SR-07-10-1979-6Q 205-003/502-002-04Santa Monica, California
TO: Mayor and City Council
FROM: City Staff
SUBJECT: Award of Bid for the Water Main Replacement in the Downtown
and Ocean Park Redevelopment Areas
Introduction
This report requests the City Council to award a contract to the second low
bidder, P & J Utilities, in the amount of $396,890, and to approve a total
expenditure of funds in the amount of $430,000.
Background
Agreement between the Redevelopment Agency and the developers of the Downtown
Shopping Center, and the Santa Monica Shores Redevelopment Project, require
the installation of adequate water mains to serve the projects, at no cost to
the developers.
This replacement is required for improving fire flow in the downtown shopping
center and the redevelopment area near the Santa Monica Shores apartments. The
Engineers' estimate prior to bid was $529,803. The bids received were:
Acme Pipeline & Engineering (Los Angeles) ......... $ 283,910
P & J Utilities (Los Angeles) ..................... $ 396,890
T.
A.
Rivard (Los
Alamitos) .......................
$
429,425
A.
A.
Portanova &
Sons, Inc. (Agoura) .............
$
443,725
Bobco Construction (Norwalk) ...................... $ 454,800
Doty Brothers Equipment Company (L.A.) ............ $ 464,780
Mike Prlich & Sons (E1 P1onte) ..................... $ 474,300
DeVries & Spiess Construction Corp. (La Canada) ... $ 499,715
J U L 1 0 9979
T0: Mayor and City Council -2- July 3, 1979
The lowest bidder, Acme Pipeline & Engineering for $238,910, has documented
errors in their submitted bid, and it is staff's opinion that such errors are
clerical in nature and substantial, and would not allow acceptable performance.
Therefore, the second lowest bidder appears to be lowest responsible bidder
and the best bid. It should be noted that where errors are clerical, the
precedent cases in law are such that the City Attorney recommends that the City
return the Bid Bond.
Funding
Funds in the amount of $430,000 are required to accomplish this project, as follows:
Construction $396,890
Engineering & Contingencies 33,110
Total Required $430,000
Recommendation
It is recommended that the City Council award the contract to P & J Utilities
for $396,890, approve expenditures in the amount of $430,000, and require
reimbursement from the Redevelopment Agency for all funds expended. It is
also recommended that the low bidder be allowed to withdraw his bid and that
the bid bond be returned.
Prepared by: Stan Scholl
E. H. Lash
John Jalili