Title
MOTION TO AWARD IFB # PSPW-25-05 "CONSTRUCTION OF COVERED WALKWAY AT 501 MEDICAL BUILDING" TO THE MOST RESPONSIVE/RESPONSIBLE BIDDER, DAN ENTERPRISES TEAM, LLC, IN THE AMOUNT NOT TO EXCEED $175,748.88, WHICH INCLUDES AN OWNER’S CONTINGENCY FEE IN THE AMOUNT OF $15,977.17.
Summary Explanation and Background
PROCUREMENT PROCESS TAKEN:
- Chapter 35 of the City’s Code of Ordinances is titled “PROCUREMENT PROCEDURES, PUBLIC FUNDS.”
- Section 35.15 defines an Invitation for Bid as “A written solicitation for competitive sealed bids with the title, date and hour of the public bid opening designated therein and specifically defining the commodities or services for which bids are sought. The invitation for bid shall be used when the city is capable of specifically defining the scope of work for which a service is required or when the city is capable of establishing 15 precise specifications defining the actual commodities required. The invitation for bid shall include instructions to bidders, plans, drawings and specifications, if any, bid form and other required forms and documents to be submitted with the bid.”
- Section 35.18 of the City's Code of Ordinances is titled "COMPETITIVE BIDDING OR COMPETITIVE PROPOSALS REQUIRED; EXCEPTIONS.”
- Section 35.18(A) states, "A purchase of or contracts for commodities or services that is estimated by the Chief Procurement Officer to cost more than $25,000 shall be based on sealed competitive solicitations as determined by the Chief Procurement Officer, except as specifically provided herein."
- Section 35.19 of the City's Code of Ordinances is titled "SEALED COMPETITIVE BIDDING PROCEDURE."
- Section 35.19(A) states "All sealed competitive solicitations as defined in § 35.18 shall be presented to the City Commission for their consideration prior to advertisement."
- Section 35.21 of the City's Code of Ordinances is titled "AWARD OF CONTRACT."
- Section 35.21(A) of the City's Code of Ordinances is titled "City Commission approval.”
- Section 35.21(A)(1) states, "An initial purchase of, or contract for, commodities or services, in excess of $25,000, shall require the approval of the City Commission, regardless of whether the competitive bidding or competitive proposal procedures were followed."
SUMMARY EXPLANATION AND BACKGROUND:
1. On March 5, 2025, the City Commission authorized the advertisement of IFB # PSPW-25-05 “Construction of Covered Walkway at 501 Medical Building”, which was advertised on March 12, 2025.
2. The purpose of the solicitation was to build a covered walkway connecting Pines Point and the 501 Medical Building.
- The walkway will be constructed using a robust, weather-resistant design complete with a protective roof that ensures pedestrian safety and enhances accessibility for everyone. Additionally, during a public health emergency-such as one related to COVID-19 or another infectious disease-the structure can be adapted as a covered testing area, shielding test takers and patients from the elements while facilitating the necessary physical separation.
- Additionally, the walkway will provide a safe, sheltered, and accessible route between these key locations, ensuring that both residents and the general public can easily access essential services, including healthcare and other critical city services.
- This project will be funded by the U.S. Department of Housing and Urban Development (HUD), and the Community Development Block Grant Program - COVID-19 Grant Funds (CDBG-CV).
3. On April 8, 2025, the City opened proposals from the following six (6) vendors listed in ascending order:
|
|
Vendor |
Total Cost |
|
|
Dan Enterprises Team, LLC |
$159,771.71 |
|
|
Abbot Construction, Inc. |
$282,600.00 |
|
|
Fleites Construction Group, Inc |
$289,887.00 |
|
|
BigKing Services |
$335,000.00 |
|
|
Cosugas LLC |
$335,000.00 |
|
|
RCS Construction & Remodeling, LLC |
$675,000.00 |
4. The Public Services Department and Procurement Department reviewed the bids received, and deemed Dan Enterprises Team, LLC. as the lowest, most responsive/responsible bidder.
5. In addition, Dan Enterprises Team, LLC., has also completed the Equal Benefits Certification Form and has stated, "Contractor will comply with the conditions of this section at the time of contract award."
6. The Public Services Department is requesting the inclusion of an owner's contingency in the amount of $15,977.17.
Including an owner’s contingency is a standard and prudent construction practice that provides a pre-approved reserve for addressing unforeseen conditions that may arise once the project is underway. While the project has been scoped and designed based on existing site assessments, there are inherent risks associated with excavation, foundation work, and utility coordination, especially in developed areas like the site between the 501 Medical Building and Pines Point. These unforeseen issues need to be addressed and resolved immediately to minimize safety and operational concerns.
Without an owner’s contingency, staff may be required to pause construction and return to the City Commission for approval of any unexpected costs. This can cause significant delays, disrupt operations, impact the senior residences and the medical building and ultimately result in increased construction costs due to extended timelines, contractor standby time, or remobilization.
7. Request Commission to award IFB # PSPW-25-05, "Construction of Covered Walkway at 501 Medical Building," to the most responsive/responsible bidder, Dan Enterprises Team, LLC, in the amount not to exceed $175,748.88, which includes an owner’s contingency fee in the amount of $15,977.17.
Financial Impact
FINANCIAL IMPACT DETAIL:
a) Initial Cost: Amount not to exceed $175,748.88, which includes an owner's contingency fee in the amount of $15,977.17.
b) Amount budgeted for this item in Account No: This project will be funded by a grant received through the U.S. Department of Housing and Urban Development (HUD), and the Community Development Block Grant Program - COVID-19 Grant Funds (CDBG-CV) utilizing account # 121-554-0600-662055-0000-000-0501-02022 (Building Imprv-501 Bldg).
c) Source of funding for difference, if not fully budgeted: Not Applicable.
d) 5-year projection of the operational cost of the project: Not Applicable.
e) Detail of additional staff requirements: Not Applicable.
FEASIBILITY REVIEW:
A feasibility review is required for the award, renewal and/or expiration of all function sourcing contracts. This analysis is to determine the financial effectiveness of function sourcing services.
a) Was a Feasibility Review/Cost Analysis of Out-Sourcing vs. In-House Labor Conducted for this service? Not Applicable.
b) If Yes, what is the total cost or total savings of utilizing Out-Sourcing vs. In-House Labor for this service? Not Applicable.