COUNTY OF SAN MATEO

Inter-Departmental Correspondence

Department of Public Works

 

DATE:

June 24, 2008

BOARD MEETING DATE:

July 22, 2008

SPECIAL NOTICE/HEARING:

None

VOTE REQUIRED:

Majority

 

TO:

Honorable Board of Supervisors

FROM:

James C. Porter, Director of Public Works

SUBJECT:

Rejecting All Bids Received and Authorizing the Director of Public Works to Re-Advertise the County Office Building Elevator Modernization, 455 County Center, Redwood City
(Project No. P11P1)

 

RECOMMENDATION:

Adopt a resolution rejecting all bids received for the County Office Building elevator modernization and authorizing the Director of Public Works to re-advertise the project.

 

VISION ALIGNMENT:

Commitment: Responsive, effective and collaborative government.

Goal 20: Government decisions are based on careful consideration of the future impact, rather than temporary relief or immediate gain.

 

Rejecting all the bids avoids possible litigation and allows us to obtain more competitive bids based on clear understanding of new code requirements.

 

BACKGROUND:

PREVIOUS BOARD ACTION

Adopted Resolution No. 069348 on April 8, 2008, which adopted plans and specifications, including conformance with prevailing wage scale requirements, and called for sealed proposals for the project.

 

HISTORY

When this project was advertised, Cal/OSHA’s Elevator, Ride, & Tramway Unit announced that they were adopting the ANSI 2004 code effective May 1, 2008, superceding the ANSI 1996 code. We immediately issued an addendum to the contract documents and receipt of this addendum was acknowledged by each of the bidders.

 

On Tuesday, May 13, 2008, bids were accepted for this project and subsequently referred to this office for checking and recommendation. A summary of the bids received is as follows:

 
 

1.

Ascent Elevator Services, Inc.

$183,500

 

2.

KONE, Inc.

$297,000

 

3.

Star Elevator, Inc.

$351,654

 

DISCUSSION:

A requirement of the new code is the addition of a rope brake to prevent unintended motion of elevator cars. This requirement applies when elevator systems are modernized or renovated, and does not apply to routine maintenance of existing elevators. The estimated value of these devices on our project is approximately $30,000. The low bidder did not include the rope brake with their bid. The other
two (2) bidders did. We believe confusion over the new code requirements is responsible for the discrepancies in the bids received. The confusion appears to have resulted because the new requirement became clarified at the same time the bids were to be submitted. We are therefore recommending that all bids be rejected and the Director of Public Works be authorized to re-advertise the project.

 

A resolution rejecting all bids and authorizing the Director of Public Works to
re-advertise the project has been approved as to form by County Counsel.

 

FISCAL IMPACT:

Re-bidding the work is estimated to cost $1,000. The estimated construction cost of the project is $270,000 and an appropriation has been established in the 2008/2009 Capital Projects Budget that is financed by General Funds.