FOR THE COUNCIL MEETING OF FEBRUARY 15, 2022
COUNCIL AGENDA REPORT
TO: City Council
FROM: City Manager
Prepared by: Interim Director of Public Works
SUBJECT: REJECT BID PROTEST AND AWARD OF BID NO. 2021/06, CHAPEL
STREET PARKING LOT RENOVATION (CHAPEL PLAZA)
RECOMMENDATION:
That the City Council adopt a Resolution rejecting a bid protest from Rdz Contractors, Inc., and awarding an agreement with Newton Construction & Management, Inc., for Bid No. 2021/06, Chapel Street Parking Lot Renovation (Chapel Plaza).
BACKGROUND:
This project consists of providing all tools, materials, labor, equipment, and incidentals to perform demolition, grading, landscaping/irrigation, electrical improvements, hardscape, and all work required to fulfill the intent of the Plans and Specifications for the project and all work necessary to render the facility complete and operational.
The area where the project will take place is along the 200 block of West Chapel Street between Lincoln and Pine Streets. The short-term goals for the project consist of creating an updated, ADA accessible parking lot and recreational/event venue by demolishing the aging parking lot and replacing it with permeable pavers, upgrading existing lighting, installing low landscaping and turf, creating a small stage for entertaining and installing outdoor seating, precast concrete ping pong tables, and a musical playground. The long- term goals of the project are to enhance livability in the neighborhood, ensure access to the parking lot and plaza for all residents, reduce crime in the area, and provide organized recreational activities and events for patrons utilizing the space.
DISCUSSION:
The City received responsive bids from seven contractors. One of the bids was found non -responsive due to math computation errors and was removed from consideration.
The City also received one bid protest letter, prepared by Mr. Pedro Rodriguez, president of Rdz Contractors, Inc. The bid protest letter was reviewed by Public Works and the City Attorney's Office and found to be without merit.
Staff recommends that the City Council award a construction contract (Attachment A) to the low bidder, Newton Construction & Management, Inc., in the amount of $1,229,207.75.
PROJECT DATA
Low Bid:
High Bid:
No. Bids Received:
Engineer's Estimate:
Bid Opening:
Time Allowed:
A report of the three lower bids received
(Attachment B) of each of the bidders.
Subcontractors for this project are as listed:
Company
Landscape Development
Pac-West General, Inc.
Town & Country Fencing
R&E Concrete Company
$1,229,207.75
$1,485,595.90
-7-
$868,123.66
2:00 p.m. on 11/23/2021
120 Working Days
is attached summarizing the detailed proposal
Location
San Luis Obispo, CA
San Luis Obispo, CA
San Luis Obispo, CA
Santa Maria, CA
Signed proposals and bid bond forms are available for viewing in the office of the Chief Deputy City Clerk.
Bid Protest
A bid protest was received on November 26, 2021, from Rdz Contractors, Inc., claiming that the bid from Newton Construction & Management, Inc., failed to list subcontractors for work in excess of one-half of one percent of the prime contractor's total bid. In addition, the protest alleged that Newton Construction & Management, Inc.'s subcontractor, who was listed for masonry work, was not licensed with the appropriate license classification as required under the Contract Documents for the Project.
The bid protest was examined by Public Works Engineering staff and the City Attorney's Office and was found without merit. A notice of intent to reject the bid protest, dated December 6, 2021, was mailed to Rdz Contractors, Inc. Copies of Rdz Construction, Inc. protest, the City's notice of intent to reject this protest, along with Newton Construction & Management, Inc.'s response are included in Attachment C.
The subcontractor listing requirement is a statutory requirement under the Subletting and Subcontracting Fair Practices Act, codified as Public Contract Code section 4100 et seq. ("Act"). The Act, section 4106, stipulates that should the prime contractor fail to specify a subcontractor for a portion of work to be performed under the contract in excess of one-half of one percent of the prime contractor's total bid, the prime contractor agrees that he or she is fully qualified to perform that portion himself or herself, and that the prime contractor shall perform that portion himself or herself. Furthermore, the Act states, that should after the award of contract, the prime contractor subcontracts, except as provided for in sections 4107 2 or 4109, any such portion of the work, the prime contractor shall be subject to the penalties identified in section 4111.
Newton Construction & Management, Inc. holds a current and active General Engineering Contractor A license and is fully qualified to perform any and all work for the project. As admitted by the low bidder, the inadvertent omission of the word "concrete" in the type of the work column on the subcontractor form of the Contract Documents, did not change the content of the proposal and neither gave any advantage against the other bidders. City staff judged the omission as a minor bid irregularity and had no reason to believe that Newton Construction & Management, Inc. has violated the Act. Furthermore, the City has broad discretion to determine responsiveness and accept a responsive bid even if there are minor irregularities or mistakes if such mistakes are ruled immaterial.
The California Attorney General, relying on Public Contract Code section 4110, has opined that a public entity may accept a bid where the contractor failed to comply fully with the Act.
The Attorney General noted that the public entity may require the contractor who failed to properly list subcontractors to pay the statutorily prescribed penalty up to 10 percent of the amount of the subcontract involved or to self -perform that portion of the subcontracted work in accordance with Public Contract Code sections 4110 and 4106, respectively.
Alternatives
The recommended action is to award the bid of $1,229,207.75 to Newton Construction & Management, Inc. There were no additive alternative bid items included in this project.
The alternative to the recommended action would be to reject all bids. The low bid is higher than the Engineer's estimate. Comparison of the bid results with the Engineer's estimate revealed inflationary differences in most bid items. Lead times and uncertainties due to the COVID-19 pandemic have also created challenges in the supply chain that affect pricing and availability of prefabricated items such as site amenities and decorative fencing. Other material prices that were noted to be elevated were concrete, asphalt, irrigation, and electrical supplies.
Despite the elevated bid amounts, the bids received were all very competitive, and Engineering staff does not advise rejecting the bids since pricing trends continue to be volatile. The low bid received is responsive to the City's Request for Bids, and the low bidder is well regarded having completed similar public works projects in the past.
Fiscal Considerations
Sufficient funds for this project have been budgeted and are in the accounts CHAPEL PLAZA and ARPA — CHAPEL PLAZA. The funding sources are from a CDBG grant and the American Rescue Plan Act (ARPA) of 2021.
Available Budget Account Amount
CHAPEL PLAZA (CDBG) $ 600,000.00
ARPA — CHAPEL PLAZA $ 950,000.00
Total $ 1,550,000.00
3 Estimated Project Expenditures Amount
Award $ 1,229,207.75
Contingency (15%) $ 184,381.16
Staff Time, Inspection, and Materials Testing $ 61,411.09 Construction Management and Administration $ 75,000.00
Total $ 1,550,000.00
Use of CDBG and ARPA Funds
The City's Recreation and Parks Department received a Community Development Block Grant (CDBG) in the amount of $600,000 as the initial funding source for this project. The CDBG Program provides annual grants on a formula basis to states, cities, and counties to develop viable urban communities by providing decent housing and suitable living environments, and by expanding economic opportunities, principally for low- and moderate - income persons.
The City of Santa Maria will also utilize State and Local Fiscal Recovery Funds from ARPA for this project. The American Rescue Plan Act of 2021 (ARPA; P.L. 117-2) was signed into law by President Biden on March 11, 2021. ARPA is the latest in a series of Coronavirus Disease 2019 (COVID-19)-related relief and economic stimulus legislation. One of the eligible uses is to invest in parks, public plazas, and other public recreation spaces to promote a healthier living environment and to sustain economic growth for disproportionately impacted low-income family neighborhoods in the community as a result of the COVID-19 disease and its impacts.
Impact to the Community
The Chapel Plaza Rehabilitation project will create a recreational venue and community neighborhood park complete with a stage, outdoor musical playground equipment, upgraded lighting, seating additions, hardscaping, and landscaping. Transformation of the space will provide nearby residents and the community with a safe, ADA-accessible parking lot and a multi -use outdoor recreational space to promote a healthier living environment in response to COVID-19.
The project will also increase the community's presence at the site with downstream impacts of safe gathering and reduced criminal activity in the area. A research team from the University of Pennsylvania has found that distressed neighborhoods where underutilized parking lots have been converted into small parks are associated with reduced crime and have shown that the presence of urban parks is linked to lower rates of mortality and health complaints and add mental health benefits to low-income neighborhoods (National Recreation Parks Association Issue Brief, Creating Mini Parks for Increased Physical Activity). Increased foot traffic from the neighborhoods to the plaza will stimulate the small businesses nearby and serve as one of the many highlights of the City's plan to rehabilitate the downtown district, as well as serve as a site for special 4 events and provide residents a venue to engage socially while fostering community building.
According to the online database, Census Reporter, the Chapel Plaza site is in the Census Tract 23.04, a Qualified Census Tract, where approximately 17.9 percent of the over 6,000 people who live in the area are below the poverty line. Chapel Plaza will provide a clean and safe gathering place with outdoor musical playground equipment and other accessible amenities that will benefit community members of all ages.
Other Agency Review
No other agency review is necessary or anticipated.
CHRISTOS STOYOS, P.E.
Principal Civil Engineer
Interim Director of Public Works
Attachments A: Chapel Plaza Agreement
B: Detailed Bid Results
C: Bid Protest Letter and Responses
5 AGREEMENT
THIS AGREEMENT, made and entered into this 15th day of February 2022, by and between Newton Construction & Management, Inc.
hereinafter referred to as "Contractor," and the City of Santa Maria in the County of Santa Barbara, California, hereinafter referred to as "Owner." WITNESSETH:
That for and in consideration of the promises and agreements hereinafter made and exchanged, Owner and Contractor agrees as follows:
1. That Contractor shall complete the work generally described as follows: BID NO. 2021/06, CHAPEL STREET PARKING LOT RENOVATION (CHAPEL PLAZA) in accordance with the Contract Documents therefore, adopted by the City Council, of Owner, as prepared by City of Santa Maria.
2. That Owner will pay Contractor progress payments and the final payment, in accordance with the provisions of the contract documents, with warrants drawn on the appropriate fund or funds as required, at the prices bid on the proposal form accepted by Owner, and set forth in this agreement.
Total Bid of One Million Two Hundred Twenty -Nine Thousand Two Hundred Seven Dollars and Seventy -Five Cents
Contract Price in Figures $ 1,229,207.75
3. Contractor agrees to complete said work within the contract time of forty-five (45) Working days, from the day following the issuance of the Notice to Proceed, and approved extensions thereof, to the satisfaction of Owner before final payment is made.
4. Time is of the essence on this contract.
5. It is mutually understood and agreed that time is of the essence of this agreement and that it is difficult to ascertain the amount of damages required to properly compensate Owner for failure by Contractor to comply with all the contract requirements within the time fixed in the agreement.
In accordance with California Government Code, Section 53069.85, the amount of liquidated damages to be paid to Owner for each day completion is delayed beyond the time for completion, shall be five hundred ($500) dollars. Contractor hereby acknowledges that it has reviewed said provisions relating to liquidated damages and the amount thereof, and accepts the same as being reasonable under the
ATTACHMENT A
circumstances and as a material part of the consideration for this contract.
Contractor also acknowledges that progress payments made after the scheduled completion date do not constitute a waiver of liquidated damages.
6. That, in accordance with Section 1774 of the California Labor Code, Contractor will pay, and will require subcontractors to pay, employees on the project a salary or wage at least equal to the prevailing salary or wage established for such work as set forth in the wage determinations and wage standards applicable to this work, contained in or referenced in the contract documents.
7. That, in accordance with Section 1775 of the California Labor Code, Contractor shall forfeit to Owner, as a penalty, not more than two hundred dollars ($200) for each day, or portion thereof, for each worker paid, either by Contractor or any subcontractor, less than the prevailing rates as determined by the Director of the California Department of Industrial Relations for the work.
8. That, in accordance with Section 1777.5 of the Labor Code, this agreement fixes the responsibility of compliance with said Section 1777.5 for all apprenticeable occupations with the prime Contractor.
9. That, except as provided in Section 1815 of the California Labor Code, in the performance of the work not more than eight (8) hours shall constitute a day's work, and not more than forty (40) hours shall constitute a week's work; that Contractor shall not require more than eight (8) hours of labor in a day nor more than forty (40) hours of labor in a week from any person employed by Contractor or any subcontractor; that Contractor shall conform to Division 2, Part 7, Chapter 1, Article 3 (Section 1810, et seq.) of the California Labor Code; and that Contractor shall forfeit to Owner, as a penalty, the sum of twenty-five dollars ($25) for each worker employed in the execution of the work by Contractor or any subcontractor for each day during which any worker is required or permitted to labor more than eight (8) hours in violation of said Article 3.
10. That Contractor shall carry workers' compensation insurance and require subcontractors to carry workers' compensation insurance as required by the California Labor Code.
11. That Contractor shall have furnished, prior to execution of the contract, three bonds approved by Owner: (1) the faithful performance bond in the amount of one -hundred percent (100%) of the contract price, to guarantee the faithful performance of the work; (2) the labor and material bond in the amount of one -hundred percent (100%) of the contract price, to guarantee payment of all claims for labor and materials furnished; and (3) the guarantee and defective material bond in the amount of ten percent (10%) of the contract price, to guarantee the one year maintenance of public improvements. This contract shall not become effective until such bonds are supplied to and approved by Owner.
12. That Contractor, prior to execution of the contract shall comply with the following
ATTACHMENT A
Department of Industrial Relations requirements.
• No contractor or subcontractor may be listed on a bid proposal for a public works project (submitted on or after March 1, 2015) unless registered with the Department of Industrial Relations pursuant to Labor Code section 1725.5 [with limited exceptions from this requirement for bid purposes only under Labor Code section 1771.1(a)].
• No contractor or subcontractor may be awarded a contract for public work on a public works project (awarded on or after April 1, 2015) unless registered with the Department of Industrial Relations pursuant to Labor Code section 1725.5. • This project is subject to compliance monitoring and enforcement by the Department of Industrial Relations.
13. That this agreement, by reference, includes the contract documents defined in Document 00700, General Conditions.
14. That Contractor agrees to devote the time necessary to perform the services set forth in this agreement in an efficient and effective manner. Contractor may represent, perform services for and be employed by additional individuals or entities, in Contractor's sole discretion, as long as the performance of these extra -contractual services does not interfere with or present a conflict with City's business.
15. The agreement shall be binding on and shall inure to the benefit of the heirs, executors, administrators, successors and assigns of the parties hereto, but nothing in this section shall be construed as consent by City to any assignment of this agreement or any interest in this agreement.
(REMAINDER OF PAGE LEFT INTENTIONALLY BLANK.)
ATTACHMENT A
IN WITNESS WHEREOF, said Contractor and the Mayor of Santa Maria, by Resolution No. of the City Council, of Owner thereunto duly authorized, have caused the names of said parties to be affixed hereto, each in triplicate, the day and year first above written.
CONTRACTOR: OWNER
Eric Newton
President / Secretary
Rev 2018
Alice Patino
Mayor
ATTEST:
Rhonda M. White, CMC
Chief Deputy City Clerk
APPROVED AS TO FORM:
Risk Manager
City Attorney
ATTACHMENT A
ri
DETAILED BID RESULTS
CITY OF SANTA MARIA
E- MAIL: 1 I_ i '
p ublicworks@city ofsantamana.org
PROJECT: CHAPEL STREET PARKING LOT RENOV ATION (CHAPEL PL AZA) $ 1,229,207 .31
I $ 1,247,121 .25 I
$ 1,289,345.65 I
BID NO .: 2021/06
Newt on C onstructi on 8 Management, Inc
RDZ Contr actor
. Soso Construction, Inc .
BID OPENING D ATE: 11/23/2021
2436 Br oad St
P .O . Box 760
P .O. Box 2387
San Luis Obispo, CA 93401
Nipomo, CA 93443
Niparn o, CA 93444
DESCRIPTION
ESTIMA FED
ENGINEERS ESTIMATE
Lic. 4783608
Lic p 1004109
Lir . 4788272
QUANTITY
UNIT
ESTI MATED
UNIT
PRICE
ESTI MA I ED
TOTAL
UNIT
PRICE
ESRMA rEO
TOTAL
UNIT
PRICE
t alI MAIED
TOTAL
BASE BID ITEMS
QUANTITY
UNIT
PRICE
TOTAL
REF.
1 CONSTRUCTION COORDINATION
1 Ls
$ 25,285.18
25,285.16
88,175.60
S 88,175 .80
71,151.00
$ 71,151.00
54893
54,893 .00
2 DEM OLITION, CLEARING AND GRUBBING
1 L8
$ 10,000.00
10,000 00
56,500.00
$ 56,500 .00
60,957 .00
$ 80,957.00
46092
48,092.00
3 EARTHWORK, AND SUBGRADE PREPARATION
1 LS
$ 50,000 .00
50,000.00
59,040 .24
$ 59,040.24
57,830 .00
$ 57,830 .00
35901
35,901.00
4 ELECTRICAL
1 La
$ 207,815.00
207,815.00
233,03326
$ 233,03326
189,450 .00
$ 189,450 .00
242850
242,850.00
5 CLASS 2 AGGREGATE BASE
150
TN
$ 45 .00
8,750 .00
96 .07
$ 14,410.50
72.60 $ 10,890.00
80 12,000 .00
6 ' SPHALT CONCRETE (1/2" OR 3/8° TYPE A)
175
TN
$ 275.00
48,125.00
129.58
$ 22,678 .50
184 .80
$ 32,340 .00
175
30,825 .00
COLD PLANE EXISTING AC PARKING LOT
4,140
SF
S 4.00
16,580.00
194
$ 6,789 .80
1.10 $ 4,554 .00
1 .5
8,210.00
7 8
STRIPING AND SIGNAGE
1 LS
$ 10,000 .00
10,000 .00
4,892 .90
$ 4,892.90
5,500 .00
$ 5,500.00
4590
4,590.00
9 42' PERIMETER FENCING WITH SINGLE AND DOUBLE SWING GATE 1 LS
$ 32,850.00
32,850 .00
123,831 .05
$ 123,831.05
140,616 .00
$ 140,816.00
140025
140,025 .00
10 VEHICULAR GATE
1 LS
$ 4,500.00
4,500 .00
4,387 .45
$ 4,387 .45
4,095.00
$ 4,095 .00
7500
7,500 .00
11 SITE AM ENITIES
1 LS
$ 35,433.00
35,433 .00
73,087 .25
$ 73,087 25
82,412 .00
$ 62,412 .00
85918
85,918.00
12 8' WALL
I
LS
$ 9,900 .00
9,900 .00
28,250 .00
$ 28,250.00
44,858 .00
$ 44,858 .00
32000
32,000.00
13 CURB (SITE)
464
LF
$ 40 .00
18,580 .00
4520
$ 20,972 .80
51 .00
$ 23,684.00
35 18,240 .00
14 6' M OWCURB
841
LF
S 12 .00
10,092 .00
33 .90
$ 28,509.90
40.50 $ 34,080 .50
35 29,435.00
15 4° THICK CONCRE TE
2,605
SF
$ 8.00
20,848 .00
12.43 $ 32,392.58
10 .00
$ 26,060 .00
11 .25
29,317 .50
16 4° THICK INTEGRAL COLOR CONCRETE
906
SF
$ 10 .00
9,050.00
15 .82
$ 14,317.10
12 .10
S 10,950 .50
17 15,385 .00
17 12' WIDE CONCRETE BANDING
77 SF
$ 15 .00
1,155 .00
58 .50
$ 4,350.50
28 .25
$ 2,021 .25
22 1,894.00
18 PCC SIDEWALK
2,290
SF
$ 8 .00
18,320.00
10.80 $ 24,732 .00
14 .18
$ 32,47220
11 .25
25,762.50
19 PCC ADA RAM P
275
SF
$ 14 .00
3,850.00
1508
$ 4,972.00
3250
$ 8,937 .50
20 5,500 .00
20 PCC CURB AND GUTTER
327
. LF
$ 45 .00
14,715 .00
50.85 $ 18,627 .95
48 .75
$ 15,287 .25
61 19,947.00
21 PERM EABLE PAVERS
12,740
SF
$ 18.00
203,840 .00
16 .16
$ 205,878.40
18.80 $ 236,964 .00
21 287,540 .00
22 DECOMPOSED GRANITE
4 TON
$ 200.00
800.00
753 .42
$ 3,01358
714.00
$ 2,858 .00
250
1,000 .00
23 BOULDERS
17 EA
s 250 .00
4,250 .00
387.19
$ 6,242 23
415 .00
$ 7,055 .00
303
5,100 .00
24 IRRIGATION SYSTEM
1 LS
$ 33,901.00
33,901 .00
95,933 .18
$ 95,933 .16
85,537.00
$ 95,537 .00
91770
91,770.00
25 IMPORTED TOPSO IL, SOIL PREPARATION AND MULCHING
1 LS
$ 11,189.00
11,189 .00
8,472 .74
$ 8,472.74
14,018.00
$ 14,018.00
16905
18,905.00
26 24 -INCH BOX TREES
21 EA
$ 750.00
15,750 .00
484 .65
$ 9,757 .65
525.00
$ 11,025 .00
660
13,880.00
27 36 -INCH BOX TREES
6 EA
$ 1,200.00
7,200 .00
1,101 .75
S 8,610.50
971 .25
$ 5,827 .50
1320
7920 .00
28 48 -INCH BOX TREES
4 EA
"+" r r
8,000 .00
2,415.94
$ 9,883 .76
2,310.00
$ 9240 .00
1540
$ 6,160 .00
29 1 GALLON SHRUBS
548
EA
r r
7,844.00
14 .70
$ 8,028 .20
18 .90
$ 10,319.40
20 $ 10,920 .00
30 5 GALLON SHRUBS
291
EA
r r'
11,840 .00
34.85 $ 10,083 .15
36.75 $ 10,89425
44 $ 12,804 .00
31 TURF HYDRO SEEDING
11,603
SF
r .
5,801.50
0.17 $ 1,972.51
0.30 $ 3,480 .90
0.55 $ 6,381 .85
32 PLANT ESTABLISHM ENT
1 LS
rr rr
4,500.00
1,644 .15
S 1,644.15
2.000.00 $ 2,00 000
7500
S 7500.00
_
TOTAL:
_131111111:1001111
liElElliallil��,-I
OTHER BIDS
---
■
Landscape Development Landscaping
Fisher Constr uction, Inc
---
$ 1,293,441 .14
_
Pac-West General, Inc Elachical --
arninha Constr uction, Inc.
$ 1,388,222 .00
8 Country Fencing l Fencing
' J . W111Company Inc.
$ 1,485595 .90
■Town
R8E Co ncre te Co mpany
Sltew ork/masonry
J
Award 2021-06 - Chapel Plaza
February 15, 2022
Attachment B
e‘.eran Ow,2
(a eN
o SDVOSB
a� aJ�y
s
S* s
CVE
Date: 11/26/2021
To: Eric Riddiough
Subj: Bid No. 2021/06 Chapel St. Parking Lot Renovation, Bid Protest From: Rdz Contractors, Inc.
Mr. Riddiough,
Please accept this letter as our official Bid Protest of Bid No. 2021/06, Chapel St. Parking Lot Renovation. On 11/23/2021 @ approximately 2pm, bids were read for the above -mentioned project. Newton Construction, Inc. was listed as the low bidder. We are protesting the legitimacy of their bid as it does not comply with the project specs and or public work laws.
First, Newton Construction did not list subs who will be performing more than 1/2 of 1 percent of work on this project. Newton failed to list an asphalt paving subcontractor.
According to their line item 6, Asphalt Concrete, the work far exceeds the 1/2 of 1 percent subcontracting amount.
Second, Newton did not list a permeable paver installer whose work on this project also exceeds 1/2 of 1 percent. Per project specs and public works code, portions of work not listed to be completed by a subcontractor must be completed in-house.
Lastly, Newton listed R&E Concrete to complete the masonry portion of the project. R&E Concrete does not have a C-29 Masonry Contractors license. R&E Concrete is a C-8 Concrete Contractor. Attached are the two license classifications for your review.
Lic #1004110, Class A,B 8(a)/SDVOSB/DBE/SBE
PO Box 760 Nipomo, CA 93444 (805)458-5252 Fax (805)335-6858 [email protected]
Award 2021-06 Chapel Plaza February 15, 2022 Attachment C
a e�eran Otte a
e
o3
N SDVOSB
a��
* '' -I
CVE
Rdz Contractors, Inc. feels for the reasons above, Newton Construction's bid proposal does not comply with the project specs or with public contracting code and should be found nonresponsive. The project should be awarded to Rdz Contractors, Inc. who is the second lowest bidder. Thank you for your time and consideration in this matter.
Respectfully,
Pedro Rodriguez, President
Lic #1004110, Class A,B 8(a)/SDVOSB/DBE/SBE
PO Box 760 Nipomo, CA 93444 (805)458-5252 Fax (805)335-6858 [email protected]
Award 2021-06 Chapel Plaza February 15, 2022 Attachment C
11129/21, 11.34 AM Licensing Classifications
A f 1.I !I in
0 elect Language
...mi. 01 CONIUMEt ATTARS
.CONTRA E TOOARS Consumers Licensees Applicants Online Services Media Resources ST
0 Home About Us Library Licensing Classifications C 8 Concrete Contractor C-8 - Concrete Contractor
California Code of Regulations
Title 16, Division 8, Article 3. Classifications
A concrete contractor forms, pours, places, finishes and installs specified mass, pavement, flat and other concrete work; and places and sets screeds for pavements or flatwork. This class shall not include contractors whose sole contracting business is the application of plaster coatings or the placing and erecting of steel or bars for the reinforcing of mass, pavement, flat and other concrete work.
Authority cited: Sections 7008 and 7059, Reference: Sections 7058 and 7059 (Business and Professions Code)
i ,r4 n 7so , roloinnlo: 1f ?nP, to 7ntir„ ACC t")1‘ Acce Copyright © 2021 State of California
n
MtpslMwtdaiergazgpy(4gr l
w/Ucensin9_Clas
ionYC-8__concrete_cemractor.aspgeoman 15. 2022
Attachment C
1/1
11/291121, 11,35 AM Licensing Classifications
A f 1/ n in
71e:
DEMTMOIT or CONSUMER AFFAIRS
CONTRACTORS
STATE LICENSE BOARD
elect Language 1
Consumers Licensees Applicants Online Services Media Resources 0 ta
Home ' About Us : Library Licensing Classifications • C 29 Masonry C-29 - Masonry Contractor
California Code of Regulations
Title 16, Division 8, Article 3. Classifications
A masonry contractor installs concrete units and baked clay products; concrete, glass and clay block; natural and manufactured stone; terra cotta; and fire brick or other material for refractory work. This classification includes the fabrication and installation of masonry component units for structural load bearing and non -load bearing walls for structures and fences installed with or without mortar; ceramic veneer (not tile) and thin brick that resembles full brick for facing; paving; and clear waterproofing, cleaning and caulking incidental to masonry construction.
Authority cited: Sections 7008 and 7059, Reference: Sections 7058 and 7059 (Business and Professions Code)
1 I k '.I
Copyright © 2021 State of California
As.
Moor r ww2A}1d@B4TW21}ii,0105jiy/Licensing OlassitcationL639= Masonry.aspv February 15, 2022
Attachment c
1/1
Santa Maria
m1-i111 wan
'01 11!
CITY OF SANTA MARIA
ENGINEERING DIVISION
110 S. PINE ST. 8101 (ON HERITAGE WALK) ' SANTA MARIA. CA 93458.5082. 805-925-0951. EXT. 2225 ' FAX 805-928-4995 ' TDD 800-735-2929
DEPARTMENT OF PUBLIC WORKS
Pedro Rodriguez, President
RDZ Contractors Inc.
PO Box 760
Nipomo, CA 93444
RE: City of Santa Maria — Chapel Plaza, Bid No. 2021/06 Bid Protest Response
Dear Mr. Rodriguez:
December 6, 2021
This letter is in response to your protest, dated November 26, 2021, which was received by the City of Santa Maria ("City) on November 29, 2021, alleging the bid submitted by Newton Construction & Management Inc., the apparent low bidder, for the Chapel Street Parking Lot Renovation ("Project") is non -responsive for failing to comply with the Public Contract Code (PCC) and specifically with Chapter 4. Subletting and Subcontracting.
Following review and analysis of RDZ Contractors Inc. protest and the apparent low bidder's bid proposal and after consultation with the City's legal counsel, the City of Santa Maria Department of Public Works found no merit to the allegations and will recommend that the City Council reject the bid protest.
Califomia Public Contract Code Section 22038(b), which governs the City's award of the contract for this Project, requires the contract to be awarded, if at all, to the lowest responsible bidder.
The City's legal standard for ensuring compliance with competitive bidding subletting and subcontracting statutes is govemed by the California Public Contract Code and specifically Chapter 4 Subletting and Subcontracting.
Additionally, and in accordance with Section 1.20 REJECTION OR AWARD OF BIDS of the Project's Special Provisions:
A. Subject to requirements of applicable law, Owner reserves the right to accept or reject any or all bids when deemed best for the public good, and to waive any bid informality, irregularity, and nonconformity when deemed best for the public good.
B. When bids am not rejected, the contract will be awarded to the lowest responsive responsible bidder.
RDZ Contractors Inc.'s protest raises three issues:
First, Newton Construction did not list subs who will be performing more than 'r4 of 1 percent of work on this project. Newton failed to list an asphalt paving subcontractor.
According to their line item 6, Asphalt Concrete, the work far exceeds the 54 of 1 percent subcontracting amount.
Award 2021-06 Chapel Plaza February 15, 2022 Attachment C
Second, Newton did not list a permeable paver installer whose work on this project also exceeds % of 1 percent. Per project specs and public works code, portions of work not listed to be completed by a subcontractor must be completed in-house.
Lastly, Newton listed R&E Concrete to complete the masonry portion of the project. R&E Concrete does not have a C-29 Masonry Contractors license. R&E Concrete is a C-8 Concrete Contractor. Attached are the two license classifications for your review.
For the reasons discussed below, the City of Santa Maria finds no basis to sustain any of the issues protested by RDZ Contractors Inc.
Newton Construction & Management Inc. holds a current and active A -General Engineering Contractor license and is fully qualified to perform that portion of the work.
Furthermore, the Public Contract Code (PCC) stipulates penalties and possible disciplinary actions, should the prime contractor elect to subcontract this item after award. See PCC §4110 & §4111.
Newton Construction & Management Inc. has listed Landscape Development Inc. that holds a current and active C27-Landscapinq license as a subcontractor. A C27- Landscapinq license classification allows for the installation of permeable pavers.
Newton Construction & Management Inc. has listed R&E Concrete Company that holds a current and active C8 -Concrete Contractor license. There are several bid items on this contract that require the use of such license classification.
Based upon the foregoing and staff's determination that Newton Construction & Management Inc. bid proposal is responsive on its face, Public Works will recommend that the City Council reject RDZ Contractors Inc. bid protest in its entirety as lacking legal merit and that the Project be awarded to the lowest responsive, responsible bidder.
The City of Santa Maria and the Department of Public Works appreciates your interest in this project and encourages RDZ Contractors Inc. to keep in touch about future Public Works opportunities.
KEVIN P. MCCUNE, P.E.
Director of Public Works/City Engineer
Award 2021-06 Chapel Plaza February 15, 2022 Attachment C
NEWTON
CONSTRUCTION 8 MANAGEMENT
December 2, 2021
ATTN: Mr. Eric Riddiough
Department of Public Works
City of Santa Maria
110 East Cook Street
Santa Maria, CA 93454
VIA: EMAIL([email protected])
Project: Chapel Street Parking Lot Renovation (Chapel Plaza) Bid No. 2021/06
Santa Maria, CA
RE: Response to Bid Protest from Rdz Contractors, Inc.
Dear Mr. Riddiough,
Please consider this letter as a formal response to the bid protest from Rdz Contractors, Inc. dated November 26, 2021 for the above referenced project. After reviewing the content of the Rdz's letter, there is no basis for the City to consider this bid protest. Contrary to what Rdz's protest is claiming, all items referenced in their protest letter are either a minor bid irregularities and/or just not applicable to deem a bid proposal non -responsive. NCM offers the following information to respond to the protest:
Regarding the first two items mentioned in Rdz's protest, Newton Construction was not required to list a subcontractor for the asphalt paving and permeable paver portions of work as our company will be self performing these scopes. Newton Construction has extensive past experience on performing both these portions of work.
Regarding the third item mentioned in Rdz's Protest, Newton did make a minor clerical error on the "List of Subcontractor" form for the listed subcontractor, R & E Concrete Company. Under the "Type of Work" column, Newton erroneously left out the word "Concrete". This column should have read "Sitework/lnasonry Concrete", which was intended to put in this box. We understand that this column did not explicitly indicate "concrete" but based on the facts at hand and the license classification that R & E Concrete holds, one could and should reasonably and independently assume that the concrete work on this project would be perfonned by this listed subcontractor. The absence of the word "concrete" in the type of work column for an otherwise qualified C-8 license subcontractor is a nonmaterial irregularity that is not sufficient to deem Newton's bid as non -responsive and reject. Although the word "concrete" was inadvertently left out by Newton Construction in the type of work column on the subcontractor form, the absence of this word is not a material advantage to any bidder. Furthermore, the inclusion or absence of this word would not have changed the content of our proposal in any way, therefore, provided no advantage to any bidder. In legal terms, this would be deemed as a minor bid irregularity and not, by any means, grounds for a non -responsive bid. The City has the right to waive any minor bid irregularities to award the contract.
In conclusion, the issues Rdz Contractors has raised regarding our firm's bid are inconsequential and do not affect the integrity of the bidding process. Rdz's protest is meritless. It should be P.O. Box 3260 San Luis Obispo, CA 93403 (805) 544-5583 (805) 544.5584Fax Award 2021-06 Chapel Plaza February 15, 2022
Attachment C
understood that no bid will be entirely perfect. If it was not for the ability for public agencies to waive minor irregularities in the bidding process/bid proposals, no project will be contracted nor awarded. California courts have held that
[Bid protests] must also be viewed in light of the public interest, rather than the private interest of a disappointed bidder. 'It certainly would amount to a disservice to the public if a losing bidder were to be permitted to comb through the bid proposal or license application of the low bidder after the fact, [and] cancel the low bid on minor technicalities, with the hope of securing acceptance of his, a higher bid. Such construction would be adverse to the best interests of the public and contrary to public policy.' (Judson Pacific -Murphy Corp. v. Durkee (1956)_1,44 Cal. App, 2d 377, 383, cited in MCM Construction v. City and County of San Francisco (1998) 64 Cal.App.4th 359, 370.)
We trust above information should satisfy any current concerns by the City regarding the validity of our bid proposal. NCM is not in violation of any requirements of Public Contract Code and Contract Document Provisions, as referenced in Rdz's Bid Protest.
Newton Construction has a long history of successful public work projects throughout the Central Coast of California. We pride ourselves in our timely completion, partnering attitude, and fiscal responsibility to our clients on all our projects. We await the scheduling to award this project and look forward to working with the City again towards the successful completion of another project.
If you should have any additional questions or concerns, please feel free to contact this office at any time.
CONSTRUCTION & MANAGEMENT, INC.
ewton
ro'ect Manager
Award 2021-06 Chapel Plaza February 15, 2022 Attachment C
RESOLUTION NO.
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA MARIA, CALIFORNIA, REJECTING A BID PROTEST FROM RDZ CONTRACTORS, INC.,
AND AWARDING AN AGREEMENT WITH NEWTON CONSTRUCTION &
MANAGEMENT, INC., FOR BID NO. 2021/06, CHAPEL STREET PARKING LOT
RENOVATION (CHAPEL PLAZA)
WHEREAS, the City of Santa Maria formally advertised Bid No. 2021/06, Chapel Street Parking Lot Renovation (Chapel Plaza) (the "Project"); and WHEREAS, the Notice Inviting Bids was published and posted in compliance with applicable sections of the Public Contract Code; and
WHEREAS, bids were publicly opened at 2:00 p.m. on November 23, 2021, in front of City Hall; and
WHEREAS, the low bid was found to be responsive, and included the required documentation, bid bonds, and signatures; and
WHEREAS, the City received a bid protest from Rdz Contractors, Inc., dated November26, 2021; and
WHEREAS, the City has broad discretion to determine responsiveness and to accept a responsive bid even if there are minor irregularities or mistakes, as long as such mistakes are immaterial; and.
WHEREAS, the subcontractor listing requirement is a statutory requirement under the Subletting and Subcontracting Fair Practices Act, codified at Public Contract Code section 4100 et seq. ("Act"); and
WHEREAS, the Act in Section 4106 stipulates that should the prime contractor fail to specify a subcontractor for a portion of work to be performed under the contract in excess of one-half of one percent of the prime contractor's total bid, the prime contractor agrees that he or she is fully qualified to perform that portion himself or herself, and that the prime contractor shall perform that portion himself or herself. Furthermore, the Act states that should, after award of the contract, the prime contractor subcontracts, except as provided for in Sections 4107 or 4109, any such portion of the work, the prime contractor shall be subject to the penalties identified in Section 4111; and WHEREAS, Newton Construction & Management, Inc.'s inadvertent omission of the word "concrete" in the type of the work column on the subcontractor form of the Contract Documents did not change the content of the proposal in any way and was judged as a minor bid irregularity by City staff; and
WHEREAS, the California Attorney General, relying on Public Contract Code Section 4110, has additionally opined that a public entity may accept a bid where the contractor failed to comply fully with the Act. The Attorney General noted that the public entity may require the contractor who failed to properly list subcontractors to pay the statutorily prescribed penalty up to ten (10) percent of the amount of the subcontract involved or to self -perform that portion of the subcontracted work in accordance with the Public Contract Code Sections 4110 and 4106, respectively; and
WHEREAS, the City has no reason to believe that Newton Construction & Management, Inc. has violated the Act, and even if such a violation is proven, the City is not obligated to reject Newton Construction & Management, Inc.'s low bid in accordance with the terms of the Act; and
WHEREAS, the bid protest from Rdz Contractors, Inc., was deemed meritless and a notice of intent to reject the bid protest was delivered to Rdz Contractors, Inc. ("Notice"); and WHEREAS, staff recommends the City Council reject the bid protest from Rdz Contractors, Inc. as meritless for the reasons specified in the Notice, award the construction contract to the lowest responsible bidder; Newton Construction & Management, Inc.; and WHEREAS, sufficient funds for this budgeted project are located in the accounts titled "CHAPEL PLAZA", and "ARPA."
NOW, THEREFORE, IT IS HEREBY RESOLVED by the City Council of the City of Santa Maria, California, as follows:
1. The City Council has considered the full record before it, which may include but is not limited to such things as the staff report, testimony by staff and the public, and other materials and evidence submitted or provided to it. Furthermore, the recitals set forth above are found to be true and correct and are incorporated herein by reference; and
2. The City Council waives immaterial bid deviations in Newton Construction & Management, Inc.'s bid; and
3. The City Council hereby rejects the bid protest from Rdz Contractors, Inc., as meritless for the reasons specified in the notice; and
4. The Mayor is hereby authorized and directed to execute for and on behalf of the City of Santa Maria a public works agreement with Newton Construction & Management, Inc., for Bid No. 2021/06, Chapel Street Parking Lot Renovation (Chapel Plaza); and
5. The award of the bid and approval of the agreement are conditioned upon execution of the agreement by the successful bidder in the form and upon the terms set forth therein by the City; and
6. The City Manager, or designee, is hereby authorized and directed to designate funds from CHAPEL PLAZA and ARPA accounts for this approved project in the amount of $1,550,000; and
7. The City Manager, or designee, is hereby authorized to approve Contract Change Orders so long as expenditures do not exceed funding approved for the project; and
8. The Chief Deputy City Clerk is hereby authorized to make minor changes herein to address clerical errors, so long as substantial conformance of the intent of this document is maintained. In doing so, the Chief Deputy City Clerk shall consult with the City Manager and City Attorney concerning any changes deemed necessary.
PASSED AND ADOPTED at a regular meeting of the City Council of the City of Santa Maria held this 15t'' day of February 2022.
Mayor
ATTEST:
Chief Deputy City Clerk
APPROVED AS TO CONTENT:
' Departmgnt Director
Cit Manager