HomeMy WebLinkAboutMINUTES - 04201993 - 1.35 -� 1 -35
TO: BOARD OF SUPERVISORS 225-9 'tF o •4 Contra
FROM: BARTON J. GILBERT, DIRECTOR OF GENERAL SERVICES Costa
DEPARTMENT
APRIL 20, 1993 -- � County
DATE: a ((W.
AUTHORIZATION
AUTHORIZATION TO FILE LAWSUIT TO RECOVER ON BID BOND FILED FOR
SUBJECT: ASBESTOS ABATEMENT AT 1950 PARKSIDE DRIVE, CONCORD, FOR MT.
DIABLO MUNICIPAL COURT (WH178Y)
SPECIFIC REQUEST(S)OR RECOMMENDATION(S)&BACKGROUND AND JUSTIFICATION
I . RECOMMENDED ACTION
AUTHORIZE County Counsel to file lawsuit against General
Industrial Insulation, Inc. and Security Insurance Company of
Hartford to recover on bid bond filed for Asbestos Abatement at
1950 Parkside Drive, Concord, for Mt. Diablo Municipal Court,
and RATIFY advance filing that was necessary to protect statute
of limitations .
II . FINANCIAL IMPACT
Moneys recovered by this action will be applied to the project
to offset a portion of the costs incurred by having to award
the contract to the second lowest bidder.
III . BACKGROUND
A. On October 15, 1992, General Industrial Insulation, Inc.
( "General" ) submitted the low bid for Asbestos Abatement
at 1950 Parkside Drive, Concord for Mt. Diablo Municipal
Court and provided a bid bond which would be forfeited if
the bidder refused to enter into a contract or to furnish
the necessary bonds .
B. On November 17, 1992, a contract was awarded to General in
the amount of $49, 166 . 00 for Asbestos Abatement at 1950
Parkside Drive, Concord, for Mt. Diablo Municipal Court.
C. General failed to furnish a faithful performance bond and
a payment bond as required by state law and the project
specifications . General was notified in writing that such
failure to furnish the necessary bonds was cause to cancel
the contract award.
CONTINUED ON ATTACHMENT: —AYES SIGNATUR .
RECOMMENDATION OF COUNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMI EE
APPROVE OTHER
SIGNATUREM:
:
ACTION OF BOARD ON APR 2 0 1:9193 APPROVED AS RECOMMENDED OTHER
VOTE OF SUPERVISORS
I HEREBY CERTIFY THAT THIS IS A TRUE
ZUNANIMOUS(ABSENT ~� ) AND CORRECT COPY OF AN ACTION TAKEN
AYES: NOES: AND ENTERED ON THE MINUTES OF THE BOARD
ABSENT: ABSTAIN: OF SUPERVISORS ON THE DATE SHOWN.
cc: Contact Person: ATTESTED APR 2 0 1993
Barton Gilbert ( 313-7100) PHIL BATCHELOR,CLERK OF THE BOARD OF
SUPERVISORS AND COUNTY ADMINISTRATOR
cc: See page 2
BY DEPUTY
M382 (10/88)
L'1_1 Page 1 of 2
Board of Supervisors 225-9001/B.4 .4
AUTHORIZATION TO FILE LAWSUIT TO April 20, 1993
RECOVER ON BID BOND FILED FOR
ASBESTOS ABATEMENT AT 1950 PARKSIDE DR. ,
CONCORD, FOR MT. DIABLO MUNI COURT
D. On February 9, 1993, the Board canceled the contract award
to General and declared the forfeiture of General ' s bid
bond in the amount of 10% of their $49, 166 . 00 bid, and
awarded the contract to the second bidder, Precision Works
Inc. , in the amount of $72,000 . 00 .
E. Payment of the bid bond amount has been requested from the
surety, Security Insurance Company of Hartford. However,
payment has not been received.
F. The bid bond contains language that requires legal action
within six months of bid opening to enforce claim.
Therefore, it was necessary for County Counsel to file
lawsuit before this recommended Board action to protect
the statute of limitations .
22501B04 . 13A
GB:bg
cc: General Services Department
Architectural Division
Accounting
County Administrator
Auditor-Controller
Consultant (Via A.D. )
General Industrial Insulation (Via A.D. )
Security Insurance Co. (Via A.D. )