Attachment 3
SAN CL Agenda item Leu
EMENTE Approvals:
CTY AGENDA REPORT City Manager 4
Dept. Head
CALIFORNIA SAN CLEMENTE CITY COUNCIL MEETING Attorney
Meeting Date: April 6, 2021
Finance
Department: Public Works / Engineering
Prepared By: Ziad Y. Mazboudi, Deputy Public Works Director Subject: CONSTRUCTION CONTRACT AWARD TO L. C.PAVING & SEALING, INC. FOR ALLEYPAVEMENT REHABILITATION, PROJECTS NO. 10318, 18326 AND 18328.
Fiscal Impact: Yes. The estimated total project cost of $1,829,458 is within the approved budget amount of $1,996,580.
Summary: Staff recommends that the City Council consent to the request of Sequels Contractors, Inc. to relieve it of its bid and approve a construction contract with L.C.Paving & Sealing, Inc. in an amount not to exceed $1,523,458 for the purpose of constructing Alley Pavement Rehabilitation, Projects No. 10318, 18326, 18328.
Discussion: This project includes grinding and overlaying, asphalt removal and replacement, construction of handicap ramps and other concrete work and striping of various alleys as shown on the location map. (see Location Map in Attachment 1).
The project was advertised for public bidding on February 28, 2021 and March, 2021 using the City's Planet Bids System. Bids were opened on March 18, 2021 and the results are presented on the attached Bidder's Listing (Attachment 2). Bids ranged from $1,198, 148 to $3,241,248.
The lowest responsive bidder was Sequel Contractors, Inc of Santa Fe Springs, CA with a total bid amount of $1,198,148. On March 23, 2021, the City received a letter from Sequel Contractors, Inc. requesting relief of its bid pursuant to Sections 5100- 5110 of the Public Contract Code. Sequel Contractors, Inc. stated that there were clerical computing errors in their bid, thus the dollar amount submitted does not reflect the dollar amount that Sequel Contractors, Inc. intended to propose for the project.
Staff reviewed the documentation provided by Sequel Contractors, Inc. and determined that Sequel Contractors, Inc. did properly establish the conditions set forth in Section 5103 of the Public Contract Code that:
a) A mistake was made.
b) Sequel Contractors gave the City written notice within five working days after the opening of the bids of the mistake, specifying in the notice in detail how the mistake occurred.
c) The mistake made the bid materially different than what Sequel Contractors, Inc. intended it to be.
d) The mistake was made in filling out the bid and not due to error in judgment or to carelessness in inspecting the site of the work, or in reading the plans or specifications.
Public Works Agenda Report
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Agenda Report Page 2
Therefore, staff recommends relieving Sequel Contractors, Inc. of its bid, which in this case will not require Sequel Contractors, Inc. to forfeit its bid security. As a result, staff recommends awarding the contract to the second lowest bidder L.C.Paving & Sealing, Inc. from Escondido, CA. L.C.Paving & Sealing, Inc. submitted a bid with a total bid amount of $1,523,458.
Based on the low bid, the total estimated project cost is $1,829,458 as summarized below:
Project Budget Summary
Construction $1,523,458
Construction Design, Management & Inspection (approx. 10%) 153,000 Project Contingency (approx. 10%) 153,000
Estimated Total Project Cost $1,829,458
The current combined approved project budget is $1,996,580.
As required by City Policy and State Law, the Contractor will be required to provide performance and payment bonds simultaneously with execution of the construction contract (Attachment 3). Project plans and specifications are on file in the City Clerk's office.
Recommended
Action: STAFF RECOMMENDS THat the City Council:
1. Approve the. plans and specifications for Alley Pavement Rehabilitation, Projects No. 10318, 18326 and 18328;
2. Consent to the request of Sequels Contractors, Inc. to relieve it of its bid pursuant to Section 5101(b) of the Public Contract Code; and
3. Approve and authorize the Public Works Director/City Engineer to execute, Contract No. _ by and between the City of San Clemente and L.C.Paving & Sealing, Inc, in the amount of $1,523,458, for Alley Pavement Rehabilitation, Projects No. 10318, 18326 and 18328.
Attachments: 1. Location Map
2. Bidders List
3. Contract
Notification: None.
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