HomeMy WebLinkAboutRes1985-098
.
.
.
.
.
CITY OF SEWARD, ALASKA
RESOLUTION NO. 85-98
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
SEWARD, ALASKA, AUTHORIZING THE AWARD OF A CONTRACT TO
SAMWHAN AMERICA, INCORPORATED, FOR CONSTRUCTION OF THE
SPRING CREEK CORRECTIONAL FACILITY
WHEREAS, on September 5, 1985, bids were opened for con-
struction of the Spring Creek Correctional Facility and the apparent low
bidder was Samwhan America, Inc., at a bid of $30,845,260.00; and
WHEREAS, as project manager, the State of Alaska, and specif-
ically the Department of Transportation and Public Facilities, has
reviewed the bids opened and determined that Samwhan America, Inc.'s bid
was responsive; and
WHEREAS, the State of Alaska, after
materials supplied with the bid, and additional
the request of the State, has recommended that
should be found to be responsible and responsive;
extensive review of
materials supplied at
Samwhan America, Inc.
and
WHEREAS, the City Manager has reviewed the recommendation of
the State of Alaska and additional information obtained by the City and
he concurs in the recommendation of the State; and
WHEREAS, members of the City Council of the City of Seward
have personally reviewed the underlying recommendation of the State of
Alaska, the recommendation of the City Manager for the City of Seward,
and other information that has been supplied to the City including those
items set forth in the City Manager's report;
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF SEWARD, ALASKA, that:
Section 1. The City Council of the City of Seward makes the
following determinations relating to the public interest:
A. The construction of the Spring Creek Correctional Fa-
cility is a matter of vital public concern to the resi-
dents of the City of Seward.
B. The City of Seward has actively sought funding for the
construction of the Spring Creek Correctional Facility
for several years, reflecting a continuing belief that
the construction of the Spring Creek Correctional Fa-
cility is a matter of vital public interest.
C.
The City has actively pursued every possible avenue for
funding and this Council has approved, by prior
-1-
.
.
.
CITY OF SEWARD, ALASKA
RESOLUTION NO. 85-98
resolutions, the utilization of Certificates of Lease
Participation as a financing mechanism.
D. The financing for the Spring Creek Correctional Facility
is scheduled to be consummated in early October, 1985,
and any delay in the award of a construction contract for
the Spring Creek Correctional Facility could adversely
affect the availability and price of financing.
E. The impairment of any financing for the prison caused by
a delay or dispute concerning the award of a construction
contract could result in the loss of the prison con-
struction project in Seward, Alaska. The loss of that
construction project in Seward would be adverse to the
public interest as expressed by this Council over the
last several years.
F. The public interest would be impaired further by a delay
in award due to climatic conditions. If the contract is
not awarded soon the weather in Seward might preclude
meaningful construction this fall.
.
G.
A failure to award soon also could mean the expiration of
the time period for award under the contract documents
which could result in re-bidding the project at great
expense to the City and unreasonable delay.
H. The information underlying the results of the State's
investigation have been made available to the City
Council and to all interested parties for review.
I. The City Manager for the City of Seward has conducted an
independent investigation and has made a recommendation
to this Council, Similarly the information underlying
that investigation has been made available to all inter-
ested parties.
J. The City Council has before it a complete record of
information including financial statements, bid docu-
ments, various memoranda concerning informational re-
quests, information provided as a result of inqu~r~es
made on behalf of the City of Seward and information
produced as a result of requests for information made by
others (principally Hoffman Construction Company of
Alaska.)
K.
The City Council of the City of Seward in addition to the
above written information has, by stipulation with the
second low bidder, afforded the second low bidder the
opportunity to be heard before the City Council on such
matters as the second low bidder, in its discretion, felt
.
-2-
.
.
.
.
.
CITY OF SEWARD, ALASKA
RESOLUTION NO. 85-98
would be relevant to this Council's determination of the
issues before it.
L. In addition, the City Council has heard additional
information in the form of comments made by officials
from Samwhan America, Inc., and Samwhan Corporation.
Also the State of Alaska has presented information in
verbal form before the City Council.
M. Finally, the City Council has listened and heard from
other interested parties and the public at large on this
issue.
Section 2. Having reviewed all of the information produced,
and based on each individual Councilmember's own independent analysis of
the information, and discussion in open meeting, the City Council of the
City of Seward finds that Samwhan America, Inc., is the lowest responsi-
ble bidder for the construction of the Spring Creek Correctional Fa-
ciH ty .
Section 3. The City Manager is instructed to prepare for
execution a contract for the construction of the Spring Creek Correc-
tional Facility in an amount not to exceed Thirty Million Eight Hundred
Forty-Five Thousand Two Hundred Sixty and 00/100 Dollars
($30,845,260.00).
Section 4. This award is contingent upon the closing of
financing for construction of the project.
Section 5. This award shall also not be effective for a
period of twenty-four (24) hours from the time of this resolution in
accordance with that certain Stipulation executed by the City through
the City Attorney, and various parties to the litigation known as
Hoffman Construction Company of Alaska, Inc., vs. City of Seward,
Superior Court Case No. 3AN-85-13155 Civil.
Section 6. The City Council of the City of Seward also finds
that the exchange of information conducted from the time of the bid
opening until the time of this award has eliminated the necessity for
the issuance of a letter of intent to award. This award, however, is
contingent upon successful completion of those documents and informa-
tional requests that would be required if a "Letter of Intent to Award"
as provided for in the Bid documents were to be issued. The reason for
the City Council determining that the issuance of a letter of intent to
award is not necessary in this case is that it is in the public interest
to take every step reasonable to expedite the award of a construction
contract in such a way as not to jeopardize financing arrangements for
the proj ecL
PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF SEWARD,
ALASKA, this 23 day of September , 19 85
-3-
.
.
.
.
CITY OF SEWARD, ALASKA
RESOLUTION NO. 85-98
AYES:
NOES:
ABSENT:
ABSTAIN:
ATTEST:
.
':~2JA
DONALD W. CRIPPS, MAYOR
CRIPPS, GILLESPIE, HILTON, MEEHAN, SCHOLL, SIMUTIS & WILLIAMS
NONE
NONE
NONE
(City Seal)
APPROVED AS TO FORM:
HUGHES, THORSNESS, GANTZ, POWELL
AND BRUNDIN, Attorneys for the
City of Seward, Alaska
7~ (1f~
Fred B. Arvidson, City Attorney
-4-