DATE: April 1, 2024
TO: Mayor and Members of the City Council
VIA: Stefan Chatwin, City Manager
Marlene Subhashini, Assistant City Manager
FROM: Derek Schweigart, Parks and Recreation Director
Justin Lai, Senior Civil Engineer
DEPARTMENT: Parks and Recreation
SUBJECT: REJECTION OF ALL BIDS FOR THE RECREATION CENTER
MODULAR BUILDINGS PROJECT AND APPROVING PLANS
AND SPECIFICATIONS AND AUTHORIZATION FOR THE
SECOND CALL FOR BIDS – RECREATION CENTER MODULAR
BUILDINGS PROJECT (CIP 301-678)
RECOMMENDATION
It is recommended that the City Council adopt the attached resolution: 1) Rejecting the bids received on March 14, 2024 at 2:00 PM for the Recreation Center Modular Buildings Project CIP301-678; and 2) Approving the Plans and Specifications and authorizing the call for bids for the second time for the lease and installation of three (3) modular buildings and one restroom trailer at or near the tennis courts at Leo J. Ryan Park as a part of the Recreation Center Rebuild Project (CIP 301-678).
EXECUTIVE SUMMARY
The Recreation Center Rebuild Project (Project) consists of replacing the existing Recreation Center with a new building. Modular buildings would be utilized to fill the gap for programs while the Recreation Center is under construction. Staff is recommending leasing three (3) modular classroom buildings and a restroom trailer that will be placed on or near the tennis courts at Leo J. Ryan Park.
The City issued a call for bids with a bid opening on March 14, 2024, but only received
one (1) qualifying bid that was over the engineer’s estimate. Staff is requesting to reject all bids and re-issue the call for bids to get more contractors with competitive pricing.
There is $55,374,250 available in the Project budget for construction, which is likely to increase for the final construction. It is estimated that the temporary modular buildings and restroom trailer will cost approximately $405,000 for the anticipated 22 months of construction of the Recreation Center. The City Council action will allow staff to advertise this portion of the project for bidding. Construction of the modular buildings is anticipated to take approximately 40 days with the rental lasting for 22 months.
BACKGROUND
At the regular City Council meeting on November 6, 2023, staff provided a report and presentation to the City Council on the temporary facilities and operations plan during the Recreation Center closure which is anticipated to start in September 2024. Staff received confirmation to move programs to The Vibe Teen Center, Community Center, and school multipurpose rooms (MPR) through the Joint Use Agreement with the San Mateo-Foster City School District during the anticipated two-year construction period.
The City Council also authorized the rental and installation of three (3) modular buildings and one (1) restroom trailer on or near the tennis courts at Leo J. Ryan Park.
These temporary facilities aim to fill the gap and provide alternative spaces for recreational activities during the transition period.
The scope of work includes but is not limited to delivering, leveling, installing, and removing the temporary structures. Along with the structures, the buildings must be furnished properly and installed with the appropriate Americans with Disabilities Act (ADA) requirements. The installation of the temporary structures is subject to architectural review and staff is working on the architectural review permit.
ANALYSIS
At the February 20, 2024, Regular Meeting, the City Council adopted City Resolution No. 2024-7 approving the plans and specifications and authorizing the call for bids for the Recreation Center Modular Buildings as part of the Recreation Center Rebuild Project. Bids were opened on March 14, 2024, at 2:00 PM, with the following results:
Name of Company Total Bid Over/(Under)
Engineer’s
Estimate
Over/(Under)
Engineer’s
Estimate
Mobile Modular Incomplete Bid -- --
Castillo Plumbing Inc. $428,063 $23,063 5.7%
The City received two bid packages before the deadline and only one company submitted a complete bid package. The completed package was submitted by Castillo Plumbing, Inc. and was above the engineer’s estimate. City staff along with Griffin Structures, the City’s Construction Manager for the project, reviewed the bid and did not find the bid suitable for awarding the contract, due to qualifications and pricing.
Provisions of Section 00 1115, “Notice Inviting Bids”, Paragraph 1.06, “Reservation of Rights” of the standard specifications’ states that “Owner specifically reserves the right, in its sole discretion, to reject any or all Bids, to re-bid, or to waive inconsequential defects in bidding not involving time, price or quality of the work. Owner may reject any and all Bids and waive any minor irregularities in the Bids.” Staff is recommending the City Council exercise this right and reject all bids at this time.
Staff would like to re-bid the project with outreach from our consultants to reach additional contractors who could perform the work. The City anticipates receiving more bids with competitive pricing.
Plans and specifications for Recreation Center Modular Buildings Project CIP 301-678 are complete and ready for bidding. City staff, with the help of Griffin Structures, prepared the plans and specifications. Construction of the modular buildings is anticipated to begin in May 2024 and will take approximately 40 days to complete. After construction of the facilities, the buildings will remain onsite for an anticipated 22 months, in which a removal period will follow. The overall project management and daily inspection will be provided by a combination of in-house staff and consultant support. The engineer’s estimate for this work is $405,000.
The anticipated project schedule is as follows:
Approval of plans and specifications &
authorization to call for bids
April 1, 2024
Bid Opening April 25, 2024
City Council Award of Contract May 20, 2024
Contract execution May/June 2024
Construction of modular buildings May – July 2024
Rental period August 2024 – June 2026
Building removal May 2024 – June 2026
Project notice of completion July 2024
California Environmental Quality Act
In July 2023, the City of Foster City, in accordance with the requirements of the California Environmental Quality Act (“CEQA”), the State CEQA Guidelines adopted by the Secretary of Resources, and the City of Foster City Environmental Review Guidelines, prepared an Initial Study and Mitigated Negative Declaration (IS/MND) with Standards Conditions and Mitigation Monitoring and Reporting Program (SCAMMRP), and CEQA Findings for the Recreation Center Rebuild Project (SCH # 20231009).
On November 16, 2023, the Planning Commission adopted the IS/MND and approved the Use Permit for the Project. Pursuant to Public Resources Code section 21166 and CEQA Guidelines section 15164(b), the City prepared an Addendum to the adopted IS/MND for Council’s consideration and approval. Only minor additions are being made to the Project by installing and later removing three (3) modular classroom buildings and a restroom trailer on or near the existing tennis courts at Leo Ryan Park for the anticipated 22 months of construction. Additionally, none of the conditions described in CEQA Guidelines section 15162 are met as there are no substantial changes to the Project or new information of substantial importance.
On February 20, 2024, the CEQA addendum was adopted to the IS/MND for the Recreation Center Rebuild Project.
A hardcopy of the plans and specifications is available for view in City Hall.
FISCAL IMPACT
The Project (CIP 301-678) has an approved budget of $55,374,250 with plans to add additional funding based on current estimates of the project.
CITY COUNCIL VISION, MISSION, AND VALUE/PRIORITY AREA
Facilities and Infrastructure
ATTACHMENTS
Attachment 1 – Resolution
* A hardcopy of the plans and specifications is available for view in City Hall.