REPORT/RECOMMENDATION TO THE BOARD OF SUPERVISORS
OF SAN BERNARDINO COUNTY
AND RECORD OF ACTION
April 23, 2024
FROM
DON DAY, Director, Project and Facilities Management Department
SUBJECT
Title
Construction Contract for the 172 and 351 Building Demolition Project
End
RECOMMENDATION(S)
Recommendation
1. Approve the following addenda to the bid documents for the 172 and 351 Building Demolition Project:
a. Addendum No. 1, dated September 8, 2023, to replace the bid proposal packet with revised bid proposal packet documents.
b. Addendum No. 2, dated September 20, 2023, to allow bid documents to be visible on the County procurement website.
c. Addendum No. 3, dated October 24, 2023, to revise the bid opening date, state contractor’s class license requirements, Request for Information deadline, and changes to the drawings and specifications.
d. Addendum No. 4, dated December 6, 2023, to provide clarifications to contractor questions, added exhibits and replaced contract documents.
2. Find the bid proposal from AD Improvements, Inc. to be nonresponsive for failing to include an original bid bond as required in the bid documents.
3. Award construction contract to Resource - Standard JV in the amount of $2,053,000 for the 172 and 351 Building Demolition Project.
4. Authorize the Director of the Project and Facilities Management Department to order any necessary changes or additions in the work being performed under the construction contract, for a total amount not to exceed $115,150, pursuant to Public Contract Code Section 20142.
5. Authorize the Director of the Project and Facilities Management Department to accept the work when 100% complete and execute and file the Notice of Completion.
(Presenter: Don Day, Director, 387-5000)
Body
COUNTY AND CHIEF EXECUTIVE OFFICER GOALS & OBJECTIVES
Improve County Government Operations.
Provide for the Safety, Health and Social Service Needs of County Employees
Operate in a Fiscally-Responsible and Business-Like Manner.
FINANCIAL IMPACT
Approval of this item will not require additional Discretionary General Funding (Net County Cost). The 172 and 351 Building Demolition Project (Project) budget of $7,253,713 (WBSE 10.10.1508) includes $2,053,000 for the construction contract, and is inclusive of design and engineering, construction management, project management and inspection, materials testing/inspection, California Environmental Quality Act (CEQA) activities, and project contingency.
The Project budget is funded with Discretionary General Funds from the County Government Center Master Plan Project (WBSE 10.10.1255), as approved by the Board of Supervisors (Board) on August 22, 2023 (Item No. 46). Sufficient appropriation and revenue are included in the 2024-25 Capital Improvement Project (CIP) budget to award this contract.
BACKGROUND INFORMATION
Approval of this item will allow the Project and Facilities Management Department (PFMD) to award a construction contract to Resource - Standard JV for the demolition of two buildings consisting of 118,668 square feet (sq. ft.) in preparation for future developments. The 172 W. 3rd Street (172) building consists of 89,464 sq. ft., and the 351 N. Mountain View Ave. (351) building consists of 29,204 sq. ft. The Project consists of demolition of the 172 building that experienced severe property loss from a major fire in 2022. The adjacent 351 building will also be demolished as part of this Project due to its proximity to the fire damaged 172 building, and the premises cannot safely be occupied during the demolition of the 172 building. Demolition of the 351 building will promote departmental efficiencies and improve the health and safety of both County employees and the public.
On August 22, 2023 (Item No. 46), the Board determine the Project to be categorically exempt from further review under CEQA Guidelines (Title 14, California Code of Regulations) Section 21080, subsection (b)(4), Section 15269, subsection (c), and Section 15301 Class 1. No additional CEQA review is required at this time.
This Project is consistent with County Administrative Office approved CIP Project No. 24-043.
PROCUREMENT
On August 22, 2023 (Item No. 46), the Board authorized PFMD to advertise for competitive bids. PFMD advertised for bids in the Daily Press on August 25, 2023, six plan rooms and on the County Electronic Procurement Network (ePro) via Request for Proposals (RFP) No. ANE223-ANE2C-5055.
On September 27, 2023, contractors attended a mandatory job walk. On September 8, 2023, Addendum No. 1 was issued to replace the bid proposal packet with a corrected bid proposal packet document. On September 20, 2023, Addendum No. 2 was issued to allow bid documents to be visible on the ePro website. On October 24, 2023, Addendum No. 3 was issued to revise the bid opening date, state contractor’s class license requirements, Request for Information deadline, and changes to the drawings and specifications. On December 6, 2023, Addendum No. 4 was issued to provide clarifications to contractor questions, added exhibits and replaced contract documents.
On January 11, 2024, at 10:00 a.m. the following bids were received:
|
Name |
Location |
Bid |
Notes |
|
Resource - Standard JV |
Cerritos, CA |
$2,053,000 |
|
|
Clauss Construction |
Lakeside, CA |
$3,843,000 |
|
|
American Integrated Resources, Inc. |
Orange, CA |
$4,269,490 |
|
|
AD Improvements, Inc. |
Downey, CA |
$5,321,522 |
Non-Responsive |
|
Interior Demolition, Inc. |
Newhall, CA |
$6,191,910 |
|
On January 11, 2024, at 10:00 a.m., AD Improvements, Inc., failed to provide a bid bond, as required in the bid proposal and by Public Contract Code section 7106. AD Improvements, Inc. was notified by certified mail that PFMD would recommend to the Board that its proposal be found nonresponsive.
On January 17, 2024, PFMD received a bid protest letter from Clauss Construction stating that Resource - Standard JV failed to attend the mandatory job walk as a joint venture and therefore was ineligible to bid the project. On January 24, 2024, PFMD received a response to the bid protest from Resource - Standard JV addressing the protest from Clauss Construction. After careful consideration, PFMD rejected the bid protest as it had no valid basis.
PFMD recommends the Board award a construction contract to Resource - Standard JV, the lowest responsive and responsible bidder.
REVIEW BY OTHERS
This item has been reviewed by County Counsel (Daniel Pasek, Deputy County Counsel, 387-5455) on February 27, 2024; Purchasing (Dylan Newton, Supervising Buyer, 387-2148) on February 29, 2024; Project and Facilities Management (Robert Gilliam, Chief of Project Management, 387-3072) on March 5, 2024; Finance (Yael Verduzco, Principal Administrative Analyst, 387-5285) on April 2, 2024; and County Finance and Administration (Valerie Clay, Deputy Executive Officer, 387-4376) on April 2, 2024.