HomeMy WebLinkAbout1998-07-13 City Council (13)City of Palo A2
City Manager’s Report
TO:HONORABLE CITY COUNCIL
FROM:CITY MANAGER DEPARTMENT: UTILITIES
DATE:JULY 13, 1998 CMR:303:98
SUBJECT:AWARD OF CONTACT TO HENKELS & McCOY INC. FOR
THE 4KV TO 12KV OVERHEAD LINE SYSTEM VOLTAGE
CONVERSION AND RE-BUILD PROJECT - CIP #8856.
RECOMMENDATION
Staff recommends that Council:
Approve and authorize the Mayor to execute the attached contract with Henkels &
McCoy, Inc. in the amount of $241,938. for the 4kV to 12 kV Overhead Line System
Voltage Conversion and Re-build Project - CIP #8856.
Authorize the City Manager or her designee to negotiate and execute one or more
change orders to the contract with Henkels & McCoy, Inc. for related, additional but
unforeseen work which may develop during the project, the total value of which shall
not exceed $24,200.
DISCUSSION
Project Description
The work to be performed under this contract is for re-building and converting the existing
4 KV overhead distribution system to a 12 KV distribution system in ~e areas bounded by
E1 Camino Real, Park Boulevard, and College Avenue (see Attachment C). The contract
work includes both installation and removal of utility wood poles, transformers, connectors,
miscellaneous equipment, and conductors; re-insulation of primary lines; and replacing the
secondary distribution system.
The completion of this project will reduce system line losses and enhance reliability, correct
any existing conditions that do not meet present line construction codes, and replace all
CMR:303:98 Page 1 of 3
utility poles within the project area that have been tested and identified for replacement.
Bid Process
A notice inviting formal bids for this project was sent on May 20, 1998 to 3 builders
exchanges and 13 contractors. The bidding period was 27 days. A pre-bid meeting was
held on June 4, 1998; 6 contractors attended the meeting. Bids were received from 4
qualified contractors on June 16, 1998, as listed on the attached bid summary (Attachment
A). Bids ranged from a high bid of $440,898.34 to a low bid of $241,938. Contractors not
responding indicated that they did not submit the bids because they were too busy at the
present time to take on new projects, do not provide the required service, or do not have a
local office in the area.
Staffhas reviewed all bids submitted and recommends that the bid of $.241,938. submitted
by Henkels & McCoy Inc. be accepted and that Henkels & McCoy Inc. be declared the
lowest responsible bidder. The change order amount of $25,000, which equals.
approximately 10 percent of total contract, is requested because of additional unforeseen
work which may develop during the project.
Staff checked references provided by the contractor for previous work performed and found
no complaints. Staffalso checked with the Contractor’s State License Board and found that
the contractor has an active license on file.
RESOURCE IMPACT
Funds for this project are available in the FY 1997-98 Electric Capital Improvement Program
budget, project #8856. This action has no impact on construction work forces since it is
being performed by an outside contractor.
POLICY IMPLICATIONS
The award of this contract does not represent any change to existing City policies.
ENVIRONMENTAL REVIEW
This project is categorically exempt from California Environmental Quality Act (CEQA).
CMR:303:98 Page 2 of 3
ATTACHMENTS
Attachment "A":
Attachment "B":
Attachment "C":
PREPARED BY:
Bid Summary
Contract
Project Area
Gopal Jagannath, Patrick Valath, Tomm Marshall, Larry Start
DEPARTMENT HEADi
Dir~9f Utilities
EMIL~HARRISON
Assistant City Manager
CMR:303:98 Page 3 of" 3
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1III|!I
CONTRACT No.
(Public Work)
This Contract, number dated , is entered into by and between the City of
Palo Alto, a chartered city and a municipal corporation of the State of California ("City"), and Henkels and McCo.y,
Inc., a Pennsylvania Corporation, ("Contractor").
For and in consideration of the covenants, terms, and conditions ("the provisions") of this Contract, City and
Contractor ("the parties") agree:
Term. This Contract shall commence and be binding on the parties on the Date of Execution of this Contract,
and shall expire on the date of recordation of the Notice of Substantial Completion, or, if no such notice is
required to be filed, on the date that final payment is made hereunder, subject to the earlier termination of this
Contract.
General Scope of Project and Work. Contractor shall furnish labor, services, materials and equipment in
connection with the construction of the Project and complete the Work in accordance with the covenants,
terms and conditions of this Contract to the satisfaction of City. The Project and Work is generally described
as follows:
Title of Project: 4 to 12 KV Conversion Project, Invitation for Bid (IFB) Number 105812
Total Bid:$241, 938.00
Contract Documents. This Contract shall consist of the documents set forth below, which are on file with the
City Clerk and are hereby incorporated by reference. For the purposes of construing, interpreting and
resolving inconsistencies between and among the provisions of this Contract, these documents and the
provisions thereof are set forth in the following descending order of precedence.
a.This Contract.
b.Invitation For Bid.
c.Project Specifications.
d.Drawings.
e.Change Orders.
f.Bid.
g.Supplementary Conditions.
h.General Conditions.
I.Standard Drawings and Specifications (1992).
.j.Certificate of Insurance, Performance Bond, Labor & Materials (Payment) Bond.
k.Other Specifications, or part thereof, not expressly incorporated in the Contract Specifications or the
Standard Drawings and Specifications (1992).
1.Any other document not expressly mentioned herein which is issued by City or entered into by the
parties.
Compensation. In consideration of Contractor’s performance of its obligations hereunder, City shall pay
Contractor the amount set forth in Contractor’s Bid in accordance with the provisions of this Contract and upc~
the receipt of written invoices and all necessary supporting documentation within the time set forth in the
Contract Specifications and the Standard Drawings and Specifications (1992). or, if no time is stated,
thirty (30) Days of the date of receipt of Contractor’s invoices.
Page I of
Insurance. On or before the Date of Execution, Contractor shall obtain and maintain the policies of insurance
coverage described in the Invitation For Bid on terms and conditions and in amounts as may be required by
the Risk Manager. City shall not be obligated to take out insurance on Contractor’s personal property or the
personal property of any person performing labor or services or supplying materials or equipment under the
Project. Contractor shall furnish City with the certificates of insurance and with original endorsements
affecting coverage required under this Contract on or before the Date of Execution. The certificates and
endorsements for each insurance policy shall be signed by a person who is authorized by that insurer to bind
coverage in its behalf. Proof of insurance shall be mailed to the Project Manager to the address set foRh in
Section 15 of this Contract.
Indemnification. Contractor agrees to protect, defend, indemnify and hold City, its Council members, officers,
employees, agents and representatives harmless from and against any and all claims, demands, liabilities,
losses, damages, costs, expenses, liens, penalties, suits, or judgments, arising, in whole or in part, directly or
indirectly, at any time from any injury to or death of persons or damage to property as a result of the willful
acts or the negligent acts or omissions of Contractor, or which results from Contractor’s noncompliance with
any Law respecting the condition, use, occupation or safety of the Project site, or any part thereof, or which
arises from Contractor’s failure to do anything required under this Contract or for doing anything which
Contractor is required not to do under this Contract, or which arises from conduct for which any Law may
impose strict liability on Contractor in the performance of or failure to perform the provisions of this Contract,
except as may arise from the sole willful acts or negligent acts or omissions of City or any of its Council
members, officers, employees, agents or representatives. This indemnificatior) shall extend to any and all
claims, demands, or liens made or filed by reason of any work performed by Contractor under this Contract at
any time during the term of this Contract, or arising thereafter.
To the extent Contractor will use hazardous materials in connection with the execution of its obligations under
this Contract, Contractor further expressly agrees to protect, indemnify, hold harmless and defend City, its
City Council members, officers and employees from and against any and all claims, demands, liabilities,
losses, damages, costs, expenses, liens, penalties, suits, or judgments City may incur, arising, in whole or in
part, in connection with or as a result of Contractor’s willful acts or negligent acts or omissions under this
Contract, under the Comprehensive Environmental Response, Compensation and Liability Act (42 U.S.C.
§§9601-6975, as amended); the Resource Conservation and Recovery Act (42 U.S.C. §§6901-6992k, as
amended); the Toxic Substances Control Act (15 U.S.C. §§2601-2692, as amended); the Carpenter-Presley-
Tanner Hazardous Substance Account Act (Health & Safety Code, §§25300-25395, as amended); the
Hazardous Waste Control Law (Health & Safety Code, §§25100-25250.25, as amended); theSafe Drinking
Water and Toxic Enforcement Act (Health & Safety Code, §§25249.5-25249.1J~a_s amended); the
Underground Storage of Hazardous Substances Act (Health & Safety Code, §§25280-25299.7, as amended);
or under any other local, state or federal law, statute or ordinance, or at common law.
Assumption of Risk. Contractor agrees to voluntarily assume any and all risk of loss, damage, or injury to the
property of Contractor which may occur in, on, or about the Project site at any time and in any manner,
-excepting such loss, injury, or damage as may be caused by the sole willful act or negligent act or o~nission of
City or any of its Council members, officers, employees, agents or representatives.
Waiver. The acceptance of any payment or performance, or any part thereof, shall not operate as a waiver by
City of its rights under this Contract. A waiver by City of any breach of any part or provision of this Contract by
Contractor shall not operate as a waiver or continuing waiver of any subsequent breach of the same or any
other provision, nor shall any custom or practice which may arise between the parties in the administration of
any part or provision of this Contract be construed to waive or to lessen the right of City to insist upon the
performance of Contractor in strict compliance with the covenants, terms and conditions of this Contract.
Compliance with Lavzs. Contractor shall comply with all Lawsnow in force or which may hereafter be in force
pertaining to the Project and Work and this Contract, with the requirement of any bond or fire underwriters or
other similar body now or hereafter constituted, with any discretionary license or permit issued pursuant to any
Law of any public agency or official as well as with any provision of all recorded documentsaffecting the
Page 2 of 7
10.
Project site, insofar as any are required by reason of the use or occupancy of the Project site, and with all
Laws pertaining to nondiscrimination in employment and hazardous materials,
Bonds. As a condition precedent to City’s obligation to pay compensation to Contractor, and on or before the
Date of Execution, Contractor shall furnish to the Project Manager the Bonds as required under the Invitation
For Bid.
11.Representations and Warranties. In the supply of any materials and equipment and the rendering of labor and
services during the course and scope of the Project and Work, Contractor represents and warrants:
Any materials and equipment which shall be used during the course and scope of the Project and
Work shall be vested in Contractor;
Any materials and equipment which shall be used during the course and scope of the Project and
Work shall be merchantable and fit to be used for the particular purpose for which the materials are
required;
Any labor and services rendered and materials and equipment used or employed during the course
and scope of the Project and Work shall be free of defects in workmanship for a period of one (1) year
after the recordation of the Notice of Substantial Completion, or, if no such notice is required to be
filed, on the date that final payment is made hereunder;
Any manufacturer’s warranty obtained by Contractor shall be obtained or shall be deemed obtained
bY contractor for and in behalf of City.
Any information submitted by Contractor prior to the award of Contract, or thereafter, upon request,
whether or not submitted under a continuing obligation by the terms of the Contract to do so, is true
and correct at the time such information is submitted or made available to the City;
Contractor has not colluded, conspired, or agreed, directly or indirectly, with any person in regard to
the terms and conditions of Contractor’s Bid, except as may be permitted by the Invitation For Bid;
Contractor has the power and authority to enter into this Contract with City, that the individual
executing this Contract is duly authorized to do so by appropriate resolution, and that this Contract
shall be executed, delivered and performed pursuant to the power and authority conferred upon the
person or persons authorized to bind Contractor;
Contractor has not made an attempt to exert undue influence with the Purchasing Manager or Project
Manager or any other person who has directly contributed to City’s decision to award the contract to
Contractor;
There are no unresolved claims or disputes between Contractor and City which would materially
affect Contractor’s ability to perform under the Contract;
Contractor has furnished and will furnish true and accurate statements, records, reports, resolutions,
certifications, and other written information as may be requested of Contractor by City from time to
time during the term of this Contract;
Contractor and any person performing labor and services under this Project are duly licensed by
State of California as required by California Business & Professions Code Section 7028, as amended
and
Contractor has fully examined and inspected the Project site and has full knowledge of the phys:,c~’
conditions of the Project site.
Page 3 of 7
12.
13.
14.
15.
Assignment. This Contract and the performance required hereunder is personal to Contractor, and it shall not
be assigned by Contractor. Any attempted assignment shall be null and void.
Claims of Contractor. All claims pertaining to extra work, additional charges, or delays within the Contract
Time or other disputes arising out of the Contract shall be submitted by Contractor to City in writing by
certified or registered mail within ten (10) Days after the claim arose or within such other time as may be
permitted or required by law, and shall be described in sufficient detail to give .adequate notice of the
substance of the claim to City.
Audits by City: During the term of this Contract and for a period of not less than three (3) years after the
expiration or earlier termination of this Contract, City shall have the right to audit Contractor’s Project-related
and Work-related writings and business records, as such terms are defined in California Evidence Code
Sections 250 and 1271, as amended, during the regular business hours of Contractor, or, if Contractor has no
such hours, during the regular business hours of City.
Notices. All agreements, appointments, approvals,authorizations, claims, demands, Ct~ange Orders,
consents, designations, notices, offers, requests and statements given by either party to the other shall be in
writing and shall be sufficiently given and served upon the other party if (1) personally served, (2) sent by the
United States mail, postage prepaid, (3) sent by private express delivery service, or (4) in the case of a
facsimile transmission, if sent to the telephone FAX number set forth below during regular business hours of
the receiving party and followed within two (2) Days by delivery of a hard copy of the material sent by
facsimile transmission, in accordance with (1), (2) or (3) above. Personal service shall include, without
limitation, service by delivery and service by facsimile transmission.
To City:City of Palo Alto
City Clerk
250 Hamilton Avenue
P.O. Box 10250
Palo Alto, CA 94303
16.
Copy to:City of Palo Alto
Utilities Department
250 Hamilton Ave
P.O. Box 10250
Palo Alto, CA 94303
’Attn: Patrick Valath, Project Manager
To Contractor:Henkels & McCoy, Inc.
155 N. Eucla Avenue
San Dimas, CA
Attn: Dean C. Gainor
Appropriation of City Funds. This Contract is subject to the fiscal provisions of Article III, Section 12 of the
Charter of the City of Palo Alto. Any charges hereunder for labor, services, materials and equipment may
accrue only after such expenditures have been approved in advance in writing in accordance with applicable
Laws. This Contract shall terminate without penalty (I) at the end of any fiscal year in the event that funds are
not appropriated for the following fiscal year, or (ii) at any time within a fiscal year in the event that funds are
only appropriated for a portion of the fiscal year and funds for this Contract are no longer available. This
Section 16 shall control in the event of a conflict with any other provision of this Contract.
Page 4 of 7
17.Miscellaneous.
a.Bailee Disclaimer. The parties understand and agree that City does not purport to be Contractor’s
bailee, and City is, therefore, not responsible for any damage to the personal property of Contractor.
Consent. Whenever in this Contract the approval or consent of a party is required, such approval or
consent shall be in writing and shall be executed by a person having the express authority to grant
such approval or consent.
Controlling Law. The parties agree that this Contract shall be governed and construed by and in
accordance with the Laws of the State of California.
Definitions. The definitions and terms set forth in Section 1 of the Standard Drawings and
Specifications (1992) of this Contract are incorporated herein by reference.
Force Majeure. Neither party shall be deemed to be in default on account of any delay or failure to
’perform its obligations under this Contract which directly results from an Act of God or an act of a
superior governmental authority.
Headings. The paragraph headings are not a part of this Contract and shall have no effect upon the
construction or interpretation of any part of this Contract.
Incorporation of Documents. All documents constituting the Contract documents described in Section
3 hereof and all documents which may, from time to time, be referred to in any duly executed
amendment hereto are by such reference incorporated in this Contract and shall be deemed to be
part of this Contract.
Integration. This Contract and any amendments hereto between the parties constitute the entire
agreement between the parties concerning the Project and Work, and there are no other prior oral or
written agreements between the parties that are not incorporated in this Contract.
Modification of Agreement. This Contract shall not be modified or be binding upon the parties, unless
such modification is agreed to in writing and signed by the parties.
Provision. Any agreement, covenant, condition, clause, qualification,ff6’striction, reservation, term or
other stipulation in the Contract shall define or otherwise control, establish, or limit the performance
required or permitted or to be required of or permitted by either party. All provisions, whether
covenants or, conditions, shall be deemed to be both covenants and conditions.
Resolution. Contractor shall submit with its Bid a copy of any corporate or partnership resolution or
other writing, which authorizes any director, officer or other employee or partner to act for or in be,
of Contractor or which authorizes Contractor to enter into this Contract.
Severability. If a court of competent jurisdiction finds or rules that any provision of this Contract is
void or unenforceable, the provisions of this Contract not so affected shall remain in full force and
effect.
Status of Contractor. In the exercise of rights and obligations under this Contract, Contractor acts as
an independent contractor and not as an agent or employee of Cib’. Contractor shall not be entit!e~ to
any rights and benefits accorded or accruing to the City Council members, offqcers or employees c’
City, and Contractor expressly waives any and all claims to such rights and benefits.
Page 5 cf 7
Successors and Assigns. The provisions of this Contract shall inure to the benefit of, and shall apply
to and bind, the successors and assigns of the parties.
Time of the Essence. Time is of the essence of this Contract and each of its provisions. In the
calculation of time hereunder, the time in which an act is to be performed shall be computed by
excluding the first Day and including the last. If the time in which an act is to be performed falls on a
Saturday, Sunday, or any Day observed as a legal hqliday by City, the time for performance shall be
extended to the following Business Day.
Venue. In the event that suit is brought by either party hereunder, the parties agree that trial of such
"action shall be vested exclusively in the state courts of California in the County of Santa Clara in the
City of San Jose or in the United States District Court for the Northern District of California in the City
of San Jose.
Recovery of costs. The prevailing party in any action brought to enforce the terms of this Contract or
arising out of this Contract may recover its reasonable costs, including reasonable attorney’s fees,
incurred or expended in con0ection with such action against the non-prevailing party.
IN WITNESS WHEREOF, the parties have by their duly appointed representatives executed this Contract
in the city of Palo Alto, County of Santa Clara, State of California on the date first stated above.
ATTEST:CITY OF PALO ALTO
By:
City Clerk Its: Mayor
APPROVED ASTO FORM:
Senior Assistant City Attorney
APPROVED:
Assistant City Manager
Director of Utilities
Director of Administrative Services
CONTRACTOR: Henkels & McCoy, Inc.
By:
Name: Dean C. Gainor
Title: Director/Power Operations
Taxpayer I.D. No.:
Contract Manager
(insurance review)
Page 6 of 7
CERTIFICATE OF ACKNOWLEDGMENT
(Civil Code § 1189)
STATE OF
COUNTY OF
On , before me,
public in and for said County, personally appeared
, a notary
, personally known to me (or proved to
me on the basis of satisfactory evidence) to be the person(s) whose name(s) islare subscribed to the within
instrument and acknowledged to me that he/she/they executed the same in his/her/their &uthorized
capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon
behalf of which the person(s) acted, executed the instrument.
WITNESS my hand and official seal.
Signature (Seal)
VICINITY MAP
4/12 KV CO,NW-ERSION
EL CAblINO REAL/PARK BLVD/COLLEGE AVE
ATTACHMENT C
CITY OF PALO ALTO
CA L IFO P,J’,IIA
DATE DESCRiPTiON
ORDER