HomeMy WebLinkAbout1994.07.25 Council MinutesMINUTES
PASCO CITY COUNCIL
SPECIAL MEETING JULY 25, 1994
CALL TO ORDER
The meeting was called to order at 7 30 P M by Joyce DeFelice,
Mayor
ROLL CALL
By City Manager Councilmembers present Joyce DeFehce, Michael
Gamson, Edgar Hargrow, Chris Jensen, Charles Kilbury, Dan Lathim,
and Carl Strode Also present Gary Crutchfield, City Manager, Greg
Rubstello, City Attorney, and Kurt Luhrs, Administrative Assistant
UNFINISHED BUSINESS
Declaration of Intent to Award the Contract for the Bio Solids Drying
Beds Mr Wright explained that last week staff presented an item on
the agenda declanng Council's intention to award a contract to the low
bidder for the Bio Solids Drying Beds Contract After this item was
presented staff asked that it be pulled Staffs concern at the time was
that the bid of K Kaser Company, Inc had several irregulanties that
needed clanfication before approval by Council
Staff has researched the irregularities and met with attorney's for the
low bidder, the second low bidder and the City Attorney Staffs
recommends that Council should declare the bid of K Kaser Company,
Inc , as being irregular and reject it Council should then declare it's
intention the award to contract to the second low bidder, Hughes
Sellers, Inc The two bids were approximately $2,000 00 apart
Three issues were raised 1) the second low bidder expressed a
concern that the low bidder did not submit, in a timely manner as
required by law, the list of subcontractors, 2) there was no written
amount on one bid item required by law in all contracts where there is
trenching which exceeds 4' in depth, 3) the low bidder felt that his
bid was being scrutinized a little more than necessary and that the
second low bidder did not adequately meet the goals required by the
contract for the MBEWBE, which is the Mmonty or Women's Business
Enterpnse goals as required by the State of Washington for the City's
loan fund
Staff did consider the low bidder's request to look into that issue and
were told by the Department of Ecology (administrators of the grant)
that if the contractor has properly documented his attempts to seek
bids from minority and women subcontractors He does not have to
have bids he only has to have sought to have those bids included The
low bidder states that he did seek those and did not receive any
quotes, therefore, he would be in compliance with those regulations
Mr Terry Miller, Attorney for K Kaser Company, Inc, explained that
K Kaser Company, Inc was satisfied (after talking with their engineer)
that this project did not require trenching more than 4' deep This is
the whole issue before Council He pointed out that the contract
states that if there is no bid item inserted then the City may reject the
bid
Mr Miller felt that the second low bidder, Hughes Sellers, Inc , did
not identify women business enterprises at the time of the bid
opening The contract is explicit and says that failure to complete the
women business enterprise and minority business enterprise forms
shall be due cause for rejection of a bid K Kaser Company, Inc , has
identified a problem with the Hughes Sellers, Inc , bid that they feel is
MINUTES
SPECIAL MEETING PASCO CITY COUNCIL JULY 25, 1994
more significant than the blank line in their bid and request that
Council reject both bids, or if the Council is not willing to do that,
then suffer the delay to the project and rebid It is in the City's best
interest to accept the low bid, save the money, deal with the problem
that is less significant than the second low bidders problem, and
award the contract and get on with the project K Kaser Company,
Inc , is asked Council to accept their bid
Mr Jensen asked Mr Miller if it was the desire of K Kaser Company,
Inc , to have their bid accepted or that both bids be rejected 9
Mr Miller stated that their first choice is that the bid of K Kaser
Company, Inc, be accepted
Mr Jensen asked for a response concerning the failure of K Kaser
Company, Inc , to provide a subcontractor list as required by law
Mr Miller stated that the new State law was not identified in the bid
package and it was his understanding that Hughes Sellers, Inc
provided a copy of the State law to the City The effective date for this
revised law is June 9, 1994, and it's his understanding that the
invitation to bid went out before the law took effect
Mr Rubstello explained that the basis for rejecting the bid from K
Kaser Company, Inc, rests with the "trench safety excavation" line
item
Mr Gamson informed Council that because of a working relationship
with one of the bidders he would have remove himself from the
discussion or from voting on this issue
Mr John Sellers, of Hughes Sellers, Inc , explained that the
advertisement for bidders was dated June 13, 1994, several days after
the June 9th effective date for the law He also knows that the other
company was involved in a bid on a project three to four weeks ago for
the State of Washington with the one hour requirement included in
the language, and Transtate Paving lost a major project because of
their failure to live up to that
Mr Sellers also pointed out that his bid contained approximately
$80,000 worth of work being done by minority subcontractors and
women enterprises that were contacted were not interested in the
project
Mr Strode questioned the wording in the bid package and wanted to
know if it specifically stated the amount of cover required on the
piping
Mr Tony Crutch, of HDR Engineering, explained that the plans in the
bid package clearly stated that the amount of cover over the top of the
digested sludge piping would be 4' to finish grade The digested
sludge piping is 8" to 10" in diameter making the total depth of the
trench from finish grade would be 4' 10" at the maximum depth
Mr Dale Nichols, of K Kaser Company, Inc , stated that a contractor
only has to provide a list of subcontractors if they're over 10% of the
contract and his company has no subcontractors that are over the 10%
requirement He felt that, as far as the trenching requirement is
concerned, the grading is within, +/- one tenth of a foot (1-1/4") and if
the contractor is that tenth low with the grade they would be within
the 4' requirement
-2-
,..-.1.1,..-..-4 elice, Mayor
Joy
I
MINUTES
SPECIAL MEETING
PASCO CITY COUNCIL JULY 25, 1994
Mayor DeFelice questioned what kind of problems would the City
encounter if the bid is awarded to Hughes Sellers, Inc , regarding the
minority and women owned contractors'?
Mr Rubstello felt there wouldn't be any problems with the State, who
will be reviewing the contract, for compliance with specific State law
Mr Jensen felt that the basis for rejection of K Kaser Company, Inc ,
was the omission of the line item Which appears to put the City in
jeopardy of an apparent law suit Mr Jensen stated that there appears
to be no other way around this situation other than to deny all the bids
and start from scratch However, this would cause a time limit
problem for the City
MOTION Mr Jensen moved to reject the proposal of K Kaser
Company, Inc , as being irregular and, further, to declare Council's
intention to award to contract to the low responsive bidder, Hughes
Sellers, Inc, in the amount of $688,377 38 Mr Kilbury seconded the
motion Motion earned (No - Hargrow, Gamson abstained)
. L d
1 - - „
V-- '
No further busmesslpthe meeting was adjourned at 8 02 P M
ADJOURNMENT
ATTEST
I
Cathenne D Seaman
Deputy City Clerk
PASSED and APPROVED this I day of , 1994
I
-3 -