CITY COUNCIL AGENDA ITEM
ACTION REQUESTED:
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Approve the award of Bid 19-143, Building Demolition, to McDonagh Demolition, Inc. for an amount not to exceed $259,200, plus a 5% contingency
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DEPARTMENT: Department of Public Works
SUBMITTED BY: Richard Dublinski, Director
BOARD/COMMISSION REVIEW:
N/A
BACKGROUND:
The Department of Public Works - Public Building Operations Division issued Bid 19-143 for the demolition and disposal of the building located at 414 E. Fifth Avenue. The contractor is required to remove all existing equipment, piping, fencing, building foundations and walls. Additionally, the contractor will provide traffic control and protection, utility disconnection, and backfill. All work shall be done in accordance with all applicable City, County and State requirements.
The building, constructed in 1981, is located on the northeast corner of Loomis Street and 5th Avenue and served as the Department of Public Works until 2009. Since then, the building has been vacant and aside from periodic storage of equipment and training activities, the building serves no purpose. The building is rapidly deteriorating and will be removed, in part, as a safety precaution. The building will not be used in the future and the cost for long-term maintenance and security of the site is not deemed cost effective.
The site will instead be restored for use as temporary daily fee parking. There are currently 115 parking spaces on the lot. With the demolition of the building, it is anticipated that an additional 263 parking spaces will be added for a total of 378 daily fee parking spaces.
DISCUSSION:
Advertisement Date: |
05/14/19 |
Notices Sent: |
187 |
Opening Date: |
06/04/19 |
Planholders: |
16 |
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Proposals Received: |
8 |
Bids were received from the following vendors:
Vendor Name |
Base Bid Cost |
Option 1 |
McDonagh Demolition, Inc. |
$259,200 |
$10,000 |
Environmental Cleansing Corporation |
$329,000 |
No Bid |
Fowler Enterprises |
$365,000 |
$20,000 |
KLF Enterprises |
$399,131 |
$12,000 |
Signature Demolition Services, Inc. |
$407,820 |
$5,000 |
Schwartz Excavating |
$451,600 |
$20,150 |
Alpine Demolition Services, LLC |
$507,500 |
$1,000 |
Copenhaver Construction |
$630,000 |
No Bid |
Based on information obtained by staff, McDonagh Demolition, Inc. appears to be a responsible contractor. While McDonagh Demolition, Inc. has not previously performed work for the City, their reference contacts were positive based on their performance on similar projects. Staff believes the low bid submitted is reasonable for performing the work as specified.
Option 1 of the bid was for the removal and destruction of the electric meters that were replaced with smart meters currently stored in the building. This option will not be awarded as the Electric Utility was able to obtain better pricing through a separate procurement process.
If approved, the work under this contract will begin on July 9, 2019 with a completion date of September 9, 2019. Paving and striping of the lot in preparation by DPW staff for daily fee parking will commence immediately following the demolition and site work.
FISCAL IMPACT:
CIP #: N/A
The building demolition is expensed to the building and grounds maintenance account listed below. The demolition of the building is an unbudgeted expense, staff will work to manage this additional expense within the approved 2019 budget, however a budget amendment may be required if other operational savings are not identified. There will be an offsetting revenue of approximately $10,000 per month associated with the additional parking spaces created.
Account Number |
Fund Description |
Total Budget Amount |
31341200-531302 |
Commuter Parking Fund |
$65,000 |
*Per City Council directive, contingency on construction projects is set at 3% on projects over $500,000 and 5% on projects under 500,000.