Title
Agenda Item:
Resolution to Reject All Bids for the Olympia Woodland Trail/Woodard Creek Culvert Improvements project
Body
Issue:
Whether to reject all bids for the Olympia Woodland Trail/Woodard Creek Culvert Improvements project since bids were 54% above the Engineer's estimate.
Committee Recommendation:
Not referred to a committee.
City Manager's Recommendation:
Move to reject all bids and authorize the Mayor to sign a resolution rejecting all bids.
Staff Contact:
Brett Bures, Project Manager, Public Works Technical Services, 360.753.8290
Presenter(s):
None - Consent Calendar Item.
Background and Analysis:
The Olympia Woodland Trail/Woodard Creek Culvert Improvements project repairs approximately 100 feet of 54-inch diameter concrete pipe. The project proposes to use an innovative trenchless technology called cured-in-place-pipe (CIPP), which installs a liner within the pipe. This pipe is located under the Olympia Woodland Trail and allows water from Woodard Creek to flow under the trail. Currently, the pipe is beginning to break and needs to be repaired in the near future to prevent it from potentially collapsing.
On July 25, 2012, the City received two bids for this project. Both bids were at least 54 percent higher than the Engineer's estimate of $209,508.38. After evaluating the proposed bids, staff determined that there are not sufficient funds available to complete the project as it is currently scoped and designed. Olympia Municipal Code 3.16.100 (D) states that the City cannot award a construction project without adequate funding.
Therefore, staff is recommending that the City Council authorize the Mayor to sign a resolution rejecting all bids. This will allow City staff to research a more cost-effective method to repair the pipe in 2013. Staff believes there is a low risk of the pipe collapsing in the next year and it should not affect Woodard Creek or the Olympia Woodland Trail.
Neighborhood/Community Interests (if known):
None
Options:
Reject all bids and authorize the Mayor to sign a resolution rejecting all bids. Staff will re-evaluate the scope of this project and find a more economical method to repair the culvert in 2013.
No other viable option.
Financial Impact:
There are insufficient funds in the storm water Capital Improvement Plan for this project. The low bid of $323,282.50 is $113,774.12, or approximately 54% higher than the Engineer's estimate.