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Project), the architect realized that the cost for material, and especially labor, has <br />unexpectedly risen due to the unavailability of contractors. Estimates were then raised <br />based on those bids. <br /> <br />At the 100% stage, based on bids from the El Camino Real Median Island Project and <br />adjustment increases in the bid quantities, the Engineer's Estimate for construction <br />escalated to $325,000. Since this amount exceeded our budget of $250,000 for the <br />construction, a Deductive Bid Item was included in the base bid in the event that the <br />bids exceeded the amount available. The deductive bid was to delete the landscaping <br />and irrigation on the four small median islands at Broadway/Hopkins. <br /> <br />The bid opening was held on Wednesday, December 5, 2001, in the office of the City <br />Clerk, and two (2) bids were received as summarized below: <br /> <br /> Base Bid <br /> Base Bid Amount Deductive Total Base Bid <br /> Amount Broadway/ (add to base Plus Deductive <br />No. Bidder Main/Maple Hopkins bid) <br />1. JJR <br /> Construction - <br /> San Mateo, $ 98,780.05 $238,542.00 $ 9,870.50 $347,192.55 <br /> CA <br />2. Golden Bay <br /> Construction - <br /> San Carlos, $116,731.40 $227,045.25 $16,317.97 $360,094.62 <br /> CA <br /> Engineer's <br /> Estimate $ 87,910.00 $213,325.00 $24,625.00 $325,860.00 <br /> <br />The Iow bid of $347,192.55 is 6.5% above the Engineer's Estimate of $326,000. The <br />Iow bidder's bid for the deductive is $9,870.55, while the Engineer's Estimate is <br />$24,625. Even though a savings would be realized if the City did not award the <br />Deductive Bid Item, it is staff's recommendation to award the base bid including the <br />Deductive Bid Item, since the price for the Deductive Bid Item favors the City. <br />The Iow bid is based on the Iow bid amount for the total base bid and the deductive. <br />JJR Construction is the Iow bidder. A complete copy of the Agreement is available for <br />review in the City Clerk's Office. <br />Alternatives <br />1. Leave the islands as they are now with painted lines and plastic delineators. <br />2. Remove some of the higher cost items from the plans (antique lighting, upgraded <br />landscaping, and concrete pavers), which will change the architectural quality of the <br />project. <br />3. Only construct one of the median projects. <br />-2- <br /> <br /> <br />