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HomeMy WebLinkAboutCC Res 7437 2023-08-14 RESOLUTION 7437 A RESOLUTION OF THE SEAL BEACH CITY COUNCIL AWARDING AND AUTHORIZING THE CITY MANAGER TO EXECUTE A PUBLIC WORKS AGREEMENT WITH ASAD HOLDINGS LLC DBA ORANGEBLUE GENERAL CONTRACTORS FOR THE TENNIS AND PICKLEBALL CENTER IMPROVEMENT PROJECT, CIP BG2105 WHEREAS, the City has budgeted the Tennis and Pickleball Center Improvement Project, BG2105, ("Project") in the Capital Improvement Program to provide effective use of the Tennis and Pickleball Center facility space for community end users; and, WHEREAS, in November 2022, the City solicited bids for the Project, and on December 14, 2022, the City Clerk's office received three bids, but because the lowest responsive bidder was approximately 40 percent higher than the Engineer's Estimate, on January 23, 2023 the City Council rejected all bids and directed staff to re-advertise the Project after reconsidering the project scope; and, WHEREAS, following redesign of the Project, on May 22, 2023, the City issued a new solicitation for bids for the Project; and, WHEREAS, the Notice Inviting Bids requested pricing for the "Total Base Bid" and pricing for optional additive and deductive bid items for work the City may request after bid opening, provided that the additive and deductive items plus the "Total Base Bid" amount would equal to the "Total Bid" amount, and provided that the bid will be awarded based on the lowest responsible Total Base Bid; and, WHEREAS, on June 22, 2023, the City Clerk's office received five (5) bids in response to the solicitation for bids. Asad Holdings LLC dba OrangeBlue General Contractors ("OrangeBlue") submitted the apparent lowest responsible bid in the amount of$1,956,500. R Dependable Construction, Inc. ("Dependable") submitted the apparent second lowest responsible bid at $2,240,600.00; and, WHEREAS, the City elects to include selected additive and deductive bid items in the amount of $79,000 for a Total Bid amount of $2,075,500; and, WHEREAS, on June 27, 2023, Dependable submitted a bid protest to the City alleging that the bid submitted by the apparent low bidder, OrangeBlue, contained line item errors, failed to list required subcontractors, and did not confirm possession of all required workers compensation insurance; and, WHEREAS, by letters dated July 20, 2023 and July 24, 2023, respectively, OrangeBlue responded to Dependable's bid protest dated June 27, 2023, in which OrangeBlue provided clarifying information concerning the omission of certain subcontractors. OrangeBlue also acknowledged certain line item errors, but confirmed that the total base bid of $1,956,500 is, in fact, correct; and, WHEREAS, the State Contractor Licensing Board website reflects that OrangeBlue has workers' compensation insurance and subcontractor Millennium submitted an exemption from workers' compensation insurance; and as part of execution of the Agreement, the City will require submittal of proof of insurance from OrangeBlue for all required insurance in accordance with the contract documents: and. WHEREAS, based on the City's detailed bid analysis, including review of the Instructions to Bidders governing interpretation of bids, the OrangeBlue bid protest response, and consultation with the City Attorney's office, the City Council hereby finds that there are no material errors or omissions that render OrangeBlue's bid non-responsive; and none of the errors in the Bid affect the Total Base Bid of $1,956,500. Further, any irregularity or informality in the bid may be waived if it does not: (a) affect the amount of OrangeBlue's bid; (b) give OrangeBlue an advantage over other bidders; (c) create a potential vehicle for favoritism; (d) influence potential bidders to refrain from bidding; or (e) affect the ability to make bid comparisons. Because none of these factors are present, the City Council finds that it is in the best interests of the City to accept OrangeBlue's bid as the lowest responsive bid for the Project, and to reject the bid protest, waive any potential irregularities or informalities in OrangeBlue's bid, and reject all other bids; and, WHEREAS, upon reviewing the Notice Inviting Bids and Instructions to Bidders, the bids submitted for the work to be performed pursuant to the Agreement and the plans and specifications, the City Council finds that OrangeBlue is a qualified firm to perform the Project. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SEAL BEACH DOES HEREBY RESOLVE: SECTION 1. The City Council hereby approves the plans, specifications, and contract documents for the Project. SECTION 2. Based on the recitals set forth above, the City Council hereby awards a public works agreement to Asad Holdings LLC dba OrangeBlue General Contractors for the Project in the not-to-exceed amount of $2,075,500, including the Total Base Bid of$1,956,500, Additive Bid Items AB.1 and AB.2, and Deductive Bid Item DB.1; rejects the bid protest; waives any and all minor bid irregularities, and rejects all other bids. SECTION 3. The City Council hereby authorizes and directs the City Manager to execute the public works agreement on behalf of the City. SECTION 4. The City Council hereby authorizes the City Manager to approve payments for additional work requests in connection with the Project in the cumulative not-to-exceed amount of $140,000. SECTION 5. The City Council hereby authorizes the City Manager to approve payments for inspection and testing in connection with the Project in the cumulative not-to-exceed amount of $70,000. PASSED, APPROVED AND ADOPTED by the Seal Beach City Council at a regular meeting held on the 14th day of August, 2023 by the following vote: AYES: Council Members: Kalmick, Landau, Moore, Steele, Sustarsic NOES: Council Members: None ABSENT: Council Members: None ABSTAIN: Council Members: None %71-1,- --01- 1411,-*"4 s _SEAL y� Thomas Moore, Mayor \-" APOR"''',9 ATTE i • c;=•�C� atFo , \ G oria D. Harper, ity Clerk.:W..,oe -.`7' -O_ Oez`i STATE OF CALIFORNIA } COUNTY OF ORANGE } SS CITY OF SEAL BEACH } I, Gloria D. Harper, City Clerk of the City of Seal Beach, do hereby certify that the foregoing resolution is the original copy of Resolution 7437 on file in the office of the City Clerk, passed, approved, and adopted by the City Council at a regular meeting held on the 14th day of August, 2023. ‘,/ 4. ,I IL ,, loria D. Harper, City Clerk