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HomeMy WebLinkAboutItem 1d: Contract with Marjani Builders for the Renovation of Cay Mortenson Library Auditorium Project.DATE: December 18, 2012 STAFF REPORT Public Works Services Department TO: Honorable Mayor and City Council FROM: Tom Tait, Public Works Services Director P-- By: Dave McVey, General Services Superintendent SUBJECT: AUTHORIZE THE CITY MANAGER TO EXECUTE A CONTRACT WITH MARJANI BUILDERS FOR THE RENOVATION OF CAY MORTENSON LIBRARY AUDITORIUM PROJECT IN THE AMOUNT OF $122,000 INCLUDING A 10% CONTINGENCY Recommendation: Approve SUMMARY Funds in the amount of $160,000 are budgeted in Fiscal Year 2012 -13 Capital Improvement Plan Budget for the renovation of the Cay Mortenson Library Auditorium. The funding source for this project is from the Capital Outlay fund. On November 6, 2012, the City Council rejected bids for this project, because all bids received were significantly higher than the project's approved budget. The City Council directed staff to scale down the project's scope of work and re -bid the project. On December 11, 2012, the City Clerk opened sealed bids and based on the bid results, it is recommended that the City Council authorize the City Manager to execute a contract with Marjani Builders for the renovation of Cay Mortenson Library Auditorium Project in the amount of $122,000 including a 10% contingency. DISCUSSION The Cay Mortenson Library Auditorium (Auditorium) is over 50 years old and is in need of improvements to the audiovisual and lighting system for the facility. The Auditorium is used extensively for Library programs, including activities for community groups and organizations highlighting uses for civic, cultural, charitable, intellectual, and educational programs and community functions. The Auditorium's existing electrical panel, overhead lighting, audiovisual equipment, and interior design have not been improved since the facility was built. Current technology has surpassed the functionality of the Auditorium. As a result, performances Honorable Mayor and City Council December 18, 2012 Page 2 of 3 and instructional presentations have become increasingly challenging due to the limited capabilities of the Auditorium's outdated audio visual and lighting systems. On November 6, 2012, the City Council rejected bids for this project, because all bids received were significantly higher than the project's approved budget. The City Council directed staff to scale down the project's scope of work and re -bid the project. As a result, Public Works Services met with Library personnel to identify the most important improvements that needed to be included in the re -bid of the Auditorium project. These improvements included replacing the antiquated audio visual equipment, lighting /dimming system, and electrical panel upgrade. Bid alternates were included in the re -bid, in case the bids came back under budget. The bid alternate items included, replacing carpet tiles and installing a new ceiling. Due to the low bid being so close to the budget, and the need to include a ten percent contingency, it was decided that there was not enough funding available to include either of the bid alternates. Furthermore, it was determined that the secondary improvements could be re- budgeted in a future Capital Improvement Plan budget. Funds in the amount of $160,000 are budgeted in Fiscal Year 2012 -13 Capital Improvement Plan Budget for the renovation of the Cay Mortenson Library Auditorium. Following a review of the project to determine the most important improvements to be included in the revised bid specifications, the project was rebid and a Notice Inviting Bids was published in the City's adjudicated newspaper, and bid packages were distributed to area contractors. The City Clerk received 10 sealed bids on December 11, 2012, with the following result: Bidder Marjani Builders Lundgren Builders, Inc. IBN Construction Inc. G2K Construction AVA Builders Inc. Avi -Con Inc. Magic Hammer Development, Inc. Vargas Olson Enterprises Inc. Monet Construction Inc. MDE Group Inc. Location Mission Viejo, CA Valencia, CA Orange, CA Encino, CA Sun Valley, CA Riverside, CA Tarzana, CA Azusa, CA Glendale, CA Riverside, CA Amount $122,000.00 $125,494.00 $131,903.00 $136,000.00 $145,417.15 $147,000.00 $149,500.00 $157,760.00 $158,000.00 $159,000.00 The bid documents were reviewed for content and the lowest responsible bidder's background and recent projects were investigated for competency. It was concluded that Marjani Builders can perform the work required in the bid documents for the renovation of Cay Mortenson Library Auditorium Project. It is recommended that the City Council authorize the City Manager to execute a contract with Marjani Builders for the renovation of Cay Mortenson Library Auditorium Project in the amount of $122,000 including a 10% contingency. Honorable Mayor and City Council December 18, 2012 Page 3 of 3 FISCAL IMPACT Funds in the amount of $160,000 are budgeted in the FY 2012 -13 Capital Improvement Plan. These funds are from the Capital Outlay Fund. RECOMMENDATION It is recommended that the City Council approve the following: 1. Authorize the City Manager to execute a contract with Marjani Builders for the renovation of Cay Mortenson Library Auditorium Project in the amount of $122,000. 2. Approve a 10% contingency for the project. 3. Waive any, informality in the bid or bidding process. 4. Authorize the City Manager and City Clerk to execute a contract in a form approved by the City Attorney. APPROVED; Do -iriic Lazza e o City Manager