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Home My WebLink AboutSR - HA23650C - Phase B - California VillasREQUEST: SUBMITTED BY: CONTRACTOR: DATE: CONTENTS: Recommendation: PALM DESERT HOUSING AUTHORITY STAFF REPORT AUTHORIZE AWARD OF CONTRACT NO. HA-23650-C TO DOUG WALL CONSTRUCTION, INC. (BERMUDA DUNES, CA) IN THE AMOUNT NOT -TO -EXCEED $3,137,505 FOR PHASE B SITE RENOVATIONS AT THE HOUSING AUTHORITY PROPERTY KNOWN AS CALIFORNIA VILLAS MARTIN ALVAREZ, REDEVELOPMENT MANAGER DOUG WALL CONSTRUCTION, INC 78-450 AVENUE 41 BERMUDA DUNES, CA 92203 FEBRUARY 14, 2008 CONTRACT NO. HA-23650-C CONTRACTOR'S PROPOSAL SITE MAP By Minute Motion, that the Housing Authority: 1. Authorize the award of Contract No. HA-23650-C to Doug Wall Construction, Inc. (Bermuda Dunes, CA) in the amount of $3,137,505 to construct Phase B site renovations at California Villas; 2. Authorize the Finance Director to set aside $313,750.50 as 10% contingency (use of contingency requires additional action); and 3. Authorize Executive Director to execute documents. Funds are available in Account No. 871-8680-466-4001. Executive Summary: Approval of the request will award a contract to Doug Wall Construction, Inc., a general contractor, in the amount of $3,137,505.00 to complete Phase B site renovations at California Villas (77-107 California Avenue). Phase B improvements consist of the following site improvements: • New 750 square foot maintenance building • Architectural improvements to office/community room entry Staff Report Authorize Award of Contract No. HA-23650C to Doug Wall Construction for Phase B Renovations California Villas Page 2 of 4 February 14, 2007 • Parking lot improvements (new concrete surfaces, restriping, and trash enclosures) • New carports with infrastructure to support future solar panels • Pool deck improvements • ADA accessible walkways, entrances and site lighting • New water efficient landscaping and irrigation • Remaining interior unit renovations (25 units) Request for sealed bids was advertised on January 11, 2008. Following the bid review period, the City Clerk held a public bid opening on February 4, 2008. Two sealed bids were submitted and Doug Wall Construction, Inc. of Bermuda Dunes, CA, submitted the lowest responsive bid in the amount of $3,137,505. Staff recommends approval of a contact with Doug Wall Construction, Inc. to complete the Phase B site renovations at California Villas. Funds are available in Account No. 871-8680-466-4001. Discussion: In March 2003, the Redevelopment Agency acquired the California Villas property located at 77-107 California Avenue. The California Villas property consists of 140 one - bedroom units, one two -bedroom unit with a leasing office/community room. The Housing Authority currently operates the site as an affordable housing complex. In March 2006, the Housing Authority authorized interior and exterior renovations known as Phase A. These improvements included the following components: • New roof systems with attic ventilation • Architectural elements, new stucco of building exteriors and patio walls • New code compliant windows, doors, utility roll -up doors, patio entry gates, air conditioners • Structural modifications • New utility services Phase A improvements were completed in February 2007 by Portrait Homes, Inc. in the amount of $5,733,552 ($40,663/unit). These upgrades have improved the overall appearance of the property, enhanced energy efficiencies, as well as addressed health and safety issues that existed. G \rda\Martin Alvarez\Cal V Ilas\Phase B\SR\021408calvillasPhsBagremt doc Staff Report Authorize Award of Contract No. HA-23650C to Doug Wall Construction for Phase B Renovations California Villas Page 3 of 4 February 14, 2007 Phase B improvements include the following components: • New 750 square foot maintenance building • Architectural improvements to office/community room entry • Parking lot improvements (new concrete surfaces, restriping, and trash enclosures) • New carports with infrastructure to support future solar panels • Pool deck improvements • ADA accessible walkways, entrances and site lighting • New water efficient landscaping and irrigation • Remaining interior unit renovations (25 units) Plans and specifications for the Phase B improvements were completed by Prest/Vuksic Architects. On January 11, 2008, staff formally advertised requesting sealed bids. Staff conducted an on -site pre -bid meeting on January 23, 2008 with potential contractors and subcontractors. A public bid opening was held by the City Clerk on February 4, 2008. Two sealed bids were received with the following amounts: Contractor Bid Amount 1 Doug Wall Construction, Inc., Bermuda Dunes, CA 92203 $3,137,505 1 Portrait Homes, Inc., Corona, CA 92879 $4,226,863 1 Doug Wall Construction, Inc. submitted the lowest responsive bid in the amount of $3,137,505. To address the concern with the large price difference between bids, staff requested that the Doug Wall Construction submit a detailed breakdown of the construction costs. Both staff and our construction manager have reviewed these costs and believe that the construction costs are reasonable and within current industry prices. The lower costs can be attributed to both the slowdown in the construction industry and the use of eager local subcontractors. Doug Wall Construction indicated that due to the slowdown in the construction industry, many subcontractors are eager for work and provided him with competitive bids. In addition, after reviewing the subcontractor lists for both general contractors, Doug Wall Construction, Inc. is primarily using local subcontractors and Portrait Homes, Inc. proposed to use subcontractors based outside the Coachella Valley. The proposed improvements will finalize the planned renovations at the California Villas property. The improvements will improve the site appearance, accessibility, safety, and will bring this apartment complex up to a comparable standard with other Housing G \rda\Marto Alvarez\Cal Villas\Phase B\SR\021408calvdlasPhsBagremt doc Staff Report Authorize Award of Contract No. HA-23650C to Doug Wall Construction for Phase B Renovations California Villas Page 4of4 February 14, 2007 Authority properties. The total costs for both Phase A and B renovations, including acquisition, will total $131,733/unit. Therefore, staff recommends approval to award a contract in an amount not -to -exceed $3,137,505 to Doug Wall Construction, Inc., with a ten percent contingency set aside for unforeseen conditions in this renovation project. Submitted by: Martin varez Red elopment Manager Approval: McCarthy, ACM Iopment Carlos L.`OExecutive Director Janivt IYA'oore Director of Housing Department Head: be Yrigo : ,� Director of it, elopment/Housing Paul S. fp son ctor of Finance HOUSG AUTH ON 1{.('� (�-G VERIFIED BY: 1ZDiC jig-x >--) Original on file with City Clerk's Office G:\rda\Martin Alvarez\Cal Villas\Phase B\SR\021408calvillasPhsBagremt.doc