HomeMy WebLinkAboutCOW 2006-08-28 Item 3B - Resolution - Reject Bids for Boeing Access Road / East Marginal Way Intersection Paving Project 444„LA w COUNCIL AGENDA SYNOPSIS
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ITEM INFORMATION
I CAS NUMBER: 06-094 I ORIGINAL AGENDA DATE: AUGUST 28, 2006
AGENDA ITEM TITLE Reject all Bids for the Boeing Access Rd /East Marginal Way Intersection
Paving Project
CATEGORY Dircturion Motion ®I oLttion Ordinance ❑Bid Award Public Healing Other
Mtg Date 8/28/06 3 &g Da e aft Da e 9/5/06 AUg Date Mtg Data Mtts Date Mtg Date
ISPONSOR Council Ma)or Adm Spa DCD Finance Fire Iagal P &R Police PI%
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SPONSOR'S All four bids submitted for the Boeing Access Rd /East Marginal Way Intersection Paving
SUThLUARY Project were over the budgeted amount. This resolution will reject all bids. Propose to use
additional National Highway Safety funds, increase the project budget in 2007 and rebid
earlier in the year for more favorable results.
REVIEWED BY COW Mtg C•1 &P Cmte F&S Cmte
10 Transportation Cmte
Utilities Cmte Arts Comm. Parks Comm. Planning Comm.
DATE. 8/14/06
RECOMMENDATIONS:
SPONSOR /ADMIN Reject all bids by resolution.
COMM>rITEE Unanimous approval, forward to COW.
COST IMPACT FUND SOURCE
EXPENDITURE REQUIRED AMOUNT BUDGETED APPROPRIATION REQUIRED
$549,295.45 $220,585.00
Fund Source: 104.02 Commercial Streets (page 48 2006 CIP)
Comments: Expenditure required includes the 10% contingency.
MTG. DATE RECORD OF COUNCIL ACTION
8/28/06 I
9/5/06
MTG. DATE ATTACHMENTS
8/28/06 Information Memo dated August 10, 2006
Bid Tabulation
Resolution Rejecting All Bids I
Transp. Con niteel Minutes from August 14, 2006
1 9/5/06 7
I
INFORMATION MEMO
To: Mayor Mullet
From: Public Works Director)
Date: August 10, 2006 VV
Subject: Boeing Access Road East Marginal Way Intersection Paving
BID REJECTION
Project No. 06 -RWO1
ISSUE
Award or reject all bids for the Boeing Access Road East Marginal Way Intersection Paving Project.
BACKGROUND
The project was advertised for bids on July 14 and 21, and four (4) bids were opened on August 4, 2006. The
engineer's estimate was $466,110.00. Iakeridge Paving Company submitted the low bid of $499,359.50, which
is $33,249.50 over the engineer's estimate. When contingency funds are included, a total budget of $549,295.00
is needed to award the contract.
ANALYSIS
This project is part of the 2006 Overlay Program, but has a separate CIP sheet (page 48) because the project is
partially funded with federal dollars. The project's original budget, including federal funds and City funds totals
$116,000.00. However, as has been recently discussed and experienced, the price of oil is driving up material
and labor costs at an ever increasing rate.
Public Works knew at the time of bid that the original budget was inadequate, especially when the engineer's
estimate was $466,100_ It was anticipated that the 2006 Overlay bids would come in under the budgeted amount
and the excess funds could be added to the existing $116,000 to make up the difference for the BAR/EMW
project. Unfortunately, the low bid for the 2006 Overlay came in much higher than planned and the remaining
available funds are only $104,585
The dollars available for the Boeing Access Road/East Marginal Way intersection is 8220,585 sum of
$116,000 and $104,585. This leaves a shortfall of $328,710 ($549,295 minus $220,585). Unfortunately, the
City does not have a source of funds to close the gap.
BUDGET AND BID SUMMARY
Actual Engineer's Estimate Budget
Construction (Bid Amount) 499,359.50 466,110.00 116,000.00
Contingency (10%) 49,935.95 46,611.00
2006 Overlay w /Contingency 795,415.00 795,415.00 900,000.00
Total 1,344.710.45 1.308,136.00 1,016,000.00
RECOMMENDATION
Reject all bids and re- advertise the project in 2007 after exploring possible contract cost reductions and/or
increasing the budget through alternate funding sources.
attachments: Bid Tabulation
Draft Resolution
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DRAFT
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TUKWILA,
WASHINGTON, REJECTING ALL BIDS SUBMITTED FOR THE BOEING
ACCESS ROAD EAST MARGINAL WAY INTERSECTION
RESURFACING PROJECT.
WHEREAS, sealed bids ivere solicited for the Boeing Access Road East Marginal
Way Intersection Resurfacing Project; and
WHEREAS, bids were opened and read aloud by the City Clerk on August 4, 2006;
and
WHEREAS, a budget was set for the construction of the pavement resurfacing
improvements; and
WHEREAS, all responsive bids were over the budgeted amount for the
construction of the Boeing Access Road Fast Marginal Way Intersection Resurfacing
Project;
NOW, THEREFORE, THE C11Y COUNCIL OF THE CITY OF TUKWILA,
WASHINGTON, HEREBY RESOLVES AS FOLLOWS:
All bids are hereby rejected due to budget limitations.
PASSED BY THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON,
at a Regular Meeting thereof this day of 2006.
ATTEST/ AUTHENTICA 1 ED:
Dennis Robertson, Council President
Jane E. Cantu, CMC, City Clerk
APPROVED AS TO FORM BY.
Filed with the City Clerk:
Passed by the City Council:
Office of the City Attorney Resolution Number:
a:d SeT... ==t1R U�.:D� Yel}:.\SDATA_Y_:`_-- Eocnz By Zn&.;
GL-1= 2124.6 Page 1 of 1
Transportation Committee
August 14, 2006 5:00 p.m.
Present: Joe Duffie, Chair; Pam Carter, Joan Hernandez, Council Members.
Jim Morrow, Director of Public Works; Frank Iriarte, Deputy Director; Bob Gicerson, Acting
City Engineer; Mike Cusick, Senior Engineer; Gail Labanara, Public Works Analyst; Rcbin
Tischmak, Senior Engineer; Jill Mosqueda, Engineer; Jack Pace, Deputy Director; Moria
Bradshaw, Senior Planner; Diane Jenkins, Administrative Assistant to the Council; Leshya
Wig and Mon Wig, Wig Properties; and Chuck Parrish, community member
Business Aaenda
A. Development Agreement for Southcenter Square
Mr. Morrow related that Wig Properties has been working with the City for two years on the
redevelopment of property located in the northeast corner of Southcenter Parkway and Minkler
Boulevard (also referred to as the JC Penney warehouse site). In 2005, the Council passed
resolution 1565 authorizing the Mayor to develop an agreement regarding improvements and off -site
wetland mitigation at Tukwila Pond. The development agreement will be submitted for discussion at
a future Committee of the Whole meeting and then presented to the Council for a public hearing and
action at a regular council meeting.: Ms. Bradshaw provided an overview of the proposed developers
agreement. The property consists of approximately 18.77 acres, has type 3 wetlands that total
1 16 acres. The developer will be enhancing 2.6 acres of wetlands and creating .88 acres of
wetlands in the southwest comer of Tukwila pond. The developer will be responsible for maintaining
that property for 10 years to ensure compliance. Also, they will be dedicating four feet of right -of -way
to widen Minkler Boulevard and making frontage improvements (sidewalks, planting strip, and
relocating utilities) and constructing a new half street along the north and east perimeters.
Mr Morrow related that Wig Properties will be paying a transportation impact fee based on the square
footage of the development. The City of Tukwila will credit the developer against the assessment for
the Tukwila Urban Access /Klickitat Improvement Project LID Also, it is proposed to waive the meter
connection fees in exchange for two 12° water mains. These costs would need to be paid from the
General Fund and diverted to the Water Fund. Ms. Hernandez noted the developer's agreement
refers to Section 9, Terms, and it should be Section 8. The references will be amended throughout
the agreement. Mr Morrow indicated that a public hearing would be scheduled for the September 5
regular council meeting. Unanimous approval, forward to Committee of the Whole and then to
Regular Council meeting for public hearing.
B. Boeing Access Road East Marginal Way Intersection Paving Bid Rejection
Mr Morrow related that two /three weeks ago, asphalt was $65/a ton; it has now risen to $80 /tan. It
was recommended to reject all bids and re- advertise the Boeing Access Road and East tvtarginal
Way Intersection in 2007 after either increasing the budget through alternate fundingsources or
reducing the scope of the project/cost reductions. Mr Tischmak noted that the original budget was
inadequate but it was hoped that the 2006 overlay bids would be under budget and excess funds
could be applied to this project. The project was expanded to include the ramps so the project may
be re-configured next year to only include the intersection. This year's and next year's annual
allocation of the NHS (National Highway System) Federal Grant could be applied towards this project.
Also, the project would be submitted for bids earlier in the year in hopes of getting a better price.
Ms. Carter asked when this intersection was last paved. It was paved nine years ago in 1997
Unanimous approval, forward to Committee of the Whole and then to Regular Council
meeting.
Transportation Committee 2
August 14, 2006
C. Regional Transportation Committee
Mr Morrow commented that in light of discussions at the various regional levels regarding
transportation, information was requested on the funding sources the City receives for transportation.
Ms. Carter explained that the Regional Transportation Commission (RTC) was seeking information
regarding the current financing structure for transportation and transit and asked for visual
representations to show how much revenue comes from state, federal, and local sources. The
purpose is to educate RTC and begin to have a panel discussion on how changes in regional
transportation governance may affect our City Mr. Morrow related that transportation projects may
receive funding from four sources: federal funds, city revenue, state funds, and mitigation such as
traffic impact fees and special assessments. He reviewed the pie chart, City of Tukwila 2006
Transportation Funding, to provide information to support current discussions surrounding
transportation issues. In 2006, the City received $140,000 in gas tax (state funds) which is placed
into the City's general fund. There was $22.08 million in revenue allocated in the Capital
Improvement Projects (CIP) budget. He noted that 100% of the residential streets and bridge
inspectionslrepairs are funded by the City's general fund. He noted that the City Council is very
supportive of transportation projects: $7.8 million was allocated from City funds. Ms. Carter noted
that the projects /grants vary from year to year, however, she asked if the proportions remain
approximately the same. Mr Morrow indicated that they do federal funds and city revenues total
about of the funds allocated to project. State funding and mitigation make up the remaining 'h.
Mr Morrow will be attending the South County Area Transportation Board (SCATBd) meeting where
possible scenarios for Sound Transit Phase 2 will be reviewed. He noted that the State of
Washington has the option of funneling all federal funds to one organization to manage and oversee
transportation projects. This is done in some states. Individual cities would no longer receive federal
grant monies. There is not a lot of support for this concept. RTC is trying to determine the impact if
there are changes in the way transportation is funded in order to make a larger impact. Mr Morrow
indicated that this addresses the sub -equity issue and would remove a huge hurdle for regional
projects. There could be a more coordinated approach and monies saved by consolidation and lower
overhead. Ms. Carter noted that the enacting ordinance requires RTC to develop a new governing
structure which has been amended to identify what changes are recommended so the RTC could
arrive at their own conclusion.
Old Business
Mr Morrow noted that the concrete operators are on strike and the concrete drivers will not cross the
picket line. Concrete must be used within 90 minutes of leaving the plant. This is impacting
scheduled construction projects. Mr. Giberson explained that for federally funded projects, they will
be given time extensions, but no overhead or time delay claims will be considered because it is
covered as an 'act of God?
Mr Morrow indicated that a meeting was held with the 52''' Ave. S. neighborhood to discuss the
incident at the Sound Transit site. Repairs were made to the crane and they have changed
procedures on the positioning of the motors: they will now be directly over the vertical beams. He
explained that the crane shifting caused a build -up in pressure on the hydraulic ramps and some
pressure was released. The crane has been thoroughly inspected and tested.
Adjournment: 6:00 p.m.
Committee Chair Approval
Minutes by DJ, Reviewed by GL
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