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HomeMy WebLinkAboutPR 14626: K-T CONSTRUCTION - DEMOLITION CONTRACT (GROUPS B & C) Memo n To: Steve Fitzgibbons, City Manager ) // From: Lawrence Baker, Director of Community Services !~ ~ Date: March 18, 2008 Re: P. R. IVO. 14626 - AWARDING A CONTRACT. TO g T CONSTRUCTION, LLC FOR THE DEMOLITION OF TEN (10) DANGEROUS. RESIDENTIAL STRUCTURES (GROUPS B & C) LOCATED THROUGHOUT. -THE. CITY [SSBG] . COMMENT RECOMMENDATION: Staff xecommen$s that the Ciry Council adopt P. R No. 14626 authorizing the Ciry Manager to execute a contract with K-T Construction, LLC in,the amount of $21,600.00 fox the demolition and removal of ten (10). dangerous residential structures located throughout the City. ' BACKGROUND: Bids for demolition of fiftq-one (51) residential structures were opened on March 12; 2008. K T Construction LLC is the low bidder for Groups B & C• their bid is $21 G00 00 to be completed within eighteen (18) working days from the date they receive a Notice to Proceed. Bid award is based on the most responsive bid. Starco Solutions, LLC submitted an incomplete bid; KT Maintenance Company, Inc., Port Arthur,-T~i bid $38,425.00 (27.5 days); Lark Group, Inc. bid $31,000.00 (20 days); and Pick Two Contractors, Iric. bid X31,100.00 (no days specified). The. bid'tabuladon follows: - CONTRACTOR GROUPS B & C 5taxco Solutions, LLC, Beaumont, TK No Bid *K-T Construction, LLC, Beaumont; TX $21,600.00 KT Maintenance,-Port Arthur, T~ $38,425.00 Lark Grou ,Inc.; Port Axthux, TK $31;000.00 Pick Two Contractors, Inc.. ~ $31,100.00 *Successful Bidder The City followed the procedures of Section 2-283 or the Code of Ordinances fox public works projects expected to be less than $25,000.00. - (CONTINUED) - P R #14626-DEMO CONTRACT K T CONSTRUCTION/DEMO 3-18.08 PAGE 2 OF 2 BUDGET AND REVENUE IMPACT: Acceptance of this recommendation will not require a budget amendment. Funding is available in Account No. 132-1021-514.59-00; Project No. SSBG03. Structures deemed ineligible for the grant will be charged to other available funding sources. STAFF LEVEL IMPACT: Acceptance of this. recommendation will have no effect on current staffing level. SUMMARY: Staff recommends that the Ciry Council adopt P. R No. 14626, thereby authorizing the execution of a demolition contract between the City of Port Arthur and K-T Construction, LLC in the amount of $21.600.00. DTP STRUCTURES TO BE DEMOLISHED: GROUP: B (5)" TYPE OF STRUCTURES 642"E. 9`s St:/835 Beaumont Ave. Residence/Rear Residence 1200 E: 9`s"Street Burned Burned Residence/Gara e 1533 E. 5`s Street 2-Sto Rear Residence 1549 Stilwell Boulevard Gara e 2029 E. 9'" Street Gara e GROUP C (5) , TYPE OF STRUCTURE S 2121 E. 8~' Street Burned Residence 3114 5`" Street. -Gara e 3325 b`s Street Residence 304214`s Street Residence Residence 342010"' Street Gara e P. R. No. 14626 03/18/08 DTP RESOLUTION NO. A RESOLUTION AWARDING A CONTRACT TO KK=T CONSTRUCTION, LLC. IN THE AMOUNT OF $21600.00, AND AUTHORIZING THE EXECUTION OF A CONTRACT FOR THE DEMOLITION OFTEN (10) DANGEROUS RESIDENTIAL PROPERTIES (GROUPS B AND C), TO BE CHARGED TO ACCOUNT NO. 132- 1021-514.59-00; PROJECT NO. SSBG03; STRUCTURES INELIGIBLE FOR THE GRANT WILL BE CHARGED TO OTHER AVAILABLE FUNDING SOURCES. BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PORT ARTHUR: THAT the City Council ofthe City of Port Arthur hereby awazds a contract for the demolition of ten (10) dangerous residential properties in the City of Port Arthur; to the best and lowest responsible bidder to- wit: K-T Construction. LLC; and, THAT the City Manager of the CitSr of.Port Arthur is hereby authorized and duetted to execute on behalf of the City of Port Arthur an agreement between the City of Port Arthur and K-T Construction, LLC, for the contract price of $21600.00 (a copy of said contract is attached hereto as Exhibit "A"); and, THAT since K-T Construction. LLC may be awazded more than one group, the company must successfully and timely complete one group before a new group is started; and, THAT said contract is a duplicate of the standard form Contract previously approved by the City's Legal Department except fox the changes shown on the Certificate of Standard Form Contract, a copy of which. is attached hereto and is hereby incorporated by reference as Exhibit "B", and said changes axe hereby approved; and, THtiT a copy of the caption of this Resolution be spread upon the Minutes of the Cit3~ Council. READ, ADOPTED, AND APPROVED this the 25~` day of March. A.D.. 2008, at a Regular Meeting of the City Council of the City of Port Arthur, Texas by the following vote: 1 P. R. No. 14626 03/18/08 DTP AYES: MAYOR: ATTEST: CITY SECRETARY APPROVED FOR ADMINISTRATION: CITY bIANAGER APPROVED AS TO AVAILABILITY OF FUNDS: ~~- ~~~C'Q~--.2~,~~, DIRECTOR OF FINANCE MAYOR APPROVED AS TO FORM: / ~ ~~ CITY ATTORNEY /~K~1~ DIREC OR F COMMUNITY SERVICES 2 EXHIBIT `A° DEMOLITION CONTRACT CITY OF PORT ARTHUR THE STATE OF TEXAS COUNTY OF JEFFERSON THIS AGREEMENT is made. and entered into this 25`h day of March, 2008, by and between the City of Port Arthur; hereinafter called the "CITY", and K-T Construction, LLC, hereinafter called' the- "CONTRACTOR", in consideration of the mutual agreements contained herein and .for a total sum of Twenty-one thousand,. six hundred dollars and no cents ($21,600.00); we do hereby agree to all teens, conditions and specifications contained herein: and attached hereto;-and we do hereby declare VALID this AGREEMENT and CONTRACT: WITNESSETH: SECTION I THE CONTRACTOR SHALL: A. Furnish, all labor, materials, tools, machinery, qualified supervision and all other items and services necessary for satisfactory completion of specifications and agreements contained herein for demolition. of structures and cleanup at the. properly described as Grouas-Band C, described in the attached bid sheets. B. Start the herein specified work within 5 days from the date that the CONTRACTOR receives a "Notice to Proceed" from the City of Port Arthur, and further diligently pursue same until satisfactorily completed on or before eighteen (18) working days, time being of the essence. It is further understood that if the .contract is not completed by the foregoing completion date," (or the said date as extended pursuant to provisions of this contract), the CONTRACTOR shall be assessed liquidated damages of twenty-five dollars ($25) per day for each day the contract is not completed after said date. All Contractors are required to have a Landfill Permit, which includes a minimum escrow account of five hundred dollars ($500). If you opt not to set up an escrow account, you must pay as you dispose by cash or cashier's check. . C. Perfolm all work in accordance-with. the terms of this AGREEMENT and the DEMOLITION SPECIFICATIONS attached hereto. EXHIBIT °A" D. Be responsible for obtaining all: necessary and general and special permits and pay any and all fees for said permits: and any other fees, public or private, which may be required by the United States, the State of Texas, Jefferson. County, or the City of Port Arthur, to satisfactorily complete the- work as specified and agreed to herein. E. Furnish certificates of insurance to the City's Purchasing Agent evidencing that the CONTRACTOR has obtained Workman's Compensation, General- Liability and Automobile Liability Insurance, which is required by the CITY for performance of the work specified here. Minimum amounts of such insurance to be obtained by the CONTRACTOR are as follows: 1. Statutory Texas- Workman's Compensation Insurance (with waiver- of subrogation in favor of the City, its officers, employees and agents. 2.. Commercial General Liability occurrence type insurance (products/ completed operations coverage must be included and the City and its officers, employees; and agents must be named as an additional insured): a. General Aggregate $500,000 b. Products-Comp/Ops Aggregate $500,000 c. Personal & Advertising Injury ~ $500,000 d. Each Occurrence $500,000 e. Fire Damage $ 50,000 3. Commercial Automobile Liability (including owned, non-owned, and hired vehicles coverage). a. Bodily Injury (per person) $300,000 b. Bodily Injury (per accident) $500,000 c. Property Damage $100,000 4. Contractor Surety Bond $ 5,000 F. Furnish to the Purchasing Agent, City of Port Arthur; prior to commencing work, certificates of insurance meeting the above listed insurance requirements for any sub-contractors, haulers, or independent workmen used by the CONTRACTOR in performance of the work specified herein. G. Ensure that competent and qualified supervision is present on the job site at all times while work is in progress and that all demolition work is pursued in such a manner as to maximize the safety of all workmen, the ,general public and surrounding property. z 4 EXHIBIT "A" H. Comply with the Cidi1 Rights Act of 1964 and Section 109,of the Housing and Community Development Act of 1974, to wit: No person in .the United States shall, on the. ground of race; color, national.. origin, or• sex be excluded from participation in, be denied the benefits of, or be subjected to discrimination under any program or activity fimded~in whole or part with funds made available under this title. SECTION II. THE CITY SHALL: A. Inspect the demolition work in progress to ensure that such work. is being carried out in accordance with the terms. bf this AGREEMENT and the DEMOLITION SPECIFICATIONS attached hereto. B. Compensate the CONTRACTOR according to the following method:' Except as hereinafter provided, payment.for the Demolition Contract-will be made in a lump sum after completion and-acceptance of the contract work. One progress payment may be requested when at least fifty percent (50%) of the contract work is completed. Ten percent (10%) of the progress payment will be retained. This retainage will beheld irr escrow by the City for a maximum of thirty (30) days after satisfactory completion and acceptance of the Contract to guarantee the completion. of work: Thirty (30) days after said completion and acceptance, final payment shall be made in a lump sum or total agreed price less the progress payment, ifmade, by check issued by the City of Port Arthur and made payable to the CONTRACTOR for the satisfactory completion of the work, described herein. Any payments are subject to satisfactory intermediate and final inspections by the City. Further, an applicable request for payment must be made by the CONTRACTOR prior to each payment. SECTION III General Conditions: A. If performance by the CONTRACTOR is prevented or delayed as a direct result of acts of a public enemy, acts of the property owner, fire, epidemics, or acts of God, such as floods, earthquakes, hurricanes, tornadoes and rain, an extension of one (1) working day of additional time will be allowed to the CONTRACTOR for each working-day lost from such cause, provided the CONTRACTOR; within three (3) days after the beginning of such delay, gives written notice to the City. 3 EXHIBIT "A" B. If for any reason, other than- those specified above, the CONTRACTOR at any time fails for a period of five (5) consecutive working days to supply enough skilled workers or otherwise neglects to execute the work properly, the CITY, after these five (5) working days may give written notice to the CONTRACTOR terminating his contract. C. The CONTRACTOR shall repair or replace,.. if necessary, to the City's satisfaction, any damage to the work site, the adjacent areas, the access. areas to the work site and to any elements within these areas that may have suffered damage .as. a result of the CONTRACTOR'S or any of the subcontractor's operations. The CONTRACTOR shall leave these areas in a satisfactory and workmanlike condition, at least equal to that existing before the CONTRACTOR hereunder started his work. D. The CONTRACTOR agrees to indemnify and hold harmless the City. of Port Arthur, Texas from any and all claims, and damages of any and every kind for injury to or death of any person,- and damages to property arising out of the demolition. E. Any amendments to this contract shall be written and must be executed by both the CITY and the CONTRACTOR prior to 'the implementation of any such change. F. This CONTRACT and AGREEMENT embodies and represents all of the rights, duties and obligations of the CITY and the CONTRACTOR and any oral or written agreements prior to the date first above written, not included or embodied herein shall be declared void and notce binding or of benefit to any of the parties herein mentioned. SECTION IV Particular Requirements: A. Other particular work requirements are contained in the DEMOLITION SPECIFICATIONS, which are attached hereto and made a part hereof as Exhibit «A_1„ B. ALL DEMOLITION BIDS SHALL INCLUDE REMOVAL OF CONCRETE SLABS, PORCHES, STEPS, ETC., UNLESS OTHERWISE NOTED. 4 EXHIBIT "A" SECTION V , If the CONTRACTOR materially defaults in (a) failing to have liability insurance; (b) not completing the CONTRACT within the time required; or (c) uses demolition procedures that are dangerous to the health and safety of residents and/or- adjoining residents, the Director of Community Services has the authority to issue a cease and desist order until this matter can be reviewed by the City Council. SIGNED AND AGREED TO this day of K-T-CONSTRUCTION, LLC A.D.2008: WITNESSED SIGNED AND AGREED TO this day, of A:D.2008: CITY OF PORT ARTHUR BY CITY MANAGER WITNESSED s EXHIBIT "A-I" DEMOLITION, SPECIFICATIONS CITY OF PORT ARTHUR I. TITLE The provisions embraced within these sections and subsections shall constitute; be known as; and will be referred to herein and in any relevant AGREEMENT and CONTRACT as "DEMOLITION SPECIFICATIONS". II. SCOPE The scope and purpose of these specifications is to establish certain regulations, general requirements, and particulaz requirements necessary for the demolition, removal and cleanup of the unsafe and/or unsanitary structure(s) as required by the Inspections Department of the City of Port Arthur. III. CONTRACTOR BIDS Contracts for the demolition. of structures will be awazded in accordance with the terms and conditions listed in the Community Services Department's BID FORM FOR DEMOLITION. The completion of the demolition package will be of vital importance to the City. The number of calendar days given on the proposal form will be used to establish the completion date as used in the Contract. In case the work is not completed within the time specified in the Contract, there shall be liquidated damages of twenty-five dollazs ($25) per day for each day exceeding the completion date. IV. INSURANCE REQUIREMENTS A. The Contractor shall, upon submission of bid, furnish the City with certificates of insurance, indicating the existence of Statutory Workman's Compensation Insurance, General and Auto Liability, Public Liability; and Property Damage Insurance. Such insurance must be issued by a company authorized to do business in the State of Texas. Such a certificate must contain a provision requiring not less than fifteen (1.5) days prior notice in writing to the City of any change or termination of said insurance. All insurance is to remain in force until the job of clearing the premises has been completed and the work has been accepted by the City. B. The Contractor/Successful Bidder must obtain and famish to the City proof of insurance in the following minimum amounts: 1. Statutory Texas Workman's Compensation Insurance; 2. Commercial General Liability: a. General Aggregate $500,000 b. Products-Comp/Ops Aggregate $500,000 c. Personal & Advertising Injury $500,000 d. Each Occurrence $500,000 i EXHIBIT "A-t" e. Fire Damage $ 50,000 3. Automobile Liability a. Bodily Injury (per person) $300,000 b. Bodily Injury (per accident) $500,000 c. Property Damage ~ $100,000 4. Contractor Surety Bond $ 5,000 V. PERMITS The Contractor/Successful Bidder..must obtain from the City of Port Arthur and all other governmental entities, at his own expense, all necessary-general and special permits and pay any and all fees for said permits-and any otherfees, public or private: All Contractors are required to have a:LandfiU Permit, which includes a minimum escrow account of five hundred dollars. ($500). If you opt not. to set up. an escrow account,. you must pay cash or by cashier's check as you dispose. VI. GENERAL CONDITIONS AND REQUIREMENTS The following list of conditions and requirements are to be understood as being a general guide in the demolition of structures. It must be noted, however, that there aze special requirements listed below in Section VII of these specifications, which are in addition to these general requirements for demolition, and that it is the responsibility of the Contractor/Successful Bidder to comply with all particular requirements. A. It is understood and. agreed that. the Contractor/Successful Bidder will function and operate as an independent contractor. Any liability incurred by the Contractor/Successful Bidder will accrue only to. that parry as an independent contractor and not to the City of Port Arthur. B. No work under a City DEMOLITION CONTRACT shall be subcontracted by the Contractor/Successful Bidder without prior, written approval of the Community Services Department. No subcontractor will be approved unless that subcontractor meets the same insurance requirements specified for and required of the Contractor. C. The demolition work specified herein shall be performed in a safe, satisfactory condition, starting with the roof and working down, with the safety and welfare of all people and property being of the highest priority. D. All materials, debris, and rubble from the demolition of the structure(s) specified herein will become the property of the Contractor/Successful Bidder. Salvage. can only begin immediately prior to the beginning of demolition. E. The Contractor/Successful Bidder will be held. responsible for repair of broken or damaged water, gas, or any other type of lines, which occur during the course of the demolition work. The Contractor shall repair or replace, if necessary, to the City's 2 EXHIBIT "A-1" satisfaction, any damage to the work site, the adjacent azeas, the access azeas to the work site and to any elements within these areas that may have suffered damage as a result of the Contractor's or any of the subcontractor's operations. The Contractor shall leave these areas in a satisfactory condition. F. The Contractor/Successful Bidder shall haul off all debris and unsalvageable materials; and no debris or rubble which may pose a threat to public safety will be ]eft on the site overnight. No such debris or material will be placed on a sidewalk or public right-of--way so that it poses a danger to any person. G. All demolition work must be carried out to the satisfaction of the City's Inspections Official. H. The City (without prejudice to any other right or remedy it may have) has the right to terminate the contract in the event of any default by the Contractor after giving the Coritractor seven (7) days written notice. Such notice of termination shall be subsequent to default by the Contractor and. after receiving written notice- from the City certifying cause for such action. In addition to other events of default or grounds for termination identified in the contract, it shall be considered default by the Contractor whenever: he/she shall: I. Declare bankruptcy, become insolvent, or assign his/her assets for the benefit of his/her creditors. Violate or disregard provisions of the Contract or instruction from the Owner. Fail to prosecute the work according to the agreed Schedule of Completion, including amendments and/or modifications thereof. 4. Fail to provide a qualified superintendent, competent workmen or subcontractors, or proper materials, or failure to make prompt payment therefor. I. If the Contract is terminated as provided above or as provided in the Contract, the City will engage another contractor to complete the work. Payment for the completion of such work will come from funds obligated by the City under its contract with the original Contractor. J. METHOD OF PAYMENT Payment shall be made as provided in Section II of the contract. K. PAYMENT WITHHELD Any part or the whole of any payment may be withheld by the City to the extent deemed necessary and reasonable should evidence of the following be discovered: Defective work not corrected. Claims filed against the Contractor. e ~- EXHIBIT "A-P' 3. Reasonable evidence indicating the probability of filing claims against the Contractor. 4. Failure of the Contractor to make proper payments to subcontractors or-for materials or for labor. 5. The contract cannot be completed for the then unpaid balance. 6. Unsatisfactory progress of the work by the Contractor. When the above grounds aze removed, the amount withheld because of them shall be paid to the Contractor subject to and within the other terms of this contract. L. CONTRACT PAYMENT RETAINAGE Contract payment retainage shall be as provided in the Contract. VII. PARTICULAR WORK REQUIREMENTS The following particulaz work requirements and conditions apply specifically to the building(s) or structure(s) which are located at and described as: GROUPB 5 TYPE OF STRUCTURE S 642 E.'9`h St./835 Beaumont Ave. Residence/Rear Residence 1200 E. 9" Street Burned Burned Residence/Gara e 1531 E. 5'" Street 2-Sto Rear Residence 1549 Stilwell Boulevard Gara e ' 2029 E. 9'~ Street Gara e GROUP C 5 TYPE. OF STRUCTURE S 2121 E. 8'" Street Burned Residence 3114 5`" Street Gara e 3325 5's Street Residence 304214"' Street Residence Residence 342010"' Street Gara e A. Before any building or structure is demolished, its utilities shall:be safely. disconnected. The Contractor shall serve notice to all suppliers of utilities to the building to be demolished and have them disconnect the services and remove all meters and equipment belonging to them. Forty-eight (48) hours' written notice must be given the City for termination of their utilities. All piping and wiring shall be properly terminated. Any costs incurred in the termination of utilities and services shall be borne by the Contractor. B. Demolition and clean-up includes, but is not limited to, the removal of all lumber, doors, windows, wire, sheet metal, appliances, furniture, loose rock, brick, mortar, concrete, and the cleaning and removal of all rubbish, trash or other debris that would inhibit or prevent the mechanical mowing of said lot and premises. -