COM 0848.000 2004-2006 - Laserfiche WebLink

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Form B-52 7/18/91 DEPARTMENT OF FINANCE REQUEST FOR COUNCIL ACTION DEPARTMENT: PARKS & RECREATION DATE: 4/19/2006 STAFF CONTACT: James Komata, Park Planner PHONE: 961-8531 A. REQUEST: We are requesting an increase to the existing 2005-06 CEP appropriation entitled "Ahalanaui/Pohoiki Bay Beach Parks" in the amount of $3,600,000.00 (from $2,000,000 to $5,600,000) which was originally created by Ordinance 05-87 and was assigned account Number 110.599.5590.41.115. We respectfully request Finance Committee waive consideration of this action and allow it to be heard at the next County Council meeting. The County has a limited timeframe to negotiate and award the construction contract to the prospective low bidder. Failure to act accordingly within 60 days of the bid opening may result in invalidation of the bid and requires the entire project be bid over resulting in scheduling delays with potential impacts on permits and approvals already obtained for the project as well as a Land & Water Conservation Fund Grant secured two years ago. It also results in additional time the community must endure without the proposed improvements. B. BACKGROUND AND JUSTIFICATION (USE ADDITIONAL SHEETS AS NEEDED): Council action is required to increase the subject appropriation to fully fund the construction of the Expansion & Improvements to Isaac Hale Memorial Park project, Job No. B-3512 The project's contract drawings and specifications were prepared by prime consultant and architect James M. Mckeague of Hilo who estimated this phase of the project would cost the County approximately $900,000. In deference to this estimate, our department budgeted $2,000,000 to accomplish the project in light of the current construction boom, the scarcity of material and labor resources, increased material and fuel costs and corresponding inflated bid prices. The bids for this project were opened on April 13, 2006 and the apparent low bid was $5,527,500.00. In accordance with State procurement rules, the County has 60 days following bid opening in which to issue a letter of award to the apparent low bidder. Failure to issue said award letter results in invalidation of the bid or allows the contractor to negotiate for escalation in costs arising from the delay. In order to issue the award letter, sufficient funding must already be in place and all negotiations with the contractor completed. (Background and Justification continued on next sheet) SIGNED: DATE: .Aepa ent Head