Staff Report.Adult Rec Ctr. ADA Restroom Award of Contract (A)
PREPARED BY: Dan Keller
Facilities and Environmental Services Manager
Reviewed by: Town Manager, Assistant Town Manager, Town Attorney, Finance Director, and Parks and
Public Works Director
110 E. Main Street Los Gatos, CA 95030 ● (408) 354-6832
www.losgatosca.gov
TOWN OF LOS GATOS
COUNCIL AGENDA REPORT
MEETING DATE: 06/20/2023 ITEM NO: 19
DATE: June 5, 2023
TO: Mayor and Town Council
FROM: Laurel Prevetti, Town Manager
SUBJECT: Consider the Following Actions for the Adult Recreation Center - Americans
with Disabilities Act (ADA) Compliant Public Restroom Project (CIP No. 821-
2601):
a. Consider a Protest in Opposition of the Intent to Award a Construction
Agreement for the Adult Recreation Center - Americans with Disabilities
Act (ADA) Compliant Public Restroom Project (CIP No. 821-2601) to
Tucker Construction;
b. Authorize the Town Manager to Award and Execute a Construction
Agreement with Tucker Construction Inc. in an Amount not to Exceed
$249,490; and
c. Authorize Staff to Execute Change Orders in an Amount Not to Exceed
Ten Percent of the Contract Award Amount
RECOMMENDATION:
Consider the following actions for the Adult Recreation Center - Americans with Disabilities Act
(ADA) Compliant Public Restroom Project (CIP No. 821-2601):
a. Consider a protest in opposition of the intent to award a Construction Agreement for the
Adult Recreation Center - Americans with Disabilities Act (ADA) Compliant Public Restroom
Project (CIP No. 821-2601) to Tucker Construction;
b. Authorize the Town Manager to award and execute a Construction Agreement with Tucker
Construction Inc. in an amount not to exceed $249,490; and
c. Authorize staff to execute change orders in an amount not to exceed ten percent of the
contract award amount.
PAGE 2 OF 4 SUBJECT: Protest and Intent to Award Construction Agreement for the Adult Recreation Center Americans with Disabilities Act (ADA) Public Restroom Project (CIP No. 821-2601) DATE: June 5, 2023
BACKGROUND:
The Adult Recreation Center is lacking a restroom that is compliant with the Americans with
Disabilities Act (ADA). Architectural plans have been developed and permitting has been
approved to implement this project. Town Council authorized the project for bidding at its
meeting of February 7, 2023. The project was advertised for construction on Friday, May 5,
2023. On May 18, 2023, bid packages were opened, and two contractors submitted bids:
Tucker Construction Inc. and San Jose Demolition Inc. On May 19, 2023, staff emailed San Jose
Demolition and noted that they were the apparent low bidder (Attachment 1).
DISCUSSION:
During detailed review of the bids and associated documentation, staff determined that San
Jose Demolition did not have the required Class A or B Contractor License at the time of the bid
opening. The bid specifications required that responsive bids demonstrate that the bidder
must possess a Class A or B Contractor License at the time of the bid opening (see Attachment
6). On San Jose Demolition’s bid form, “Class A License” was noted next to their Class C License
number.
Staff contacted the Contractor State Licensing Board (CSLB) and verified that San Jose
Demolition Inc. currently holds a Class C License and did not possess a Class A Contractor
License as of May 18th, which was the date of the bid opening. CSLB confirmed that San Jose
Demolition had applied for a Class A Contractor License and made an individual with a Class A
License an Officer of their company on May 11, 2023. CSLB confirmed that the License change
would not be in effect until after approval from the Contractor State Licensing Board.
CSLB also confirmed that an Officer’s Contractor License does not transfer to the company. In
other words, San Jose Demolition did not obtain a Class A Contractor License by virtue of hiring
an Officer with a Class A Contractor License. CSLB confirmed that obtaining a Class A
Contractor License takes approximately 30 days from the date of application. As a result of this
information from the CSLB, staff notified San Jose Demolition via a letter dated June 1 that their
bid was not responsive (Attachment 2). In accordance with the Town’s purchasing policy, staff
provided San Jose Demolition a 10-day bid protest period.
On June 9, 2023, San Jose Demolition submitted a formal bid protest (Attachment 3) stating
that since an Officer of their company holds a Class A license, the firm was eligible for bidding,
but did not provide statutory authority. CLSB has stated that the entity (rather than an
employee of the entity) with which the Town would enter into contract must possess the
applicable license on the date of the bid submittal.
PAGE 3 OF 4 SUBJECT: Protest and Intent to Award Construction Agreement for the Adult Recreation Center Americans with Disabilities Act (ADA) Public Restroom Project (CIP No. 821-2601) DATE: June 5, 2023
DISCUSSION (continued):
Tucker Construction Inc. provided the one other bid for this project, which was within 10% of
the engineer’s estimate with a base bid of $250,000 (Attachment 4).
Staff recommends that the Town Council:
1) Deny the bid protest and reject the bid from San Jose Demolition as non-responsive; and
2) Award the Construction Agreement to Tucker Construction Inc. (Attachment 5) and
authorize the Town Manager to execute the contract on behalf of the Town.
CONTRACTOR Base Bid
Engineer’s Estimate $250,000
Tucker Construction Inc. $249,490
San Jose Demolition Inc. $247,000
ALTERNATIVE:
The Town Council could reject all bids and re-bid the project. However, because the Town’s
grant money must be committed no later than June 30, 2023, this option is not recommended.
CONCLUSION:
Town Council’s rejection of the bid protest and award to Tucker Construction will allow this
project to move forward in a timely manner.
FISCAL IMPACT:
The adopted Fiscal Year (FY) 2022/23-2026/27 Capital Improvement Program (CIP) Budget is
sufficient for the construction contract.
PAGE 4 OF 4 SUBJECT: Protest and Intent to Award Construction Agreement for the Adult Recreation Center Americans with Disabilities Act (ADA) Public Restroom Project (CIP No. 821-2601) DATE: June 5, 2023
FISCAL IMPACT (continued):
ENVIRONMENTAL ASSESSMENT:
This is a project as defined under CEQA but is Categorically Exempt (Section 15301) as a
modification to an existing facility.
Attachments:
1. Email - Intent to Award
2. Letter – Bid Not Responsive
3. Protest Letter
4. Bid Summary
5. Construction Agreement with Exhibit A – Tucker Construction Inc. Bid
6. Project Specifications
Budget Costs
GFAR 183,000$
Grant Funding - Santa Clara County Board of Supervisors 250,000$
Grant Funding - Community Development Block Grant (CDBG)218,979$
Total Budget 651,979$
Consultant Services 65,365$
Construction 249,490$
Construction Contingency (15%)24,949$
Other Project Delivery Costs 830$
Total Costs 340,634$
Available Balance 311,345$
Americans with Disabilities Act (ADA) Public Restroom Upgrade - Adult Recreation Center
CIP No. 821-2601