SR-6-I (18)
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;?' P.9-00r/ FfB 1 1 1986
GS:SES:JAS
Council Meetlng: February 11 , 1986 Santa Monica, California
To: Mayor and Clty Cauncll
Fr 0 m : Cl ty Staff
Subject: Recommendatlon to Re j e c t all Blds for the
Reconstructlon of Wilshlre Boulevard from 21st Street
to Centlnela Avenue
Introduction
This report recommends that the City Co uncil r ej e c t all bids
received for the reconstruction of Wilshlre Boulevard from 21st
Street to Centinela Avenue.
Background
Wilshire Boule vard is being reconstructed in two phases. The
first phase, Ocean Avenue to 21st Street, was completed in June
1983. The second p has e . 21st Street to Centlnela Avenue, was
approved and budgeted for FYI984-85. This project has been
delayed prlmar1ly due to the protracted approval process requlred
by Cal Trans. Cal Trans is the admlnlstratlve agency for the
Federal Aid Dr ban Program which is the prlmary source of funds
for t hlS project.
A Notlce Invltlng Bids was publlshed on December 18 and 19 . 1985,
in the Evenlng Outlook and In five constructlon Journals. The
Notice was also sent to four m1norlty business associations.
Plans and speclfications were 1 s sued to seventeen general
contractors. Bids were opened and read publicly on January 27,
1986, by the Deputy Clty Cl er k.
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H~ 11 1916
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Four bids were received:
Grifhth Company $1 ,317,070.00
Sully-Miller Contracting Co. $1 ,348,600.00
Terra~n, rne. $1,387,776.00
Excel Paving Company $1,438,820.00
The C~ty Engineer's estl.mate was $908,000. The low bl.dder for
the fIrst phase bid $150.00 per ll.neal foot compared to $277.00
per lineal foot bid by the low bidder on thl.s phase. St a f f
contacted the four bidders and questl.oned them about the i r hIgh
bi ds . They indl.cated the following:
- The City requested that the work be done l.n a certain
sequence (for example, on alternate blocks on opposite
sides of the street, etc.) to help mitigate traffIc
dl.sruption. Thl.s type of sequencing requ~res that the
contractors relocate theIr equl.pment and personnel more
often than a project that does not consider sequencl.ng.
The b1dders emphazised that the sequencing was overly
restrictl.ve and the prl.mary cause of the high bids
because l.t dramatically increased their labor cost.
- The costs of concrete pavement construction,
trucking, and dumping fees for excavated materl.als have
increased substantially Sl.nce 1983, and t hl. s cost
increase has, therefore. 1ncreased the bids
s~gn~f~cantly.
- TraffIc flow problems experl.enced during constructIon
of Phase I in 1983 and escalating insurance costs have
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caused the contractors to consl.der the rl.sk involved
and greatly lncrease t hel r prices for this phase.
As a res ul t of the above information, staff is recommend1ng that
the construct1on sequencing be mod1fied by staff to reduce costs
while still provid1ng relatively modest disruption to traffic and
bus1nesses. Speci fically, the sequencing will consist of
conducting work in areas of several contiguous bloc ks instead of
alternatl.ng every block segment. Disruption will mainly occ ur
due to lack of parking directly in front of the business where
work is in progress.
Budget/Financial Analysl.s
It is anticl.pated that reb1ddl.ng will result 1n substantl.ally
lower costs for t hl. 5 pro] ect .
Recommendat1on
It l.S recommended that the Ci ty Council reject all bl.ds received
for the reeonstructl.on of Wl.lshire Boulevard from 21st Street to
Centinela Avenue and authorize City staff to readvert1se the
proj ect.
Prepared by: Stan Scholl, Director of General Services
Jean Stanley, Adml.n1strative Analyst
Joseph Tak1eddine, proj eet Manager
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