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Placentia Cit Council
AGENDA REPORT
CITY COUNCIL
CITY ADMINISTRATOR
DEPUTY CITY ADMINISTRATOR / PUBLIC SERVICES & INFRASTRUCTURE DECEMBER 6, 2022
SUBJECT: REJECT ALL BIDS RECEIVED FOR PHASE I CONSTRUCTION OF THE PLACENTIA PUBLIC SAFETY CENTER PROJECT, PROJECT NO. 5213, AND
AUTHORIZE RE -BIDDING OF PROJECT
FISCAL
IMPACT: NONE
SUMMARY:
The City solicited competitive proposals from pre -qualified contractors to construct Phase I of the Public Safety Center project. A total of five (5) bids were received and the apparent low bidder, TTS Engineering, Inc., has submitted a formal request to withdraw their bid due to mathematical errors in their bid. Given the significant difference in the dollar amount submitted by the second low bidder, Staff recommends that the City Council reject all bids received and authorize soliciting new bids from the pre -qualified contractors.
RECOMMENDATION:
It is recommended that the City Council take the following actions:
1. Reject all bids received for Phase I construction of the Placentia Public Safety Center and authorize return of the bid bonds; and
2. Authorize staff to solicit new bids for Phase I construction of the Placentia Public Safety Center.
STRATEGIC PLAN STATEMENT:
This item conforms to Strategic Plan Goal 5, Implement Public Infrastructure to Meet Community Needs, and Objective 5.4, Construct the Placentia Public Safety Center.
DISCUSSION:
On March 1, 2022, the City Council selected a preferred project alternative for the Placentia Public Safety Center and directed Staff to finalize the construction drawings and bid documents to construct this facility. The new 18,000+ square foot facility will primarily house the Police Department's evidence and property storage operations and shooting range as well as a new
1.19 Dec 6, 2022
City Council Agenda
December 6, 2022
public safety communications center and emergency operations and training center. The City currently leases a light industrial/commercial building for property and evidence storage.
The new facility will consist of a manufactured steel Butler Building that will be used for property and evidence storage and the main building that includes the shooting range which will be constructed with CMU block. Since the City's lease for its existing property and evidence building is set to expire in December 2023, the project will need to be phased to allow the construction of the Butler Building to proceed first so that it can be completed prior to the expiration of the City's current lease. Phase 1 construction of the project entails demolition, grading, subsurface utility work, and the footings and slab for the Butler Building. Phase 11 construction will entail the construction of the main building under a separate construction contract. This project delivery methodology will allow the City to construct the building foundation and footings and allow the Butler Building to be erected as a stand-alone effort. This will expedite the completion and occupancy of the newly constructed evidence and property storage building before the City's current lease expires. Construction of the main building will occur concurrently and continue into early 2024. Staff anticipates beginning operations in that portion of the facility late in Spring 2024.
Given the complexity of constructing an essential public safety facility, the project team issued a public prequalification questionnaire to the contracting community ahead of soliciting formal bids for construction to ensure that only qualified contractors with experience in building similar facilities would submit a bid for this project. A total of eight (8) contractors were prequalified for Phase 1 construction and were asked to submit competitive bids. A separate contractor prequalification process for Phase II construction has also been undertaken.
On November 28, 2022, the City received five (5) bids from the prequalified contractors to construct Phase I. The following table provides the total bid amounts received from each contractor:
Contractor Bid Amount
TTS Engineering, Inc. $580,000
Facility Builders & Erectors $1,513,748
Caliagua, Inc. $1,574,823
Legion Contractors, Inc. $1,686,000
Sully -Miller Contracting Company $2,061,000
After reviewing the bid proposals received, Staff reached out to TTS Engineering, Inc., (TTS) to discuss their bid amount to determine if they had overlooked any aspect of the project while preparing their bid. TTS confirmed that they had miscalculated the costs related to demolition work and the limits of underground utility work. Accordingly, TTS submitted a formal letter (attached) requesting to withdraw their bid. The design team's estimate for this work amounts to approximately $900,000. Given the significant difference in the dollar amount submitted by the second low bidder, Staff recommends that the City Council reject all bids and authorize solicitation
City Council Agenda
December 6, 2022
of new bids for Phase I of this project. The City Council may at its discretion and pursuant to the City's Purchasing Policy and California Public Contract Code, waive any minor bid irregularities or reject any or all bids received for public works projects for any reason. The wide disparity between the bids submitted exceeds what could be deemed a minor bid irregularity, and as such, it would be in the City's best interests to solicit new bids for this phase of the project.
FISCAL IMPACT:
There is no direct fiscal impact associated with rejecting all bids received and solicitation of new bids.
Prepared by: Reviewe
MasoSepa " i, P.E.
City Rndgineer
wed and approved:
Damien R. Arrula
City Administrator
Attachment:
Letter from TTS Engineering, Inc.
dpproved:
1 Ittlf0114
1. Luis Estevez
Deputy City Administrator