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SR-10-23-2012-3ES �Mm City of City Council Report Santa Moniea City Council Meeting: October 23, 2012 Agenda Item: 3-E To: Mayor and City Council From: Martin Pastucha, Director of Public Works Subject: Bid Award for the Purchase of Lumber for the Santa Monica Pier Recommended Action Staff recommends that the City Council award Bid #4029 for the purchase of lumber for the Santa Monica Pier to Gemini Forest Products, a California -based company, in an amount not to exceed $35,000 for FY 2012 -13, with two one -year options to renew, for a total not to exceed amount of $115,000 over a three -year period. Executive Summary The City purchases lumber for replacement of Santa Monica Pier (Pier) deck boards, stringers, pile caps and other portions of the wooden structure by staff and contractors. In August 2012, the City solicited bids for the purchase of lumber for the Santa Monica Pier. After reviewing the three bids received, staff recommends Gemini Forest Products as the best bidder to provide lumber for the Pier for a total not to exceed amount of $115,000 over a three -year period. Discussion The City purchases grade No. 1 pressure treated Douglas fir lumber for periodic replacement of deck boards, stringers, pile caps and other portions of the wooden Pier structure to mitigate damage caused by vehicles, the elements and general usage of the Pier. In addition to deck board replacements performed by staff, the City provides lumber to contractors performing Pier structural repairs to reduce maintenance costs. Vendor Selection In August 2012, the City published Notices Inviting Bids to provide lumber for the Pier. The bid was posted on the City's online bidding site and notices were advertised in the Santa Monica Daily Press in accordance with the City Charter and Municipal Code provisions. Three bids were received and publicly opened on September 4, 2012 per Attachment A. Bids were evaluated on price, product availability and quality, and u compliance with City specifications. Gemini Forest Products' lumber is supplied by Sierra Pacific Industries, certified by the Sustainable Forestry Initiative which promotes responsible and sustainable forest management in North America. Based on these criteria, Gemini Forest Products is recommended as the best bidder to provide lumber for the Pier as they are the lowest price bidder that is able to meet City specifications. Financial Impacts & Budget Actions The purchase order to be awarded to Gemini Forest Products will not exceed $35,000 for the first year. Funds are included in the FY 2012 -2013 budget in division 455. The purchase order will be charged to account 30455.533240. Budget authority for subsequent years will be requested in each budget cycle for Council approval. Future funding is contingent upon Council approval. Prepared by: Kevin Nagata, Administrative Analyst Approved: ��Wl- Martin Pastucha Director of Public Works Attachments: A — Bid Summary 2 Forwarded to Council: Rod Gould City Manager ATTACHMENT A BID # F4029 BID CLOSING DATE: 9/4/12 BID DESCRIPTION: PROVIDE AND DELIVER TREATED LUMBER FOR DECKING, PILE CAPS, AND STRINGERS TO THE SANTA MONICA PIER AS REQUIRED BY PIER MAINTENANCE. =LOWEST GEMINI FOREST PRODUCTS L65 ALAMITOS, CA JONES LUMBER CO., INC. LYNWOOD, CA GANAHL LUMBER ANAHEIM, CA ITEM DESCRIPTION PRICING PRICING PRICING 1... 2 "X12 "X20' $ 35.68, $ 51.34 $ 42.00 2 3" X 12" X 20' $ 54.72 $ 80.71 $ 69.00 3 3" X 12" X 20' S4S $ 55.45' $ 68.52 $ 59.00 4 4" X 12" X 20' $ 71.40 $ 107.62 $ 92.00 5 4" X 16" X 22' $ 116.65 $ 180.98 $ 170.00 6 12" X 12" X 20' $ 213.60 $ 340.58 $ 290.00 RENEWAL OPTIONS YEAR TWO INCREASE 5% 5% 7% RENEWAL OPTIONS YEAR THREE INCREASE 8% 5% 8% DELIVERY (ARO) FOR 1 TRUCK LOAD 30 DAYS 21- 30 DAYS 15 - 30 DAYS PAYMENT TERMS NET 30 NET 30 1% 25 NET 30 COMMENTS #1- 1 -5/8" X 11 -5/8" =LOWEST