Replacement for page 87 AGENDA ITEM BACKGROUND TO: GOVERNING BOARD DATE FROM: PRESIDENT September 17, 2012 SUBJECT: Award of Bid: Bldg. 800 Remodel Hazmat Abatement Project REASON FOR BOARD CONSIDERATION ENCLOSURE(S) ITEM NUMBER ACTION Page 1 of 2 C.7 BACKGROUND: In the spring of 2012, a study was conducted in order to identify hazardous materials within the 800 building envelope associated with the 800 Building Renovation Project. This study also provided plans and specifications that were used to bid the required corrective work. The advertised Engineer’s estimate for this project was $225,000, not including the demolition. The total abatement project budget is $300,000. Bid proposals were received by the Purchasing Department on September 13, 2012. There were seven bidders. Bid Results: Contractor Coastwide Environmental Tech. Inc. Tradestaff Contracting Services Janus Corporation RB Construction, Inc. West Coast Environmental Performance Abatement Services Bayview Environmental Services Address 201 Walker St., Watsonville CA 95076 Rt 2 Box 347 La Honda, CA 94020 1081 Shary Circle Concord, CA 94518-2407 893 Boggs Terrace Freemont, CA 94539 3181 Fitzgerald Rd. Rancho Cordova, CA 95742 999 Canal Blvd, Suite B Richmond, CA 94804 6925 San Leandro St. Oakland, CA 94621 Base Bid $149,850 $165,000 $178,599 $259,900 $279,950 $297,950 $322,375 Continued next page FISCAL IMPACT: $149,850 Measure D funds. RECOMMENDATION: It is recommended that the Governing Board conditionally award the bid to the qualified low bidder, Coastwide Environmental Tech. Inc., pending staff and counsel confirmation that the current Bid Protest is denied. Should the Bid Protest be upheld, staff recommends that the Governing Board, by way of this action item, authorize The Vice President of Administrative Services to award the bid to the next lowest fully responsive and qualified bidder. Administrator Initiating Item: Michael Robins Victoria Lewis Academic and Professional Matter If yes, Faculty Senate Agreement Senate President Signature Yes No Yes No Final Disposition Approved The lowest responsive bid proposal received by the District is from Coastwide Environmental Tech. Inc. A bid protest was received today, September 17, 2012, from James Morris President of Tradestaff Contracting Services, the second lowest bidder above. The basis of the protest is that the bidder does not have proper certification and licensure to transport hazardous waste, and therefore a subcontract must be planned, and yet no sub-contractors were listed. In addition, the protest states that since it is estimated that the transport of waste is estimated to be more than one half of 1% of this project, such proposed subcontractors must have a valid contractor’s license in the appropriate classification. The protest further states that such sub-contractors must be listed, “otherwise the owner or any other public agency would have no ability to track the hauler’s compliance with prevailing wage laws.” District Counsel has advised us to ask the Board to authorize this Award of Bid to Coastwide Environmental Tech, Inc. contingent on staff and counsel concluding that the pending Bid Protest is to be denied. If the Bid Protest is not denied, then this requested Board action would authorize staff to award this bid to the next lowest bid from a fully responsive and qualified bidder. Counsel has issued a preliminary analysis stating that the Bid Protest should be denied because 1) the subcontractor listing law only requires listing of subcontractors licensed by the CSLB, 2) transporting of hazardous materials is not subject to oversight and licensing by the California State License Board; licensing of hazardous waste haulers is within the jurisdiction of the California Department of Toxic Substances Control and therefore Coastwide Environmental Tech, Inc. is not required by the Subcontractor Listing law to list its hazardous waste hauler, and 3) payment of prevailing wages, if applicable, is a performance issue that cannot be the basis for a bid protest (which is limited to whether or not the bid submitted is responsive to bidding requirements or whether the bidder is a “responsible” bidder). During performance of the Work, District staff intends to ensure that the successful bidder complies with all applicable regulatory requirements relating to DTSC licensing of the waste hauler and its payment of prevailing wages, if applicable. 2