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HomeMy WebLinkAbout05. Cash Contract 674 Library-Theatre HVAC AGENDA MEMO DATE: May 24, 2011 TO: Mayor and Members of the City Council FROM: Office of the City Manager By: John Oskoui, P.E., Director of Public Works SUBJECT: CASH CONTRACT NO. 674 - DOWNEY THEATRE AND PUBLIC LIBRARY HEATING, VENTILATION AND AIR CONDITIONING SYSTEMS RETROFIT PROJECT (PHASE 1) – REJECT BIDS AND AUTHORIZE STAFF TO RE-SOLICIT FOR BIDS. RECOMMENDATION: That the City Council reject all bids received for Cash Contract No. 674, Downey Theatre and Public Library Heating, Ventilation and Air Conditioning Systems Retrofit Project (Phase 1) and authorize staff to re-solicit for bids. BACKGROUND: The Heating, Ventilation and Air Conditioning (HVAC) system for the Downey Theatre and Public Library are inefficient in energy consumption and operation and require constant maintenance and repair. The City has secured funding through the Energy Efficiency and Conservation Block Grant (EECBG). The level of funding is adequate to address portions of the above listed deficiencies. Plans and specifications were developed to address the most urgent and time sensitive items of work within the funding constraints, which became Phase 1 of the subject project. Phase 2 of the project will entail the remaining work and will be completed upon securing additional funds. DISCUSSION: At its April 12, 2011 meeting, the City Council approved the plans and specifications and granted authority to advertise for bids for the Downey Theatre and Public Library HVAC Systems Retrofit Project (Phase 1). The project’s Notice Inviting Bids was advertised in the Downey Patriot on April 21, 2011 and April 28, 2011. Additionally, the project was advertised in construction industry related publications such as Reed Construction Data, Bid America Plan Room and McGraw Hill Construction-Dodge Plan Rooms. Two addendums to the specifications were issued and distributed to all plan holders on May 9, 2011 and May 12, 2011. CITY OF DOWNEY, CALIFORNIA Mayor and Members of the City Council Cash Contract No. 674 – Downey Theater and Public Library HVAC Systems Retrofit Project (Phase 1) – Reject Bids May 24, 2011 Page 2 On May 16, 2011, two bids were received, one from Air Ex Air Conditioning with a bid in the amount of $1,300,000.00 and the other from Liberty Climate Control with a bid in the amount of $886,325.00. Liberty Climate Control’s bid proposal packet did not include the acknowledgment certificates for addendums No.1 and No. 2 as required by the contract documents. The second lowest bidder, Air Ex Air Conditioning did include the acknowledgement certificates with its bid proposal packet. Since one of the primary goals of the EECBG program is to complete the earmarked projects by reaching out to a large pool of contractors and because the City intends to modify the scope of work, staff requests that the City Council reject the bids received for Cash Contract No. 674, Downey Theatre and Public Library Heating, Ventilation and Air Conditioning Systems Retrofit Project (Phase 1) and authorize staff to re-solicit for bids. FINANCIAL IMPACTS: None. S:\AgendaMemosCC2011\05-24-11\CC674 Library Theatre HVAC Reject bids