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HomeMy WebLinkAbout07 - Bayside Cove Walkway - Award of ContractaEW POQT CITY OF NEWPORT B EACH <o City Council Staff Report Agenda Item No. 7 August 13, 2013 TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: Public Works Department David A. Webb, Public Works Director 949 - 644 -3311, dawebb(a)newportbeachca.gov PREPARED BY: Fong Tse, Principal Civil Engineer 949 - 644 -3321, ftse @newportbeachca.gov APPROVED: 0. TITLE: Bayside Cove Walkway — Award of Contract No. 5276 ABSTRACT: Staff received acceptable bids for the Bayside Cove Walkway Project and is requesting City Council approval to award the contract to GMC Engineering, Inc. RECOMMENDATIONS: 1. Approve the project drawings and specifications. 2. Relieve the low bidder Aghapy Group, Inc. of their bid due to computation errors. 3. Award Contract No. 5276 to GMC Engineering, Inc. of Tustin, California, for the total bid price of $147,967.00 and authorize the Mayor and City Clerk to execute the contract. 4. Establish a contingency of $15,000.00 (approximately 10 percent) to cover the cost of unforeseen work. FUNDING REQUIREMENTS: The current adopted budget includes sufficient funds for this contract. Account Description Account Number Amount Contributions 7251- C3002020 $ 162,967.00 $ 162,967.00 I of 5 Proposed uses are as follows: Vendor GMC Engineering, Inc. GMC Engineering, Inc. DISCUSSION: Bayside Cove Walkway — Award of Contract No. 5276 August 13, 2013 Page 2 Purpose Construction Contract Construction Contingency Total: Amount $ 147,967.00 15,000.00 $ 162,967.00 For many years, the City has been planning a continuous waterfront pedestrian path from Bayside Drive at Promontory Bay to the Balboa Island Bridge. In order to complete the path, a connection is necessary immediately east of the Newport Beach Yacht Club (NBYC) to link the existing floating dock - gangway landing to the Marine Avenue sidewalk. Accordingly, staff prepared the plans and specifications needed to complete the walkway including: removal of existing improvements, new pedestrian walkway, matching masonry screen walls and new landscaping. Funding for the proposed walkway connection was included in the Amendment to Zoning and Implementation and Public Benefit Agreement (amendment to Development Agreement No. DA 2007 -002) between the City and The Irvine Company dated August 14, 2012. According to the agreement, The Irvine Company shall pay the City up to $200,000 as a public benefit reimbursement for costs the City incurs related to plans, specifications, permits and construction of the Bayside Walkway Connection project. Payment shall be made within 90 days after receipt of written notice from the City that it has awarded a construction contract for the project. At 10:00 AM on July 16, 2013, the City Clerk opened and read the following bids for the Bayside Cove Walkway Project: BIDDER Low Agaphy Group, Inc. 2 GMC Engineering, Inc. 3 Unique Performance Construction, Inc. 4 Micon Construction, Inc. 5 Ted Enterprises, Inc. TOTAL BID AMOUNT $118,900.00* $147,967.00 $149,080.00 $149,565.00 $207,920.00 * Bid Withdrawn Shortly after bid opening, Aghapy Group submitted a written request to withdraw their bid due to errors made in preparing the bid (see Attachment B). Staff has reviewed the request and recommends relieving Aghapy Group of their bid in accordance with Public Contract Code Section 5101. 2 of Bayside Cove Walkway — Award of Contract No. 5276 August 13, 2013 Page 3 The second low bidder, GMC Engineering, Inc. (GMC), possesses a California State Contractors License Classification "A" as required by the project specifications. A check of GMC's references indicates satisfactory completion of capital improvement projects for the City and other municipalities. Although GMC's total bid amount is approximately eighteen percent above the Engineer's Estimate of $125,000, the one percent difference between GMC's bid and the next two bidders suggests that GMC's bid of $147,967.00 is likely the market price to complete the proposed improvements. Pursuant to the contract specifications, the contractor will have 50 consecutive working days to complete the construction work exclusive of the plant establishment and maintenance period. To encourage the timely completion of all construction work prior to Thanksgiving, the contract documents set the liquidated damages amount for this project at $1,000.00 per calendar day. ENVIRONMENTAL REVIEW: Staff recommends the City Council find this project exempt from the California Environmental Quality Act ( "CEQA ") pursuant to Section 15301(c) (maintenance activities with negligible expansion) of the CEQA Guidelines, California Code of Regulations, Title 14, Chapter 3, because it has no potential to have a significant effect on the environment. NOTICING: The agenda item has been noticed according to the Brown Act (72 hours in advance of the meeting at which the City Council considers the item). The Notice Inviting Bids for this project was advertised in the City's official publication and in construction industry publications. Submitted by: Q , David A. Webb Public Works Director Attachments: A. Location Map B. Aghapy Group Inc. Bid Withdrawal Letter dated July 16, 2013 3 of A COAST HIGH � WAY co 0 m m 0 0 BAYSIDE D m D DRIVE n* 22 �O m r- � D C m < co m m D Z n C = m U W W ` W o PROJECT LOCATION > m p o BALBOA ISLAND NTS z CHANNEL 0 BAYSIDE COVE CITY OF NEWPORT BEACH _ WALKWAY PUBLIC WORKS DEPARTMENT LOCATION MAP C -5276 7/19/13 4 of Aghapy Group Inc. dba Aghapy Construction Inc. 10900 Hartland St. Bakersfield, CA 93312 To: City of Newport Beach Attn.: Public Works Dpt. Re: Bayside Cove Walkway Subject: Bid Withdrawal Greetings, Attachment B P: (661) 772 - 7817 F: (661) 589 - 7916 Date: July 16, 2013 After we have reviewed the above mentioned project, we found out that we did a calculation error while adding the numbers from the tabulation worksheet (Clerical Error): as a result we found our hid proposal amount is incorrect. Please consider this letter as a request to withdraw Aghapy Group Inc. bid for the above mentioned project. Thank you for your consideration, Best regards, Signature: ......... . Michael Michael President Cell: (562)900 - 2936 5 of