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HomeMy WebLinkAboutRes1981-057 r I I i 12/10/81 FBA/rsa CITY OF SEWARD, ALASKA RESOLUTION NO. 81-57 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, PERMITTING WITHDRAWAL OF BID BY J-I-J CONSTRUCTION COMPANY AND AWARDING PHASE III, DREDGING, BULKHEADS AND SHIPLIFT PIERS TO THE NEXT LOWEST BIDDER, CHRIS BERG, INC. WHEREAS, Phase III, Dredging, Bulkheads and Ship1ift Piers, of the continuing construction of the Seward Marine Industrial Park at 4th of July Creek was advertised for public bid, and WHEREAS, Phase III is an integral part of an ongoing construction effort to construct public harbor facilities in the vicinity of 4th of July Creek on Resurrection Bay, Seward, Alaska, and WHEREAS, Phase II includes the placement of an order for a ship1ift facility to be placed upon the ship1ift piers to be constructed in Phase III, and WHEREAS, the variations in ship1ift design and manufacturers make it impossible to technically design in advance of award of the ship1ift facility contract specifications for the shiplift piers upon which the shiplift can be placed, and WHEREAS, there is a considerable time-lag between the ordering of a ship1ift and the time it can be delivered, and WHEREAS, it is in Seward to move forward as construction of the ship1ift Marine Industrial Park, and the public interest for the City of expeditiously as possible in the and harbor facilities for the Seward WHEREAS, the City has contractual obligations to third parties and others to construct the public harbor facilities, and WHEREAS, there is an anticipated delay from the time that the contract is awarded on Phase III for Dredging, Bulkheads and Ship1ift Piers before some of the materials can be received by a contractor who is a successful bidder, and WHEREAS, there is a limited construction season available for underwater work on Resurrection Bay and pursuant to permits granted by the Environmental Protection Agency to the City of Seward for such work, and WHEREAS, Phase III bids were submitted by various contractors and were opened on December 3, 1981, and -1- t' REsA8l-57 Page 2 of 4 WHEREAS, engineers employed by the City of Seward have reviewed the bid documents submitted by the various bidders and have recommended that the bid be awarded to the apparent low bidder, J-I-J Construction Company, and WHEREAS, J-I-J Construction Company has advised the City of Seward by letter dated December 9, 1981, that it requests to withdraw its bid on the project or adjust the contract price upward to reflect an alleged error made by J-I-J Construction Company, and WHEREAS, J-I-J Construction Company has the City Council at its meeting of December presentation as to how its asserted mistake was reasons therefore, and presented to 14, 1981, a made and the WHEREAS, the facts as asserted by representatives of J-I-J represent more than mere clerical but in addition sloppy management policies and skills which same skills are esentia1 for proper and timely completion of the project, and WHEREAS, if the assertions by representatives of J-I-J are not accurate then they represent an attempt by a bidder to unjustifiably withdraw a bid, and WHEREAS, a modification of the contract would not be in the public interest as it could tend to encourage bidders on future projects to modify bids and could discourage bidders from bidding in good faith if such contracts were routinely modified for the reasons suggested by J-I-J, and WHEREAS, it is harmful to the public interest for any delay to occur in the awarding of the contract for Phase III construction for the reasons set forth above, and WHEREAS, by its letter of December 9, 1981, J-I-J Construction Company has made it clear that an award of the contract to J-I-J Construction Company for the price bid would be a fruitless jesture on behalf of the City of Seward in that J-I-J has requested to withdraw its bid at the price bid, and WHEREAS, the second low bidder, Chris Berg, Inc., has been found to have bid in accordance with the bid specifications and engineers for the City of Seward have advised to award the contract to Chris Berg, Inc., for the price set forth in its bid, and WHEREAS, by awarding the contract to the second low bidder, Chris Berg, Inc., the City of Seward will fullfil1 its obligations to mitigate its damages caused for the reasons set forth above by any delay in the project, and WHEREAS, by awarding the contract to the second low bidder, Chris Berg, Inc., the City of Seward does not intend to -2- ~ RES.1I81-57 Page 3 of 4 waive its rights against J-I-J Construction Company damage that the City may have suffered but rather to such damages 7 for any mitigate NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, that Section 1. An award of the contract for Phase I I I, Dredging, Bulkheads, and Ship1ift Piers, is hereby made to Chris Berg, Inc., for a price not to exceed ---$9,134,955 ----------------- . Section 2. This award of the contract to Chris Berg, Inc. , DB ( does not) include an award in the amount of ------$3,094,000 --------------- for Additive Alternative No. 1. Section 3. This award of contract to Chris Berg, Inc., ~ (does not) include an award in the amount of -----($211,000)---------------- for Additive Alternative No.2. Section 4. instructed to enter into Seward, Alaska, with Chris documents. The City Manager is authorized and a contract on behalf of the City of Berg, Inc., in accordance with the bid Section 5. The City Manager is instructed to review and recommend action to the City Council for the City of Seward in pursuit of its rights and/or remedies against J-I-J Construction Company. PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, this 14th day of December, 1981. Q~~ ALASKA Donald W. c'rif::: Mayor AYES: NOES: ABSENT: CRIPPS, BURGESS, CAMPBELL, MEEHAN, O'BRIEN, SORIANO, SWARTZ NONE NONE -3- t' REs.ff8l-57 PagEo 4 of 4 ATTEST: Q~L,j,~" JoA ne E. Shanley 0 Ci ty Clerk (City Seal) -4- APPROVED AS TO FORM: HUGHES, THORSNESS, GANTZ, POWELL & BRUNDIN, Attorneys for the City of Seward CZlflt~ Fred B. Arvidson, Esq.