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Agenda Item 8BAGENDA ITEM # 813 MAY 14, 2012 CITY OF ATLANTIC BEACH CITY COMMISSION MEETING STAFF REPORT AGENDA ITEM: Ocean Blvd., 12" and 15`" St. Water Main Replacement Bid No. 1112 -04 SUBMITTED BY: Donna Kaluzniak, CEP, Utility Director DATE: May 4, 2012 BACKGROUND: The City's Water Master Plan recommended an ongoing program to replace aging and undersized water mains throughout the service area. Old cast -iron and galvanized water mains can create water quality and pressure problems. The water mains on Ocean Blvd. between 14" and 16`" St. and on 15' St. between East Coast Dr. and Beach Ave. are severely deteriorated and tuberculated and the main on 12`" St. from Ocean Blvd. to Beach Ave. is undersized. These mains were programmed for replacement this fiscal year. Four contractors prequalified for the project, and bids were received by four contractors on May 2, 2012. Mathematical errors were found in two of the bids during the bid analysis, and Miranda Contracting requested their bid be withdrawn due to the mathematical error. Results after correction were: Contractor Gruhn May, J.B. Coxwell T.B. Landmark Inc. Contracting, Construction, Inc. Inc. Total Base Bid (Ocean Blvd. 14' $139,882.16 $159,956.60 $140,660.00 —16` St.) Additive Alt. 1(12` St) $45,245.37 $88,536.40 $66,000.00 Additive Alt. 2 (15 St. from $52,727.16 $90,072.90 $69,755.00 East Coast to Ocean Blvd. Additive Alt. 3 (15" St. Ocean $68,948.94 $99,927.00 $74,792.00 Blvd. to Beach Ave.) Total $306,803.63 $438,492.90 $351,207.00 The lowest responsive bid was from Gruhn May, Inc. in the amount of $306,803.63. BUDGET: Because the FYI project came in well under budget, this fiscal year's project was designed with the base bid of Ocean Blvd. and additive alternates for 12 St. (Add. Alt. 1) and 15`" St. (Add. Alts. 2 and 3). A total of $183,182 is budgeted for the project in the Water Fund under account 400 - 5504 -533 -6300, and additional funds are available from the cancelled water tank rehab project to construct the Base Bid and Additive Alternate 1 for the project in the amount of $185,127.53 and to encumber a contingency amount of $18,500. AGENDA ITEM # 813 MAY 14, 2012 RECOMMENDATION: Award a contract for the Ocean Blvd., 12 and 15 Street Water Main Replacement Project, Bid No. 1112 -04 for the Base Bid plus Additive Alternate 1 to Gruhn May, Inc. in the amount of $185,127.53 and authorize the City Manager to sign the contract. Authorize staff to encumber funds in the amount of $18,500 for use as contingency. ATTACHMENTS: 1. Bid tabulation for Bid No. 1112 -04 2. Letter from Miranda Contracting, Inc. REVIEWED BY CITY MANAGER: 2 it �I I I' I' � I I� ■ I -E-P ;I I �, ,. ;; it �� C � I �, � I j IP mw 4 r : ti 66 , AGENDA ITEM # 813 MAY 14, 2012 MIRANDA CONTRACTING, INC May 4, 2012 Donna Kaluzniak City of Atlantic Beach Atlantic Beach, FL RE: Ocean Blvd 12 11, & 15th Streets Water Main Replacement Bid Dear Ms. Kaluzniak; In reviewing our bid proposal we found we made a math error on the spreadsheet that we used to calculate the bid spread. This error is substantial and we would like to respectfully request that our bid be withdrawn. We regret the error and any inconvenience this may have caused. Sincerely, Marcia Tice Project Manager Miranda Contracting, Inc 2305 URBAN ROAD • JACKSONVILLE, FL • 32221 PHONE: 904- 388 -1121 • FAX: 904- 388 -1146 LICENSE: CU- CO57069