File #: 24-441    Version: 1 Name: Reject all bids for Sanctity of Life Memorial
Type: Staff Report Status: Filed
In control: City Council
Meeting Date: 11/4/2024 Final action: 11/4/2024
Enactment date: Enactment #: Reso 2024-144
Title: Adopt a Resolution to Approve and Authorize the City Manager to Reject All Bids for the Steven Taylor Sanctity of Life Pavilion Project, Project No. 2022.0340
Sponsors: Sheila Marquises
Attachments: 1. A - Bid Summary, 2. B - Draft Reso Reject All Bids, 3. C - Presentation
Title
Adopt a Resolution to Approve and Authorize the City Manager to Reject All Bids for the Steven Taylor Sanctity of Life Pavilion Project, Project No. 2022.0340

Staffreport
COUNCIL PRIORITY
* Infrastructure
* Community Engagement and Outreach
* Race and Equity Initiatives

SUMMARY

The lowest responsive and responsible bid received for the Steven Taylor Sanctity of Life Pavilion Project was $598,933, which exceeded the Engineers estimate and project budget. Additional anticipated project expenditure would further raise the total project cost above the project's funding appropriation. Based on the bids received, staff recommends rejecting all bids, reevaluating the park design, and rebidding the project to better align construction costs with the project budget.

RECOMMENDATIONS

Staff recommends the following to the City Council:

* Reject all bids
* Reevaluate park design
* Re-bid the project

BACKGROUND

The City of San Leandro began the design of the pavilion with the assistance of a local design firm, RRM Design Group, and a community outreach consultant, Kearns & West. The project will create a public space carefully designed to bolster community understanding, reconciliation, and awareness of belonging, and to promote healing among the residents of San Leandro.

The City published a bid posting for construction services in June 2024 and opened bids on July 31, 2024.


ANALYSIS

Four (4) bids were received on July 31, 2024, ranging from $598,933.00 to $829,732.55. The Engineer's Estimate was $407,539.85.

Post-bid analysis determined that the higher bid costs are attributable to the following factors:
* High contractor insurance requirements
* Local business inclusion requirements
* Increase in labor and material costs

The lowest responsible bidder, Kerex Engineering, Inc. submitted a bid of $598,933.

Staff recommend rejecting all bids and reevaluating the design to better align the project design with the available budget considering current c...

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