CITY COUNCIL STAFF REPORT
MEETING DATE: February 15, 2017
PREPARED BY: Cynthia Iwanaga, Management Analyst/Community Services
APPROVED BY: City Manager
Title
REJECT THE BID FOR THE AQUATICS CENTER DECK RESURFACING PROJECT
END
RECOMMENDATION(S)
RECOMMENDATION
Reject the bid for the aquatics center deck resurfacing project.
BODY
COUNCIL PRIORITIES, GOALS & STRATEGIES:
Ongoing Priorities
Enhancing public safety
Maintaining fiscal responsibility
2016 Focus Areas
Enhancing our services
REPORT NARRATIVE:
Four years after the Aquatics Center was built, the City applied Aquafin, a protective waterproof coating, to the pool deck to stop degradation of the concrete and prolong its useful life. Although the Aquafin lasted for nine years, it is now failing and repairs are no longer a viable option. The City evaluated several different treatments for the pool deck including a complete replacement of the concrete surface as well as several alternative products. After considering the expected installation costs, maintenance costs, and lifespan, it was anticipated that installing Life Floor was the approach best suited to the City's needs and budgeted resources.
In soliciting proposals for this project, the City advertised in the Morgan Hill Times newspaper on December 3, 2016 and January 6, 2017, and posted bid documents on Online Planning Service, Public Purchase, and the City of Morgan Hill website. There are six Northern California Builders Exchanges that received notification of this bid via Public Purchase.
The bid opening was held on January 24, 2017. Only one bid was received from California Waters in the amount $981,000. Staff recommends rejecting the one bid received as it exceeds the project budget of $320,000 by over $742,000 when design and contingency costs are included. While staff believes that the Life Floor product specified in the bid package would result in the most attractive and walkable surface, the bid price received was dramatically over the engineer's estimate and the projected lifespan of the product does not justify spending over one million dollars on a deck treatment.
With this in mind, staff has re-evaluated the proposed decking material and is soliciting bids with a revised scope of work that specifies a poured-in-place deck surface that is expected to last at least as long as the Life Floor at approximately one-quarter of the bid price received for the Life Floor. The engineer's estimate for the project with the new specification is $250,000. Staff anticipates recommending the award of the revised project at the February 22nd Council meeting in order to be able to complete the project before the Aquatics Center season ramps up in May.
COMMUNITY ENGAGEMENT: Not Applicable
ALTERNATIVE ACTIONS:
City Council could alternatively elect to award the sole bid and direct staff to implement the project. Including design costs and project contingency, an additional appropriation of $742,000 in project funding from Fund 741, Building Replacement, would be needed to complete the project. This alternative is not recommended as the additional impact on the fund balance would limit the ability for the City to fund other building replacement projects.
PRIOR CITY COUNCIL AND COMMISSION ACTIONS:
The original funding for the Aquatics Center Deck Resurfacing Project was included in the FY 16-17 budget in the Building Replacement Fund 741.
FISCAL AND RESOURCE IMPACT:
If bids are rejected there will be no fiscal impact though it will take additional staff time to complete another bid process.
CEQA (California Environmental Quality Act):
Not a Project
No physical changes will result from the recommended action of rejecting bids so this action is not a CEQA project.
LINKS/ATTACHMENTS:
1. Aquatics Center Deck Renovation Plans
2. California Waters Bid Proposal