PISMO BEACH CITY COUNCIL STAFF REPORT
Agenda Item #9.F
Meeting Date: August 6, 2024
TITLE:
Reject All Bids Received for the Digester 1 Demolition Project RECOMMENDATION:
Reject all bids received for the Digester 1 Demolition Project and authorize staff to re- advertise for bids.
DISCUSSION:
In August of 2020, the Council authorized the Wastewater Treatment Plant (WWTP) Improvements project consisting of several items that would be completed either by staff or bid as separate contracts. One of the items included in the WWTP Improvements Project is the demolition of the defunct Digester #1, a piece of treatment equipment where microorganisms break down the organic matter in wastewater.
The Digester 1 Demolition Project was advertised for construction bids on June 13, 2024.
Three bids were received on July 11, 2024, ranging from $198,721 to $476,749 as shown in Table 1:
Table 1. Bidders and Bid Amounts
Company Name Bid
Standard Demolition, Inc. $198,721
MP Environmental Services $476,749
Bowen Engineering & Environmental $388,500
The apparent low bidder, Standard Demolition, Inc. does not possess the required license classification and was disqualified. The lowest qualified bidder was Bowen Engineering & Environmental with a bid of $388,500. The bid is significantly higher than the Engineer’s Estimate of $200,000 and staff believes that with further outreach efforts, lower bids could be obtained.
Conclusion and Recommendation
Staff recommends that the Council reject all bids received for the Digester 1 Demolition Project, and direct staff to re-advertise for bids.
FISCAL IMPACT:
There is no direct fiscal impact associated with this report.
ATTACHMENTS:
None
Prepared by:
Erin Olsen, Senior Management Analyst
Council Agenda 8-6-2024 9.F-1
Submitted by: Benjamin A. Fine, P.E., Director of Public Works/City Engineer City Manager Approval:
Council Agenda 8-6-2024 9.F-2