BOARD AGENDA MEMORANDUM
SUBJECT:
Title
Report of Bids Received and Award of Construction Contract for the Board Room Audiovisual Modernization Project, Project No. 73274010, Contract No. C0634 (San Jose) (District No. 4).
End
RECOMMENDATION:
Recommendation
A. Ratify Addenda No(s). 1 and 2 to the Contract Documents for the Board Room Audiovisual Modernization Project;
B. Waive minor irregularities in Conti Corporation bid;
C. Select and approve the Bid Option to be awarded to Conti Corporation
Bid Option 1. - $506,443
Boardroom (room A-120) and Prefunction Lobby (room A-107), Free-standing flat screen monitors facing the boardroom dais (room A-120).
Bid Option 2. - $501,521
Boardroom (room A-120) and Prefunction Lobby (room A-107), Flat screen monitors on the boardroom dais (room A-120).
Bid Option 3. - $522,776
Boardroom (room A-120) and Prefunction Lobby (room A-107), Free-standing flat screen monitors facing the boardroom dais (room A-120). Chambers Conference Room (A-124) and Chambers Lobby (A-126).
Bid Option 4.- $535,553
Boardroom (room A-120) and Prefunction Lobby (room A-107), Free-standing flat screen monitors facing the boardroom dais (room A-120). Chambers Conference Room (A-124) and Chambers Lobby (A-126), and Chiefs Conference Room (A-173).
Bid Option 5. - $517,854
Boardroom (room A-120) and Prefunction Lobby (room A-107), Flat screen monitors on the boardroom dais (room A-120), Chambers Conference Room (A-124) and Chambers Lobby (A-126).
Bid Option 6. - $530,631
Boardroom (room A-120) and Prefunction Lobby (room A-107), Flat screen monitors on the boardroom dais (room A-120), Chambers Conference Room (A-124) and Chambers Lobby (A-126) and Chiefs Conference Room (A-173).
D. Award the Contract to Conti Corporation, located in Sacramento, in the sum of the Bid Option chosen by the Board; and
E. Approve a contingency sum of fifteen percent (15%) of the selected Bid Option and authorize the Chief Executive Officer (CEO) or designee to approve individual change orders up to the designated amount.
Body
SUMMARY:
There are many important technical reasons that support the expenditure of funds to modernize the board room audiovisual systems. However, the most significant reason for approving this Project is to ensure that the public has easy access to government and specifically to provide District information to rate payers and the general public.
This Project will benefit District staff, the public, elected officials, and those assisting with technical operations in the Board Room, by:
1. Providing a user-friendly system with enhanced capabilities for persons with disabilities, such as installing a height-adjustable lectern that will provide optimum viewing angles and include access to USB ports to connect flash drives.
2. Enhancing public viewer experience by providing a bright and crisp display with split screen views and that allows for multiple preset cameras for delivery of broadcast services. This upgrade includes broadcast HD quality streaming for distribution channels such as internet, cablecast, podcasts, and simulcast.
3. Bringing the system up to the latest standards of high resolution/high definition digital broadcasting systems.
4. Creating an easy to operate, media-friendly, and reliable system that facilitates presentations for meetings including those of the District’s Board of Directors, staff functions, and various community groups.
The Board Room is the principal space for the governance and policy making for the District and needs to be equipped with technology that will promote effective communication between elected officials and the public appearing before the Board or viewing Board meetings remotely. The proposed Board Room Audiovisual Modernization Project includes the installation of new technology, enhanced audio and visual equipment, improved public accessibility, and electronic voting. Depending on the bid prices received, additional audiovisual equipment may also be installed in other conference rooms in the headquarters building as part of the construction project. All bidders were required to provide prices for the full scope of work.
Background
The Board Room’s audiovisual system was designed in 1997 and built in 2000. In addition to the Board’s own public meetings, the existing system is used for the District’s many division, unit, and group meetings, and frequently for other general District and community events of a business, educational, outreach, or celebratory nature.
The existing legacy analog-based audiovisual system in the boardroom uses technology designed over 17 years ago, and finding technical support by qualified vendors and manufacturers is challenging and expensive. The reliability of the current system is unpredictable and on occasions, has experienced audiovisual device and power-related deficiencies and failures which have been challenging to address.
Bid Options
The Board approved the Board Room Audiovisual Modernization Project for advertisement for bids on September 26, 2017 and plans to choose among several options for construction once the bids were opened.
Contractors were required to submit bid prices for all six Bid Options. The District may choose to award any one of the following Bid Options:
Bid Option 1. - Boardroom (room A-120) and Prefunction Lobby (room A-107), Free-standing flat screen monitors facing the boardroom dais (room A-120).
Bid Option 2. - Boardroom (room A-120) and Prefunction Lobby (room A-107), Flat screen monitors on the boardroom dais (room A-120).
Bid Option 3. - Boardroom (room A-120) and Prefunction Lobby (room A-107), Free-standing flat screen monitors facing the boardroom dais (room A-120). Chambers Conference Room (A-124) and Chambers Lobby (A-126).
Bid Option 4. - Boardroom (room A-120) and Prefunction Lobby (room A-107), Free-standing flat screen monitors facing the boardroom dais (room A-120). Chambers Conference Room (A-124) and Chambers Lobby (A-126), and Chiefs Conference Room (A-173).
Bid Option 5. - Boardroom (room A-120) and Prefunction Lobby (room A-107), Flat screen monitors on the boardroom dais (room A-120), Chambers Conference Room (A-124) and Chambers Lobby (A-126).
Bid Option 6. - Boardroom (room A-120) and Prefunction Lobby (room A-107), Flat screen monitors on the boardroom dais (room A-120), Chambers Conference Room (A-124) and Chambers Lobby (A-126) and Chiefs Conference Room (A-173).
Table 1 below presents a comparison of the Bid Options.
Table 1: Bid Options
|
Option |
Boardroom & Prefunction |
Monitors |
Chambers Conference Room & Lobby |
Chiefs Conference Room |
Cost |
|
1. |
Yes |
Free-standing |
No |
No |
$506,443 |
|
2. |
Yes |
Dais |
No |
No |
$501,521 |
|
3. |
Yes |
Free-standing |
Yes |
No |
$522,776 |
|
4. |
Yes |
Free-standing |
Yes |
Yes |
$535,553 |
|
5. |
Yes |
Dais |
Yes |
No |
$517,854 |
|
6. |
Yes |
Dais |
Yes |
Yes |
$530,631 |
Addenda Ratification
Addendum’s No. 1 and 2 (attachment 2 and 3) were issued during the bid period to clarify the Project Contract Documents.
Waiver of Minor Irregularities in Conti Corporation’s Bid
Per the Notice to Bidders, Paragraph 14., the District reserved the right to reject any and all bid proposals and to waive minor defects and irregularities in any submitted bid form(s); Conti Corporation’s bid contained a minor irregularity.
On the Proposal Form and Bid Items, Bid Form 1, there was a mathematical error; the Bid Items were incorrectly totaled for the TOTAL BASE BID (Bid Item No. 1 + Bid Item No. 2A) however, the TOTAL BID was calculated correctly.
This error is not material as it does not affect Conti Corporation’s Bid price or ability to fulfill the contract. Staff recommends that the Board waive this minor irregularity.
Contract Award
The results of the 3 bid proposals received and opened on November 8, 2017, are summarized in Table 2. The Engineer’s Estimate is $794,455. The average of the responsive bid proposals is $769,804 which is 3% above the Engineer’s Estimate. The lowest responsive bid is 33% below the Engineer’s Estimate.
Analysis of Bids
A report of bids received for the Project on November 8, 2017 is summarized in Table 2.
Table 2: Bid Opening Results
|
Company /Location |
Bid Amount |
Award Amount |
|
Conti Corporation |
$535,553.00 |
$535,553.00 |
|
Digital Networks Group, Inc. |
$693,852.01 |
|
|
JCP Industries LLC |
$845,757.00 |
|
|
Engineers Estimate |
$794,455.00 |
|
District staff has reviewed the bid proposals and recommends that the Construction Contract for the Project be awarded to “Conti Corporation” for the following reasons:
1. All bid entries and requirements in the proposal submitted by Conti Corporation are in order;
2. Conti Corporation’s license is current, active, and in good standing;
3. Conti Corporation complied with the District’s SBE Outreach program by performing all of the work themselves without using any subcontractors; and
4. Conti Corporation is in compliance with the requirements of the California Labor Code §1771.1 because they are registered with the California Department of Industrial Relations and qualified to perform public works pursuant to Section 1725.5 of the Labor Code.
Contingency Funds
To allow staff to quickly address unforeseen or changed site conditions and other unanticipated occurrences, without causing unnecessary delays or consequential costs to the Project, staff is requesting a total contingency amount of 15% of the bid price for the Bid option selected and awarded by the Board.
Approval of individual change orders will be made up to the designated amounts as follows:
1. Information Technology Unit Manager: $30,000
2. Deputy Operating Officer (Designated Engineer): $50,000
3. CEO: up to the total amount of the contingency
Outreach to Bidders
The Notice to Bidders was sent to 23 plan rooms (Builder Exchanges), twenty (20) Small Business Enterprise Chambers of Commerce, 276 contractors from the District’s contractor master list, and 2,044 certified Small Business Contractors that have the appropriate licenses. In addition, the Notice was sent to the San Benito-Santa Clara Building Construction and Trades Council which reaches an additional 570 contractors.
Next Steps
If the Board approves staff’s recommendations, staff will proceed with entering into an agreement and administering construction of the Project. The construction work is anticipated to be completed by April 1, 2018.
FINANCIAL IMPACT:
The cost of construction including the contingency encumbrance is $616k. There are sufficient funds in the FY-18 approved budget to complete the Project. The total Project cost is budgeted in the Information Technology’s FY18 fund, Board Room Audiovisual Modernization Project No. 73274010.
CEQA:
The recommended action does not constitute a project under California Environmental Quality Act (CEQA) because it does not have a potential for resulting in direct or reasonably foreseeable indirect physical change in the environment.
ATTACHMENTS:
Attachment 1: Project Delivery Schematic
Attachment 2: Addendum No. 1
Attachment 3: Addendum No. 2
Attachment 4: Agreement
UNCLASSIFIED MANAGER:
Manager
Anil Comelo, 408-630-2470