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6.1.B. - Page 2 <br /> Bidder Bid Amount <br /> Ranger Pipelines, Inc. —San Francisco $1,947,192.60 <br /> Casey Construction, Inc. — Redwood City $1,976,588.00 <br /> Engineer's Estimate $1,683,406.00 <br /> Recommended Bidder: None <br /> Substantiation: Staff considers the bid prices to be too high and the budget is insufficient. <br /> The low bid of $1,947,192.60 submitted by Ranger Pipelines, Inc. is approximately <br /> 15.7% higher than the engineer's estimate of $1,683,406. Staff believes this variance is <br /> due to the specialization required for rehabilitation of sewer main and the increase in <br /> other project commitments by potential contractors. Staff anticipated supplementing a <br /> portion of the cost differential of this project up to the engineer's estimate from the <br /> Sewer Fund Capital Projects — Collection System Replacement Program. However, <br /> since the bids exceeded the estimate, the budget is inadequate to move forward with <br /> this project. Staff will review the design, make changes and rebid at a later date. <br /> Under Chapter 2, Article VII (Purchasing), Section 2.68.0 of the Redwood City <br /> Municipal Code, the City Council has the power to reject any and all bids and solicit or <br /> advertise again. Therefore, staff recommends that City Council reject all bids, and <br /> authorize staff to re-advertise the project for public bidding. <br /> ALTERNATIVES <br /> Council may choose to award the contract to the lowest responsible bidder Ranger <br /> Pipelines, Inc. for their low bid of $1,947,192.60. <br /> FISCAL IMPACT <br /> Funds for the general work of this project were approved and appropriated in the Fiscal <br /> Year 2012/13 budget as Sewer Fund Capital Projects — Sewer Rehab Program which <br /> has an available balance of $1,215,000.00 as of July 31, 2012. <br /> ENVIRONMENTAL REVIEW <br /> Rejection of bids is not a project under CEQA. <br /> � <br /> '�� <br /> JIMMY TAN, P.E. <br /> SENIOR CIVIL ENGINEER <br />