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HomeMy WebLinkAboutAgenda Report - July 15, 2009 E-03AGENDA ITEM &5 M� CITY OF LODI COUNCIL COMMUNICATION Im AGENDA TITLE: Adopt Resolution Rejecting All Bids and Authorizing Advertisement for Bids for the Annual Tree Trimming Contract (Power Line Clearing) for Electric Utility Department ($375,000) (EUD) MEETING DATE: July 15,2009 PREPARED B Y Electric Utility Director RECOMMENDED ACTION: Adopt a resolution rejecting all bids and authorizing advertisement for bids for the Annual Tree Trimming Contract (Power Line Clearing) for Electric Utility Department BACKGROUND INFORMATION: The Electric Utility Department (EUD) has utilized a tree -trimming contractor for its line clearing requirements since November 1988. The current contract extension with Trees, Inc. of Houston, Texas is due to expire no later than August 31, 2009. On June 11, 2009, the following bids were publicly opened: Trees, Inc. Asplundh WCA Davey FY2009-10 Budget $387,313.92 (withdrawn) $470,292.48 $580,608.00 $632,378.88 $375,000.00 Following the bid opening, Trees, Inc sent the City a letter withdrawing its bid due to an error. Bids were to be made on the basis of a three-person backyard crew and a three-person street crew (differing equipment and crew make-up). Trees Inc. inadvertently bid a two -person street crew that was consistent with the bid request in 2006. Based on the hourly/daily costs submitted as part of its bid, a corrected bid for Trees Inc. was calculated by staff as being $437,068.80. Given that all bids significantly exceeded the $375,000 budget for this item, Staff is recommending reissuing the tree -trimming specification with the bid evaluation to be made on the basis of three-person backyard crew and a two -person street crew. FISCAL IMPACT: Trimming trees reduces electric outages for customers and reduces emergency call -outs and repairwork FUNDING AVAILABLE: The projected cost of $375,000 is included in the budget for fiscal year 2009/10 underAccount No. 160654 —Tree Trimming. Funding for contract extensions shall be approved on a year-to-year basis. APPROVED: Blai Kg, City Manager Adopt Resolution Rejecting all Bids and Authorizing Advertisementfor Bids for the Annual Tree Trimming Contract (Power Line Clearing) for Electric Utility Department ($375,000) (EUD) July 15,2009 Page 2 of 2 Jordan Avers Deputy City Manager/Internal Services Director C.AAn�A-, his-,Vj Ge-otbe F. Electric Utility Director June 1 1,2009 Barry Fisher Construction/Maintenance Supervisor City of Lodi Electric Utility Department 1331 South Ham Lane Lodi, CA 95242 Dear Mr. Fisher: TREES, INC. 650 North Sam Houston Parkway East Suite 209 Houston, TX 77060 1-866-865-9617 Fax: (281) 260-0728 Due to a mathematical error in our calculations Trees, Inc. withdraws our bid for the City of Lodi tree trimming project. We regret our mistake and look forward to the next bid. Sincerely, William Mills Senior Vice President RESOLUTION NO. 2009-92 A RESOLUTION OF THE LODI CITY COUNCIL REJECTING ALL BIDS AND AUTHORIZING RE -ADVERTISEMENT FOR BIDS FOR THE ANNUAL TREE TRIMMING CONTRACT (POWER LINE CLEARING) FOR ELECTRIC UTILITY DEPARTMENT WHEREAS, in answer to notice duly published in accordance with law and the order of this City Council, four sealed bids were received and publicly opened on June 11, 2009, at 11:00 a.m. for the provision of annual tree trimming services (power line clearing) for the Electric Utility Department; and WHEREAS, said bids have been compared, checked, and tabulated and a report thereof filed with the City Manager as follows: Trees, Inc. $387,313.92 (withdrawn) Aspl undh $470,292.48 WCA $580,608.00 Davey $632,378.88 WHEREAS, the low price bidder, Trees, Inc., withdrew its bid due to a bidding error; and WHEREAS, the bids were evaluated on the basis of a three-person backyard crew and a three-person street crew; and WHEREAS, the fiscal year 2009-10 budget for Electric Utility tree trimming services is $375,000 and all bids exceed this amount; and WHEREAS, staff recommends that the City Council reject all tree trimming bids and authorize advertisement again with bids to be evaluated on a three-person backyard crew and a two -person street crew, which is more consistentwith fiscal year 2009-10 budget levels. NOW, THEREFORE, BE IT RESOLVED that the Lodi City Council does hereby reject all bids and authorize re -advertisement for bids for the annual tree trimming contract (power line clearing) for Electric Utility Department. Dated: July 15, 2009 --------------------------------------------------------------------------- --------------------------------------------------------------------------- hereby certify that Resolution No. 2009-92 was passed and adopted by the City Council of the City of Lodi in a regular meeting held July 15, 2009, by the following vote: AYES: COUNCIL MEMBERS— Hitchcock, Johnson, Katzakian, Mounce, and Mayor Hansen NOES: COUNCIL MEMBERS —None ABSENT: COUNCIL MEMBERS— None ABSTAIN: COUNCIL MEMBERS—None �e RANDI JOHL City Clerk 2009-92