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Home My WebLink AboutR22600A - Henderson Cmnty Bldg"r E PALM DESERT REDEVELOPMENT AGENCY STAFF REPORT REQUEST: APPROVE THE SUBSTITUTION OF HEGGE ELECTRICAL CONTRACTORS, INC., FOR CIRCLE CITY ELECTRIC, INC. FOR CONTRACT NO. R22600A FOR THE HENDERSON COMMUNITY BUILDING SUBMITTED BY: MISSY WIGHTMAN, PROJECT COORDINATOR CONTRACTOR: STETON CONSTRUCTION GROUP 145 S. STATE COLLEGE BLVD. SUITE 450 BREA, CA 92821-5818 DATE: JANUARY 11, 2007 CONTENTS: REQUEST FOR SUBSTITUTION NOTICE OF SUBSTITUTION TO HEGGE ELECTRICAL CONTRACTORS, INC. CERTIFIED MAIL RECEIPT Recommendation: By Minute Motion, that the Agency Board approve the substitution of Hegge Electrical Contractors, Inc., for Circle City Electric, Inc. for Contract No. R22600A for the Henderson Community Building. Executive Summarv: Approval of the subject Substitution of Subcontractor will allow construction of the Henderson Community Building to continue uninterrupted. Discussion: The subject Contract No. R22600A was awarded on July 13, 2006, to Steton Construction Group, for the Henderson Community Building. Notice to Proceed was issued on August 28, 2006 to commence work on August 28, 2006, and construction is currently underway. As part of their Information Required of Bidder document, Steton Construction Group listed the following subcontractor, and is now requesting that this subcontractor be withdrawn from the subject project due to a bid proposal error. Hegge Electrical Contractors, Inc. 83852 Avenue 45 Indio, CA 92201 (Work to be performed: Electrical) Staff Report Approve the Substitution of Subcontractor Hegge Electrical Contractors, Inc., for Subcontractor Circle City Electric, Inc. for Contract No. R22600A for the Henderson Community Building Page 2 January 11, 2007 In accordance with California Public Contract Code 4107, written notice has been given to the above subcontractor to be withdrawn from the subject project. No response has been received to date. Steton Construction Group is requesting that the following subcontractor be substituted in for the above subcontractor. Circle City Electric, Inc. 18726 Van Buren Blvd. Riverside, CA 92508 Staff is recommending approval of the subject Substitution of Subcontractor to allow construction of the Henderson Community Building to continue uninterrupted. Submitted by: -06� Missy WiWitKnan Project Coordinator Approval: lopment Carlos L. Ortega, xecutive Director Department Head: (Dave Yrigoye Director of development/Housing / a4� Paul Gibson, Director of Finance �D BY RDA ON VERIFIED BY Q-&Jr� Original on file with City Clerk's Office GARDA\Melissa Wightman\Henderson Community Building\Staff Reports\Staff Report- Hegge Subcontractor Substitution.doc December 1, 2006 Mark Chappell Douglas E. Barnhart, Inc. 41-945 Boardwalk, Suite D Palm Desert, CA 92211 RE: Henderson Community Building Electrical Subcontractor Substitution Request. Dear Mr. Chappell, In the process of finalizing our subcontracts for the above mentioned project, Steton Construction Group has determined that Hegge Electrical Contractors, Inc., our listed Electrical subcontractor, have refused to execute our subcontract as written. hey have stated that, due to errors in their bid proposal, they cannot perform the scope for the amount as presented on their original bid. Although Hegge Electrical Contractors, Inc. had stated that they would provide STETON us with a letter of withdrawal, to date we have not received any such document. CONSTRUCTION Our last known contact information is as follows: GROUP Hegge Electrical Contractors, Inc. 145 S. State College Blvd. Suite 450 Mr. Bill Schultze Brea, CA 92821 Estimator (714) 255-7080 83852 Avenue 45 Fax (714) 255-7086 Indio, CA tic. No. 641454 760 775-4855 info@stetoncg.com 760-775-4854 fax www.stetoncg.com bill@heggeelectrical.com Pursuant to Palm Desert Municipal Code 3.30.190—A.1.a, we are hereby requesting approval to substitute this subcontractor with a qualified licensed subcontractor for the scope of Electrical. Respectfully, STETON CONSTRUCTION GROUP Ed Feng Project Engineer Cc: Justin Kazak, Jeff Contenta, Phyllis St. George \\steton-ns l\Company\Jobs\Henderson Community Building\Subcontractor Correspondence\Hegge Electric PHIM WIRT PIPPROPINI HINCY 73-51 o FRED WARING DRIVE PALM DESERT, CALIFORNIA 92260-2578 TEL: 760 346—o611 FAX: 760 30-6372 info@palm-desert.org December 19, 2006 CERTIFIED MAIL RETURN RECEIPT REQUESTED Mr. Bill Schultze Hegge Electrical Contractors, Inc. 83852 Avenue 45 Indio, CA 92201 RE: Notice of Substitution Contract No. R22600A Henderson Community Building Dear Mr. Hegge: We are in receipt of a Request for Substitution from Steton Construction Group requesting substitution of subcontractor Hegge Electrical Contractors, Inc., for subcontractor Circle City Electric, Inc. Steton Construction Group listed Hegge Electrical Contractors, Inc. as a subcontractor on their "Information Required of Bidder" document for Contract No. R22600A, awarded on July 13, 2006, . for the Henderson Community Building. The reason stated by Steton Construction Group, to substitute Hegge Electrical Contractors, Inc., for Circle City Electric, Inc. is that they "have refused to execute our subcontract as written. They have stated that, due to errors in their bid proposal, they cannot perform the scope for the amount as presented on their original bid." Copies of their letters dated October 23, 2006 and December 1, 2006, are enclosed. You have five working days within which to submit written objections to the substitution of the awarding authority pursuant to Palm Desert Municipal Code. Failure to file these written objections constitutes your consent to the substitution. Sincerely, Missy Wightman Project Coordinator Enclosures (as noted) G:1RDAIMELISSA WIGHTMANWENDERSON COMMUNITY BUILDINGILETTERS, MEMOS, AND WORD DOCUMENTSI8UBSTITUTION LETTER HEGGE.DOC Ceo PWRa uncuD run U.S. Postal Service,;., CERTIFIED MAIL',;., RECEIPT (Domestic Mail Only; No Insurance Coverage Providec uruenTurrrm o ceneied I" DEC 19 2116 Posbnarlk (FrWoreemeMRecelpt I O Here Delivery Er(a,hM M 155y m C3 Total Postaps 3 Few $ Ln C3 sent To MR BILL SCHULTZE N '%1p£)W---..._- FI'E'6"G`E•Q f4teAL—CfO TPACIOF3S I orPDSax Na 231152 AVENUE 45 .................._...._.._. INDIO CA 92201 ■ Cbmplete Items 1, 2, and 3. Also complete Item 4 if Restricted Delivery is desired. ■ Print your name and address on the reverse so that we can return the card to you. ■ Attr o this card to the back of the mailpiece, q�front if space permits. 1. ressed to: Ft 6IL kMIULTZE r -HEGGE TRICAL CONTRACTOJ ` SM52 AVENUE 45 INDIO CA 92201 A. Received by (OPHC B. Dat of D livery C. Sign ❑ Agent X ❑ Addressee j D. Is del ary address different from it 17 O Yes If YES, enter delivery address below: ❑ No I 3. Service Type ' Certified Mail ❑ Express Mail Er Registered 0 Return Receipt for Merchandise 0 insured Mail ❑ C.O.D. 4. Restricted Delivery? (Extra Fee) ❑ Yes 2. Article Number Con- ` _ 7005 0390 0005 2067 5713 Ps Form 3811, July im s- Domestic Return Receipt 102595.00-M-0952