HomeMy WebLinkAbout2000-12-31 City Council (8)TO:-
City of Palo Alto
City Manager’s Report
HONORABLECITY COUNCIL
FROM:CITY MANAGER DEPARTMENT: PUBLIC WORKS
DATE:
SUBJECT:
JANUARY 31, 2000, -: . ’C~R:. ~ .. t18:00
AW .ARD OF CONTRACT TOI MONTEREY MECHANICAL
COMPANY IN THE AMOUNT OF $959,260 FOR THE FIXED FILM
REACTOR" REHABILITATION PROJECT AT THE WATER
QUALITY CONTROL PLANT,
RECOMMENDATION
Staff recOmmends that Council:
4
Approve and authorize the Mayor to execute the attached contract with Monterey
Mechanical Company in the amount of $959,260 for the Fixed Film Reactor
Rehabilitation project at the Regional Water Quality Control Plant (RWQCP). The
contract is structured so that Phase 1, covering the rehabilitation of reactor #1, will be
funded out of the current FY1999-2000 Capital Improvement Program (CIP) budget
for $490,000. Funding for Phase 2, covering the rehabilitation of reactor #2, for the
balance of the contract costs has been included in the proposed FY2000-2001
Wastewater Treatment Capital Improvement budget, contingent upon Council
approval.
Authorize the City Manager or her designee to negotiate and execute one or more
change orders tO the contract with Monterey Mechanical Company for related,
additional but unforeseen work which may develop during the project, the total value
of which shall not exceed $95,000.
DISCUSSION
Project Description
The work to be performed under this contract is to rebuild two existing fixed film reactors
at the RWQCP. This project is part of the RWQCP’s planned rehabilitation program. The
fixed film reactors were constructed in 1977 for ammonia and biological oxygen demand
removal and are presently in operation with the original mechanisms. The mechanisms were
of an older design that exposed the rotating elements to the waste stream. Because of the
CMR: 118:00 Page 1 of 3
severe duty and corrosive environment, the mechanisms have corroded and require
replacement. This project will incorporate a newer design on the replacement mechanisms
that will keep the rotating elements out of the waste stream. The project will also repair the
rusted sidings and ducting.
Bid Process
A notice inviting formal bids for the fixed film reactors rehabilitation project was sent on
November 23, 1999 to five contractors. The bidding period was 49 days. A mandatory
prebid meeting was held on December 10, 1999; five bidders attended the meeting. Bids
were received from three qualified contractors on January 11, 2000, as listed on the attached
bid summary (Attachment A). Bids ranged from a high of $1,206,309 to a low bid of
$959,260. Contractors not responding indicated that they did not submit a bid because of
other project commitments.
Staff has reviewed all bids submitted and recommends that the bid of $959,260 submitted
by Monterey Mechanical Company be accepted and that Monterey Mechanical Company be
declared the lowest responsible bidder. The bid is thirteen percent below staff’s estimate of
$1,100,000. The change order amount of $95,000 which equals 10 percent of the total
contract is requested.
Staff checked references supplied by the contractor for previous work performed and found
no significant complaints. Staff also checked with the Contractor’s State License Board and
found that the contractor has an active license on file.
RESOURCE IMPACT
Funds for Phase 1 of the Fixed Film Reactors Rehabilitation project, $490,000 for contract
work and $95,000 for the total contingency amount, have been appropriated under the FY
1999-2000 Wastewater Treatment CIP #39591. The proposed FY2000-2001 CIP includes
the funds for phase 2 of the project, $469,260, contingent on Council approval. Work on
phase 2 of the project is scheduled to start in July 2000 upon written authorization from
the City provided Council approves the budget as proposed.
POLICY IMPLICATIONS
Recommendations of this staff report are consistent with city policies.
ENVIRONMENTAL REVIEW
This project is an equipment replacement project and is categorically exempt from CEQA.
CMR:118:00 Page 2 of 3
ATTACHMENTS
Attachment’ A:
Attachment B:
Bid Summary
Contract
PREPARED BY: ~,Bill Miks, Manager RWQCP
DEPARTMENT HEAD:
of Public Works
CITY MANAGER APPROVAL:
City
CMR: 118:00 Page 3 of 3
ATTACHMENT A
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ATTACHMENT B
FORMAL CONTRACT
CONTRACT No. ,C0121253
(Public Work)
SECTION500~
This Contract, number C0121253 dated , is entered into by and between the City of Palo Alto, a
chartered city and a municipal corporation of the State of California ("City"), and Monterey Mechanical Company, a
Californina Corporation , ("Contrac.tor").
.For and in consideration of the covenants, terms, and conditions ("the provisions") of this Contract, City and Contractor
("the parties") agree:
Term.. This Contract shall commence and be binding on the parties on the Date of Execution of this Contract,
and shall expire on the date of recordation of the Notice of Substantial Completion, or, if no such notice is
required to be filed, on the date that final payment is madehereunder, subject to the earlier termination of this
Contract.
General Scope of Project and Work. Contractor shall furnish labor, services, materials and equipment in
connection with the .construction of the Project and complete the ’Work in accordance with the covenants, terms
and conditions of this Contract to the satisfaction of City. The Project and Work is generally described as
follows: ’~ ’~
Title of Project:Fixed Film Reactor Rehabilitation Project
~ Invitation for Bid Number 121253
Total Bid:$ 959,260 ($826,838 base bid, $132,422 add alternate. Refer to contract
specifications for phasing of project: $490,000 for Phase 1 and $469,260
for Phase 2.)
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).
I.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 to
Contractor the amount set forth in Contractor’s Bid in accordance with the provisions of this Contract and upon
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, within
thirty (30) Days of the date of receipt of Contractor’s invoices.
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
CITY OF PALO ALTO IFB 121253 PAGE 1 OF 7
FORMAL CONTRACT SECTION 500
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 forth 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 ciaims, 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 indemnification 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); the Safe Drinking Water and Toxic Enforcement
Act (Health & Safety Code, §§25249.5-25249.13, as 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.
10.
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 omission
of City or any of its Council members, officers, employees, agents or representatives.
Waive.r. 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 Laws. Contractor shall comply with all Laws now 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 documents affecting the 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
’CITY OF PALO ALTO IFB 121253 PAGE 2 OF 7
FORMAL CONTRACT SECTION 50~
Date of Execution, Contractor shall furnish to the Project Manager the Bonds as~required under the Invitation
For Bid. , ,
11.Repres~enl;ations 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:
ao Any materials and equipment which shall be used during the course and scope of the Project and
Work shall be vested in Contractor;
bo 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 Contractwith 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;
ho 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;
Contracto,r has fumished 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;
ko Contractor and any person performing labor and services under this Project are duly licensed by the
State of Califomia as required by Califomia Business & Professions Code Section 7028, as amended;
and
12.
Contractor has fully examined and inspected the Project site and has full knowledge of the physical
conditions of the Project site.
,~ssiqnment. 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.
13.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
CITY OF PALO ALTO IFB 121253 PAGE 3 OF 7
FORMAL CONTRACT SECTION 500
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 su~cient detail to give adequate notice of the substance of the claim
to City. ~
14.Audits by City. During the term of this Contract and fora 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.
15.Notices.. All agreements, appointments, approvals, authorizations, claims, demands, Change 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
Copy to:City of Palo Alto
Regional Water Quality Control Plant
2501 Embarcadero Way
Palo Alto, CA 94303
Attn: Daisy Stark, Project Manager
To Contractor:Monterey Mechanical Company
8275 San Leandro Street
Oakland, CA 94621-1901
Attn: Milton Burleson
16.
17.
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 th~ 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.
Miscellaneous.
bo
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.
c.Controlling Law. The parties agree that this Contract shall be governed and construed by and in
CITY OF PALO ALTO IFB 121253 PAGE 4 OF 7
FORMAL CONTRACT
accordance with the Laws of the State of California.
SECTION500~
do 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.
go 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
wdtten 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, restriction, 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 wdting, which authorizes any director, officer or other employee or partner to act for or in behalf
of Contractor or which authorizes Contractor to enter into this Contract.
Severability. If a court of competent judsdictio~ 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.
no
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 City. Contractor shall not be entitled
to any rights and benefits accorded or accruing to the City Council members, officers or employees
of City, and Contractor expressly waives any and all claims to such rights and benefits.
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.
Oo 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 holiday 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.
q.Recovery of costs. The prevailing party in any action brought to enforce the terms of this Contract or
CITY OF PALO ALTO IFB 121253 PAGE 5 OF 7
FORMAL CONTRACT SECTION 500
arising out of this Contract may recover its reasonable costs, including reasonable attorney’s fees,
incurred or expended in connection with such action against the non-prevailing party.
IN WITNESS WHEREOF, the pares 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:
C!ty Clerk Its Mayor
APPROVED AS TO FORM:
Senior Assistant City Attorney
APPROVED:
Assistant City Manager
Director of Public Works
Director of Administrative Services
Contract Manager (Insurance Review)
MONTEREY MECHANICAL COMPANY
By:
Name:
Title:
By:
Name:
Title:
(Compliance with California Corporations Code § 313 is required
if the entity on whose behalf this contract is signed is a
corporation. In the alternative, a certified corporate resolution
attesting to the signatory authority of the individuals signing in
their respective capacities is acceptable)
CERTIFICATE OF ACKNOWLEDGMENT
(Civil Code § 1189)
STATE OF )
COUNTY OF .)
On , before me,
, a notary public in and for said County, personally appeared
CITY OF pALO ALTO IFB 121253 PAGE 6 OF 7
FORMAL CONTRACT SECTION 50~
, personally known to me
(or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed
to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their
authorized 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)
CITY OF PALO ALTO IFB 121253 PAGE 7 OF 7