TITLE
Recommendation to adopt Specifications No. PA-03511 and award a contract to California Boring, Inc., of Anaheim, CA (MBE and WBE), for providing as-needed directional boring services, in an annual amount not to exceed $137,500, with the option to renew for two additional one-year periods, at the discretion of the City Manager. (Citywide)
DISCUSSION
City Council approval is being requested to enter into an annual contract with California Boring, Inc., for the purchase of as-needed directional boring services. During the installation and replacement of natural gas pipelines, directional boring services are used in lieu of open trenching in order to minimize the amount of excavation activity on local roadways that impacts local traffic. The directional boring services include the labor and equipment to drill and install pipelines on a per-foot basis. Long Beach Gas and Oil (LBGO) personnel will be excavating, assembling and fusing the polyethylene pipe and all other associated services.
The bid for directional boring services was advertised in the Press-Telegram on May 27, 2011, and 1,035 potential bidders specializing in heavy construction services were notified. Of those bidders, 14 downloaded the bid via our electronic bid system. The bid document was made available from the Purchasing Division, located on the seventh floor of City Hall, and the Division's website at www.longbeach.qov/purchasinq. A bid announcement was also included in the Purchasing Division's weekly update of Open Bid Opportunities, which is sent to 30 local, minority and women's business groups. One bid was received on the bid opening date of June 7, 2011. California Boring, Inc., of Anaheim, CA (MBE and WBE), as the sole respondent, is recommended to provide directional boring services.
Local Business Outreach
In an effort to align with our outreach goal, we solicited Long Beach businesses to take advantage of local preferences offered by the City and by encouraging them to submit bids for City contracts. We also assisted businesses with registering on our Bids Online database to download the bid specifications. Through outreach, four Long Beach vendors were contacted to submit bids; none submitted a bid. The Purchasing Division is committed to continuing to perform outreach to local vendors to expand the bidder pool.
The matter was reviewed by Deputy City Attorney Amy R. Burton and Budget Management Officer Victoria Bell on August 4, 2011.
TIMING CONSIDERATIONS
City Council action to adopt Specifications No. PA-03511 and award a contract concurrently is requested on August 16, 2011 to ensure that the contract is in place expeditiously.
FISCAL IMPACT
The cost of this contract is an annual amount not to exceed $137,500. The required funding is budgeted in the Gas Enterprise Fund (EF 301) in the Long Beach Gas and Oil Department (GO). The requested amount will also fund as-needed projects required by the Public Works and Harbor Departments. There is no impact to the General Fund and no local job impact associated with this recommendation.
SUGGESTED ACTION
Approve recommendation.
Respectfully Submitted,
JOHN GROSS
DIRECTOR OF FINANCIAL MANAGEMENT/CFO
APPROVED:
PATRICK H. WEST
CITY MANAGER