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<br />6.18 <br />Page 1 <br /> <br />REPORT <br /> <br />To the Honorable Mayor and City Council <br />From the ail,' Mana e.r <br /> <br />April 3, 2006 <br /> <br />Subject <br />Award of Contract - 2005-2006 Watermain Replacement Project <br /> <br />Recommendation <br />Approve the Contract Documents and award the Contract for the 2005-2006 Watermain <br />Replacement Project to the lowest responsible bidder, West Valley Construction <br />Company, Inc. of Redwood City, California, for their low bid of $1,255,035.00. <br /> <br />Background <br />Every year the City undertakes a watermain replacement program funded by the <br />Capital Improvement Program Water Fund. This program is designed for systematically <br />replacing water distribution system main lines, which have a history of service <br />disruptions due to age, excessive maintenance requirements, insufficient fire protection, <br />and/or capacity limitations. A priority list is reviewed and updated annually by the <br />Community Development Services Department - Engineering & Construction and Public <br />Works Services, to determine the priority areas to be included in the program each <br />year. This yearJs program includes the replacement of nearly 1.4 miles of <br />watermain at various locations (see attachment for project map of the <br />construction area). <br /> <br />The four (4) bids received at the bid opening on Wednesday, March 22, 2006, are <br />summarized below: <br /> <br />No. Bidder Bid Amount <br />1. West Valley Construction Company, Inc. - Redwood City, CA $1,255,035.00 <br />2. Shaw Pipeline, Inc. - San Francisco, CA $1,579,450.00 <br />3. J. Flores Construction Co., Inc. - San Francisco, CA $1,592.260.00 <br />4. Pacific Underaround Construction, Inc. - San Jose, CA $1,885,875.00 <br /> <br />The bid of $1,255,035.00 is 4.59% higher than the Engineer's Estimate of $1.2 Million <br />for the cost of construction. Based on the bids received, staff believes that the low bid <br />is reasonable and responsive, and recommends awarding the contract to West Valley <br />Construction Company, Inc. <br /> <br />West Valley Construction Company, Inc. has successfully completed similar projects in <br />the past, and is a qualified contractor. <br /> <br />A complete copy of the agreement is available for review in the City Clerk's Office. <br /> <br />Page 1 of 2 <br />