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Agenda Item
ASR
Control 13-001630 |
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MEETING DATE: |
01/28/14 |
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legal entity taking action: |
Board of Supervisors |
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board of supervisors
district(s): |
1 |
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SUBMITTING
Agency/Department: |
OC Public Works
(Approved) |
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Department contact
person(s): |
Tony Bernard (714) 667-3209 |
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Shane Silsby (714) 667-9700 |
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Subject: Contract for CUF - Remove
Cooling Tower and Upgrade Condensate Piping Project
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ceo Concur |
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Clerk of the Board |
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Concur |
No Legal Objection |
Discussion |
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3 Votes Board Majority |
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Budgeted: Yes |
Current Year Cost:
$1,980,070 |
Annual Cost:
N/A |
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Staffing Impact: No |
# of Positions:
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Sole Source:
No |
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Current Fiscal Year Revenue: N/A
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Prior Board Action: 04/09/2013
#23 |
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RECOMMENDED ACTION(S):
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1. |
The subject Project was previously determined to be Categorically Exempt (Class 1) from the provisions of California Environmental Quality Act (CEQA) pursuant to Section 15301 of the CEQA Guidelines. |
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2. |
Declare Mehta Mechanical Company, Inc. dba MMC, Inc. as non-responsive for the failure to meet experience requirements as indicated in Supplemental General Conditions, Clause 1. Contractor Experience Requirements. Relieve MMC, Inc. from their bid per the requirements of Public Contract Code Section 5103 and 5106. |
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3. |
Award contract to Plumbing, Piping & Construction, Inc. in the amount of $1,980,070 for the CUF - Remove Cooling Tower and Upgrade Condensate Piping Project. |
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4. |
Authorize the Chairman of the Board to execute the contract when the required bonds and certificates of insurance have been submitted and approved by County Executive Office/Risk Management and County Counsel. |
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5. |
Authorize return of bid guarantees to all bidders upon execution of Contract. |
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5. |
Direct the Auditor-Controller to encumber $1,980,070 from account 100-036-036-PA12-4200 for the contract with Plumbing, Piping & Construction, Inc. |
SUMMARY:
Award of the contract to Plumbing, Piping & Construction, Inc. for the CUF - Remove Cooling Tower and Upgrade Condensate Piping Project (Project) in the amount of $1,980,070 will support enhanced safety for County staff at the Central Utility Facility (CUF); remove known seismic risks; and lower risk of service disruption for the County, City, State, and Federal buildings in the Civic Center serviced by the CUF.
BACKGROUND INFORMATION:
The Project includes removal of the enclosure that serves as a visual screen around the four existing cooling towers at the Central Utility Facility (CUF). The Project also includes repair of the cooling tower and replacement of the 18 inch diameter condenser water supply and return piping with 24 inch diameter pipes. This Project will support enhanced safety for County staff at the CUF, remove known seismic risks, and lower risk of service disruption in the Civic Center for those facilities serviced by the CUF. Contract award includes base bid of $1,896,000 plus a total of $84,070 for add alternate Nos. 2, 3, 4, and 5 for a total contract amount of $1,980,070. The County has elected to exercise its option to exclude add alternate No. 1 from the Contract.
The County operates the CUF, which provides steam and cooling on a 24-hours/day, 365 days/year basis to County and City, State, and Federal buildings in the Civic Center Campus. The CUF also provides electrical power to most Civic Center County buildings and two State Court buildings. Essential operations including the County jails and Coroner facility; County data systems; County and City administrative offices including the County Board of Supervisors, Santa Ana City Council, and State Court facilities are located in the Civic Center Campus.
In November 2009, the County completed construction of a new addition to the CUF that houses the County’s cogeneration power plant. This cogeneration addition was constructed adjacent to the County’s CUF, built in 1968, to provide heating and cooling to buildings in the Civic Center. The existing CUF building, piping, and equipment were not retrofitted or upgraded as part of the Cogeneration Project.
On April 9, 2013, the Board approved plans and specifications, made CEQA findings, and set the bid opening date for this Project.
The following summarizes the three bids received on May 15, 2013, and the Engineer's Estimate:
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Base Bid |
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Mehta
Mechanical Company, Inc. dba MMC, Inc. |
$1,584,511.00 |
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Plumbing, Piping & Construction, Inc.
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$1,896,000.00 |
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West Coast Air Conditioning Co., Inc. |
$2,269,000.00 |
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Engineer's Estimate |
$1,399,865.63 |
The low bidder, Mehta Mechanical Company, Inc. dba MMC, Inc. (MMC), failed to provide documentation of critical experience requirements as required in the Supplemental General Conditions of the Project specifications. Therefore, their bid is non-responsive. County staff verified the bidder’s lack of experience. MMC confirmed they did not have a minimum of five years experience with extensive work on 24” diameter condenser piping systems similar in size. Furthermore, MMC was not able to provide resumes and failed to identify the Project required superintendent or project manager. MMC also confirmed they did not have experience with CUF construction. MMC did not provide evidence that they would use American Society Mechanical Engineers Standards (ASME) section 9, boiler and pressure vessel code certified personnel for shop pre-fabrication of pipe assemblies and field installations of pipe assemblies pursuant to Project requirements. A meeting was held with MMC, and Mr. Mehta, the owner informed County staff that MMC was not responsive, and that MMC did not have the required experience based upon further understanding of County requirements. A mistake had been made in their understanding of the Contractor Experience Requirements. MMC appears; therefore, to be entitled to relief from their bid under California Public Contract Code, Section No. 5103 and 5106. It is in the best interest of the County, considering the failure of the bidder to provide the required Contractor Experience Requirements, to award this contract to the second lowest bidder.
The second lowest bidder, Plumbing, Piping & Construction, Inc. provided all required Contractor Experience Requirement information. The low base bid submitted by Plumbing, Piping & Construction, Inc. (Contractor) for this Project is approximately 36 percent ($496,134) above the Engineer's Estimate of $1,399,865.63. The Contractor's License No. 291740 was verified as current and active through the Contractors State License Board database on December 6, 2013. A copy of the verification is on file. The Contractor is qualified to perform this Project based on research of the references submitted by the Contractor. OC Public Works has reviewed the engineer's estimate and verified that the difference is not the result of errors or omissions in the estimate, but is rather attributed to Project technical complexities, phasing requirements, and a low number of qualified bidders in an increasingly competitive market.
This project was initially budgeted in FY 12-13, however due to timing, it was rebudgeted in the FY 13-14 budget. The additional funding for this Project has been made available with the recent approval of the First Quarter Quarterly Budget Adjustment approved by the Board on December 10, 2013 for FY 2013-14.
Compliance with CEQA: The subject Project was previously determined to be Categorically Exempt from the California Environmental Quality Act (CEQA) per section 15301 (Class 1) of the CEQA Guidelines which provide for the exemption for repair, maintenance and minor alterations to public facilities or structures (Class 1), at the time the project plans and specifications were approved on June 25, 2013. Based upon prior Board action no new CEQA Finding or Notice of Exempt is required for the action taken herein.
FINANCIAL IMPACT:
N/A
STAFFING IMPACT:
N/A
EXHIBIT(S):
Exhibit A - Bid Recap Sheet