HomeMy WebLinkAboutAgenda Report - May 17, 1995 (38)� of
CITY OF LODI
COUNCIL COMMUNICATION
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AGENDA TITLE: Contract Award and Rejection of Non -Responsive Bid for Standby Generators for
Water Well and Storm Drain Pumping Stations for Sites 7, 9 and 16 ($328,328)
MEETING DATE: May 17, 1995
PREPARED BY: Public Works Director
RECOMMENDED ACTION: That the City Council adopt the attached resolution rejecting the non-
responsive bid from Royal Electric Company and awarding the contract
for the above project to CTS Northwest, Inc. in the amount of $328,328
and appropriate $190,000 from the Storm Drain Fund and reduce the
Water Fund appropriation by $190,000.
BACKGROUND INFORMATION: The City's Water Master Plan recommends that reliable backup
power be available at a minimum of one-third of the well sites.
We currently have twenty-four wells and six standby generators.
The existing generators are mostly 1940's and '50's government
surplus units that were last overhauled in the 1960's. They are obsolete, and repair and replacement
parts are no longer readily available. The controls are unreliable and cannot be considered
.automatic!' as they should be. Only four out of the six generators are operational and they all do not
automatically start and operate properly. The four locations are Wells 5, 8, 9 and 16. Well 9 is
currently out of service. Another unit at Well 7 has not functioned for many years and has been
cannibalized for parts. The sixth unit is at Well 13 and has electrical problems. If we are to maintain
reliable standby power capabilities, these units need to be replaced. On February 1, 1995, the City
Council authorized staff to receive bids for the replacement of the generators at Wells 7, 9 and 16.
These locations also have major storm water pumping stations which are also served by the
generators.
The City received the following five bids for this project:
Total Bid
Engineer's Estimate
$391,900
Royal Electric Co.
$276,588*
CTS Northwest, Inc.
$328,328
Pete Fuller Construction
$331,000
Syblon-Reid Co.
$367,000
L and L Electric Construction, Inc.
$389,017
*non-responsive bid --equipment not as specified
APPROVED: LzQZ�2,
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THOMAS A. PETERSON recycled paper
City Manager
CAWARDIDOC 5710,95
Contract Award and Rejection of Non -Responsive Bid for Standby Generators for Water Well and
Storm Drain Pumping Stations for Sites 7, 9 and 16 ($328,328)
May 17, 1995
Page 2
The apparent low bidder indicated verbally to staff that their bid was for providing equipment that was
not listed as one of the three acceptable alternates in the specifications. They also did not take written
exception to this fact on their bid. Their bid is considered "non-responsive" and should not be
considered. Therefore, staff recommends City Council award to the lowest responsible bidder, CTS
Northwest, Inc. They have confirmed, in writing, that their bid was for equipment shown as acceptable
in the specifications (Exhibit A).
Project Scope and Funding
As noted in the February 1, 1995 Council Communication, the Water Master Plan calls for eight wells
with standby power. We recommended that the City:
• plan to purchase three additional units in two years and another three units in four
years and take the obsolete units at Wells 5 and 8 out of service. This will result in a
total of nine new units, which, by that time, will represent one-third of our wells. This
will be shown in the long-range Capital Improvement Program; and
• pay for 50 percent of the cost of these three units that will serve the storm pump
stations from the Storm Drain Fund. It is recommended that $190,000 of this project be
funded from the Storm Drain Fund.
FUNDING: Originally Budgeted:
Budgeted Fund:
Current Appropriation
Total Project Estimate:
1993/94
Water Capital Outlay
$384,000 (reduce to $194,000); add $190,000
appropriation from Storm Drain Fund
$380,000
Jack L. Ronsko
Publ' Works Director
Prepared by Mark J. Lindseth, Associate Civil Engineer and
Richard C. Prima, City Engineer
JLR/MURCP/Im
Attachments
cc: City Attorney
Purchasing Officer
Water/Wastewater Superintendent
Street Superintendent
City Engineer
Royal Electric Company
CTS Northwest, Inc.
Carl Geib Engineering
CAWARDIDOC 05/10/95
MAY 03 '95 09:32 CTS NORTHWEST
CTS Northwest, Inc.
P.O. Box 1201
Tracy, CA 95378-1201
May 03, 1995
Mr. Mark Lindseth
Associate Civil Engineer
City of Lodi
P.O. Box 3006
Lodi, CA 95241-1910
RE: Standby Generators For Three Water & Storm Drain
Pumping Stations (Sites 7, 9, and 16)
Dear Mr. Lindseth:
On April 26, 1995, we submitted a proposal to the City of
Lodi to provide the material specified and site work
necessary to complete the above captioned project.
P.112
EXHIA
I am writing to you to express my observations regarding the
apparent low bid of $276,588.00. After careful review of our
bid documents and conversations with suppliers, we feel that
this bid was submitted with apparent disregard of the speci-
fications prepared by the City of Lodi. The basis of this
observation is that we do not believe that the specified
equipment can be purchased and installed for a total price
of $276,588.00.
I direct your attention to paragraph 6-153, "Commonality
of Equipment", subparagraph B, which states "ALL engine gen-
erator sets, housings, and accessories shall be assembled
by one firm. This firm shall be authorized by Caterpillar,
Kohler, or Onan to supply and service the Lodi area." Also,
paragraph 6-201.04, "Standby Engine Generator Set Supplier",
reiterates the requirements of paragraph 6-153. In addition,
and prior to bid, I asked for a clarification of this
requirement on the job walk.
It was our intention to provide, as specified, either Cater-
pillar, Kohler or Onan equipment. We believe that the other
bidders, with exception of the low bidder, also were in com-
pliance with these requirements. If the specification had
allowed any generator manufacturer, inclusive of "mom and
pop" type operations, our bid, and possibly that of other
bidders would have been substantially lower, and the City of
Lodi would receive a product of lower quality.
The City of Lodi should realize that the generator sets are
required for Emergency Stanby Power, and as such, high
quality and reliability are essential.
Page -i-
MAY-03-1995 10=37 P.01
MAY 03 195 09:33 CTS NORTHWEST P.2/2
May 03, 1995
City of Lodi
Mr. Lindseth
Page -2-
In all fairness to the City of Lodi and to the other
responsive bidders on this project, the low bidder should
be required to use the equipment as specified for the price
provided at bid opening or withdraw the bid.
If you have any questions, please feel free to call me at
(209) 835-8895.
Sincerely,
CTS Northwest, Inc.
Bennie Barker
President
cf: Mr. Carl Geib, Jr.
Geib Engineering
Mr. Ron Pendleton
Holt Brothers
MAY -03-1995 10=38 96% P.02
CITY COUNCIL
STEPHEN J. MANN, Mayor
DAVID P. WARNER
Mayor Pro Tempore
RAY C. DAVENPORT
PHILLIP A. PENNINO
JACK A. SIECLOCK
CITY OF LODI
CITY HALL, 221 WEST PINE STREET
P.O. BOX 3006
LODI, CALIFORNIA 95241-1910
(209) 333-6706
FAX (209) 333-6842
May 11, 1995
THOMAS A. PETERSON
City Manager
JENNIFER M.PERRIN
City Clerk
BOB McNATT
City Attorney
SUBJECT. Contract Award and Rejection of Non -Responsive Bid for Standby
Generators for Water Well and Storm Drain Pumping Stations for
Sites 7, 9 and 16 ($328,328)
Enclosed is a copy of background information on an item on the City Council agenda of
Wednesday, May 17, 1995, at 7 p.m. The meeting will be held in the City Council
Chamber, Carnegie Forum, 305 West Pine Street.
This item is on the consent calendar and is usually not discussed unless a Council
Member requests discussion. The public is given an opportunity to address items on
the consent calendar at the appropriate time.
If you wish to write to the City Council, please address your letter to City Council, City of
Lodi, P. O. Box 3006, Lodi, California, 95241-1910. Be sure to allow time for the mail.
Or, you may hand -deliver the letter to the City Clerk at 305 West Pine Street.
If you wish to address the Council at the Council meeting, be sure to fill out a speakers
card (available at the Camegie Forum immediately prior to the start of the meeting) and
give it to the City Clerk. If you have any questions about communicating with the
Council, please contact Jennifer Perrin, City Clerk, at (209) 333-6702.
If you have any questions about the item itself, please call Richard Prima, City Engineer,
at (209) 333-6706.
r
CJack L Ronsko
c orks Director
JLR/Im
Enclosure
cc: City Clerk r14
NCAWAR03.00C
CITY OF LODI
CITY HALL, 221 W. PINE ST.
P. O. BOX 3008
LODI. CALIFORNIA 95241-1910
CITY OF LODI
CITY HALL, 221 W. PINE ST.
P. O. BOX 3006
LODI, CALIFORNIA 95241-1910
ROYAL ELECTRIC CO
P O BOX 231430
SACRAMENTO CA 95823-1430
CTS NORTHWEST INC
P O BOX 1201
TRACY CA 95378-1201
RESOLUTION NO. 95-64
A RESOLUTION OF THE LODI CITY COUNCIL
REJECTING NON-RESPONSIVE BID AND AWARDING CONTRACT
FOR STANDBY GENERATORS FOR WATER WELL AND STORM
DRAIN PUMPING STATIONS, SITES 7,9 AND 16
WHEREAS, in answer to notice duly published in accordance with law and the order of this City Council,
sealed bids were received and publicly opened on April 26, 1995 at 11:00 am. for the bid for Standby Generators for
Water Well and Storm Drain Pumping Stations, Sites 7, 9 and 16, described in the specifications therefor approved by
the City Council in February, 1995; and
WHEREAS, said bids have been compared, checked, and tabulated and a report thereof filed with the City
Manager as follows:
Bidder Bid Amount
Engineer's Estimate $ 391,900
Royal Electric Company $276,588*
CTS Northwest, Inc. $328,328
Pete Fuller Construction $331,000
Syblon-Reid Company $367,000
L & L Electric Construction, Inc. $389,017
* Non-responsive bid - equipment not as specified.
WHEREAS, the apparent low bidder Royal Electric Company verbally indicated to staff that their company
bid "Katolight" Generators and did not take written exception to this fact on their bid; and
WHEREAS, the bid specifications clearly specified that only equipment supplied by one of three listed
manufacturers (not including Katolight) was acceptable; and
WHEREAS, the lowest responsible bidder, CTS Northwest, Inc., has stated in writing that their bid meets the
specifications.
NOW, THEREFORE, BE IT RESOLVED by the Lodi City Council that the non-responsive bid from the
apparent low bidder, Royal Electric Company be rejected and the award of the contract for Standby Generators for
Water Well and Storm Drain Pumping Stations, Sites 7, 9 and 16, be and the same is hereby awarded to CTS
Northwest, Inc., the low bidder, in the amount of $328,328.
Dated: May 17, 1995
I hereby certify that Resolution No. 95-64 was passed and adopted by the City Council of the City of Lodi in
a regular meeting held May 17, 1995 by the following vote:
AYES: Council Members - Davenport, Pennino, Warner and Mann (Mayor)
NOES: Council Members - None
ABSENT: Council Members - Sieglock
ABSTAIN: Council Members - None