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PALM DESERT REDEVELOPMENT AGENCY
INTEROFFICE MEMORANDUM
Agency Board
Martin Alvarez, Redevelopment Manager
July 27, 2010
Desert Willow Kitchen/Building Expansion: Bid Results
Staff recommends the following action:
By Minute Motion:
1. Approve project Additive Alternate No. 1;
2. Authorize the Chairman to execute Contract No. R29450C to the lowest
responsive bidder in the amount not to exceed $2,880,873.49 (including
Additive Alternate No. 1) for the Kitchen/Building expansion at Desert
Willow Golf Resort;
3. Authorize the Finance Director to set aside the amount of $288,087.35 as
10 percent contingency (use of contingency requires additional action).
Funds for the construction have been included in the proposed 2010/2011
Financial Plan in Project Area No. 2, Account No. 851-4663-454-4001;
4. Authorize the use of an amount not to exceed $231,000, including 10
percent contingency for non -fixed furniture, fixtures and equipment
associated with the kitchen/building expansion. Funds are available in
Desert Willow Golf Course Maintenance Fund 241; and
5. Waive further reading and adopt Resolution No. approving a loan
in the amount not to exceed $500,000 from the City's Golf Course
Maintenance Fund (Fund 241) to the Desert Willow Golf Course Q v`
Operating Fund (Fund 520). o ;.
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Bid Results r - r
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On July 23, 2010, the City Clerk publicly opened and read four sealed bids. �0,
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Desert Willow Kitchen/Building Expansion Bid Opening Results
July 27, 2010
Page 2of3
Below is a summary of the bids received:
COMPANY NAME
The Penta Building Group — Palm Desert, CA
Additive Alternate (No. 1)
Doug Wall — Bermuda Dunes, CA
Additive Alternates (No.1)
Davis Reed — San Diego, CA
Additive Alternates (No.1)
Orr Builders — Bermuda Dunes, CA
Additive Alternates (No.1)
Base Bid/Additive and Deductive Alternates
BID AMOUNT
$2,865,154.08
$ 15,719.41
Total $2,880,873.49
$2,914,133.00
$ 15,000.00
Total $2,929,133.00
$2,997,000.00
$ 14,000.00
Total $3,011,000.00
$3,149,000.00
$ 16,000.00
Total $3,165,000.00
The projects base bid includes, but is not limited to, a 5,264 square foot expansion of the
existing kitchen/building, remodel/expansion of the existing lobby bar, widening of the pinch
point at the ballroom hallway, new east banquet lobby and ancillary spaces. As part of the
bid, staff requested one additive alternate bid and one deductive alternate that would
enhance the project if budget allowed. Below is a description of each alternate and their bid
costs:
1. Additive Alternate No. 1: Replacement of nine chandelier light fixtures with dimmable
chandelier fixtures in the Firecliff Ballroom and Palm Desert Room ($15,719.41).
2. Additive Alternate No. 2: N/A
3. Deductive Alternate No. 3: Non -decorative vinyl interlayer at aluminum framed
folding partition glass wall separating the Firecliff Ballroom from lobby and lobby bar
(-$9,491.00). This alternate is not recommended. Base bid includes decorative logo
on opaque glass wall.
The lowest responsive bid price of $2,865,154.08 is below staffs anticipated construction
estimate of $2.95 million. Staff is recommending approval of Additive Alternates No. 1. The
total bid price including the additive alternate is $2,880,873.49. Including this item under this
contract will enhance the projects aesthetics, provide dimmable lights at the ballroom, and
minimize disruptions to business operations if this amenity is added at a later date.
Schedule
If the contract is awarded to the lowest responsive bidder, the project would commence in
mid August 2010 with a 140 consecutive day completion date. The estimated completion
G \rda\Martin Alvarez\2010\Memos\Memo-Desert Willow KitEx Bid Update 7-27-10 doc
Desert Willow Kitchen/Building Expansion Bid Opening Results
July 27, 2010
Page 3 of 3
date is mid January 2010. From an operation standpoint, the majority of the work will be
completed during the non -peak period minimizing impacts to the golf resort.
The City Attorney has reviewed and approved the lowest apparent bidders' bid bond and
qualifications. Staff recommends approval of a contract with The Penta Building Group in
the amount not to exceed $2,880,873.49 (including base bid and Additive Alternate No. 1).
Submitted By:
Alvarez, Rede elo men Manager
f in p t
Approval:
ohlmuth, Executive Director/City Manager
Rachelle D. Klassen, Secretary
John M. Wohlmuth, Executive Director
Justin McCarthy, ACM for Redevelopment
G \rda\Martin Alvarez\2010\Memos\Memo-Desert Willow KitEx Bid Update 7-27-10 doc