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Home My WebLink AboutCC RES 82-076RESOLUTION NO. 82-76 . . A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM DESERT, CALIFORNIA, R.F,JECTING ALL BIDS FOR THE CIVIC CENTER AT THE NORTHEAST CORNER OF FRED WARING DRIVE AND SAN PA�LO, IN PA�M DESERT, CALIFORN�A, AND INSTRUCTING STAFF TO NEGOTIATE WITH ThE LOWEST BIDDER. WHEREAS, on June 14, 1979, the City of Palm Desert awarded a contract to Ballew-McFarland/Bennie M. Gonzales Associates, Inc. to complete preliminary plans for a civic center at the northeast corner of Fred Waring Drive and San Pablo, in Palm Desert, California; and WHEREAS, on June 29, 1979, the City of Palm Desert and Lewis Homes entered into an agreement whereby Lewis Homes would sell and the City of Palm Desert would buy 8.695 acres at the nort:least corner of Fred Waring Drive (then Avenue 44) and San Pablo Avenue for a civic center for the City of Palm Desert, California; and WHEREAS, on June 11, 1981, the City Council of the City of Palm Desert approved civic center preliminary plans drawn by Ballew-McFarland/Bennie M. Gonzales Associates, Inc. and awarded a contract to provide working drawings to Ballew-McFarland/Bennie M. Gonzales Associates, Inc.; and WHEREAS, on October 22, 1981, the City Council of tne City of Palm Desert adopted Resolution No. 81-139 certifying tne environmental impact report No. 81-1 for a civic center complex at tri�e nortneas.t cn��ner . of Fred Waring Drive and San Pablo Avenue; and WHEREAS, on Decemk�er 1, 1981, the planning commission of the City of Palm Desert adopted Resolution No. 764, approving a conditional use permit and certifying a negative declaration of environmental im1�act to develop a civic center at the northeast corner of Fred Wari;�g Drive and San Pablo Avenue; and WHEREAS, on March i7, 1982, the City of Palm Desert received a letter from Ballew-Arbuckle-Martin setting the estimated probable cost to construct the civic center at $2.-� million, which figure of $2.4 million was then accepted by the City of Palm Desert as the budget maximum for the construction of the civic center project; and WHEREAS, on Marcn 25, 1982, the City Council of the City of Palm Desert authorized thE City of Palm Desert to seek bids for the construction of the civic center, with the bid period to be Ltiirty ( 30 ) days , w:iicli period was to end May 3, 1982; and WHEREAS, on April 1, 1982, the invitation inviting bids for the construction of tne ci��ic center was published; and WHEREAS, on April 22, 1982, the City Council of the City of Pal�n Desert, per the recommendation.of the.architect, extende� the bid peric�d to May 17, 1982; and RESOLUTION NO. 82-76 PAGE TWO WHEREAS, on May 17, 1982, bids were received by the City of Palm Desert for the construction of the civic center from the following firms: Watt Industries; Snedaker Construction Company; Baldi Brothers Construction; Western Alta Construction; Earle T. Casler, Inc.; Wessman Construction Company; Peter Kiewit & Sons Construction; and R.G. Garcia Corporation, with the lowest bid being sutimit�ed._b� 3n�daker �ons�ruct�on:CQmpany in the amount of $2.76 million; and WHEREAS, on May 20, 1982, the City Council of the City of Palm Desert discussed the $360,000 discrepancy between the low bid and budget regarding the civic center with the architect, and instructed the arcnitect to investigate if "or equal" substitutions could lower the project cost to the budgeted amount of $2.4 million; and WHEREAS, on May 27, 1982, the City Council of the City of Palm Desert received imput from the city staff to the effect ttiat "or equal" substitutions would not result in significant cost reductions; and WHEREAS, on May 27, 1982, the City Council of the City of Palm Desert called a special meeting to discuss the rejection of bids and negotiation with the lowest bidder. The architect requested at that point two weeks to further evaluate "or equal" substitution which request was accepted by the City Council and the City Council authorized an additional two weeks to further evaluate "or equal" substitutions; and WHEREAS, on June 10, 1982, the City Council received a report, in study session, from Ballew-Arbuckle-Martin, wnich advised that "or equal" substitutions would not bring the project withi.n budget; and WHEREAS, concerns raised in the community of Falm Desert makes it imperative that the civic center be constructed in the most efficient and economical manner possible; and WHEREAS, economic conditions presently exist in tne construction industry which conditions provide the City of Palm Desert a unique opportunity to construct a civic center at lower cost tiian would be available if the civic center project was unduly delayed; and WHEREAS, the redesign of the civic center project by the architects, and the reletting of competitive bids for the project would unduly prolong the award of the contract for the construction of the civic center project; and WHEREAS, the redesign of the project by the architects and the reletting of competitive bids for the project will not assure the City of Palm Desert and the public that the new bids received will be within budget; and WhEREAS, to date, truly competitive proposals have not been available and have not produced an advantage to the public, due to ttie nature of the subject of the contract, and due to the fact that the lowest bid for the construction of the civic center was $360,000 above budget; and WHEREAS�� the.readverti�ement for competitive bids would be undesirable and impractical because of the loss of time, the increasing construction costs, and the presently existing C RESOLUTION NO. 82-76 PAGE THREE economic condition in the construction industry which favor immediate approval of a contract; and WhEREAS, the civic center project is unique in that only one civic center will be built and in that, to date, the City of Palm Desert has not obtained a competitive bid that is witllin budget; ancl , WHEREAS, the competitive bidding process would not result in any advantage to Palm Desert and would not result in a 1. contract whicli would be for the greatest public benefit; and WhEREAS, the rejec�ion of all bids and the subsequent negotiation with tne low bidder, to attempt to arrive at a contract price within budget, will assure a more rapid award of a contract tiiat is within budget; and WtiEREAS, negotiation with the lowest bidder will provide the City of Palm Desert with the opportunity to secure a facility within tiie budgeted limitation, in the fastest manner possible, would result in the greatest public benefit and would result in the greatest cost effectiveness, NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Palm Desert, California, as follows: l. That the above recitations are true and correct and constitute tne findings of the Council in this matter. 2. That all bids for the construction af the civic center be, and hereby are, rejected, and 3. That the city staff of the City of Palm Desert is hereby instructed to negotiate, on the open market, with the lowest bidder to negotiate a contract that is within bucige t ; and 4. That, if negotiations with the lowest bidder do not produce a contract that is within budget, then the city staff of the City of Palm Desert is instructed to negotiate, on tne open market, with the next lowest bidder, and thereafter with the next lowest bidder, and so on, until a contract is negotiated which is witiiin budget. PASSED, APPROVED and ADOPTED at a regularly scneduled meeting of the City Council of the City of Palm Desert on tnis lOth day of June, 1982, by the following vote, to wit: AYES: McPherson, Newbrander, Snyder & Wilson NOES: Puluqi 3 ABSENT: None ABSTAIN: None ATTEST: SHEILA R. GILL�rGAN, Cit��erk City of Palm Desert, Ca i rnia