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6.F. - Page 3 of 32
<br />Bidder
<br />(lowest to highest)
<br />Total Bid Amount
<br />Disney Construction, Inc. From Burlingame, CA
<br />$10,269,550.00
<br />Anderson Pacific Engineering Construction, Inc. From Santa Clara, CA
<br />$10,512,160.00
<br />Anvil Builders, Inc. From San Francisco, CA
<br />$10,967,915.00
<br />MB Construction, Inc. From San Francisco, CA
<br />$11,087,778.00
<br />The apparent low bid was submitted by Disney Construction for the amount of $10,269,550.00. However,
<br />while evaluating the four bids, staff received a March 12, 2019 Bid Protest from the second low bidder,
<br />Anderson Pacific Engineering Construction, Inc. (Anderson Pacific), included in this report as Attachment
<br />4, and a March 15, 2019 response letter from Disney Construction , included as Attachment 5. City staff
<br />then received follow-up letters from Anderson Pacific and Disney Construction on March 15 and March
<br />18, 2019, included as Attachments 6 and 7 respectively.
<br />In its correspondence, Anderson Pacific claims that California Public Contract Code Section 5015 prohibits
<br />a contractor from rebidding a substantially similar project upon which it has previously claimed a mistake;
<br />that Disney Construction should be prohibited from participating in this second bid; and that Anderson
<br />Pacific's bid should be the lowest responsive and responsible bid. Anderson Pacific further argues that
<br />according to City records, namely a February 11, 2019 report to Council and an initial notice of intent to
<br />award, Disney Construction submitted a notice of error in its bid and requested relief, thus resulting in a
<br />prohibition on further bidding on the project.
<br />Disney Construction argues in its letters that it is not prohibited from further bidding on the project
<br />because it did not claim a mistake, and did not provide timely notice of a mistake (i.e. within five working
<br />days after bid opening). Disney Construction also claims that its January 9, 2019 letter to the City affirmed
<br />its willingness to complete the work for its intended bid total of $10,862,000 (but not for the bid total as
<br />calculated by City staff for $10,022,000), and points out that City staff invited Disney Construction to
<br />participate in the re -bidding of the project.
<br />Staff review of the bid protest included an examination of relevant communications between Mr. Richard
<br />Disney of Disney Construction and City staff, in addition to various notices and other communications
<br />referenced in the above-mentioned letters. These communications included an email dated December
<br />21, 2018, which was within 2 days of the first bid of December 19, 2018 and is further described below.
<br />Under Public Contract Code Section 5105, "A bidder who claims a mistake or who forfeits his or her bid
<br />security shall be prohibited from participating in further bidding on the project on which the mistake was
<br />claimed or security forfeited." Public Contract Code Section 5103 describes the elements of a mistake,
<br />namely that a mistake was made, notice was provide to the public entity within five working days
<br />specifying the details of the mistake, the mistake made the bid materially different from what was
<br />intended, and "the mistake was made in filling out the bid and not due to error in judgment or to
<br />carelessness in inspecting the site of the work, or in reading the plans or specifications."
<br />City of Redwood City 1017 Middlefield Road, Redwood City, CA. 94063 Tel: 650-780-7000 www.redwoodcity.ore
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