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Home My WebLink About7.1 Award Bid Sr Ctr #03-17 CITY CLERK File# 600-35 AGENDA STATEMENT CITY COUNCIL MEETING DATE: January 6, 2004 SUBJECT: Award of Bid- Contract 03-17, Dublin Senior Center Report Prepared by: Herma Lichtenstein, Parks and Development Manager Facilities ATTACHMENTS: 1) 2) REcoMMENDATIoN:~/'~~I) Adopt Resolution FINANCIAL STATEMENT: Funds Budgeted for Improvements: Preliminary Engineers Estimate Resolution Awarding Contract 03-18, Dublin Senior Center, to McCrary Construction Company and Rejecting the Protest Received Letter of Protest $5,364,000 $5,319,000 Bids Received: McCrary Construction Company Zovich Construction Sausal Corporation NV Heathorn WA Thomas Co. Inc. DL Falk Construction Inc. ZCON Builders Krama, Inc. SCI NBC General Contractor Co. $4,581,101 $4,585,00O $4,589,000 $4,628;960 $4,644,000 $4,694,000 $4,710,000 $4,710,000 $5,200,000 $5,600,000 Based upon the City's Adopted 5 Year CIP approximately $1,667,541 in General Fund dollars will be required for this project in Fiscal Year 2004-2005. By awarding this contract the City may have to rely on General Fund reserves and/or deferring other Capital Projects funded by the General Fund if the City's VLF back-fill is not reimbursed by the State. DESCRIPTION: At the meeting of November 18, 2003 the City Council authorized Staff to solicit bids for the new Dublin Senior Center. The Center includes 15,000 square feet of building and approximately 1 acre of site work. The proposed schedule for the project is 12 months and Staff anticipates that the project will be under construction concurrently with the privately built Senior Center . Housing project. BID RESULTS A total of ten bids were received with the low bid of $4,581,101 being submitted by McCrary Construction Company. Staff recommends adding a 10% contingency bringing the amount needed to $5,039,211. With $5,364,000 included in the project budget for improvements, sufficient funds are available to award the bid. COPIES TO: Bidders G:\COUNCI'LXAgenda Statements\2004\l-6 SC award of bid.DOC ITEM NO. C. Staff has concluded that the low bid of McCrary Construction Company is responsive. Checks of McCrary Construction Company project references have disclosed no responsibility concerns. BID PROTEST On December 22, 2003 a Bid Protest was received from Zovich Construction (Attachment 2). Zovich Construction contends that they are the low bidder, alleging that they submitted the lowest base bid. By way of background, at the time that the original bid packet was circulated, there were two alternates included in the bid. Through Addendum #1, bidders were directed to provide a lump sum bid only and that no alternates were included in the project. Despite the acknowledgement from all bidders that they received the addendum, five of the ten bidders included a bid for alternates in addition to their base bid as part of the bid submittal. Although the bid results were initially reported with the alternates in the total bid amount, the bid results were subsequently revised to show'only the base bid without the alternates. This revision did not change the low bidder, McCrary Construction Company, but moved Zovich Construction from the third lowest bidder to the second lowest bidder. Staff has reviewed the protest from Zovich Construction and finds that there is no merit to the alleged protest. McCrary Construction's base bid is $4,581,101 and Zovich Construction's base bid is $4,585,000. McCrary Constmction's base bid is clearly lower than that of Zovich Construction. Zovich Construction has been notified via a letter prepared by the City Attorney. RECOMMENDATION Staff recommends that the City Council adopt the resolution in Attachment 1 awarding the bid to McCrary Construction Company and rejecting the protest received. RESOLUTION NO. - 04 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF DUBLIN AWARDING CONTRACT 03-17 DUBLIN SENIOR CENTER TO McCRARY CONSTRUCTION COMPANY AND REJECTING THE PROTEST RECEIVED WHEREAS, On November 18 2003, the City Council approved the construction documents and authorized the new Dublin Senior Center to be advertised for bids; and WHEREAS, the project was advertised as required by state 1aw for bids; and WItEREAS, the City received ten bids prior to the close of bids on December 19, 2003; and WHEREAS, the low bid received was $4,581,101 from McCrary Construction Company; and WHEREAS, the bid was evaluated by staff and determined to meet all requirements. WHEREAS, in a letter dated December 22, 2003, the finn of Zovich Construction has protested the bid on the basis that Zovich Construction is the low bidder for the project as Zovich's bid for the base contract is the lowest submitted; and WHEREAS, upon further review of the base bids received for the project, McCrary Construction Company's bid is the lowest submitted. NOW, TFIEREFORE, BE IT RESOLVED that the City Council of the City of Dublin does. hereby award Contract No. 03-17 to the lowest responsible bidder therefor, to wit, McCrary Construction Company at a base bid of four million five hundred eighty one thousand one hundred and one dollars and no cents ($4,581,101) the particulars of which bid are on file in the office of the City Engineer. BE IT FURTItER RESOLVED that the City Council of the City of Dublin does hereby reject the protest of Zovich COnstruction dated December 22, 2003. PASSEl), APPROVED AND ADOPTEI), this 6th day of January, 2004. AYES: NOES: ABSENT: ABSTAIN: ATTEST: Mayor City Clerk K2/G/1 ~6-04/reso-seniorctr.doc (Item 7.1) G:\CC-MTGS~2004-qtr 1 ~lan\01-06-04~'~so-seniorctr.doc ATTACHMENT 1 Quinlan S. Tom LAW OFFICES 34~,INERNEY & DILLON pROFESSIONAL CORPORATION ONE KAISER PlaZa - SUITE 1850 OAKLAND, CALIFORNIA 9,4612-5610 TELEPHONE (510) 4~5-7100 FAX (510) 4~5-8556 December 22, 2003 Lee S. Thompson Public Works Director City of Dublin Department of Public Works 100 Civic Plaza Dublin, CA 94568 Via Hand-Defivery Re: Zovich Construction Bid Protest Project No. 03-17 City of Dublin Senior Center Dear Mr. Thompson: I represent Zovich Construction ("Zovich") with respect to the above-referenced matter. Pursuant to Item 6 of the City of Dublin's Instructions to Bidders, Zovich submits its bid protest for the City of Dublin Senior Center ("Project") on the basis that Zovich is the Iow bidder for the Project and demands that the City award Zovich the contract for the Project. Public Contract Code §20103.8(b) provides that: The lowest bid shall be the lowest bid price on the base contract and those additive or deductive items that were specifically identified 'in the bid solicitation aS being used for the purpose of determining the lowest bid price. Section 20103.8 further directs that the lowest responsible bidder shall be awarded the contract, if it is awarded. On December 19, 2003 Zovich submitted to the City its bid for the Project which provided a base bid of $4,585,000.. In its bid form, Zovich identified its bid for the base contract as $4,585,000. At bid opening, Zovich's bid for the base contract was the lowest submitted. Zovich is the lowest responsible bidder. Zovich's bid provided a bid alternate of $9,000 and a total bid of $4,594,000. In 00200,7.1 of the Invitation to Bidders, the City specified that the lowest responsible bidder would be the bidder "submitting the lowest total bid price for the base bid and the ATTACHMENT 2 Ltr. to Lee S. Thompson December 22, 2003 Page 2 additive or deductive alternate items listed in the Notice Inviting Bids, if any." In Addendum #1, the City deleted all bid alternates. Therefore, the City specified that the lowest bidder would be determined solely on the basis of the lowest submitted bid price for the base bid. Zovich's bid alternate and total bid amounts are irrelevant to determining the lowest responsible bidder. Zovich submitted the lowest base bid. Under Public Contract Code §20103.8 the City may only award the contract to Zovich. Zovich protests the determination of any other bidder as the Iow bidder as a violation of Public Contract Code §20103.8. Zovich requests that the City of Dublin award the contract for the Project to Zovich Construction as the lowest responsive bidder, or alternatively, the City set a hearing on Zovich's bid protest to allow Zovich to present further evidence in support of its protest. Please advise as to how You intend to proceed. QST:rl CC: Very truly yours, Zovich Construction McCrary Construction (via fax and mail)