To: MAYOR AND CITY COUNCIL
From: ANDREW WINJE, PUBLIC WORKS DIRECTOR
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REJECT ALL BIDS FOR THE NORTH PIER PARKING STRUCTURE REPAIRS PROJECT, JOB NO. 70610 AND DIRECT STAFF TO REVISE THE SCOPE OF THE PROJECT AND RE-ADVERTISE THE UPDATED CONSTRUCTION DOCUMENTS
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EXECUTIVE SUMMARY
On July 30, 2024, the City Council approved plans and specifications for the North Pier Parking Structure Repairs Project, Job No. 70610 (Project). On October 30, 2024, four bids were received and publicly opened. The apparent low bid for the Project exceeds the available Project budget by roughly $1,200,000, without accounting for contingency and construction management costs. Therefore, staff recommends the City Council reject all bids, work with the designer to value engineer certain elements of the Project where possible, reduce the scope of the base bid by reclassifying some tasks as optional, and re-advertise the Project.
BACKGROUND
The Project includes improvements to the seismic strengthening and non-seismic rehabilitation of the North Pier Parking Structure, which is a three-level concrete structure built in the early 1960's. During the design process, it was anticipated that construction costs to address all three levels of the North Pier Parking Structure would exceed budget. Although concrete structures like this are quite common, the cost for the Project has been difficult to predict using industry cost indices due to the site's physical constraints, very limited access for equipment and materials to the area, and the overall volatility of construction inflation in the current market. With this uncertainty, the Project advertisement was structured for bidding to prioritize the seismic strengthening and non-seismic structural rehabilitation of the basin level and deck of the plaza level (the former Fun Factory and restaurant space). Work items on the remainder of the plaza level and the village level, which is adjacent to Kincaid's restaurant,...
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