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HomeMy WebLinkAbout10 - C-3397 - Balboa Island Pavement ReplacementJanuary 8, 2002 CITY COUNCIL AGENDA ITEM NO. io TO: Mayor and Members of the City Council FROM: Public Works Department SUBJECT: BALBOA ISLAND PAVEMENT REPLACEMENT, CONTRACT NO. 3397 — REJECT ALL BIDS RECOMMENDATIONS: 1. Reject all bids, and direct Staff to re -bid the project. DISCUSSION: At 11:00 A.M on December 18, 2001, the City Clerk opened and read the following bids for this project: BIDDER Low Damon Construction Co. 2 Hillcrest Contracting Inc. 3 All American Asphalt 4 Nobest Incorporated TOTAL BID AMOUNT $580,440 597,149 *648,648 750,000 * Corrected Bid Amount is $634,247.50 One Addendum was issued for this project in regard to traffic control related issues. A fifth bid received from 4 -Con Engineering was not considered because it did not contain a signed copy of this addendum. The low total bid amount is 21 percent above the Engineer's Estimate of $480,000. The low bidder, Damon Construction Co., possesses a General Classification "A' contractor's license as required by the project specifications. Damon Construction Company has satisfactorily completed similar concrete repair projects for the City. This project includes reconstruction of existing deteriorated concrete streets on both Balboa Island and Little Balboa Island. The project also includes water main replacement in the area of Little Balboa Island in the previously completed Undergrounding District No. 78. The low bid is approximately $100,000 over the estimated cost for the project. While the bid costs of the pavement replacement portion of the work are competitive, the bid costs for the water line replacement work are grossly inflated. All of the bidders are Subject: Balboa Island Pavement and Water Main Replacement, Contract No. 3397 — Reject All Bids January 8, 2002 Page: 2 primarily street replacement contractors with the same sub - contractor listed for the water line work in four of the five bids. This lack of competition for the work performed by waterline subcontractors caused inflated bids for the water main portion of the project. To remedy this situation, staff will re- advertise the project with emphasis on both the pavement and waterline portions of work. Additionally, staff will contact area water main contractors and encourage their participation. Staff plans to re -bid the project in January and award in February. This will allow enough construction time to complete the project before summer. Respectfully WORKS DEPARTMENT G. 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ESU v a COLLINS RUBY , z DIAMOND o Op SAPPHIRE �z A Fn n CORAL ~ APOLENA T> +� s z m AMETHYST ONYX i MARINE ABALONE CRYSTAL JADE CITY OF NEWPORT BEACH PUBLIC WORKS DEPARTMENT BALBOA ISLAND PAVEMENT REPLACEMENT; C -3397 DRAWN S • 7- L. DATE APPROVED DRAWING NO. EXHIBIT A