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HomeMy WebLinkAboutC37010B Reject Bids Civic Center Administrative Lobby Rnvtns 724-17(L'; C. C~ - f, - CONTRACT NO. C37010B STAFF REPORT CITY OF PALM DESERT PUBLIC WORKS DEPARTMENT MEETING DATE: September 12, 2019 PREPARED BY: Emily Roethler, Project Manager REQUEST: Reject all bids submitted for the construction of the Civic Center Administration Lobby Renovations (Project No. 724-17). Recommendation By Minute Motion: 1) Reject all bids received for the construction of the Civic Center Administration Lobby Renovations. 2) Authorize staff to re -advertise and call for sealed bids in early 2020. Funding for this project is in the Fiscal Year (FY) 2019-20 Capital Improvement Program (CIP) budget, Account No. 4504161-4400100. Strateaic Plan While not a specific Strategic Plan Objective, this renovation of the Administration Lobby will provide for increased safety for those employees tasked with duties in this area. Backaround McAuliffe & Co. was selected in 2017 to redesign the Administration Lobby at the Palm Desert Civic Center. During the design process, the architect took into consideration the safety and well-being of all staff and the public that use this lobby. In order to achieve this goal, the renovations include constructing a new secure reception area for front lobby staff, removing and replacing the existing tile, removing the existing display case and replacing with a custom display case, and installing custom seating for visitors. The Civic Center Administration Lobby Renovations project was advertised for bids for construction on July 17, 2019, and July 24, 2019. On August 6, 2019, sealed bids were received and opened by the Office of the City Clerk with the following results: CONSULTANT LOCATION BID AMOUNT Caltec Corp Westminster, CA $350,000.00 RS Construction & Development, Inc. Upland, CA $440,822.43 September 12, 2019 - Staff Report Reject Bids for Administration Lobby Renovations and Re -Bid (Project No. 724-17) Page 2of2 Three (3) days after bids were opened and verified, the low bidder, Caltec Corporation, submitted a letter formally withdrawing their bid. The letter explained there was a clerical error on their submitted bid. The City Attorney and staff reviewed the letter and bid, and confirmed their request to withdraw as valid. With Caltec Corporation's withdrawal, only one qualified bidder remained. Staff evaluated the second bid from RS Construction and Development ($440,822.43), which is about twenty percent (20%) higher than the low bid and significantly higher than the Engineer's Estimate ($372,728.00). Due to the lack of qualified bidders on the project and discrepancy in bid amounts, staff is requesting to re -advertise this project in early 2020. This would provide for construction in the off-season, with the goal of minimizing the disturbance to staff and visitors to the Civic Center caused by construction related activities. Fiscal Analvsis This project is included in the City's Fiscal Year 2019-20 CIP budget; therefore, no fiscal impact beyond the contract amount is expected. LEGAL REVIEW DEPT. REVIEW FINANCIAL REVIEW I NIA .r Robert W. Hargreaves Tom Garcia, P.E. Ja et M. Moore City Attorney Director of Public Works irector of Finance City ManagerTLaur�ylaian. / �� r ATTACHMENTS: Vicinity Map Bid Withdraw Letter ASSISTANT CITY MANAGER_ Firestine rant City Manager RWIkFE-RIiAi? .rte���os►�w,4r r Lw— 1 3 a s J Givic Genter Administration Lobby Renovation Project No. 724-17 1:4,547 Contract No. C37010B CALTEC CORPORATION August 09, 2019 Tom Garcia, Director Public Works Rachelle D. Klassen, City Clerk City of Palm Desert 73-510 Fred Waring Drive Palm Desert, CA 92260 VIA: Email and Fedex REF: Civic Center Administration Lobby Renovation Project No. 724-17 Contract No. C37010B Bid Withdraw Dear Mr. Garcia: I am writing in reference to above project's bid opening, which took place on 8/6/2019 at 2:00pm. After further review of bid documents, CALTEC Corp. has determined there has been a clerical error made in filling out its bid that makes its bid materially different than is intended. CALTEC Corp. has carefully inspected all corners of the work with satisfaction and correctly estimated all cost of Material, Labor, Tools, Equipment, General Conditions, and Overhead and Profit. Despite of cost estimate and quote from Dexcon Corporation (listed subcontractor) for partial scope of the work, CALTEC Corp. removed cost estimate of this portion from total project cost and mistakenly did not transfer quote price of this portion of the work from bid sheet to final estimated cost of the project. This mistake made our bid materially different as we intended it to be. Pursuant to California Public Contract Code Section 5100, 5103, CALTEC Corp. requests the Authority relieves CALTEC Corp. of its bid due to mistake made and accepts the withdraw of our bid for above referenced project. Please feel free to c ntact me directly at 714-717-1638 should you have any questions. Sincerely, Hamid Abghari President CALTEC Corp. Cc: Emily Roethler, Project Manager, Carlos Hernandez, Project Manager File PAGE 1 OF 1 f13732 WESTMINSTER BLVD. SUITE 2, WESTMINSTER. CA 92683 Y TEL 714 373 5071 # FAX 714 894 7028 H cALTECCORP.COM 1/ ""ONTACT,�C,1LTECCfi';iP.COM