Item Coversheet

Agenda Item - 4.a.


City of Garden Grove


INTER-DEPARTMENT MEMORANDUM

To:Lisa L. Kim

From:William E. Murray
Dept.:General Manager 

Dept.: Public Works 
Subject:

Award a contract to Ramona, Inc. for Project CP1329000 – Sewer System Rehabilitation Plan Phase I Sewer Main Replacement Project No. 4. (Cost: $2,687,569) (Action Item)

Date:1/23/2024

OBJECTIVE

To recommend that the Garden Grove Sanitary District (GGSD) Board award a contract to Ramona Inc., for the construction of CP1329000 – Sewer System Rehabilitation Plan Phase I Sewer Main Replacement Project No.4.

BACKGROUND

GGSD completed the Sewer System Rehabilitation Plan Phase 1 in 2018, a study that identified structural deficiencies of the sewer system that is in the central portion of the service area.  A list of four (4) replacement projects and six (6) lining projects with spot repairs were identified in the study. This project is the last replacement project from the list. The project area is generally located south of Garden Grove Blvd, west of Nutwood Street, north of Trask Avenue, and east of Brookhurst St. A project location map is attached.

 

The project consists of replacing and upsizing approximately 5,250 feet of existing 6-inch and 8-inch vitrified clay pipe (VCP) with 6-inch, 8-inch and 10-inch extra strength VCP. It also includes construction of 26 new manholes, removal of 21 existing manholes and four (4) cleanouts.

DISCUSSION

Ten (10) bids were received and opened by the Secretary/City Clerk’s Office on December 19, 2023, at 11:00 a.m. (see Bid Summary Sheet). The apparent low bidder was Ramona Inc. with a total bid amount of $2,687,569. GGSD received a bid protest from the apparent second lowest bidder, Everlevel Holdings Inc., on December 21, 2023. Staff and General Counsel of GGSD reviewed Ramona Inc.’s bid package, the bid protest and the protest response from Ramona Inc., and Ramona Inc. is deemed to be the lowest responsive bidder. Everlevel raises technical issues that do not affect the responsiveness of Ramona Inc.’s bid package and compliance with the Bid requirements and specifications. This bid is within the current project budget.  The licenses and references of the contractor have been reviewed and verified by staff, and all other documentation is in order. 

 

The anticipated contract schedule is as follows:

 

Award Contract January 23, 2024

Begin Construction March 4, 2024  

Complete Construction October 25, 2024

FINANCIAL IMPACT

There is no impact to the General Fund.  This project is included in the 2023/24 Capital Improvement Budget, and will be financed with Sewer Funds in the amount of $2,687,569.

RECOMMENDATION

It is recommended that the Sanitary District Board:

 

  • Reject the bid protest from Everlevel Holdings, LLC;

 

  • Award of contract to Ramona Inc., for the construction of Project CP1329000 – Sewer System Rehabilitation Plan Phase I, Sewer Main Replacement Project No.4, in the amount of $2,687,569; and

 

  • Authorize the General Manager to execute the agreement on behalf of the Sanitary District.

 

By:  Liyan Jin, Associate Engineer




ATTACHMENTS:
DescriptionUpload DateTypeFile Name
1. Location Map1/10/2024Exhibit1.LocationMap_Landscape.pdf
2. Bid Summary Sheet1/10/2024Backup Material2._Bid_Summary_Sheet.pdf
3. Construction Agreement1/10/2024Agreement3._Construction_Agreement_CP1329000.pdf
4. Everlevel Protest Letter1/10/2024Letter4._EVERLEVEL_Protest_Letter12-21-23.pdf
5. Ramona Response to Everlevel Protest1/17/2024Letter2023-12-28_KL_Response_to_EverLevel_Bid_Protest.pdf