Agenda Item
City Council
Item #: 3.9. 9/26/2023 File #: 23-0602
TO: Honorable Mayor and Members of the City Council
THRU: Tom Kisela, City Manager
FROM: Christopher Cash, Public Works Director
1. SUBJECT
Award of Contract to Interior Demolition, Inc. for Bid No. 23-24.08; SP-4262; Demolition of Building at 2829 N. Glassell Street.
2. SUMMARY
Bids for the Demolition of Building at 2829 N. Glassell Street were received and opened on August 31, 2023. Four bidders responded to the notice inviting bids. The apparent low bidder is Interior Demolition, Inc. of Newhall, California in the amount of $124,200.
3. RECOMMENDED ACTION
1. Waive minor public works bidding irregularity in the bid proposal received by Interior Demolition, Inc.
2. Authorize the appropriation of $140,000 from the Capital Projects (500) unreserved fund balance to 500.7021.56012.20533 (2829 N. Glassell Street).
3. Award contract to Interior Demolition, Inc. in the total amount of $136,620, representing an original bid amount of $124,200, plus a 10% contingency of $12,420, for the Demolition of Building at 2829 N. Glassell Street; and authorize the Mayor and City Clerk to execute on behalf of the City.
4. FISCAL IMPACT
The total expenditure including a 10% contingency and utility service removal costs of $2,622 for this contract is $139,242 and will be funded in 2829 N. Glassell Street (20533) through Capital Projects (500).
Upon approval of this appropriation, the Capital Projects (500) estimated fund balance on September 26, 2023 will be $4,700,000.
5. STRATEGIC PLAN GOALS
Goal 1: Provide for a safe community
b: Provide and maintain infrastructure necessary to ensure the safety of the public.
Goal 4: Provide outstanding public service
b: Provide facilities and services to meet customer expectations.
6. DISCUSSION AND BACKGROUND
The City Council previously approved the Purchase and Sale Agreement for the property located at City of Orange Printed on 9/21/2023Page 1 of 2
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Item #: 3.9. 9/26/2023 File #: 23-0602
The City Council previously approved the Purchase and Sale Agreement for the property located at 2829 N. Glassell Street on May 9, 2023. This property is located immediately adjacent to the parking lot for Olive Park.
As parking at Olive Park is inadequate to support the heavy use of the baseball fields, the subject property would be an ideal location to create additional overflow parking to support the park. The demolition of the site will include removal of the existing building, foundations, concrete slabs, grading and subgrade preparation, clearing and grubbing and placement of crushed aggregate base across the site.
The bid solicitation was advertised on August 17, 2023 as an informal bid for a period of two weeks and bids were opened on August 31, 2023. Four bids were received as follows:
Interior Demolition, Inc., Newhall $124,200.00
Resource Environmental, Inc., Cerritos $138,080.00
Danny Ryan Precision Contracting, Inc., Irvine $169,032.44 UBD, Inc., North Hollywood $184,983.00
There was a minor irregularity in the Interior Demolition, Inc. (Interior) bid. The bid package was missing pages P-6 (Public Contract Code Section 10285.1 Statement, Public Contract Code Section 10162 Questionnaire, and Public Contract Code Section 10232 Statement), P-7 (Non-Conclusion Affidavit), and P-8 (Debarment and Suspension Certification). The missing pages were subsequently submitted after the bid opening, so staff is recommending the City Council waive this minor public works bidding irregularity.
The low bid is about 30.7% lower than the Engineer’s Estimate of $179,000. Staff checked the references and qualifications for Interior Demolition, Inc., and found them to be acceptable, with adequate years of experience in completing contracts of a similar nature to this project. Therefore, staff recommends that Interior Demolition, Inc., be awarded the contract in the amount of $136,620, representing an original bid amount of $124,200, plus a 10% contingency of $12,420, for Demolition of Building at 2829 N. Glassell Street.
Construction is scheduled to begin in November 2023 and is expected to be completed by December 2023.
7. ATTACHMENTS
· Bid Abstract
· Location Map
· Contract with Interior Demolition, Inc.
City of Orange Printed on 9/21/2023Page 2 of 2
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