CC - Agendas - City Council - REGULAR - 5/13/2014

Home

than $400,000 below the mean bid price. Evaluation of the bid tabulations gives reasonable doubt that CLM can accomplish the work in full performance of the contract. • CLM's bid is mathematically unbalanced: o $0.10 for rock removal (trench). o $8.00 for flaggers- the bid does not cover minimum wage plus taxes and markup. Responsibleness of Bidder - CLM Earthmovers, Inc. CLM Earthmovers, Inc. was awarded the Zone 27 Improvements project on September 11, 2012 in the amount of $5,613,053.19. The project is currently four months beyond the amended contract completion date and will be more than a year beyond the contract completion date by the time it is completed. The contractor has refused to perform under the contract without legal cause and has unnecessarily delayed the project. • CLM disputed the measurement and payment of unsuitable material and rock excavation at the tank site and threatened to stop work until the issue is resolved in their favor. • On October 24th, 2012, a rock slide occurred on the tank site due to the excavation not being properly shored. CLM refused to install shoring unless the City agreed to pay for the shoring although the contract clearly states that it is the contractor's responsibility. • Hundreds of hours of staff time from the Public Works and Legal Department have been logged responding to CLM's delays and work stoppages. • The contractor has filed a lawsuit against the City of Prescott in Yavapai County Superior Court and issues revolving around the contractor's performance of the work are pending resolution. The factors evaluated with this project specifically relate to the following sections of the City Procurement Code: 1-27(K)(1.) Costs incurred by the City or other governmental entities in contested change orders by the contractor. 1-27(K)(2.) Litigation in which the contractor was involved with the City or other governmental agencies relative to contractor performance. 1-27(K)(3.) Failure of the contractor to have met bid specifications or time limits in previous contracts. 1-27(K)(4.) Abandonment of a contract or refusal to perform without legal cause after submission of a bid. Due to these issues, CLM Earthmovers is found to be NOT the most responsive, responsible and/or qualified bidder.