regarding these issues, do not hesitate to call me.
AGC of California
Director Building Division/Government Relations
:P
cc: Steve Bubalo Construction Company
Mr. Terry L. Smith, P.E.
Senior Engineer, City of Carlsbad
343
RONALD R. BALL
CITY AlTORNEY CITY OF CARLSBAD
JANE MOBALDI 1200 CARLSBAD VILLAGE DRIVE
ASSISTANT CITY AlTORNEY CARLSBAD, CALIFORNIA 92008-1989
(760) 434-2891
DAMIEN B. BROWER FAX: (760) 434-0367
DEPUTY CITY AlTORNEY
CINDIE K. McMAHON
DEPUTY CITY ATTORNEY January 12,200l
RANDEE HARLIB
SECRETARY TO CITY ATTORNEY
AADIS SEIDEL
LEGAL SECRETARY/PARALEGAL
Mr. James Prunty
Director Building Division/Government Relations
AGC of California
1255 Corporate Center Drive, Suite 100
Monterey Park, California 91754
Dear Mr. Prunty:
RE: VISTAKARLSBAD INTERCEPTOR SEWER AND WOUTH CARLSBAD STORM DRAIN PROJECTS
Thank you for your letter of January 2, 2001 related to the VistalCarlsbad
Interceptor Sewer and South Carlsbad Storm Drain Projects (the “Project”). City
staff has now had the opportunity to carefully review the Project bids as well as
the concerns expressed by various parties related to the low bid submitted by
Steve Bubalo Construction, Inc. (“Bubalo”).
Based upon the review of the bid packages, City staff will recommend that the
Carlsbad City Council award the Project to B’ubalo at their meeting of January 23,
2001. The meeting will commence at 6:00 p.m. in the City Council Chambers
located at 1200 Carisbad Village Drive. An agenda can be obtained prior to the
meeting on the City’s web page located at: http://www.ci.carlsbad.ca.us
Please contact me should you have any questions.
afs
-E!ihL
Deputy City Attorney
F--
City of Carlsbad
January 12,200l
Mr. John Schiller
General Manager
STEVE BUBALO CONSTRUCTION, INC.
P.O. Box 1048
Monrovia, CA 91017
VISTAKARLSBAD INTERCEPTOR SEWER AND SOUTH CARLSBAD STORM DRAIN PROJECTS - DETERMINATION OF “OR EQUAL” MATERIALS
Dear Mr. Schiller:
The City has completed the review of the data and literature that you provided to us
on November 27, 2000 and the supplemental information provided on December 19,
2000 to substantiate your request to use Meyer Polymer Concrete Pipe as an “or Equal”
pipe material for the Interceptor Sewer. The City and our consultant Malcolm Pimie,
Inc., have performed a thorough review of the material provided and have contacted a
number of agencies and consultants that have had experience with this product, both in
the U.S. and in Europe. Based upon this review, a determination has been made that
the material will not be considered an “or equal” material for the purposes of this
Project.
Although the material has several desirable engineering properties that make it
attractive as a microtunneling pipe for sewer applications, such as high compressive
strength and corrosion resistance, the City cannot at this time authorize the use of a
product with such a limited history of use in the United States. In addition, the material
does not currently have an approved ASTM or any other American standard for the
manufacturing and testing of the product. These reference quality control measures are
absolutely necessary for a public improvement as significant as this Project.
In addition, the material does not contain any reinforcing, whether it be steel or
fiberglass, which the specified Concrete Pressure Pipe contains. We have concerns
with allowing an unreinforced rigid pipe that may fail catastrophically without any
advanced warning. It is our understanding that a catastrophic failure resulted in a three
edge bearing test which was performed on the Meyer Pipe by the Los Angeles County
Sanitation District in 1986. Since half of the Project is located in the railroad
right-of-way, a failure of this type in this location could cause significant property
damage and exposes the City to undue risk.
1635 Faraday Avenue l Carlsbad, CA 92008-7314 - (760) 602-2720 l FAX (760) 602-8562
January 12,200l
VISTAKARLSBAD INTERCEPTOR SEWER AND SOUTH CARLSBAD STORM DRAIN
PROJECTS - MEYER PIPE SUBMllTAL
Page 2
Bubalo Construction will, therefore, be required to provide a specified material for the
interceptor sewer pipe in accordance with the specification requirements identified in
Section 4-l .6 of the Greenbook and the Supplemental Provisions regarding “or Equal”
materials. The City intends to proceed with the award of the construction contract to
Bubalo Construction at its January 23, 2001 City Council meeting now that staff has
completed their review of “or Equal” products. Bubalo Construction will be awarded the
contract based on their corrected bid amount of $15629,511. A mathematical error was
found in Bubalo’s original bid of $15612,511 during the City’s evaluation of bids.
The contractors that have filed bid protests on this Project will be notified of the City’s
determination concurrently with distribution of this letter. Should the protesting bidders
take legal action against the City, Bubalo Construction will be required to comply with
the indemnification clause identified in the Public Works Contract which begins on page
54 of 112 of the Bid Documents.
Should you have any further questions regarding the City’s determination on this issue,
please do not hesitate to contact me at (760) 602-2765.
TERRY L. SMITH
Senior Civil Engineer
TLS:jd
c: Public Works Director
Deputy City Engineer, Design
Public Works Manager, Cook
Purchasing Officer
Deputy City Attorney, Brower
Malcolm Pirnie, Inc., Paul Wilson
o$/?t/Ol MON 15:35 FAX 619 595_1313 HILLIER IRWIN \ -J3-0/ ~002
ARTER&HADDENLLP At3 u.436
ATTORNEYS AT LAW
Mayor and City Council of
the City of Carlsbad
1200 Carlsbad Village Drive
Carlsbad, CA 92008
ftnokd 1843 saa Albtonio
55OWestCStrcct,16thFbor SpnDiOgO San Ralksco
sanDicg0,Califocnia92101-3568 Wash&km, D.C.
WOOdbdHiilS hphtme 619238.0001 AjUiuted~~rr fizcsimiie 619.238.8333 Galem sm
AGENDA ITEM I Direct Diali (619) 5954737
.January 22y 2021 Mayor City Council City Manager
City Attorney
City CIerk
Re: Vista/Carlsbad Interceptor Sewer and South Carlsbad Storm Drain Projects (the
“Proiect”)
Dear Mayor Lewis and Members of the City Council of the City of Carlsbad:
This firm has been retained by Meyer Pipe USA, Inc. (“Meyer”) to appear on its behalf at
the City Comcil meeting to be held on January 23,200l (the “Meeting”), and more specifically
to address Item No. 9 on the agenda, insofar as it relates to Meyer.
Due to the technical nature of this matter we believe that it would be prudent, prior to the
Meeting, to furnish you with our written comments regarding the issues which we intend to
address at the Meeting. The background and salient points pertaining to this matter are set out
below:
1. We were advised by way of a letter from Mr. Damien B. Brower, Deputy City
Attorney, dated January 12,2001, that the City staff will recommend that the City Council award
the project to Steve Bubalo Construction, Inc. (“Bubalo”) at the meeting.
2. Bubalo, in accordance with the City of Carlsbad’s General Provisions on Brand Name
Products, and the California Public Contract Code, named Meyer Polymer Concrete Pipe
(“Meyer Pipe’) for the sewer pipe on this project.
3. In a letter dated January 12,2001, Mr. Terry L. Smith, Senior Civil Engineer of the
City of Carlsbad, addressed a letter to Bubalo, pursuant to which he advised inter alia that “the
City and our Consultant, Malcolm Pimie, Inc., have performed a thorough review of the material
provided and have contacted a number of agencies and consultants that have had experience with
this product, both in the U.S. and in Europe. Based upon this review, a determination has been
made that the material will not be considered an “or equal” material for the purposes of this
project”. The City Engineer went on to state, “the City intends to proceed with their award of
10928.1
0oao0\00850
q/22/01 MON 15:36 FAX 619 5952313 HILLYER IRWIN @joo3
ARTERMWDDENLLP
Mayor and City Council of the City of Carlsbad
January 22,200l
Page 2
their construction contract to Bubalo Construction at its January 23,200l City Council Meeting
now that Steff has completed their review of “or equal” products”.
4. It appears that the City Engineer has relied to a large degree in making this
determination on a letter from the City’s Consultant, Malcolm Pirnie, Inc., dated January $2001
(the “Pirnie Report”). It appears that the Pimie Report contains numerous misstatements of fact
and ignores certain relevant information, and accordingly in response thereto we addressed a
letter to Bubalo, a copy of which was submitted to the City Engineer and the Deputy City
Attorney, attached hereto as Exhibit 1.
5. In summary, we believe that the City Engineer has erred in his determination that the
material used in Meyer Pipe is not an “or equal” material for the purposes of this project in that:
a) The Pirnie report relied upon by the City Engineer contains significant
technical mistakes and omissions.
b) Malcolm Pimie’s project engineer for this project has agreed to rewrite this
report and correct these mistakes.
d Meyer Polymer Concrete Pipe is significantly stronger than concrete pipe and
its corrosion resistant without a plastic lining.
4 Polymer Concrete Pipe has been used since 1965.
d Meyer Polymer Concrete Pipe has been successfully installed by the cities of
Los Angeles, San Diego, and San Francisco in the last few years.
r> The North County Transit District has been requested to review Malcolm
Pimie’s amended report when it is available. They have further been requested to review the
calculations for the Meyer pipe made by a Registered Engineer in the state of California. These
calculations show high factors of safety in the railroad’s easement.
g> Meyer Pipe has been approved to direct jack under tracks of the Union Pacific
Railroad, The German Railroad System, British Columbia railroad tracks and by CALTRANS to
direct jack several major California Highways.
h) Currently Meyer Pipe is being installed in a Union Pacific easement and under
Union Pacific Tracks in Fremont, California.
6. Of further relevance is that it has been brought to our attention this morning
(bearing in mind that one of the reasons for the City Engineer’s determination was the concerns
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0.1/22/O! YON 15:37 FAX 619 5952313 HILLYER IRWIN
ARTER & HADDENJu
Mayor and City Council of the City of Carlsbad
January 22,200l
Page 3
expressed by North County Transit District), that Mr. Chip Willett of The Willett Company,
apparently a consulting engineer for the North County Transit District, would be satisfied to
recommend Meyer Pipe, provided 500 feet of pipe. under the railroad would be encased. This is
an insignificant amount of pipe, bearing in mind that the total length of pipe for the contract is
10,000 feet.
It is not our intention to contest or delay the award to Bubalo. We would however
request that a final determination of LMeyer Pipe as an “as equal” material be continued for a
period of at least two weeks. Such extension would allow: a) Malcolm Pirnie, Inc. to be given an
opportunity to rectify the Pirnie Report and b) Meyer to be given an opportunity to meet with the
City Engineer and North County Transit District in order to address their concerns and perform
the necessary tests in light of the information as set forth in item numbers I through 6 of this
letter.
Please do not hesitate to call me should you have any comments or questions.
CE/bk
Clive M. Bssakow
Enclosure (1)
10928.1 0oooo\00850
?1/22/O,l MON 15:37 FAX 619 5952313 HILLYER IRWIN
Austin
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ARTER & HADDEN LLP
ATTORNEYS AT LAW
forrndrd 1843
402 West Broadway, 6” Floor
San Diego. California 92101-8504
telephone 619.238.0001
facsimile 619.238.8333
January 19,200l
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Dir&t Dial: (619) 595-4737
Email: Cesakow@slrahrdden.com
VIA FACSIMILE NO. (76016024582 AND OVERNIGHT EXPRESS
Mr. John Schiller
General Manager
STEVE BUBALO CONSTRUCTION, INC.
PO Box 1048
Monrovia, CA 91017
Re: VistaKklsbad Interceptor Sewer and South C&bad Storm Drain Proiects
[the “Proiect”)
Dear Mr. S&ilk:
This firm has been retained by Meyer Pipe USA, Inc. (“Meyer”) for the purposes of
assisting Meyer in responding to a letter addressed to yourselves by the Senior Civil Engineer of
the City of Carlsbad (the ‘City Engineer”), pursuant to which a determination has been made that
the Meyer Polymer Concrete Pipe (“Meyer Pipe”), will not be considered an “or equal” material
for the purposes of the Project.
It appears that the City Engineer has relied to a large degree in making his determination,
on a letter from the City’s consultant Malcolm Pirnie Inc. dated January 5, 2001 (the Pirnie
Report”) , a copy of which was obtained from the office of the Deputy City Attorney of the City
of Carlsbad and which is attached hereto as “Exhibit A.” As evidenced below, the Pimie Report
contains numerous misstatements of fact. Moreover, the Pirnie Report completely ignores the
findings of Mr. Larry Haase of Woodcrest Engineering, who is a Registered Engineer in the State
of California with over 25 years of experience. In a letter dated November 29,2000, which was
submitted to the City on the same day by hand, Mr. Haase provided a series of engineering
calculations which clearly demonstrated that the Meyer Pipe meets all the requirements set forth
in the bid documents.
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01/22/O! MON 15:37 FAX 619 595 1313 HILLYER IRWIN
ARTER & HADDEN LLP
Mr. John Schiller
January 19,200l
Page 2
It should also be noted the Meyer Pipe has been accepted for use by the three largest
cities in California: Los Angeles, San Francisco and San Diego for sewers installed by the
microtunneling method. Consequently, the City’ consultant should have no problem approving
the pipe for this project.
A detailed analysis of the discrepancies in the Pimie Report is provided below.
P8raPraDh 2 :-
The Pimie Report states that “the compressive strength of the material has been
determined by the three edge-bearing test, to be 13,000 psi, compared to $5,000 psi for concrete.
The strength referred to should have been described as the “vertical crushing strength”. This
implies a misunderstanding of the relevance and applicability of the three edge-bearing test. The
three-edge bearing test in accordance with ASTM C 301 or ASTM C 497 is used to test all
concrete pipe, clay pipe, and polymer concrete pipe. This test is a standard requirement for all
“rigid” sewer, storm drain and water pipe. The three-edge bearing test measures %rtical pipe
crushing strength’, and is usually called the D-Load Test. This test does not measure
compressive strength, which is the axial compressive strength, and which is measured by ASTM
C 1208 and ASTM C 579. The compressive strength of Meyer Pipe is a minimum of 13,000 psi
and concrete is a minimum of 5,000 psi, indicating a significant improvement in compressive
strength of the Meyer Pipe over the concrete pipe. The vertical crushing load for Meyer Pipe also
exceeds that of the concrete pipe specified for this project. Please see the pipe calculations and
test reports submitted to the City of Carlsbad and stamped by a Registered Civil Engineer for the
state of California.
The Pirnie Report states that “the joints are not steel Carnegie bell and spigot joints, as
specified for the concrete pipe, because the material is not concrete and steel”. This statement is
incorrect and misleading. Polymer concrete pipe is a concrete pipe. ASTM C 125 defines
concrete as “a composite material that consists essentially of a binding medium within which are
embedded particles or fragments of aggregate”. Meyer Pipe meets this definition. Also, Meyer
Pipe’s 3 16Ti Titanium Alloy steel sleeves are steel joints.
ParaPraDh 3, Page 2
@JO06
The Meyer Pipe Report states “in terms of compressive strength, the original strength of
13,000 psi is reduced to 7,275 psi after 100 years”. This statement is disputed and is misleading.
The loss of a pipe’s strength over time refers to the vertical crushing strength, not to its
01/22/0f MON 15:38 FAX 619 595_1313 HILLYER IRWIN
ART&R & HADDEN LLP
Mr. John Schiller
January 19,200l
Page 3
compressive strength. The statement tends to show a misunderstanding of pipe materials.
Compressive strength is not tested long term; it is only tested short term for the purpose of
installation by jacking. The value of 7,275 psi is not relevant or correct, because it used with
reference to a compressive load. The test data submitted to the City of Carlsbad are for vertical
loads and are totally different to those referred to in the Pimie report. Test data and calculations
previously submitted to the City clarify the difference between vertical crushing load and axial
compressive load.
Paragraoh 4. Pave 2
The Pimie Report states that “Malcolm Pimie has contacted three references in Germany
that have had Meyer Polymer Concrete Pipe in place for a slightly longer period than used in the
United States:‘. We cannot understand, particularly in the light of reservations having been
expressed in the Pimie Report as to “the limited history of use here in the United States” (in the
penultimate paragraph of Page 3 of the Pimie Report), why clients who have had polymer
concrete pipe in use since 1965 were not contacted. This information was supplied to the City of
Carlsbad. Further, Section 210-2.3.3 of the Standard Specifications for Public Works
Construction “Greenbook” is used to demonstrate a 50-year life in a sanitary sewer environment.
Meyer Pipe successfully passed this test. The City of Carlsbad specifically references the
“Greenbook” document in the specifications for this project.
The last ParagraDh on Pace 2/l?irst Paragraph on Pape 3
In the first sentence of this paragraph, the Pirnie Report states “Meyer Polymer Concrete
Pipe has also received approvals for installation under existing raiiroad lines from Union Pacific
Railroad Company (with steel casing) and the German Federal Railway Authority”. This
statement is factually incorrect, insofar as the steel casing is concerned. The approval referred to
was given without casing. It would be absurd to specify a jacking pipe with casing, in that
almost any pipe material can be effectively used inside a steel casing. It is commonplace for
agencies such as Union Pacific Railroad, German Federal Railway Authority and Caltrans to
approve piping such as polymer concrete pipe without casing.
The reliance placed in the Pirnie Report on the North County Transit District’s statements
are extremeIy troublesome. As set forth above, Mr. Haas is a Registered Engineer (RE) in the
State of California with over 25 years of experience , Such engineer’s calculations were neither
referred to nor challenged by the Pimie Report. Neither the Pimie Report nor the North County
10827.2
OOOOO!M850
0.1/22/01 MON 15:39 FAX 619 595J313 RILLYER IRWIN
ARTER & HADDEN LLP
Mr. John Schiller
January 19,ZOOl
Page 4
Transit District has provided any written information from their structural consultant to dispute
or challenge Mr. Ha&se’s calculations or to document their concerns.
The allegation that “the District is considering double tracking, and the pipeline may be
subjected to railroad loads at that time” is irrelevant in that future r&ad tracks are not part of
the specifications and calculations for this project. Notwithstanding this, even if these
calculations had been requested, due to the depth of the installation the future railroad loads
would be insignificant. Meyer has, and is currently installing, pipe in railroad. right of ways at
shallower depths than this project. Installations under various United States railroads, Canadian
Pacific Railroad tracks and German railroads, the agencies/authorities of which are all extremely
conservative in their requirements, have given Meyer approval to direct jack their rails. It is
important to note that the North County Transit District has iq the past retised to meet with
Meyer or to witness the testing of Meyer Pipe.
We next wish to respond to the Determination Letter pursuant to which our client
contends as follows:
1. The Determination Letter states that “the City and our Consultant, Malcolm
Pimie, Inc., have performed a thorough review of the material provided and have contacted a
number of agencies and consultants that have had experience with this product, both in the U.S.
and in Europe.” In light of the factual inaccuracies and erroneous conclusions of the Pirnie
. Report, and the lack of reference to any named authorities on polymer concrete pipe, this
statement requires substantiation. In fact, all the engineering consulting firms in the United
States who have evaluated Meyer Pipe have produced conclusions opposed to those reached by
the City Engineer. The firms include URS Greiner-Woodward Clyde, Montgomery Watson,
Brown & Caldwell, PBS&J, CH2M-Hill and Malcolm Pimie’s microtunneling sub-consultant on
this project, Haley & Aldrich. All are highly respected in the pipe industry. Names of consulting
engineers working with these consultants were provided to the City of Carlsbad as references for
Meyer Pipe. With the exception of Haley and Aldrich no reference has been made as to the City
contacting these engineers.
2. The statement that “the City cannot at this time authorize the use of a product with
such a limited history of use in the United States” omits to take the following into account:
a) The technical performance of the pipe material.
10827.2
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1)1/22/Ql MON 15:40 FAX 619 59L1313 HILLYER IRWIN BOOS
ARTER & HADDEN LLP
Mr. John Schiller
January 19,200l
Page 5
b) The “or equal” evaluation of material, being based on the physical
attributes of a product, which are confirmed by testing. The Chemical Resistance Test “Pickle
Jar Test” specified in Section 210-2.3.3 of The Standard Specifications for Public Works
Construction “Greenbook” confiis long-term chemical corrosion testing of pipe materials.
Meyer Pipe successfully passed this test
cl Installation history of polymer concrete pipe, dating back to 1965,
confiis a history of 36 years, and installation of over 700,000 feet (140 miles) of pipe,installed
by microtunneling. This amount of pipe installed by microtunneling is very significant. The
history in the United States is five years, and approximately 53,000 feet. However, agencies who
have specified/installed Meyer Pipe during this period include: The Cities of Los Angeles, San
Diego, San Francisco, San Jose, Palo AIto, Hayward, Matinez, Vallejo, Fremont, Newark, Union
City, Burlingame, and Rocklin. Other agencies include: Las Vegas, Nevada; Clark County,
Nevada; Austin, Texas; Wichita, Kansas; Orlando, Florida; Pasadena, Texas; and Renton,
Washington. We submit that the decisions of these cities, together with those of their
engineering consultants, cannot be overlooked.
3. The determination letter in Paragraph 2 further states that “in addition, the
material does not currently have an approved ASTM or any other American standard for the
manufacturing and testing of the product.” While Meyer Pipe does not to date have a fully
approved ASTM standard, it has a draft standard, which has been finalized, and should receive
final approval in 2001. Of note is that the delay in finalization has been made on a number of
occasions by the ASTM Main Committee, which comprises of a number of members who are
competitors of Meyer and who have repeatedly blocked final approval of the standard.
4. The American Society of Civil Engineers @SCE), the American National
. Standards Institute (ANSI) and ASTM recognize both European and German Standards. The
ASCE, major consulting engineering firms, numerous large cities and agencies specify Meyer
Pipe by the German DIN Standard.
5. If other acceptable standards for Meyer Pipe were not available or being used in
the United States, the requirement for an ASTM Standard would be significant. However, for
this project Meyer was bid as an “or equal” to the concrete pressure pipe specified. The “or
equal” evaluation should be confined to the physical performance of Meyer Pipe and it meeting
the perfomance requirements of the specified pipe material. The significant history of Meyer
Pipe in Europe as well as five years of history in the United States should be more than adequate
to substantiate any of the concerns or reservations.
10827.2 ooooow8so
q1/22/91 !dON 15:41 FAX 619 595J313 HILLYER IRWIN
ARTER&HADDEN UP
Mr. John Schiller
3anuary 19,200l
Page 6
6. With regard to the statement that “These reference quality control measures are
absolutely necessary for a public improvement as significant as this Project.“, Meyer Pipe is in
full agreement that quality control measures are absolutely necessary, and will comply with all
the quality control measures specified. Meyer Pipe has no intention of neglecting quality control
measures, as implied in the determination letter. The statement “In addition the material does not
contain any reinforcing, whether it be steel or fiberglass, which the specified Concrete Pressure
Pipe contains”, is correct, but misleading. Meyer Pipe does not have any reinforcement. The
reinforcement provided by the other products referenced in the dektmination letter is used to
increase the strength of those products. Notwithstanding the reinforcement of those products,
such products to not provide the strength of pipe provided by Meyer without reinforcement. Test
data in the possession of the City of Carlsbad has provided proof of this statement.
7. The concern expressed in the Determination Letter “with allowing an
unreinforced rigid pipe that may fail catastrophically without any advanced warning” is
misleading in that the emphasis is placed on the fact that the pipe is unreinforced. In fact, the
risk of failure of the specified pipe is greater because of its significantly low strength, installation
history and test results than is Meyer Pipe. Test reports to substantiate this claim were submitted
to the City.
8. With regard to the statement that “it is our understanding that a catastrophic
failure resulted in a three edge bearing test which was performed on the Meyer Pipe by the Los
Angeles County Sanitation District in 1996”, Meyer Pipe takes particular exception to this
allegation, and requests its written withdrawal. The alIegation has been used to imply that the
inadequacy of Meyer Pipe resulted in a disastrous failure. Webster Dictionary defines
“catastrophic” as, inter alia, a great and sudden calamity; disaster. A three-edge bearing test
measures the vertical crushing strength of a pipe. If a concrete or clay pipe is loaded to failure, it
experiences a brittle failure. While the failure mode of concrete pipe and polymer concrete pipe
may be similar, the ultimate failure of reinforced concrete pipe is below the ultimate failure of
polymer concrete pipe. A review of the data will indicate that the Meyer Pipe failed at a load
greater than the concrete pipe.
@lo10
9. The statement that “since half of the project is located in the railroad right-of-way,
a failure of this type in this location could cause significant property damage and exposes the
City to undue risk”, leads one to believe that the City is relying on the Pimie Report’s reference
to the North County Transit District, as more fuIly set forth above, Meyer Pipe has been
approved by the Union Pacific Railroad to direct jack under their active rail lines. Union Pacific
is probably the largest railroad system in the United States, with thousands of miles of track. If
101127.2
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Q1/22/91 MON 15:41 FAX 619 59ZJ313 HILLYER IRWIN
ARTERMSADDEN LLP
Mr. John Schiller
January 19,200l
Page 7
Union,Pacific RaiIrdad recognizes the strength of Meyer PoIymer Concrete Jacking Pipe we need
empirical data to substantiate why the City Engineer believes otherwise. As previously
mentioned, German Rail, which operates one of the largest rail systems in the world, and British
Columbia Rail have both approved Meyer Pipe.
We will furnish a copy of this letter to the City Engineer and to the Deputy City Attorney
of the City of Carlsbad.
It is our belief that the City Engineer has erred in his determination that the material used
in Meyer Pipe is not an “or equal” material for the purposes of the project.
We request that the City reconsider its decision and allow whatever time is necessary to
conduct the test required to substantiate Meyer’s contentions as stated herein.
If we can be of any further assistance in this matter, pIease let us know.
Very truly yours,
& ‘. /ye w-
Clive M. Essakow
CE/bk
Enclosure (1)
@Oil
cc: Senior Civil Engineer, City of Carlsbad, Terry L. Smith
Deputy City Attorney of City of Carlsbad, Damian B. Brower
Meyer Pipe USA, Inc., Larry McQueen
10827.2
ooooO\00850
Q1/22/01 MON 15:42 FAX 619 595_1313 HILLYER IRWIN -.
MALCOLM PIRNIE, tNC.
IrfDEPEmEw ENvlRomENr4L ENaMERB, meNlwl8 8lfiomuLlAm
January 5,2001
Terry Smith
Senior Civil Engineer
City of Carlsbad
1635 Faraday Ave.
Carlsbad, Ca 92008
“.’ ; ..*.$>.,. .i_..: ,” : ,, ./ .q--M~JL~.’ .,’
Re: VistaKarlsbad Interceptor Sewer and South Carlsbad Storm Drain Projects -
Contracts Nos.3 l-82,3528 and 3667
Evaluation of Polymer .Concrete Pipe .,
DearTerry: I: .,.
On November 20,2000, bids were opened for the referenced projects. The; apparent Low
bidder, Steve Birbirlo Construction Co:; I+ llisted poljdner concrete pip& mantiactured ’
by Meyer Rohr f Schacht GmbH of Germany as an alternate td the specified sewer pipe
material for both the open cut and microttmneling portions of the projects: PVC lined
concrete pipe is specified in the contract documents with Hobas pipe as an alternate for the microtunnel portion of the project. Per contract requirements, Bubalo, in conjunction
with Meyer Pipe USA, have submitted documentation to support the claim that polymer
concrete pipe is equal to PVC lined concrete pipe. The purpose of this letter is to provide Malcolm Pirnie’s review of the contractor’s documentation. and opinion regarding the
Contractor’s request.
Polymer Concrete Pipe manufactured by Meyer is an unreinforced pipe that consists of
up to 90% quartzitic aggregate, mineral fillers and polyester resin as a bonding agent.
Meyer Polymer Concrete Pipe has been used in .approxi.mately 18 projects in the United
States over the past five years. Meyer has been manufacturing and supplying polymer
concrete pipe in Europe since 1986. The pipe material is non corrosive and has passed
the Chemical Resistance Test that is specified in SSPWC Section 210-2.3.3 as well as
independent chemical resistance testing conducted by the Sanitation Districts of Los
Angeles County (Calvin Jin, LACSD, October, 2000). Because of this, it is suitable for
sewage collection systems. In addition, the compressive strength of the material has been
determined by the three edge-bearing test to be 13,000 psi, compared to 5,000 psi for
concrete. The joints are not steel Carnegie bell and spigot joints as specified for the
concrete pipe because the material is not concrete and steel. The joints are machined into
the polymer concrete after curing and seal with a double lipped O-ring type seal that works between the pipe joint and a titanium alloy stainless steel sleeve.
When loaded, polymer concrete pipe does lose strength over time. This is a well-
documented phenomenon for all resin-based pipes and was first developed for flexible
pipe such as PVC and fiberglass reinforced pipe. Bubalo has submitted a regression
1902 WRIGHT PLACE SUITE 180 CARLSBAO, CA 92008-6528 760-6023X0 lax 760-602-3838 http://www pmie.com
01/22/u MON 15:43 FAX 619 59~1313 - .
Terry Smith kilmry 5; 2001
City of Carlsbad Page 2
HILLYER IRWIN @Jo13
analysis from Meyer Pipe to illustrate the loss in strength over a 50 year period. The
analysis was conducted in a manner similar to that specified by ASTM D3681 for flexible
pipe, modified for polymer concrete pipe since polymer concrete pipe is considered to be
rigid pipe, much like concrtete or VCP pipe. The results of the analysis shows that the
strength of polymer concrete pipe is reduced to 57.16% of its’ original load carrying
ability in 50 years. Further calculations show the strength to drop to 56.48% and 55.96% after ,75 years and 100 years respectively. In terms of compressive strength, the original
strength of 13,000 psi is reduced to 7,275 psi after 100. years. This value still exceeds the
compressive strength of the concrete pipe. However, the design of the, pipe appears to be
governed by its tensile strength, not its high compressive strength.
I ,.
In response to a question posed by the City of Carlsbad, Bubalo has submitted a similar
regression analysis for Hobas pipe. Hobas pipe is a fiberglass reinforced sewer pipe that has been on the market longer than polymer concrete.pipe and is considered flexible pipe.
Because of its flexibility, Hobas pipe fails due. to .excessive flexural, strain: The-data- : c, .I submitted for the Hobti ‘pipe shows ‘that it fails. due to a flexural strain of about -2.9%: ‘.
C.029. in/in) when first loaded, and about 0.87% after 50 years. To put it in the same
terms as those stated for Meyer polymer concrete pipe, the strength is reduced to 30% of
its’ original flexural strength.
Malcolm Pirnie has contacted a number of other references to get a broader
understanding of the Meyer polymer concrete pipe material. .The material is very popular
amongst boring machine manufacturers and contractors because of its’ high strength and
smooth surfaces which allow for longer distances between jacking and receiving pits (see
attached phone conversation record with Paul Nicholas, Soltau, December, 2000). Haley
& Aldrich, a national recognized underground engineering and environmental firm with
offices in San Diego also speaks highly about Meyer polymer concrete pipe as a jacking
pipe (see attached letter from Haley & Aldrich dated December 11,200O).
Malcolm Pimie has contacted three references in Germany that have had Meyer polymer
concrete pipe in pIace for a slightly longer period than used in the United States. Each
reference was provided with a questionnaire and asked to fill it out and return it. The
pipe has been installed for sanitary sewer and industrial waste applications by both
microturmeling and open trench methods. In addition, the lines have been video
inspected more than just immediately after installation. They all have answered the
questionnaires in a positive manner, stating no defects or failures have been noted (see
attachments).
Meyer polymer concrete pipe has also received approvals for installation under existing
railroad iines from Union Pacific Railroad Company (with steel casing) and the German
Federal Railway Authority. Locally, the North County Transit District has stated
RECYC, F” PAPm
01/22/?1 MON .5:44 FAX 619 595_1313
- w
HILLYER IRWIN a014
Terry Smith January $2001
City of Carlsbad Page 3
reservations based on the review of their structural consultant because of the limited use
of Meyer Pipe in the United States, concern over its long-term strength and the potential
for catastrophic failure should allowable loads be exceeded. The open cut portion of the sewer construction occurs in the District’s right of way, but beyond the zone of irifluence
of the current set of tracks. However, the District is considering double tracking and the
pipeline may. be subjected to railroad loads at that time. Without more long-term performance data, the District is concerned that the pipe could fail when subjected to the
additional loading from a new set of tracks. , .
* The pipe is made in Germany where material and manufacturing standards are in place, ’ but the American Society for Testing Materials (ASTM) has not’accepted or promulgated
any standards here in the United States. A draft standard specification is currently.under review in the Utited States. The material has only recentlp:been introduced. into the 5
United States, mainly inNorthern California (Union Sanitary District). None of the pipe I, has ,been in service for more than five. years and none of:the’ pipe has been video ..‘. c .. : inspected since it wasinstalled.. : ‘,. :
Based on the technical, construction, and operational characteristics, polymer concrete pipe appears to be particularly suitable for ‘microtunneling applications of gravity sewer
pipe. However, due to concerns raised by the North County Transit District, the lack of
established standards and the limited history of use here in United States, Malcolm
Pimie, Inc. cannot provide an unqualified recommendation for the use of polymer
concrete pipe.
If you have any questions, please contact me here at (760) 602-3801. Thank you for this
opportunity to provide our professional services in this matter.
Very truly yours,
qiigJi?-- . .
Senior Project Ligineer
Enclosures
3325007
cc: Chip Wiilett - The Willett Company
P:\3325\00nletters\Pipe Substttution.doc
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-
II RESOLUTION NO. 2001-25
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARLSBAD, CALIFORNIA, ACCEPTING BIDS AND AWARDING
THE CONSTRUCTION CONTRACT FOR THE VISTAKARLSBAD
INTERCEPTOR SEWER REACHES VC5B THROUGH VCllA,
PROJECT NO. 3182, THE SOUTH CARLSBAD VILLAGE STORM
DRAIN PROJECT NO. 3528 AND PAVEMENT OVERLAY
PROJECT NO. 3667.
WHEREAS, plans have been reviewed by the City Council of the City of Carlsbad for the
construction of the Vista/Carlsbad Interceptor Sewer Reaches VCSB through VC1 1 A, Project No.
3182, the South Carlsbad Village Storm Drain Project No. 3528 and Pavement Overlay Project
No. 3667; and
WHEREAS, the low bid received to construct said project was submitted by Steve Bubalo
Construction Company, Inc., in the amount of $15,629,511; and
WHEREAS, the low bid received to construct said project submitted by Steve Bubalo
Construction Company, Inc., is responsive; and
WHEREAS, the total estimated costs for said project are $19,189,462; and
WHEREAS, Council has previously appropriated $22,228,417 for design, right of way,
construction, contingency, administration and inspection of said project; and
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 bid of $15,629,511 by Steve Bubalo Construction Company, Inc., for the
Vista/Carlsbad Interceptor Sewer Reaches VC58 through VCllA, Project No. 3182, the South
Carlsbad Village Storm Drain Project No. 3528 and Pavement Overlay Project No. 3667 is
accepted, and the Mayor is hereby authorized to execute a contract therefor.
3. That the City Manager is hereby authorized to approve construction change
orders
Ill
If/
I//
Ill
Ill
up to $1,562,951.
1 4. That the award of this contract is contingent upon Bubalo Construction
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Company, Inc., executing the required contract and submitting the required bonds and insurance
policies, as described in the contract, within twenty (20) days of adoption of this resolution.
The City Manager may grant reasonable extensions of time.
PASSED, APPROVED AND ADOPTED at a regular meeting of the Carlsbad City Council
held on the 23rd day of January , 2001 by the following vote, to
I wit:
~ AYES: Council Members Kulchin and Nygaard.
NOES: Council Member Lewis.
Hall and Finnila.
ATTEST: , P
(SEAL)