HomeMy WebLinkAboutItem No. SA3CITY OF LAKE ELSINORE
REPORT TO THE REDEVELOPMENT AGENCY
TO: Redevelopment Agency
FROM: Ron Molendyk, Executive Director
DATE: June 8, 1993
SUBJECT: San Jacinto River Channel Construction
The City of Lake Elsinore is re- constructing the Lakeshore Drive
bridge over the San Jacinto River Channel. In order'to protect the
new bridge from washout, which could result from a 100 year storm,
the San Jacinto River Channel must be constructed between the
bridge and the Lake Inlet Channel.
DISCUSSION
Construction of the San Jacinto River Channel Project was
advertised in local and regional newspapers as required, and :15
bids were received. After correcting multiplication and addition
errors for the six lowest bids, the lowest corrected bid was
submitted by American Contracting, ,Inc. of Temecula. Tabulation of
the 6 lowest-,bids are as follows:
Submitted Bid Corrected Bid
1. Paul Hubbs Construction Co. $1,020.553.50 $1,020,553.50
2. American Contracting, Inc. 1.028,237.50 992,832.50
3. Roy E. Ladd, Inc. 1,099,146.00 1,099,146.00
4. Highgrade Engineering, Inc. 1,181,401:75 1,170,181.75
5. Kasler Corp. 1,220,889.00 1,221,757.00
6. Steve P. Rados, Inc. 1,275,615.00 1,275,615.00
The Engineers estimate for construction was $1,112,000.
Upon reviewing the unit price bids, two problems were discovered
with the bid submitted by American Contracting, Inc.,
1. American Contracting appears to- have un- balanced their bid for
Item No. 2 - Construction of Dike- and item No.3 - Removal of
Dike. The level of construction effort for these two items of
work should be about the same as reflected in the bids of the
14 other proposing contractors.
2. The unit price bid (for the 6 low bids analyzed) for Base Bid
Item 11 and Alternate "B" Bid Item 5 varies from $6.50 /cy to
$22.75/cy. Both Base Bid Item 11 and Alternate "B" Bid Item
5 are for "filter bedding." We were informed (after bidding)
by several contractors that the low unit prices (for these
items) by American Contracting ($6.50) and Kasler Corp.
($8.00) indicated that the "filter bedding" proposed by these
two contractors was probably "sand" and not "No.3 Backing" as
stated in the Special Provisions. Sand would be significantly
less expensive than 11no.3 Backing."
A letter was sent to Mr. Keith Candee, President of American
Contracting, concerning the subject and the use of "No. 3 Backing."
American Contracting responded on May 13. Their response, however,
was not specific and did not answer our question.
Another letter was sent to American Contracting, Inc. on June 2
notifying them that we intend to reject their apparent low bid and
the basis for that decision. They were informed that they may
appear at the Redevelopment Agency meeting for a hearing prior to
award of the job to the second lowest bidder.
AGENDA ITEM NO..a.�
PAG'E—L OF�
Report to the Redevelopment Agency
June 8, 1993
:.Page 2
FISCAL IMPACT
Funds for construction of.the San Jacinto River Channel have been
appropriated by the Agency in the 1992/93 Budget.
RECOMMENDATIONS
1. Reject the bid of American Contracting based upon
"Disqualification of Bidders" provision, (Page 7) Item C
"Proposals in which- any of the -unit prices and /or lump sum .
prices obviously are unbalanced" of the Standard
Specifications for.Public Works Construction.
2. Award a contract to the second low bidder: Paul Hubbs
Construction Company in the amount of $1,020,553.50 with a
fifteen percent DBE participation.
PREPARED BY:G
ran C. a a, Director of Public Services
APPROVED BY:
-P ogers, Assistant.Executive Director, RDA
APPROVED FOR
AGENDA LISTING
R n Mol dyk, E ecutive Director, RDA
AGENDA ITEM NO. ✓
PAG'E_xL OF 2L