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SR-505-001-03 (13) EPWM:CC:AA:LF;F:\DATA\SPFILES\sp1939\cc1939sewer.DOC Santa Monica, CA City Council Meeting: March 11, 2003 TO: Mayor and City Council FROM: City Staff SUBJECT: Construction Contract with Vasilj Construction, Inc. for Rerouting of a Sewer located in Sixth Court between Santa Monica Boulevard and Arizona Avenue Introduction This report recommends that the City Council award a contract with the firm of Vasilj Construction, Inc., the best bidder, in an amount not to exceed $150,135 plus a $55,004 contingency for rerouting of a sewer in Sixth Court related to the construction of the new Main Library project. Background A City sewer line currently runs in Sixth Court from Arizona Avenue to Santa Monica Boulevard, below the Main Library site. It serves a number of office buildings including Verizon and Oracle. The subterranean parking structure that will be built with the new Main Library building will extend the full width from Sixth to Seventh Street and requires that this sewer line be rerouted. The rerouted sewer line will not cross the library site, but rather, flow north to Arizona Avenue then west to connect to the existing line in Sixth Street. 1 The rerouting is required prior to excavation of the subterranean parking structure, which is scheduled to begin in early June. It is also necessary prior to the installation of a temporary water line, which will be needed for demolition of the existing Main Library building , scheduled to begin in May. Discussion A Notice Inviting Bids for the construction contract was published on February 13 and 15, 2003 in The Los Angeles Times, The Hotsheet, Construction Data Corp., and the F. W. Dodge newsletter and posted on the City web site. Eleven contractors requested bid packages and the City Clerk's office received eight sealed bids, which were publicly opened and read aloud on February 24, 2003 at 3:00 p.m. by the Deputy City Clerk. The bid results were as follows: 1. Vasilj Construction, Inc. $150,135 2. Zondiros Corporation $179,770 3. John T. Malloy, Inc. $187,485 4. Vasily Company, Inc. $190,886 5. Mike Perlich & Sons, Inc. $215,110 6. Tomovich & Associates $230,720 7. MladenGrbavac Construction Co. $299,210 8. Clark Contracting Corporation $362,972 City Engineer's Estimate $190,000 2 The best bidder, Vasilj Construction, Inc., supplied the City with the names of previous similar projects including sewer projects for cities of Santa Monica, Los Angeles and Pomona. City staff contacted the agencies and companies representing these projects and all respondents reported that the Contractor's work quality was satisfactory and that work was completed in a timely and cost efficient manner. Staff also contacted the Center for Contract Compliance and found Vasilj Construction, Inc. in good standing and capable of handling labor compliance issues. The California Contractors State License Board verified that the Contractor's license is active and in good standing. Budget/Financial Impact FUNDS REQUIRED: Construction Contract $150,135 Contingency $55,004 Total Funds Required: $205,139 Completion of the sewer relocation work by May 1, 2003 is critical to maintaining the overall project construction schedule and to the City?s avoidance of potential compensable delay claims by the Design/Build Team. In order to provide flexibility in the event of the need to expedite the sewer relocation work, we have included a greater contingency amount to allow for costs associated with project acceleration, if necessary. In addition, Staff has also considered the potential costs associated with unforeseen subterranean conditions that might be encountered in the progress of this work. 3 Funds in the amount of $205,139 are available in account C01049103.589000, ?Library Expansion and Renovation.? Recommendation Staff recommends that the City Council: 1. Award a contract with Vasilj Construction, Inc., the best bidder, in an amount not to exceed $150,135 plus a $55,004 contingency for rerouting of the Sixth Court sewer and 2. Authorize the City Engineer to issue an necessary change orders to complete additional work within budget authority. Prepared by: Craig Perkins, Director Environmental & Public Works Management Tony Antich, City Engineer Lauren Friedman, City Architect Alex Parry, Architecture Associate 4