HomeMy WebLinkAbout2011-07-12; City Council; 20622; Award of contract for 2011 concrete replacementCITY OF CARLSBAD - AGENDA BILL 8
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MTG. 7/12/11
20.622
DEPT. TRANS
ACCEPTANCE OF BIDS AND AWARD OF
CONTRACT FOR CONSTRUCTION OF THE 2011
CONCRETE REPLACEMENT, PROJECT NO. 6013
DEPT. DIRECTOR
CITY ATTORNEY
CITY MANAGER /,,
RECOMMENDED ACTION:
Adopt Resolution No. 2011-167 accepting bids and awarding a contract for the construction of
the 2011 Concrete Replacement Project No. 6013.
ITEM EXPLANATION:
As part of the City's annual Concrete Replacement Program, staff has evaluated the concrete
improvements in the public right-of-way and produced a list of 242 locations where concrete
replacement is necessary, Curb, gutter, sidewalk, curb ramps, and driveway approaches need to be
replaced because of deterioration, cracking, and uplifting.
On April 5, 2011, City Council approved Resolution No. 2011-052, authorizing the advertisement for bids
for construction of the 2011 Concrete Replacement Project No. 6013. The engineer's estimate was
$200,000. Seven (7) bids were received on May 18, 2011, which are summarized as follows:
CONTRACTOR
1.
2.
3.
4.
5.
6.
7.
Ray White Cement
RMV Construction, Inc.
Tri-Group Construction
Palm Engineering Construction Co., Inc.
Crest Equipment Inc.
PAL General Engineering Inc.
New Century Construction
BID TOTAL
$178,339
$191,228
$206,983
$221,842
$225,259
$250,156
$268,909
June 6, 2011 City Council approved Resolution No. 2011-121, accepting bids and awarding the
Concrete Replacement Project No. 6013 to Ray White Cement. On June 27, 2011, Ray White
Cement sent notification that it was unable to perform the contract due to financial instability. The
second lowest bidder, RMV Construction, Inc., sent notification to the city that it was willing to engage
in a contract for their bid price of $191,228.
Staff has completed its review of the contract documents and has determined that the bid by RMV
Construction, Inc. is responsive. Therefore, staff recommends that RMV Construction, Inc. be
awarded the contract.
DEPARTMENT CONTACT: Brandon Miles 760-602-2745 Brandon.Miles@carlsbadca.gov
FOR CITY CLERKS USE ONLY
COUNCIL ACTION: APPROVED
DENIED
CONTINUED
WITHDRAWN
AMENDED
XD
D
D
D
CONTINUED TO DATE SPECIFIC
CONTINUED TO DATE UNKNOWN
RETURNED TO STAFF
OTHER - SEE MINUTES
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ENVIRONMENTAL IMPACT:
The project is exempt from the California Environmental Quality Act (CEQA) per CEQA Guidelines
Section 15301(c) - minor alteration of existing facilities including streets, sidewalks, gutters, and
similar facilities involving negligible or no expansion.
FISCAL IMPACT:
The total cost for the 2011 Concrete Replacement Project is $239,728 as shown in the table below.
2011 CONCRETE REPLACEMENT PROJECT
Construction Contract
Construction Contingency (10%)
Inspection, Testing, and Construction Management (15%)
TOTAL COST
COSTS
$ 191,228
$ 19,500
$ 29,000
$ 239,728
The Concrete Replacement Program (CIP No. 6013) has sufficient GCC and Gas Tax funds available
to complete this project. Remaining appropriations will be used for future concrete replacement
projects. Prevailing wages are not required for this contract.
The table below shows the current status of the Concrete Replacement Program:
CONCRETE REPLACEMENT PROGRAM - CIP NO. 6013
TASK DESCRIPTION
Design
Construction, Inspection, Materials Testing
TOTAL
APPROPRIATED
TO DATE
$71,000
$929,000
$1,000,000
EXPENDITURES/
ENCUMBRANCES
TO DATE
$20,387
$676,805
$697,192
REMAINING
BALANCES
$50,613
$252,195
$302,808
EXHIBITS:
1. Resolution No.2011-167 accepting bids and awarding construction contract
for construction of the 2011 Concrete Replacement Project No. 6013.
2. Letters from Ray White Cement stating the company is unable to perform the contract.
3. Letter from RMV Construction, Inc stating willingness to engage in a contract.
1
RESOLUTION NO. 2011-167
2
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
3 CARLSBAD, CALIFORNIA, ACCEPTING BIDS AND AWARDING
A CONTRACT FOR CONSTRUCTION OF THE 2011
4 CONCRETE REPLACEMENT. PROJECT NO. 6013.
5 WHEREAS, the City Council of the City of Carlsbad, California, has determined it
§ necessary, desirable, and in the public interest to replace damaged concrete; and
WHEREAS, the project is exempt from the California Environmental Quality Act (CEQA)
pursuant to CEQA Guidelines Section 15301(c); and
Q
WHEREAS, on April 5, 2011, the City Council approved contract documents and
9 specifications for furnishing of all labor, materials, tools, equipment, transportation, and other
10 expenses necessary or incidental to the 2011 Concrete Replacement Project No. 6013; and
WHEREAS, seven (7) sealed bids were received on May 18, 2011 for the project; and
WHEREAS, on June 6, 2011, the City Council accepted bid and awarded the Concrete
12 Replacement Project No. 6013 to Ray White Cement; and
13 WHEREAS, on June 27, 2011, Ray White Cement sent notification that it was unable to
14 perform the contract due to financial instability; and
15 WHEREAS, the second lowest responsive, responsible bid for the project was submitted
by RMV Construction, Inc. in the amount of $191,228; and
16
WHEREAS, there are sufficient funds available in the Concrete Replacement Program
17 (CIP No. 6013) account for construction of the project.
18 NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Carlsbad,
•jg California, as follows:
1. That the above recitations are true and correct.
2. That the second lowest responsive, responsible bid for the project was submitted21
by RMV Construction, Inc. in the amount of $191,228; and
22 3. That the bid submitted by RMV Construction, Inc. in the amount of $191,228 is
23 hereby accepted and the Mayor is hereby authorized to execute the contract for the construction
24 of the 2011 Concrete Replacement Project No. 6013, in accordance with the specifications and
contract documents referred to herein.25
4. That the City Manager is hereby authorized to approve construction change
Pfi orders up to the contingency amount of $19,500 to RMV Construction, Inc. for the 2011 Concrete
27 Replacement, Project No. 6013.
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described in the contract, within twenty (20) calendar days of adoption of this resolution. The City
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Manager may grant reasonable extensions of time.
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5. That the award of this contract is contingent upon RMV Construction, Inc.
executing the required contract and submitting the required bonds and insurance policies, as
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PASSED, APPROVED AND ADOPTED at a Regular Meeting of the City Council
of the City of Carlsbad on the 12th day of July, 2011, by the following vote to wit:
AYES: Council Members Hall, Kulchin, Blackburn, Douglas and Packard.
NOES: None.
ABSENT: None.
MATTHHALL, Mayor
ATTEST:
M/WOQD, City Clerk
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Prom:RAY WHITE CEMENT 17607285605 06/27/2011 08:27 #582 P.002/002
License #410673
RAY WHITE CEMENT
(760) 728-0170 • Fax (760) 728-5605
P.O. Box 489 • Fallbrook, California 92088
June 27,2011
City of Carlsbad
1635 Faraday Avenue
Carlsbad, CA 92008-7314
Re: 2011 Concrete Replacement, Bid No. PWS11-47TRAN, Project No. 6013
To whom it may concern:
After careful consideration, we need to inform you, Ray White Cement is withdrawing
from this contract due to uncertainty in carrying expenditures for 30 days. The company
has had a couple of months with very little revenue. We regret this decision having to be
made but do not want to let you down. We hope we can work together in the future.
Sincerely,
Diane White
President
www.RayWhfteCement.com
t-roiKKAY WHIlt UtHLNI 17607Zb5t>(J5 M/23/ZU11 15:49 #599 P.001/001.
License #410673
RAY WHITE CEMENT
(760) 728-0170 • Fax (760) 728-5605
P.O. Box 489 • Fallbrook, California 92088
June 29,2011
Kevin Davis
Sr. Contract Administrator
City of Carlsbad
1635 Faraday Avenue
Carlsbad, CA 92008-7314
Re: 2011 Concrete Replacement, Bid No. PWS11-47TRAN, Project No. 6013
From the time that we considered bidding on the Concrete Replacement project (which was in
April) our revenue had been consistently lower each month. At this point having enough capital
to do an adequate and timely job is not possible. Our basic requirement for overhead monthly
has not been met by our revenue. We appreciate the fact that our bonds will be returned if the
next bidder accepts the job. We apologize for the inconvenience and delay, but hope that the end
result will be better for the city considering our situation. Thank you.
Yours Truly,
Diane White
President
www.RayWhiteCement.com ~|
I.RMVCONSTRUCTION
RMV Construction Inc. would be interested in perform ing this contract and honors its original bid.
Sincerely,
Mike Vasil
President/CEO
4079 Huerfano Ave, Suite 118 * San Diego, California 92117
858-581-3488 PHONE * 858-769-0272 FAX
California License #892389
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