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HomeMy WebLinkAbout2005-10-18; City Council; 18312; Cole Library HVAC System Replacement Contract4B# 18,312 - TITLE: REJECTING THE LOW BID AS NON-RESPONSIVE AND AWARDING THE CONTRACT TO REPLACE THE APPROPRIATION OF ADDITIONAL FUNDS JITG. 10/18/05 HVAC SYSTEM AT COLE LIBRARY AND IEPT. PW/GS CONTRACT NO. FAC 05-01, PROJECT NO. 39421 RECOMMENDED ACTION: DEPT. HD. CITY MGR- Adopt Resolution No. 2005-309 rejecting the bid of $914,000 from Lemon Grove Sheet Metal Works, Inc., and accepting the bid of $1,029,900 and awarding the contract to Alpha Mechanical Heating & Air Conditioning, Inc., to replace the HVAC system at the Cole Library, Contract No. FAC 05-01, Project No. 39421, and approving appropriation of additional funds. ITEM EXPLANATION: It has become increasingly difficult to effectively maintain the thirty-five year old heating, air conditioning and ventilation system at the Georgina Cole Library. The system is obsolete, inefficient, difficult to access, and prone to repeated mechanical breakdown. This system was installed in the 1960’s when the library was built. Industry standard for replacement of this type of system is approximately twenty years. The project consists of replacement of all of the major HVAC components, relocation of the boiler, chiller and pumps to a location that meets current Building Codes and providing a temporary modular facility for limited library operations during the construction. On August 16, 2005, City Council approved contract documents and special provisions, and authorized the City Clerk to advertise for bids for this project. Two bids were received, opened, witnessed and recorded on September 27, 2005. The bid amounts ranged from $914,000 to $1,029,900. The bids were reviewed by the Public Works Department and were as follows: Lemon Grove Sheet Metal Works, Inc. Alpha Mechanical, Heating & Air Conditioning, Inc. $91 4,000 $1,029,900 Lemon Grove Sheet Metal Works, Inc., submitted the lowest bid in the amount of $914,000. However, the bid submitted by Lemon Grove Sheet Metal Works does not meet the contractual requirement that the bidder perform more than fifty percent (50%) of the work with his own forces. Lemon Grove Sheet Metal Works, Inc., indicated on the Designation of Subcontractor and Amount of Subcontractor’s Bid Items form, a total of fifty-four percent (54%) of the total work as subcontracts. Therefore, staff recommends the bid from Lemon Grove Sheet Metal Works, Inc., be declared non-responsive in accordance with the contract documents. Alpha Mechanical, Heating & Air Conditioning, Inc., submitted the lowest responsive bid. Therefore, staff recommends the contract be awarded to Alpha Mechanical, Heating and Air Conditioning, Inc., the lowest responsive bidder, in the amount of $1,029,900. The contractor’s registration and bonds are in order and references are satisfactory. Contract documents are on file in the General Services offices of Public Works. The Engineer’s Estimate for the project is $800,000, not including incentives and disincentives. Page 2 of Agenda Bill No. 18,312 ~ ~ Design Construction Contract Construction Contingency (I 0%) Performance Bonus Inspection Environmental Engineer Modular Building Costs Staff Overhead TOTAL ESTIMATED PROJECT COST TOTAL APPROPRIATIONS ADDITIONAL APPROPRIATIONS ENVIRONMENTAL REVIEW: $63,900 $1,029,900 $1 02,990 $50,000 $20,000 $12,000 $35,000 $6,000 $1,319,790 $1,264,600 $55.1 90 This project has been determined to be exempt from environmental review per CEQA (14 Cal Code Reg 31 5301) - minor alteration of an existing facility. FISCAL IMPACT: The total estimated construction cost for this project, shown in the table above, including design, construction and other related project costs is $1,319,790; appropriations to date are $1,264,600. Staff is requesting an additional appropriation of $55,190 to complete the project. sufficient funds available in the Infrastructure Replacement Fund for the project. There are EXH I BITS: I. Resolution No. 2005-309 rejecting the bid of $914,000 from Lemon Grove Sheet Metal Works, Inc., and accepting the bid of $1,029,900 and awarding the contract to Alpha Mechanical Heating &, Air Conditioning, Inc., to replace the HVAC system at the Cole Library, Contract No. FAC 05-01, Project No. 39421, and approving appropriation of additional funds. 2. Correspondence to Lemon Grove Sheet Metal, Inc., Guide for Completing the “Designation of Subcontractors”, subcontractor bid totals, and pre-bid meeting sign in sheet. DEPARTMENT CONTACT: Dale A. Schuck, (760) 434-2949, dschu@ci.carlsbad.ca.us 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 RESOLUTION NO. 2005-309 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARLSBAD, CALIFORNIA, REJECTING THE LOW BID AS GEORGINA COLE LIBRARY HVAC REPLACEMENT AND APPROPRIATION OF ADDITIONAL FUNDS, CONTRACT NO. NON-RESPONSIVE AND AWARDING THE CONTRACT FOR FAC 05-01. PROJECT NO. 39421. WHEREAS, the City Council adopted Resolution No. 2005-262 approving contract jocuments, special provisions and specifications, and authorized the City Clerk to advertise for ids to replace the HVAC system at Georgina Cole Library, hereinafter referred to as the "Project"; and WHEREAS, the bids were received, opened, witnessed and recorded on September 27, 2005; and WHEREAS, bids have been received by the City of Carlsbad, California, to replace the WAC system at Georgina Cole Library; and W'HEREAS, the lowest bid received was submitted by Lemon Grove Sheet Metal Works, 'nc., in the amount of $914,000; and WHEREAS, the City of Carlsbad requires that the all bids evidence that the bidder's own xganization will perform more than fifty percent (50%) of the work and that any bid that does not Jo so will be rejected as non-responsive; and WHEREAS, the bid submitted by Lemon Grove Sheet Metal Works, Inc., in the amount of $914,000 stated that fifty-four percent (54%) of the work would be performed by subcontractors and therefore is non-responsive; and WHEREAS, the lowest responsive bid received was submitted by Alpha Mechanical, ieating & Air Conditioning, Inc., in the amount of $1,029,900; and WHEREAS, insufficient funds are available for this project in the Capital Improvement 'roject budget; and WHEREAS, additional funds in the amount of $55,190 needs to be appropriated to Zomplete this project. 'I1 3 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Carlsbad, California, as follows: 1. 2. That the Finance Director is authorized to appropriate $55,190 from the That the above recitations are true and correct. Infrastructure Replacement Fund to replace the HVAC system at the Georgina Cole Library. 3. The bid of $914,000 by Lemon Grove Sheet Metal Works, Inc., be declared non-responsive and be rejected. 4. The bid of $1,029,900 by Alpha Mechanical, Heating & Air Conditioning, Inc., to replace the HVAC system at the Georgina Cole Library, and a contingency account of $1 02,990 is hereby accepted. 5. That the Mayor of the City of Carlsbad is hereby authorized and directed to execute a contract for Contract No. FAC 05-01, Project No. 39421, Georgina Cole Library HVAC Replacement with Alpha Mechanical, Heating & Air Conditioning, Inc. 6. That the award of this contract is contingent upon Alpha Mechanical, Heating & Air Conditioning, 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 18th dayof October ,2005 by the following vote, to wit: AYES:Council Members Lewis, Hall, Kulchin, Packard and Sigafoose ATTEST n (SEAL) - City of Carlsbad October 3,2005 Rick VonGottberg President LEMON GROVE SHEET METAL, INC 3485 Olive Street Lemon Grove, CA 91945 FAC 0561 GEORGINA COLE LIBRARY HVAC REPLACEMENT NON-RESPONSIVE BID The City of Carlsbad regrets to inform you that the bid submitted by Lemon Grove Sheet Metal Works, Inc. for the above mentioned project appears to be a non- responsive bid. The Guide for Completing the “Designation of Subcontractors” Form, included in the bid documents, clearly states that a bid that proposes performance of more than 50% of the work by subcontractors will be rejected as non-responsive. This caution to bidders was also discussed at the pre-bid meeting held on November 12, 2005. Mr. Greg Meyers, an employee of your company attended this meeting. The bid submitted by your company proposes to subcontract $500,900.00 of the total bid of $914,000.00. The amount subcontracted is equal to 54.8% of the total work performed. Due to the portion of subcontracts proposed by your company, the General Services Division of the Public Works Department will recommend that your bid be declared non-responsive by the City Council. We appreciate your interest in working with the City of Carlsbad and would encourage Lemon Grove Sheet Metal Works, Inc. to submit bids on future projects with the City of Carlsbad. If you have any questions you may contact me at (760) 434-2949 or at the address listed below. DALE A. SCHUCK Public Works Supervisor, Contracts and Agreements C: Public Works Manager Deputy City Attorney Buyer File Attachments 405 Oak Avenue Carlsbad, CA 92008-3009 - (760) 434-2980 - FAX (760) 720-9562 a r- Original bid copy required. For reading clarity See Page 6A . GUIDE FOR COMPLETING THE “DESIGNATION OF SUBCONTRACTORS” FORM REFERENCES Prior to preparation of the following Subcontractor disclosure form Bidders are urged to review the definitions in section 1-2 of the SSPWC (“Greenbook”) and in the Supplemental Provisions to this Contract, especially, “Bid”, “8idder”, “Contract”, “Contractor”, “Contract Price”, “Contract Unit Price”, “Engineer , “Subcontractor“ and “Work” and the definitions in section 1-2 of the Supplemental Provisions especially “Own Organization.” Bidders are further urged to review sections 2-3 SUBCONTRACTS of the Greenbook and section 2-3.1 of these Supplemental Provisions. CAUTIONS This form will be used by the Agency to determine the percentage of work that the Bidder proposes to perform. Biddek are cautioned that failure ‘ irovide complete and correct information may result in rejection of the bid as non-responsive. .id that proposes performance of more than 50 percent of the work by subcontractors or other.. be preformed by forces other than the Bidder’s own organization will be rejected as non-res: .m/s. Specialty items of work that may be so designated by the Engineer on the “Contractor‘s Pr; . ..al” are not included in computing the percentage of work proposed to be performed by the Bidder INSTRUCTIONS The Bidder shall set forth the name and location of business of each and every subcontractor whom the Bidder proposes to perform work or labor or render service in or about the work or improvement, ana every subcontractor licensed as a contractor by the State of California whom the Bidder proposes to specially fabricate and install any portion of the work or improvement according to detailed drawings contained in the plans and specifications in excess of one-half of one percent (0.5%) of the Bidder’s total bid or, in the case of bids or offers for the construction of streets and highways, including bridges, in excess of one-half of one percent (0.5%) or ten thousand dollars ($1 0,000) whichever is greater. Said name(s) and location(s) of business of subcontractor(s) shall be set forth and included as an integral part of the bid offer. The Designation of Subcontractors form must be submitted as a part of the Bidder‘s sealed bid. Failure to Provide complete and correct information may result in rejection of the bid as non- resDonsive. Suppliers of materials from sources outside the limits of work are not subcontractors. The value of materials and transport of materials from sources outside the limits of work, as shown on !he plans, shall be assigned to the Contractor or the Subcontractor as the case may be, that the Bidder proposes as installer of said materials. The value of material incorporated in any Subcontractor- installed bid item that is supplied by the Bidder shall be included as a part of the work that the Bidder Proposes to be performed by the Subcontractor installing said item. When a Subcontractor has a Carlsbad business license, the number must be entered on the proper form. If the Subcontractor does not have a valid business license, enter “NONE” in the appropriate space. When the Bidder proposes using a Subcontractor to construct or install less than 100 percent of a bid item, the Bidder shall attach an explanation sheet to the Designation of Subcontractor form. The explanation sheet shall clearly apprise the City of the specific facts :hat show the Bidder proposes to Perform no less than fifty percent (50%) of the work with its own forces. a Revised 10/08/03 Contrac? No. FAC 05-0‘ . .. Page 17 of 70 Pages b GUIDE FOR COMPLETING THE “DESIGNATION OF SUBCONTRACTORS” FORM REFERENCES Prior to preparation of the following Subcontractor disclosure form Bidders are urged to review the definitions in section 1-2 of the SSPWC (“Greenbook”) and in the Supplemental Provisions to this Contract, especially, “Bid”, “Bidder”, “Contract”, “Contractor”, “Contract Price”, “Contract Unit Price”, “Engineer”, “Subcontractor” and “Work and the definitions in section 1-2 of the Supplemental Provisions especially “Own Organization.” Bidders are further urged to review sections 2-3 SUBCONTRACTS of the Greenbook and section 2-3.1 of these Supplemental Provisions. CAUTIONS This form will be used by the Agency to determine the percentage of work that the Bidder proposes to perform. Bidders are cautioned that failure to provide complete and correct information may result in rejection of the bid as non-responsive. Any bid that proposes performance of more than 50 percent of the work by subcontractors or otherwise to be preformed by forces other than the Bidder’s own organization will be rejected as non-responsive. Specialty items of work that may be so designated by the Engineer on the “Contractor’s Proposal” are not included in computing the percentage of work proposed to be performed by the Bidder. INSTRUCTIONS The Bidder shall set forth the name and location of business of each and every subcontractor whom the Bidder proposes to perform work or labor or render service in or about the work or improvement, and every subcontractor licensed as a contractor by the State of California whom the Bidder proposes to specially fabricate and install any portion of the work or improvement according to detailed drawings contained in the plans and specifications in excess of one-half of one percent (0.5%) of the Bidder’s total bid or, in the case of bids or offers for the construction of streets and highways, including bridges, in excess of one-half of one percent (0.5%) or ten thousand dollars ($1 0,000) whichever is greater. Said name(s) and location(s) of business of subcontractor(s) shall be set forth and included as an integral part ofthe bid offer. The Designation of Subcontractors form must be submitted as a part of the Bidder’s sealed bid. Failure to provide complete and correct information may result in reiection of the bid as non- responsive. Suppliers of materials from sources outside the limits of work are not subcontractors. The value of materials and transport of materials from sources outside the limits of work, as shown on the plans, shall be assigned to the Contractor or the Subcontractor as the case may be, that the Bidder proposes as installer of said materials. The value of material incorporated in any Subcontractor- installed bid item that is supplied by the Bidder shall be included as a part of the work that the Bidder proposes to be performed by the Subcontractor installing said item. When a Subcontractor has a Carlsbad business license, the number must be entered on the proper form. If the Subcontractor does not have a valid business license, enter “NONE” in the appropriate space. When the Bidder proposes using a Subcontractor to construct or install less than 100 percent of a bid item, the Bidder shall attach an explanation sheet to the Designation of Subcontractor form. The explanation sheet shall clearly apprise the City of the specific facts that show the Bidder proposes to perform no less than fifty percent (50%) of the work with its own forces. e= ts Revised 10/08/03 Contract No. FAC 05-01 bA- Page 17 of 70 Pages Determination of the subcontract amounts for purposes of award of the contract shall be determined by the City Council in conformance with the provisions of the contract documents and the Supplemental Provisions. The decision of the City Council shall be final. Contractor is prohibited from performing any work on this project with a subcontractor who is ineligible to perfomi work on a public works project pursuant to Labor Code Sections 1771.1 or 1777.7. Bidders shall make any additional copies of the disclosure forms as may be necessary to provide the required information. The page number and total number of additional form pages shall be entered in the location provided on each type of form so duplicated. . 3 3 a 45 4 4 4 4s :sised 10/08/03 Contract No. FAC 0501 Page 18 of 70 Pages 7 -. 1 ??g - , . .. , Original bid copy required. For reading clarity See Page 8A 2 4 A 4 DESIGNATION OF SUBCONTRACTOR AND AMOUNT OF SUBCONTRACTOR'S BID ITEMS GEORGINA COLE LIBRARY HVAC REPLACEMENT CONTRACT NO. FAC 05-01 The Bidder certifies that it has used the sub-bid of the following listed subcontractors in preparing this bid for the Work and that the listed subcontractors will be used to perform the portions of the Work as designated in this list in accordance with applicable provisiors of the specifications and section 4100 et seq. of the Public Contract Code, "Subletting and SUP 3tracting Fair Practices Act." The Bidder further certifies that no additional subcontractor will be i :ed to perform any portion of the Work in excess of one-half of one percent (0.5%) of the Bidde >tal bid,,or in the case of bids or offers for construction of streets and highways, including br:.. . sl in excess of one-half of one percent (0.5%) or ten thousand dollars ($101000), whichever is greater, and that no changes in the subcontractors listed work will be made except upon the prior approval of the Agency. . SUBCONTRACTOR'S BID ITEMS Subcontractor Name and Subcontractor's License No's.' l.%3+9 Page of pages of this Subcontractor Designation form 'Contractor shall fully list all Subcontractor information including License Numbers with this bid. use an Attachment if needed. Pursuant to section 4104 (a)(Z)(A) California Pudic Coniran Code, receipt of the information preceded by an asterisk may be submitted the Bidder Up to 24 hours atter the deadline for submitting bids contained in the "Notice Inviting Bids.' e3 pF 9 -. I wised 10/08/03 Contract No. FAC 05-01 Page 19 of 70 Pages 4 DESIGNATION OF SUBCONTRACTOR AND AMOUNT OF SUBCONTRACTOR'S BID ITEMS Amount of Work by Subcontractor Name and Subcontractor Portion of Work* Location of Business in Dollars* r GEORGINA COLE LIBRARY HVAC REPLACEMENT CONTRACT NO. FAC 05-01 ~~ II I H Subcontractor's License No's." Page of pages of this Subcontractor Designation form *Contractor shall fully list all Subcontractor information including License Numbers with this bid. Use an Attachment if needed. * Pursuant to section 4104 (a)(2)(A) California Public Contract Code, receipt of the information preceded by an asterisk may be submitted by the Bidder up to 24 hours ater the deadline for submitting bids contained in the 'Notice Inviting Bids." e= %# Revised 10/08/03 Contract No. FAC 05-01 v+ Page 19 of 70 Pages DESIGNATION OF SUBCONTRACTOR AND AMOUNT OF SUBCONTRACTOR'S BID ITEMS GEORGINA COLE LIBRARY HVAC REPLACEMENT CONTRACT NO. FAC 05-01 The 8idder certifies that it has used the sub-bid of the following listed subcontractors in preparing this bid for the Work and that the listed subcontractors will be used to perform the portions 3f the Work as designated in this list in accordance with applicable provisic:-s of the specifications and section 4100 et seq. of the Public Contract Code, "Subletting and Sut iracting Fair Practices Act." The Bidder further certifies that no additicnal subcontractor will be . ad to perform any portio'n of the Work in excess of one-half of one percent (0.5%) of the BiddE :tal bid, or in the case of bids or offers for construction of streets and highways, induding b- i, in excess of one-half of one percent (0.5%) or ten thousand dollars ($lO,OOO), whichever s .. sitter, and that no changes in the subcontractors listed work will be made except upon the prior sr' .mal of the Agency. SUBCONTRACTOR'S BID ITEMS Subcontractor's License No's.' -4#* Page Ad of gases of this Subcontractor Designation krm *Contractor shall fully list all Subcontractor information including License Numbers with this bid. Use an Attachment if needed. ' Pursuant to section 4104 (a)(2)(A) California Pustic Contract Code. receipl of the informalion preceded by an astensk .3ay be submitted by the Bidder up to 24 houm aher the deadline fcr suomitting bids contained in Ihe 'Notice Inviting Bids." ?vised 10/08/03 q-5 Contract No. FAC 05-01 Page 19 of 70 Pages 4 Subcontractor Totals LGS Inc. Asbestos Insulation Plumbing and Piping Testing and Balance Demo Structural Steel Concrete Electrical Controls Total Bid Amount Subcontracted Amount Percentage Subcontracted $36,555.00 $49,254.00 $257,884.00 $2,300.00 $31,000.00 $35,345.00 $12,400.00 $44,162 .OO $32,000.00 $500,900.00 $914,000.00 $500,900.00 54.80% E c b F