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Attachment D - Response to Protest (MEP Fusion)

Newport Beach City Council
January 28, 2025

Document
Attachment D - Response to Protest (MEP Fusion)
Meeting
January 28, 2025
Body
Newport Beach City Council
Original file
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Text extracted from the city's file for reading and search. Open the original on newportbeach.legistar1.com. That file is the official record.

Ellis Petersen
Associate Civil Engineer
City of Newport Beach
100 Civic Center Drive
Newport Beach, CA 92660
Re: Response to Protest – MEP Fusion, Inc. – Central Library Air Handler Replacement Project Project No.: 9691-1
Dear Mr. Petersen,
This letter responds to the protest submitted by Simco Mechanical, Inc. (“Simco”) regarding MEP Fusion, Inc.’s (“MEP Fusion”) bid for the Central Library Air Handler Replacement Project. Below, we address the issues raised in Simco’s protest:

Response to Issue 1: Subcontractor Designation
Simco claims that MEP Fusion’s bid is non-responsive due to an alleged failure to list subcontractors for certain portions of work. This assertion is incorrect.

MEP Fusion holds both a “B” General Building Contractor license and a “C-20” Warm-Air Heating, Ventilating, and Air-Conditioning Contractor license issued by the California Contractors State License Board (CSLB). Under California law, a contractor holding a “B” license is authorized to self-perform all work encompassed within the general scope of the project, provided it falls under the permissible classifications for such a license. This includes electrical, plumbing, insulation, and rigging work, as these tasks are incidental and necessary components of the general building project.

In accordance with the bid documents and Public Contract Code requirements, MEP Fusion represents that it is fully qualified and capable of self-performing the entirety of the work scope under its “B” license classification without the need to subcontract. This is expressly permitted under the Designation of Subcontractor(s) Affidavit, which states that failure to list a subcontractor affirms the contractor’s responsibility for performing the work.

As evidence of our qualifications, we have attached a copy of MEP Fusion’s “B” General Building Contractor license and “C-20” license. Both licenses are valid, and our experience in self-performing such work is well-documented and consistent with state licensing laws and City standards.
12/30/2024
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ATTACHMENT D
Simco further alleges that MEP Fusion fails to meet the three-year qualification period stated in the bid documents due to the issuance date of our current CSLB license. This claim is based on a misunderstanding of our licensing history.

The issuance of our current CSLB license (No. 1111182) in October 2023 resulted from an administrative adjustment related to our company name. Specifically, a discrepancy existed between the records of the CSLB and the California Secretary of State regarding the inclusion of “Inc.” in our company name. To resolve this, we requested a revision with CSLB to remove “Inc.” from our name, and CSLB issued us a new license number. This was a procedural matter and does not reflect any lapse in our qualifications, business operations, or experience.

Based on the above, MEP Fusion’s bid is fully compliant with all applicable laws and bid documents. Simco’s protest lacks merit, and we respectfully request that the City dismiss the protest and proceed with awarding the contract to MEP Fusion as the lowest responsive and responsible bidder.

We are available to provide any further information or clarification as required.

Sincerely,
Adel Aziz
President
MEP Fusion
Attachments:

Copy of CSLB License – Classification B,C-20
adelaziz
adelaziz
Response to Issue 2: Company License History
Conclusion :
12/30/2024
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