PROJECT NO. CIP 97-525 & CIP-526, COMMUNITY CENTER SKATE TRACK

AND TENNIS COURT PROJECT - REJECT ALL BIDS AND AUTHORIZE

RE-ADVERTISE FOR BIDS

Recommendation:

It is recommended that the City Council reject all bids and authorize staff to re-advertise the projects with the appropriate modifications to the construction documents.

Background:

On August 11, 1998, Council approved the construction documents for projects CIP 97-525 and CIP 98-526 and authorized advertising for bids for the construction of the projects.

Bids were received on September 17, 1998. The following bids were received:

1. Zaino Tennis Courts Orange, CA $671,000

2. Malibu Pacific Westlake Village, CA $630,000

The engineer's estimate is $334,723. The apparent low bidder, Malibu Pacific, is 88.21% ($295,273) higher than the engineer's estimate.

As can be seen, the lowest bid is higher than the amount of money available to pay for the projects. Therefore, staff is recommending that all bids be rejected. In addition, that the scope of work be modified and the two projects be readvertised as individual projects.

Fiscal Impact:

The current CIP budget for these projects is as follows:

CIP 97-525 Community Center Skate Track $113,400

CIP 98-526 Community Center Tennis Courts $174,863

Total $288,263

Alternatives:

1. Approve staff's recommendation to reject all bids and re-advertise. This action will delay the projects by approximately eight weeks.

2. Award a contract to the apparent low bidder. This will require an additional appropriation

of $295,273.

3. Take no action. This will delay the projects indefinitely.

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