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Community Development Services, Department of Transportation, recommending the Board reject the one (1) bid received for Phase 1 of the Country Club Heights Erosion Control Project, Contract PW 17-31166, CIP 95191, P&C 037-C1899. The one bid received was approximately $455,000 over the Engineers Estimate.
FUNDING: United States Forest Service Grant. (Federal Funding)
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DEPARTMENT RECOMMENDATION
Community Development Services, Department of Transportation, recommending the Board reject the bid received for Phase 1 of the Country Club Heights Erosion Control Project (Project) because the one (1) bid received exceeded the direct construction budget.
DISCUSSION / BACKGROUND
On July 18, 2017 (Item 23), the Board adopted and approved the Contract Documents and Plans, and authorized advertisement for construction bids for the Project.
On August 3, 2017 Transportation opened bids for the Project. One (1) bid was received for $809,917.00 (Engineers Estimate was $354,417). The apparent low bid exceeded the Engineer’s Estimate by $455,500.00.
The Project is included in the 2017 Capital Improvement Program (CIP) with a Direct Construction Cost budget of $654,000.00 (Phases 1 and 2) and a Construction/Engineering and Admin budget of $112,000.00 for a total construction budget of $766,000.00. The Direct Construction budget includes the bid amount, supplemental items of work ($5,000) and contingency (10%). The total for direct construction for this Project based on the low bid is $895,908.70, which exceeds the CIP amount by $241,908.70.
Transportation will re-evaluate the Project scope and estimate and return to the Board at a later date with a request for the Board to re-authorize advertisement for bids.
ALTERNATIVES
1) Award the contract to the lowest responsive, responsible bidder and authorize the additional funds to construct Phase 1 of the project.
2) Cancel the Project. Note: The Board has previously approved the Project and canceling may include the consequence of reimbursing all grant funding received to date.
OTHER DEPARTMENT / AGENCY INVOLVEMENT
County Counsel and Risk Management have reviewed and approved the Contract Documents.
CAO RECOMMENDATION
It is recommended that the Board approve this item.
FINANCIAL IMPACT
There is no change to Net County Cost associated with this item. Funding for this Project is included in the 2017 CIP which was adopted by the Board on June 27, 2017 (Item 25).
CLERK OF THE BOARD FOLLOW UP ACTIONS
None
STRATEGIC PLAN COMPONENT
Infrastructure and Healthy Communities
CONTACT
Bard R. Lower, Interim Director
Community Development Services, Department of Transportation