HomeMy WebLinkAbout15 - C-3385 - Newport Center Fire Station 3 Mechanical Upgrade & Restroom AdditionSeptember 25, 2001
CITY COUNCIL AGENDA
ITEM NO. 15
TO: Mayor and Members of the City Council
FROM: Public Works Department
SUBJECT: NEWPORT CENTER FIRE STATION NO. 3 MECHANICAL UPGRADE AND
RESTROOM ADDITION — CONTRACT NO. 3385
RECOMMENDATIONS:
1. Approve the plans and specifications.
2. Dismiss the protest of Construct 1 One Corp. as unsubstantiated.
3. Award Contract No. 3385 to GK Construction, Inc., for the Total Bid Price of $224,900,
and authorize the Mayor and the City Clerk to execute the contract.
4. Establish an amount of $20,100 to cover the cost of testing and unforeseen work.
5. Authorize a Budget Amendment appropriating $23,631 from General Fund reserves in
Account No. 7271- C2320527.
DISCUSSION:
At 11:00 A.M on September 11, 2001, the City Clerk opened and read the following bids for
this project:
BIDDER TOTAL BID AMOUNT
Low GK Construction Inc. $224,900
2 Construct 1 One, Corp. 243,777
3 State Wide Const. Management Inc. 282,415
4 Watermark Development, Inc. 398,900
The low total bid amount is 9.7% above the Engineer's Estimate of $205,000. The low
bidder, GK Construction Inc., possesses a General Building Contractor "B" license, but has
not performed previous contract work for the City. A check with their references and the
Contractors State License Board indicates that GK has satisfactorily completed similar
public building projects for other Southern California agencies and has no pending actions
detrimental to their contractors' license.
The second low bidder, Construct 1 One, Corp., has protested award to GK Construction
(see attached letter). Construct 1 One alleges that GK is not competent to perform the
heating - ventilation -air conditioning, plumbing and tile portions of the work. Inasmuch as
staff has no evidence to show that GK is competent to perform this work, by virtue of their
Contractor "B" license GK is nonetheless qualified as a contractor to perform the work.
Accordingly, staff recommends that the unsubstantiated protest be dismissed and that
award be made to GK without prejudice.
SUBJECT: NEWPORT CENTER FIRE STATION NO. 3 MECHANICAL UPGRADE AND RESTROOM
ADDITION — CONTRACT NO. 3385
September 25, 2001
Page: 2
PROJECT DESCRIPTION:
The Newport Center fire station went into operation in 1971. The mechanical system is now
30 years old and operating on its final, inefficient years. In addition, the heating, ventilation
and air conditioning (HVAC) system should be upgraded to relieve diesel exhaust and
kitchen fumes from the facility. Moreover, the Department must provide women's living
facilities at the station.
Consequently, last year the City entered into a Professional Services Agreement with
Nicoloff and Associates, Inc., of San Diego to prepare plans and specifications for the
mechanical upgrading and women's facilities. Those plans and specifications are now
complete and Building Permit - ready.
The restroom contract documents provide for replacing and relocating HVAC units and
associated electrical equipment and certain ductwork; installing a new HVAC zone control
system; demolishing and converting a portion of a 2nd floor mechanical room into a women's
restroom, including new HVAC, electrical and plumbing; replacing certain floor and ceiling
tile areas; and repainting certain living areas.
The contract documents state that the work must be coordinated with the station captain
each day, and that the station shall remain in full service throughout construction. The
contractor and worker's vehicles must be parked on the side street (Bombero), and living
areas must be made habitable at the end of each workday. All work must be performed
within 65 consecutive working days and completed during February of 2002.
FUNDING:
The mechanical replacement and remodeling is mainly funded under the Facilities
Rehabilitation and Remodeling Program. Additional funds are requested as follows for
award and unforeseen work:
Account Description
Fire Station Modifications
Budget Appropriation
Respectfully jbm
.PU61_I9MORKS DEPARTMENT
Stephen G. B um, irect
By:
Lloyd Iton, P.E.
Desi Engineer
Attachment: Bid Summary
Protest letter
Response to Protest letter
Account Number Amount
7271- C2320527 $221,369
(General Fund Reserves) 23,631
Total $245,000
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2832 Walnut Ave. • Suite C • Tustin CA 92780 • Tel 714 259 -5400 • Accounting Fax 714 259 -5408 • Bid Fax 714 259 -5406
September 11,'2001
City of Newport Beach
3300 Newport Blvd.
Newport Beach. CA 92658
Attention: Lloyd Dalton
600
aw 12 BRON
RE: Contract No. 3385, Newport Center Fire Station No. 3 Mechanical Upgrade and Restroom Addition.
Dear Mr. Dalton
Please consider this Construct I One Corp's Official Protest letter for the award of Contract No. 3385.
Newport Center Fire Station No. 3 Mechanical Upgrade and Restroom Addition.
Construct I One Corp is protesting the bid of GK Construction; the apparent low bidder on the above -
mentioned project. Our reasons for this protest are that we feel they failed to comply with the bid
documents. The bid form page clearly states that the Contractor must list "all subcontractors who will
perform in excess of one -half of one percent of the Contractor's total bid. If a subcontractor is not listed.
the Contractor represents that he /she is fully qualified to and will be responsible for performing that
portion of work."
GK Construction failed to list any subcontractors at all. Therefore they are stating they will do all the work
themselves and that they are qualified to do so. We contend that neither is the case. GK Construction only
possesses a B (General Building Contractor) and a C -10 (Electrical) license. Obviously a significant portion
of this project involves HVAC. a trade for which GK Construction has no license. Because of the large
scope of HVAC work involved in this project Construct I One Corp. would like to see credible evidence
that GK Construction is competent to perform it.
GK Construction also failed to list either a plumber or a tile contractor. Construct I One Corp. contends
that the scopes of work for these trades are well in excess of 1/2 %. Therefore they will also have to do all
of this work. Again they do not have a license for either trade and we question their competency to perform
the work.
For these reasons we believe that the owner should hold GK Construction as non - responsive and reject
their bid. Therefore we feel that Construct I One Corp. is the lowest responsible bidder and should be
awarded the contract for this project. After reviewing the above, please feel free to contact me with any
further questions you might have.
Thank you for your consideration.
Construct I One Corp
_j
Brian Hundley
President
INDUSTRY • INSTITUTIONAL • DEFENSE
Sent By: GK Construction inc.; 661 256 1259;
G K Construction Inc.
September 17, 2001
Mr. Lloyd Delton
City of Newport Beach
3300 Newport Blvd.
Newport Beach, CA 92658
RE: Contract No. 3385, Newport Center Fire Station No. 3.
Dear Mr. Dalton
Sep -17 -01 9:27AMi Page 2/2
3616 Garnet Ave. Rosamond, CA 93560
Phone (661) 256 -9698 Fax (661) 256 -1259
Reference to the above- mentioned project; please be advised that G K Construction Inc. have
received and reviewed a letter of protest from Construct 1 One Corp's. After careful review of
said letter GKCI concluded the following:
I - Construct 1 feel that GKCI failed to comply with the bid documents. Please be advised
that GKCI intend to perform all work in the above - mentioned contract by in house labor force.
Furthermore GKCI posses the required license classification for this project.
2- Construct 1 lacks the knowledge that GKCI hids Federal Construction Contracts,
which do not requires any license classification. Those projects are completed on or before
contract time and within budget amount. Also GKCI currently have two L.A. County contracts
and we elected to subcontract the electrical trades on both projects.
3- Construct 1 assumes that GKCI failed again to list a plumbing or tile contractor. In my
opinion Construct I do not have the means to obtain in house labor force to perform this type of
work not have the knowledge of what GKCI capable of providing.
4- In my opinion GKCI ability to bid competitively in the construction market is
contributed solely by maintaining various trades to bid and perform work in house.
Finally while I cannot discusses how GKCI conduct its business or management style 1
can say that I have over eight years of construction experience with the U. S. Army Corps of
Engineers as a Project Manager/ Contracting Officer in the State side and oversees additional to
fourteen years with 416'h Engineering Command Presidio, Sari Francisco. Mr. Neil Dcgarmo has
over 35 years of experience in construction with privet and public work. I think this knowledge
will enable GKCI to perform this project satisfactory to the City of Newport Beach expectation.
I look forward to serve your construction needs.
Should you have any questions, please feel free to contact me.
Respect
Essam Mn esident
c�
City of Newport Beach
BUDGETAMENDMENT
2001 -02
EFFECT ON
BUDGETARY FUND BALANCE:
Description
Increase Revenue Estimates
X
Increase Expenditure Appropriations
Account
Transfer Budget Appropriations
SOURCE:
Division
Number
from existing budget appropriations
PX
from additional estimated revenues
from unappropriated fund balance
EXPLANATION:
NO. BA- 009
AMOUNT: b23,fi3t,00
Increase in Budgetary Fund Balance
AND X Decrease in Budgetary Fund Balance
No effect on Budgetary Fund Balance
This budget amendment is requested to provide for the following:
To increase expenditure appropriations for the Newport Center Fire Station Mechanical Upgrade and
Restroom Addition, Contract No. 3385.
ACCOUNTING ENTRY:
BUDGETARYFUND BALANCE
Fund Account
010 3605
REVENUE ESTIMATES (3601)
Fund /Division Account
EXPENDITURE APPROPRIATIONS (3603)
Description
General Fund Balance
Description
Signed:
Signed:
C
Services Director
Administrative Appr94al' City Manager
Amount
Debit Credit
$23,631.00
Autom ilc
$23,631.00
Date
ate O
Signed:
City Council Approval: City Clerk Date
Description
Division
Number
7271 Building Excise Tax Fund
Account
Number
C2320527 Fire Station Modification
Division
Number
Account
Number
Division
Number
Account
Number
Division
Number
Account
Number
Division
Number
Account
Number
Signed:
Signed:
C
Services Director
Administrative Appr94al' City Manager
Amount
Debit Credit
$23,631.00
Autom ilc
$23,631.00
Date
ate O
Signed:
City Council Approval: City Clerk Date