Title
Approval of Resolution to Reject All Bids for the Quince Street Sidewalk Project
Recommended Action
Committee Recommendation:
Not referred to a committee.
City Manager Recommendation:
Move to approve the resolution to reject all bids for the Quince Street Sidewalk Project.
Report
Issue:
Whether to adopt the resolution to reject all bids for the Quince Street Sidewalk Project.
Staff Contact:
Jim Rioux, Project Manager, Public Works Engineering, 360.753.8484.
Presenter(s):
None - Consent Calendar Item
Background and Analysis:
Project Description
The project will replace sidewalk and asphalt roadway at the north end of Quince Street. The project limits begin at the entrance to Reeves Middle School and extend 570 ft. south.
Irregular Bid and Funding Concerns
Funding for the project includes a grant from the Federal Highway Administration (FHWA). Conditions of the grant include meeting an Underutilized Disadvantaged Business Enterprise (UDBE) goal established by the Washington State Department of Transportation (WSDOT). The UDBE goal is 12 percent of the total contract. In this case, the low bid of $300,099 was submitted by Global Telecom Engineering and Construction, Inc. of Kent WA. Based on that bid, the dollar amount that must be subcontracted to a UDBE subcontractor is $36,011.88.
The contractor’s proposal must include documentation showing how the contractor intends to achieve this goal. That documentation consists of a bidder certification form that identifies the selected UDBE and a written confirmation document. The confirmation document is signed by the UDBE subcontractor to confirm their agreement with the work they will complete and the amount they will be paid. (See attached UDBE Confirmation Forms). The forms submitted with this proposal show that the prime contractor intends to use a UDBE subcontractor for “Flagging and Traffic Control Services” and that they would be paid $36,012.00 for those services.
When the UDBE goal is established, the City must obtain concurrence from WSDOT to award the contract. During staff review of the proposal we noted the amount bid for traffic control was only $7,500. Staff consulted with WSDOT staff who indicated that they would not concur with award. If we award to this firm, the grant funding for this project will be in jeopardy. The City does not have sufficient funds to construct the project without the grant from FHWA.
Second Low Bid
The second lowest bid for this project was submitted by Soto and Sons Construction, LLC of Everson, WA. That bid was $337,140.00 which is $45,335.00 (16 percent) above the Engineer’s Estimate of 291,805.00.
Neighborhood/Community Interests (if known):
• While completing the sidewalk improvements would address a request from both the Northeast Neighborhood Association and students at Reeves Middle School, not complying with funding requirements would put our grant in jeopardy. The City’s ability to complete the project would be affected if the federal funds were eliminated.
Rebidding the project will allow us to construct the project when school is out, reducing the impact on people going to/from Reeves Middle School.
Options:
1. Reject all bids. Staff will reevaluate the plans and specifications as well as the timing of the project to find ways to reduce costs. Staff intends to rebid the project for spring 2018 construction.
2. Reject the low bid and award to the second lowest bidder. Transportation would need to shift funds committed to other projects. The low bidder has indicated their intention to protest an award to the second lowest bidder.
3. Award the project to the lowest bidder. WSDOT has indicated that grant funding will be in jeopardy. The second low bidder has indicated their intentions to protest.
Financial Impact:
Quince Street Sidewalk Project Cost and Funding |
Total Project Costs |
Low Bidder |
2nd Lowest Bidder |
|
|
|
Contract |
$304,599 |
$337,140 |
Award Contingency |
$30,460 |
$33,714 |
Engineering |
$187,825 |
$187,825 |
Total |
$522,884 |
$558,679 |
|
|
|
Current Project Allocation |
$298,1501 |
$501,350 |
Additional Funds Needed |
$224,734 |
$57,329 |
Note 1: The amount shown assumes the City loses the $203,200 FHWA grant.
Attachments:
Resolution
Bid Results
UDBE Forms