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SR-301-004-01 (6) EPWM: CP:AA:LF:SA:F:\DATA\SPFILES\SP1934\CC1934.doc Council Meeting: June 22, 2004 Santa Monica, California TO: Mayor and City Council FROM: City Staff SUBJECT: Construction Contract for SAMOSHEL Facility Upgrade Introduction This report recommends that City Council award a construction contract for the upgrade to SAMOSHEL with AWI Builders, Inc. the best bidder, in the amount of $441,020 and approve a contingency amount of $44,100 (10%). Background The SAMOSHEL Homeless Shelter was constructed in 1994 as a 100-bed emergency shelter for homeless in Santa Monica. The 7,800 square-foot tension fabric structure houses bunk beds, restrooms, counselor offices, sitting areas, kitchenette and a dining area. Occupants are allowed to reside in the shelter for up to 6 months, during which time they can receive counseling, apply for employment and locate permanent housing. On November 13, 2001, Council approved using Federal Community Development Block Grant (CDBG) funds to complete the first phase of necessary upgrades including replacing the skin of the tension structure and adding an air conditioning system and insulation. In Fiscal Years 2001/02 and 2002/03, funds were approved for additional upgrades to ensure that the facility could continue to effectively serve its clients. JCCA Design Consultants 1 were hired to provide architectural and engineering design services related to this second phase of upgrades including constructing a commercial grade kitchen, constructing full height partitions separating the various uses in the facility and installing a sprinkler and fire alarm system to meet life/safety requirements, and the project is ready to construct. Discussion A Notice Inviting Bids for the construction contract was published on April 1 and 3, 2004 in The Los Angeles Times. The bid package was sent to eleven public plan rooms including five women/minority business enterprise associations. Six contractors requested the bid package and the City Clerk's office received one sealed bid, which was publicly opened on April 19, 2004 by the Deputy City Clerk. The bid result was as follows: AWI Builders, Inc. $441,020 Architect’s Estimate $315,000 Other contractors who purchased bid packages were contacted and indicated that they did not submit bids because of workload or difficulty obtaining prices from subcontractors. The contractors contacted also indicated that the current construction market has been greatly Deleted: rices, since impacted by the increased cost of materials and workers compensation insurance. CWS Inc., one of the non-bidding contractor’s confirmed their estimate was $467,270.59, $26,250.59 higher than the bid submitted by AWI Builders. As the current costs of 2 construction continue to increase, there is no evidence that re-bidding the project would result in lower bids. AWI Builders, Inc. supplied the City with six references, all of which reported that the contractor's work quality was good and that the work was completed in a timely and cost efficient manner. AWI Builders, Inc. recently successfully completed Animal Shelter Improvements for the City of Santa Monica and is currently recommended to construct Woodlawn Cemetery improvements. The State Contractors' License Board verified that the Contractor's license is current, active, and in good standing. Budget/Financial Impact CONSTRUCTION FUNDS REQUIRED: Contract $441,020 Contingency $ 44,100 Total Required $485,120 Funds are available in the following accounts: C19069202.589000 $ 55,438 C19069203.589000 $214,979 C19003998.589000 $ 58,891 C19041704.589000 $100,000 C19067301.589000 $ 55,812 Total Available: $485,120 Recommendation Staff recommends that the City Council: 3 1. Award a construction contract for the SAMOSHEL Facility Upgrade with AWI Builders, Inc. the best bidder, in the amount of $441,020 and approve a contingency amount of $44,100 (10%); and 2. Authorize the City Engineer to issue any necessary change orders to complete additional work within budget authority. Prepared by: Craig Perkins, Director, Environmental and Public Works Management Anthony Antich, P.E., City Engineer Barbara Stinchfield, Director, Community and Cultural Services Karen Ginsberg, Assistant Director, Community and Cultural Services Tracy Scuggs, Human Services Supervisor Lauren Friedman AIA, City Architect Miriam Mulder, Architect Sam Aslanian AIA, Architectural Associate 4