Title:
Title
Rejection of Bids for Freeport Boulevard, 56th Avenue and Pleasant Drive Pipe Replacement Project (X14120300)
End
FileID
File ID: 2019-01202
Location
Location: Citywide
Recommendation:
Recommendation
Pass a Motion rejecting all bids for B20141321001, Freeport Boulevard, 56th Avenue and Pleasant Drive Pipe Replacement Project (X14120300).
Contact: Gary Gulseth, Senior Engineer (916) 808-1412; Tony Bertrand, Supervising Engineer (916) 808-1461; Dan Sherry, Engineering & Water Resources Division Manager, (916) 808-1419; Department of Utilities
Body
Presenter: None
Attachments:
1-Description/Analysis
Description/Analysis
Issue Detail: Staff recommends City Council reject all bids received for the Freeport Boulevard, 56th Avenue and Pleasant Drive Pipe Replacement Project (X14120300). On June 12, 2019, the Department of Utilities (DOU) issued an Invitation for Bid (Bid B20141321001) to replace 520 lineal feet of 6-inch diameter sewer pipeline. On July 10, 2019, one bid was received that exceeded the engineer's estimate by more than three times. Due to the limited number of Local Business Enterprise (LBE) qualified contractors specializing in pipe bursting techniques and high volume of pipeline work, the current bidding environment is not favorable for this type of work. Re-advertising the project in a more favorable bid climate, such as during winter, will increase the chances of receiving multiple bids.
Policy Considerations: City Code Chapter 3.60.160 requires City Council approval to reject bids for contracts of $100,000 or more.
Economic Impacts: None.
Environmental Considerations: The recommended action is an administrative activity that does not constitute a "project" as defined by the California Environmental Quality Act (CEQA) Guidelines Section 15378, and is not subject to the provisions of CEQA Guidelines Section 15060(c)(3). Appropriate CEQA review has been completed and will be provided at the time the project is...
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