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SR 09-26-2017 3E City Council Report City Council Meeting: September 26, 2017 Agenda Item: 3.E 1 of 3 To: Mayor and City Council From: Susan Cline, Director, Public Works, Facilities Maintenance Subject: Reject Bid for Tile Contractor Services Recommended Action Staff recommends that the City Council: 1. Reject the only bid for Bid #4282 for tile contractor services as required by the Facilities Maintenance Division; 2. Direct staff to reissue a bid in order to obtain the best bidder for tile contractor services. Executive Summary The City contracts out tiling services for remodeling projects, demolition and repair of existing tile work, and installation of new tile in various City facilities. On May 31, 2017, staff published a request for bids for such services. One bidder, Elite Floor Covering, responded; however, the company does not possess the required C-54 Ceramic and Mosaic Tile Contractor license. Since the only bidder did not meet the requirements of the bid, staff recommends that Council: 1) reject the bid and 2) issue a new Notice Inviting Bids. Background On September 24, 2013, Council awarded Bid #4098 to M.C. Tile Co. to provide tile contractor services for three years in an amount not to exceed $232,000, per Attachment A. M.C. Tile Co.’s purchase order expired on September 27, 2016. Discussion The City requires tile contractor services for demolition and repair of existing tile work, purchase and installation of new tiles, and renovation projects in various City facilities. Contracted tiling services are also utilized for exterior tile work in locations such as the Annenberg Community Beach House, the Santa Monica Municipal Pool and the Public 2 of 3 Safety Facility. On May 31, 2017, the City published a Notice Inviting Bids to provide tile contractor services. The notice was posted on the City’s online bidding site and advertised in the Santa Monica Daily Press in accordance with City Charter and Municipal code provisions. A total of 11 vendors downloaded the bid. One bid was received and publicly opened on June 16, 2017, per Attachment B. The only bidder, Elite Floor Covering, does not possess the required C-54 Ceramic and Mosaic Tile Contractor license referenced in the bid. M.C. Tile Co., the City’s previous tile contractor, possesses a C-54 license, but it opted not to submit a bid due to the requirement that all bidders must be registered with the Department of Industrial Relations (DIR) and pay the prevailing wage, which the contractor deemed too laborious and costly. Staff recommends rejecting the one bid received for Bid #4282 and issuing a new Request for Bids for tile contractor services. Additionally, in an effort to engage prospective bidders, the new bid will modify the required contractor licensing from the stringent and specialized C-54 Ceramic and Mosaic Tile license to the more common C- 15 Flooring and Floorcovering Contractor license. As the City does not have a need for mosaic tile contracting services, the modification of licensing will allow contractors who have experience with general tile installation to participate in the bidding process. Financial Impacts and Budget Actions There is no immediate financial impact or budget action necessary as a result of the recommended action. 3 of 3 Prepared By: Yvonne Yeung, Senior Administrative Analyst Approved Forwarded to Council Attachments: A. September 24, 2013 Staff Report B. 4282 Tile Contractor Bid Results ATTACHMENT A Bid Results for Project TILE CONTRACTOR SERVICES (4282) Issued on 05/31/2017 Bid Due on June 16, 2017 3:00 PM (Pacific) Item Num Item Description Elite Floor Covering Response 1 2 3 MATERIALS $ 6,794.77 4 TAX (10.25%) $ 696.46 5 LABOR $ 9,998.00 6 OTHER COSTS (PLEASE DESCRIBE IN COMMENTS)N/A TOTAL PRICE $ 17,489.23 7 PLEASE INDICATE THE BRAND / TYPES OF TILES QUOTED 1. Dal Tile Ex 02 (12"x24") 2. 6" Black Glossy Coye Tile 8 PRICING (OTHER JOBS AS REQUIRED) $ 69.50 9 PLEASE INDICATE YOUR HOURLY LABOR RATE: $ 93.95 10 PLEASE INDICATE YOUR OT / AFTER-HOURS HOURLY LABOR RATE:Saturday, Sundays, or Holidays 12 PLEASE INDICATE THE DAYS AND TIMES OF THE WEEK TO WHICH THE AFTER-HOURS RATE WOULD APPLY:Saturday, Sundays, or Holidays 13 LABOR CLOCK BEGINS UPON (INDICATE WHICH OF THE FOLLOWING APPLY): ARRIVAL AT CUSTOMER LOCATION OR DEPARTURE FROM VENDOR LOCATION Arrival at customer location 14 LABOR CLOCK ENDS UPON (INDICATE WHICH OF THE FOLLOWING APPLY): DEPARTURE FROM CUSTOMER LOCATION OR ARRIVAL AT VENDOR LOCATION. Departure from customer location 15 PLEASE INDICATE THE % DISCOUNT / MARK-UP OFFERED ON MATERIALS.10% to 20% 16 PLEASE INDICATE YOUR MINIMUM CALL-OUT CHARGE: $ 150.00 17 PLEASE INDICATE YOUR OVERHEAD MARGIN PERCENTAGE:0% 18 PLEASE INDICATE YOUR PROFIT MARGIN PERCENTAGE:20-25% 19 PLEASE DESCRIBE ANY ADDITIONAL FEES & CHARGES NOT COVERED ABOVE (VEHICLE / LIFT CHARGES, MILEAGE/FUEL SURCHARGES, DOUBLE-TIME, ETC.): PROVIDE DESCRIPTION IN THE COMMENTS SECTION. N/A 20 PAYMENT TERMS (ENTER PAYMENT DISCOUNT TERMS; OTHERWISE NET THIRTY (30) DAYS WILL APPLY.Net 30 21 22 PERIOD 2 (FIRST ANNUAL RENEWAL OPTION)Same price, terms, and conditions offered 23 PERIOD 3 (SECOND ANNUAL RENEWAL OPTION)Same price, terms, and conditions offered 24 PERIOD 4 (THIRD ANNUAL RENEWAL OPTION)Same price, terms, and conditions offered 25 PERIOD 5 (FOURTH ANNUAL RENEWAL OPTION)Same price, terms, and conditions offered Business License Required Oaks Completed Living Wage Completed Prevailing Wage Completed PLANETBIDS - VENDOR NOTIFICATIONS: 386 VENDOR DOWNLOADS: 11 PRICING -SWIM CENTER TILE REPLACEMENT PLEASE INDICATE PRICING & MATERIAL INFORMATION FOR THE SWIM CENTER TILE REPLACEMENT (AS SPECIFIED AT THE JOB WALK AT 2225 16TH ST). DEMOLITION AND DISPOSAL OF EXISTING QUARRY TILE IN FRONT OFFICE AND RESTROOM INSTALL NEW DAL TILE - EX-02, GREY (APPROXIMATE AREA 1,100 SQ. FT.) MODIFY TILE TO 12"x12" -CUT TILES IN ½ AND BEVEL CUT EDGES INSTALL 6"x6" BLACK TILE COVER BASE IN RESTROOM INSTALL 6" BLACK RUBBER WALL BASE IN THE OFFICE AREA PRICING SHOULD INCLUDE HAUL-AWAY OF WASTE MATERIALS. A PROPOSAL MAY ALSO BE ATTACHED, BUT THE ITEMS BELOW MUST BE FILLED OUT FOR YOUR BID TO BE CONSIDERED. THE CITY DESIRES THE RIGHT AND OPTION TO EXTEND ANY CONTRACT HEREUNDER FOR ADDITIONAL ONE-YEAR RENEWAL PERIODS FROM DATE OF EXPIRATION AT THE SAME PRICE, TERMS AND CONDITIONS, AS SPECIFIED BELOW FROM DATE OF EXPIRATION AT THE SAME PRICE, TERMS AND CONDITIONS. FOR EACH SUBSEQUENT RENEWAL PERIOD LISTED BELOW PLEASE INDICATE IN THE COMMENT SECTION WHICH OF THE FOLLOWING APPLY: 1) NO RENEWAL OPTION OFFERED. 2) SAME PRICE, TERMS AND CONDITIONS OFFERED. 3) % OF INCREASE /DECREASE OF PREVIOUS YEAR'S PRICE FOR ALL AREAS OR OPTIONS. INCREASES GREATER THAN CPI WILL BE SUBJECT TO THE "ESCALATION & DE-ESCALATION OF BID PRICE" CLAUSE IN THE BID. SPECIFY ALTERNATE TERMS AND CONDITIONS IF APPLICABLE. ATTACHMENT A