SR-502-002-03 (3)
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Council Meeting: October 11, 1988
OCT 1 1 198
Santa Monica, California 8
To:
Mayor and city Council
From:
City staff
Subject:
Award of Contract for the Construction of Three Water
Wells.
Introduction
This report requests that the City council waive minor irreqularities
in the bid and award a contract for the construction of three (3)
water wells to McCalla Bros., Division of Layne Western, (hereinafter
referred to as "McCalla Bros.") the lowest responsible bidder, in the
amount of $452,493.00
Background
The city Council appropriated funds in the FY 1987-88 and FY 1988-89
capital Improvement Budget in the total amount of $482,480.00 for the
development of groundwater resources through the installation of one
new well and the replacement of two older, less efficient wells. The
sites selected for the installation of the three (3) new wells are:
1. Corinth Avenue and Westminster Avenue
2. Bundy Orive and Wilshire Boulevard
3. Stewart Street and Michigan Avenue
Production from the new wells will decrease the level of dependency
Metropolitan Water Oistrict (MWD) water as compared to City water from
a ratio of 50\/50t to 40\/60t.
A Notice Inviting Bids was published on August 23, 24, and 25, 1988.
Plans and Specifications were issued to two contractors and eight
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construction advertising services, six of which advertise to minority
contractors. -Two bids were received and read publicly by the Deputy
City Clerk on september 16, 1988, as follows:
McCalla Bros.
Beylik Construction
Water Engineerts Estimate
$ 452,493.00
$ 466,900.00
$ 470,000.00
Upon review of the bid proposals, two discrepancies were discovered in
the proposal submitted by McCalla Bros., as follows:
1. Item 2, the drilling of 150 feet of well depth and the
installation and grouting of conductor casing, was quoted by
McCalla Bros. at a total price of $36,795, which was and is
correct. However, the unit price was incorrectly listed next
to it as $12,265 per foot. The contractor had mistakenly
forgotten to divide $36,795 total price by 150 ft unit
quantity, to come up with a correct number of $245.30 per
foot.
2. Item 13, the installation of 6 lengths of four inch diameter
of trem!e pipe was quoted by McCalla Bros. at a total price of
$750.00, which McCalla Bros. has agreed to stand by. However,
the unit price was correctly listed next to it as $250 per
each length of pipe, so the total price should have been
quoted as $1,500.00. The contractor had mistakenly multiplied
by 3 (the number of wells) instead of by 6 (the number of
lengths of pipe). This discrepancy is to the city's financial
benefit. McCalla Bros. has not asked to be relieved of its
mistake and has instead agreed to stand by the quoted total
price of $750.00.
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