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'C'TY OF SAN BEAOADINO .b\EQU~~; N~~ 5~~UNCIL ACTION
From: ROGER G, HARDGRAVE
De~: Public Works/Engineering
Dete: 11-03-89
Subject:
Award of Contract - Replacing
Fuel Piping at Fueling Station
in City Yards, per Plan No, 7764-
KEECO, INC.
Synopsis of Previous Council action:
June, 1989 -- Allocation of $20,000 allocated in the 1989/90 Budget
for the Motor Pool Fund in the Garage Division
Budget,
Recommended motion:
Adopt resolution.
cc: Marshall Julian
Jim Richardson
Jim Penman
Andy Green
Bob Torbitt
{)J, 4:$L6
Contact person:
Roqer G, Hardqrave
Staff Report, Report of
Ri~~ & Rp~n'11~inn
Phone:
5025
Supporting data attached:
Ward:
1
FUNDING REQUIREMENTS:
Amount: $65,990
Source:(Acct,No,)635-311-56304 ($20,000) & Reserve or
Bond Punds
(Acct, DescriPtion)
Fuel System
Finance: 0\.JrJ AJ ~
Council Notes:
75.0262
Agenda Item No, 5' - 1
".w_
CITY OF SAN BER~RDINO - REQUEST ~R COUNCIL ACTION
STAFF REPORT
Page 1 of 2
Bids for the replacement of fuel piping, for the fuel
island in the City Yards, were opened at 2:00 p,m, on Tuesday,
10-17-89,
Only one bid was received, in the amount of $65,990.
This amount is considerably in excess of the budget amount of
$20,000.
Environmental regulations require annual inspections of
all fueling systems, During the last inspection, a leak was
detected in one of the unleaded storage tanks and appurtenant
piping, This tank was accordingly shut down to avoid further
leakage,
Plans and specifications were prepared for the repair of
this leak. The existing piping must be replaced with a double
walled pipe, and an electronic leak monitoring system installed,
in order to comply with environmental regulations,
Environmental regulations require a leak in an under-
ground fueling system to be repaired as soon as it is discovered,
All systems will be required to have a dual wall containment
piping in place by December, 1990. The work to be done under
this contract will comply with this requirement.
Only one 12,000 gallon storage tank is available for
unleaded gasoline. This limited storage capacity requires the
Fleet Manager to place an order every 3 or 4 days. This in-
creases the possibility of running out of unleaded gasoline,
which is used by police patrol units. Also, in the event that a
leak was discovered in the remaining unleaded tank, we would lose
our ability to dispense this product,
Any soil contaminated by this leak will have to be
removed, in order to comply with County Environmental Health
Department regulations. Removal and disposal of any contaminated
soil is not included in the bid price. This item of work would
have to be done by change order, and the cost could be very sub-
stantial,
Supplemental funds in the amount of $45,990 will be
needed to finance the contract cost, It is proposed to obtain
these supplemental funds from reserve or bond funds that are
presently available, These funds could also be a source of
financing to cover any required clean-up costs of contaminated
soil.
There is a tremendous amount of fuel system repair or
modification work underway at the present time, This situation
resulted in only one bid being submitted, which cannot be con-
sidered competitive. The low bidder has been in business for
more than 15 years, and has extensive experience in this field.
In view of the reasons enumerated above, we recommend that a
contract be awarded to the bidder.
11-03-89
75.0264
~,~,--
CITY OF SAN BE~RDINO - REQUEST (jOR COUNCIL ACTION
STAFF REPORT
Page 2 of 2
URGENCY CLAUSE:
Bids for this project were opened on 10-17-89, and cannot be
withdrawn for 30 working days. It is, therefore, necessary for a
contract to be awarded at the Council meeting of 11-20-89 in
order to meet this deadline,
11-03-89
75.0264
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RESOLUTION NO.
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$65,990.00, and a contract is awarded to said bidder accordingly,
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RESOLUTION OF
CONTRACT TO KEECO, INC,
STATION IN CITY YARDS,
THE CITY OP SAN BERNARDINO AWARDING A
FOR REPLACEMENT OP PUEL PIPING AT PUELING
BE IT RESOLVED BY THE MAYOR AND CO~1l'10N COUNCIL OF THE
CITY OF SAN BERNARDINO AS FOLLOWS:
SECTION 1,
Keeco, Inc. is the lowest responsible bidder
for Replacement of Fuel Piping at Pueling Station in City Yards,
in
accordance
with
Plan
No,
7764,
for
the
total
amount of
but such award shall be effective only upon the contract being
fully executed by the parties;
all other bids
therefore are
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hereby rejected; and the Mayor is hereby authori~ed and directed
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to e:cecute said contract on behalf of the City; a copy of the
contract is attached hereto, marked Exhibit
II All
and incorporated
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herein by reference as fully as though set forth at length,
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SECTION 2.
This contract and any amendment or modifica-
tions
thereto shall not
take effect or become operative until
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fully signed and executed by the parties and no party shall be
obligated hereunder until the time of such full
execution,
No
oral agreements, amendments, modifications or waivers are
intended or authorized and shall not be implied from any act or
course of conduct of any party,
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SECTION 3, This resolution is rescinded if the parties
to the contract fail to execute it within sixty (60) days of the
passage of this resolution.
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11/03/8928 / / / /
->~ . . .-
RESO:
AWAPJilNG CONTRACT TO KEECO, IN~ POR REPLACEMENT OP PUEL
PIPIl.)AT PUELING STATION IN CI~YARDS,
1 I HEREBY CERTIPY that the foregoing resolution was duly
2 adopted by the Mayor and Common Council of the City of San
3 Bernardino at a meeting thereof, held on the
4 ____day of , 1989, by the following vote, to-wit:
5 AYES: Council Members
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7 NAYS:
8 ABSENT:
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City Clerk
The foregoing resolution is hereby approved this
day of
, 1989,
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W, R, Holcomb, Mayor
Ci ty of San Bernardino
Approved as to form
16 and legal content:
/\
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-'7 /:~
I _'l....1.-_
By lM~,...)
/.:
II
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11/03/89 28
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