REPORT TO THE CITY COUNCIL
February 8, 2018
FROM: PARVIN NELOMS, JR., Director
Parks, After School Recreation and Community Services Department
BY: KRISTINA CHAMBERLIN, Assistant Director
Parks, After School Recreation and Community Services Department
SUBJECT
Title
Reject Bid for the Design-Build 5 Learner Pools Health Code Upgrades Project - Bid File No. 3575
Body
RECOMMENDATION
Staff recommends that Council reject the single bid received November 10, 2017 for the Design-Build 5 Learner Pools Health Code Upgrades project - Bid File No. 3575.
EXECUTIVE SUMMARY
Nearly 70% of the $450,000 total project budget is funded through Community Development Block Grants (CDBG). CDBG funding requirements stipulate that a minimum of two bids must be received for the project to be eligible for CDBG funding. The City received only one bid. Therefore, the City is obligated to re-solicit a Request for Proposal (RFP) for this project.
In addition to receiving only one bid, the bid received from California Commercial Pools was 142.8% above the project estimate. For these reasons, staff recommends that Council reject the bid for the Design-Build 5 Learner Pools Health Code Upgrades Project, Bid File 3575.
In consideration of CDBG requirements and the timeline in which to complete the project, staff determined it may be prudent to separate the design work from construction. Amending the project specifications in this manner, may encourage multiple bids and may allow the bids to come within the project budget.
BACKGROUND
The learner pools located at Einstein Park, Fink-White Park, Pinedale Center, Quigley Park, and Romain Park were built between the 1940s and 1970s. All pools are operated in the summer months only, when school is not in session, and are drained for the winter. The County of Fresno Environmental Health Department inspected the pools in October of 2015 and submitted requirements for various improvements that they expected to be completed to bring the pools up to current health code standards.
Architecture Engineering Consultant, Jones & Madhavan, conducted a comprehensive assessment of each pool and prepared a report dated February 8, 2016, that provided an analysis of each pool to determine the feasibility of renovating the aging facilities and to bring them into compliance with current building and health codes, as well as to improve the overall operation and maintenance. Their analysis, along with an engineer’s estimate of projected costs, indicated renovation of the existing sites would be less costly than pool replacement.
A request for proposal for design-build services was prepared in October 2017, and advertised on the City’s Website Planet Bids, the Business Journal and several Builder Exchanges throughout California. In addition, extensive outreach was done to generate bidder interest, but only one bid was received.
One sealed bid proposal was received and opened in a public bid opening on November 10, 2017 with a bid amount of $889,000 for the Total Net Base Bid. The bid calculated to be 142.8% above the engineer’s estimate for this Scope of Work. After review of the bid, and given the CDBG requirements to receive a minimum of two bids to meet funding criteria, staff is recommending to re-solicit the RFP and amend the project specifications to allow the separation of design from construction.
Therefore, it is staff’s recommendation that Council reject the bid received on November 10, 2017 for the Project and authorize the re-solicitation as two separate RFPs. Amending the project specifications in this manner, may encourage multiple bids and may allow the bids to come within the project budget.
ENVIRONMENTAL FINDINGS
This item is not a project as defined by the California Environmental Quality Act.
LOCAL PREFERENCE
Local preference was not implemented because this item does not include the award of a construction or services contract.
FISCAL IMPACT
Implementation of staff recommendations will not require additional appropriations in the PARCS FY 2018 adopted budget. There will be additional staff time necessary to prepare and advertise the two separate RFP documents.
Attachment:
Evaluation of Bid Proposals