HomeMy WebLinkAbout23E - PROJ - DEMO SRVSREQUEST FOR
COUNCIL ACTION
CITY COUNCIL MEETING DATE:
NOVEMBER 28, 2011
TITLE:
CONTRACT AMENDMENT WITH J & G
INDUSTRIES INC. FOR DEMOLITION
SERVICES (PROJECT 116744 GRANT
FUNDED)
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,?F-TY MANAGER
RECOMMENDED ACTION
CLERK OF COUNCIL USE ONLY:
APPROVED
? As Recommended
? As Amended
? Ordinance on 151 Reading
? Ordinance on 2"d Reading
? Implementing Resolution
? Set Public Hearing For
CONTINUED TO
FILE NUMBER
Amend the demolition contract with J & G Industries, Inc by $400,000 for a total contract amount
of $550,000, in order to provide for the demolition of 1631 North Bristol Street, which is part of
the Bristol and Seventeenth Street widening project.
DISCUSSION
On October 18, 2010, the City Council authorized the Public Works Agency to release a
Request for Proposals (RFP) to qualified firms to provide right-of-way-related services for the
City's Capital Improvement Program (CIP).
The RFP for the above services was sent to 12 firms who specialized in this field. After review
and evaluation of the 12 proposals by personnel from the Public Works Agency, Community
Development Agency, and the City Attorney's Office, J& G Industries Inc. was recommended.
On April 4, 2011, the City Council awarded a contract to J & G Industries, Inc. for demolition
services in the amount of $150,000 based on projects identified at that time. As part of the
Bristol and Seventeenth intersection widening project, it had been determined that demolition of the
building located at 1631 North Bristol Street will be required.
The contract for the construction of the intersection project has been awarded and the
contractor's work has been placed on hold pending the demolition of the building. The
complicated tenant relocation process associated with this commercial building included
relocating thirteen businesses. The last tenant vacated the premises on November 11, 2011.
This was the first opportunity for the City to inspect the building, conduct surveys, and solicit a
complete bid from J&G Industries for the demolition of the building. After conducting a thorough
inspection and performing the asbestos and lead survey, J&G submitted a demolition bid of
$350,000.
23E-1
Contract Amendment with J &G Industries Inc.
November 28, 2011
Page 2
This bid amount is within the engineer's estimate; however, this bid amount exceeds the
remaining amount available on J&G's contract. In order to meet the funding deadlines imposed
by OCTA and complete the demolition by April 30, 2012, an increase in the amount of $400,000
to the J&G Industries Inc. is required. The alternative to amending the contract is to start a new
RFP process for the services; however, this alternative will delay the demolition of the building
by a minimum of three months and the City will risk losing the Measure M grant funds in the
amount of $3.2 million.
ENVIRONMENTAL IMPACT
This is no environmental impact associated with this action.
FISCAL IMPACT
Funds are available in the Bristol 17th Street Widening Project (accounting unit 05917661).
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Raul Godinez II
Executive Directo
Public Works Agency
RG/SA
Exhibit: Amendment
APPROVED AS TO FUNDS AND ACCOUNTS:
Francisco Gutierrez
Executive Director
Finance & Management Services Agency
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FIRST AMENDMENT TO AGREEMENT
THIS FIRST AMENDMENT TO AGREEMENT is entered into on November 28, 2011,
by and between J & G INDUSTRIES, INC., a California corporation ("Contractor") and the City
of Santa Ana, a charter city and municipal corporation organized and existing under the
Constitution and laws of the State of California ("City").
RECITALS:
A. The parties entered into that certain Agreement A-2011-097, dated April 4, 2011 (hereinafter
"said Agreement") by which Contractor has provided demolition and land clearing services
in relation to right of way acquisitions.
B. In accordance with the terms and conditions of said Agreement, the parties wish to increase
compensation in order to pay for additional demolition services, and extend the term of said
Agreement.
WHEREFORE, in consideration of the covenants contained in said Agreement, and subject to all
the terms and conditions of said Agreement, except those amended in this First Amendment to
Agreement, the parties agree as follows:
1. Section 1, SCOPE OF SERVICES, shall be amended to provide that Contractor shall provide
demolition services to remove the building located at 1631 North Bristol Street, Santa Ana,
California.
2. Section 2, COMPENSATION, shall be amended to add $400,000.00, for a total not to exceed
amount of $550,000.00.
"City agrees to pay, and Contractor agrees to accept as total payment for its services, the
rates and charges set forth in Exhibit B, attached to said Agreement. The total sum to be
expended under this Agreement shall not exceed $550,000.00, during the term of this
Agreement."
3. Except as hereinabove amended, all terms and conditions of said Agreement shall remain in
full force and effect.
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IN WITNESS WHEREOF, the parties hereto have executed this First Amendment to Agreement
on the date and year first written above.
ATTEST:
MARIA D. HUIZAR
Clerk of the Council
APPROVED AS TO FORM:
JOSEPH STRAKA
Interim City Attorney
By:
Laura Sheedy
Assistant City Attorney
RECOMMENDED FOR APPROVAL:
RAUL GODINEZ, II
Executive Director -
Public Works Agency
CITY OF SANTA ANA
PAUL M. WALTERS
Interim City Manager
J&G INDUSTRIES, INC.
JAMES K. CAIN
President
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