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HomeMy WebLinkAboutMINUTES - 01191988 - 1.6 (3) HOUSING AUTHORITY OF THE COUNTY OF CONTRA COSTA TO: BOARD OF COMMISSIONERS DATE: January 26, 1988 FROM: Perfecto Villarreal , Executive Director cc: SUBJECT: Comprehensive Improvement Assistance Program CA-11-908 Modernization of Housing Authority Project CA011005 E1 Pueblo Pittsburg I . RECOMMENDED ACTION: That the Board of Commissioners WAIVE two minor irregularities in South Valley Mechanical Contractors, Inc, bid on Comprehensive Improvement Assistance Program CA-11-908, modernization of CA011005, El Pueblo, Pittsburg, as bidding informalities: 1. The description of work to be completed by Turner B. Construction; and, 2. South Valley Mechanical Contractors' absence of a Class B license at the time of bidding; and that the Board of Commissioners AWARD the contract for modernization work at CA011005, E1 Pueblo, Pittsburg to South Valley Mechanical Contractors, Inc. , as the lowest responsible bidder, with Base Bid No. 1 in the amount of $999,525.00, as recommended by the Advisory Housing Commission. _ II. FINANCIAL IMPACT: Under the Fiscal Year 1986 Comprehensive Improvement Assistance Program $1,319,300.00 for physical improvements has been allocated to the Housing Authority of the County of Contra Costa to proceed with Phase I of the modernization of CA011005, El Pueblo, Pittsburg. Of this amount, $287,300 has been deferred to Phase II, making the actual budget available for the work in Phase I $1,032,000. III. REASONS FOR RECOMMENDATION/BACKGROUND: Bid requests were advertised on October 15 and 16, 1987 in the Contra Costa Times. Four bids were received and opened on Thursday, December 10, 1987. South Valley Mechanical Contractors, Inc with Base Bid No. 1 in the amount of $999,525.00, was determined as the lowest responsible bidder. South Valley Mechanical Contractors, Inc. is a minority-owned business enterprise recognized by the United States Small Business Administration and the State of California Department of Transportation. The Housing Authority staff has met with the low bidder to obtain additional information on their bid. The staff requested that South Valley Mechanical Contractors, Inc. clarify the work that was to be done by the two listed subcontractors in their bidding documents. Within 24 hours (December 11, 1987), they submitted a detailed breakdown on the different portions of CONTINUED ON ATTACHMENT: YES SIGNATURE: RECOMMENDATION OF EXECUTIVE DIRECTOR RECOMMENDATION OF BOARD COMMITTEE APPROVE OTHER SIGNATURE(S) ACTION OF BOARD ON anua ''y 79 , 7969 APPROVED AS RECOMMENDED X OTHER VOTE: OF COMMISSIONERS _X._ UNANIMOUS (ABSENT ) I HEREBY CERTIFY THAT THIS A TRUE AND AYES: NOES: CORRECT COPY OF AN ACTION TAKEN AND ABSENT: ABSTAIN: ENTERED ON THE MINUTES OF THE BOARD OF COMMISSIONERS ON THE DATE SHOWN. CC: County` Administrator ATTESTED January, .19 , 1988 County Counsel Phil Batchelor, Clerk of the Housing Authority Board of Commissioners M3e2/7-e3 , DEPUTY BY Board of Commissioners January 26, 1988 Page -2- the work to be completed by Turner B. Construction as a subcontractor. Further, South Valley listed the two second tier subcontractors who are to perform some of the subcontract work. The second lowest bidder, M.C.S. Systems, Inc. of Oakland, California, has filed a letter protesting the bid of South Valley Mechanical Contractors, Inc. as non-responsive. Additionally, Richard E. Johnston, attorney for M.C.S. Systems, Inc. has filed a formal letter of protest with the Board of Supervisors. Housing Authority staff has referred the protest letters from M.C.S. Systems, Inc. and Richard E. Johnston, along with the issue of the bid award, to County Counsel for a legal opinion. While County Counsel was researching the legal issues concerning the bid award questions, Housing Authority staff checked the references of South Valley Mechanical Contractors, Inc. and the primary subcontractor, Turner B. Construction. All of the references concerning the work of these two minority contractors have been positive. The Housing Authority has received Temporary Pocket Certification from the Contractors State License Board that South Valley Mechanical Contractors, Inc. has an active C20, C43 and B license, which fulfills the requirement for possession of a valid Contractor's license in the classifications covering the work required by this contract. County Counsel has supplied Housing Authority staff with a legal opinion covering the December 10, 1987 protest of M.C.S. Systems, Inc. of Oakland, California and the January 7, 1988 formal letter of protest filed by Richard E. Johnston, attorney for M.C.S. Systems, Inc. Based upon the legal opinion provided by County Counsel , the Advisory Housing Commission at its regular meeting on December 21, 1987, recommended the following actions by the Board of Commissioners: 1. That the Board of Commissioners of the Housing Authority of the County of Contra Costa waive the irregularities of the South Valley bid as a minor informality; and, that the Board Order identify the defects to be waived as that portion of the work to be done by Turner B. Construction which was not fully explained on the subcontractor's list, and the absence of a Class B license at the time of bidding. 2. That the Board of Commissioners of the Housing Authority of the County of Contra Costa award the contract for the first phase of modernization at E1 Pueblo to South Valley Mechanical Contractors for $999,525. IV. CONSEQUENCES OF NEGATIVE ACTION: Should the Board of Commissioners elect to not award the Contract for the Phase I modernization work at CA011005, E1 Pueblo, to South Valley Mechanical Contractors, Inc. , at Base Bid No. 1 in the amount of $999,525.00, this modernization work could not be accomplished in a timely manner and the costs of modernization project CA011005, El Pueblo, would increase beyond the combination of funding available through the HUD Comprehensive Improvement Assistance Program.