AGENDA #4e

 

MEMORANDUM

 

TO:                  Mayor and Town Council

 

FROM:            W. Calvin Horton, Town Manager       

 

SUBJECT:       Bids for Comprehensive Rehabilitation Work at the Airport Gardens Public Housing Neighborhood

 

DATE:             January 26, 2004

 

 

The attached resolution would accept a bid and award a contract in the amount of $757,000 to Carl Garris & Son, Inc. for phase I of comprehensive rehabilitation work at the Airport Gardens public housing neighborhood.

 

Funding for this project is available through the Housing Capital Fund and Community Development Block Grant Program.  The total budget for this project is $919,328.

 

BACKGROUND AND DISCUSSION

 

Project Description

 

The Airport Gardens public housing neighborhood has 26 apartments and is one of the Town’s oldest public housing developments.  This neighborhood consists of two and three bedroom apartments and was occupied in 1972.

 

Although the interiors of the Airport Gardens apartments have been refurbished within the past five years, the apartments have not had comprehensive rehabilitation work since being built 32 years ago.  Therefore, these apartments require complete retrofitting of the kitchens and bathrooms, the replacement of floor tile, doors, windows, installation of siding and painting.  The furnaces and water heaters also need to be replaced because they require frequent repair work and are not energy efficient.  Site work is needed to eliminate erosion and drainage problems.

 

On July 5, 2000, the Council adopted a resolution authorizing the inclusion of air conditioning in public housing renovations (please see Attachment 1).  Therefore, air conditioning is included in the Airport Gardens renovations.

 

Bid Process   

 

The renovation work was bid as a base bid and four alternates.  The base bid includes comprehensive rehabilitation work in 8 apartments.  Alternate 1 includes comprehensive rehabilitation work in 8 additional apartments.  Alternate 2 includes comprehensive rehabilitation work in 10 additional apartments.  Alternate 3 includes site work.    Alternate 4 includes parking lot resurfacing.

 

In accordance with N. C. General Statute 143-128, a Notice To Bidders was published in The Chapel Hill News, Chapel Hill, North Carolina and in The Challenger Newspaper, Wilmington, North Carolina on November 20, 2003.  Notice To Bidders were mailed to sixty-seven contractors (including General, Electrical, and Plumbing and Mechanical contractors).  Specifications and contract documents were on file in the office of the Architect, LDA Architecture of Raleigh, North Carolina, and the plan rooms of F. W. Dodge, Associated General Contractors, and Construction Market Data in Raleigh, North Carolina.  

 

On December 17, 2003, the following bids were received and opened:

 

VENDOR                    BASE BID      ALT. 1             ALT. 2                         ALT. 3             ALT. 4

                                    (8 Apts.)             (8 add’l Apts.)         (10 add’l Apts.)        (Site Work)             (Parking Lot)           

 

 

Hairston Enterprises      $348,304           $368,304           $425,380           $160,995           $ 10,850

General Contractor                         

Durham, NC

 

Carl Garris & Sons,       $349,000           $355,000           $408,000           $249,000           $ 8,500                  

 Inc.

Lake View, SC            

 

Cornerstone                  $480,703           $536,144           $522,367           $408,644           $ 7,556

Construction

Raleigh, NC

 

Raleigh Durham            $494,567           $503,250           $583,342           $349,855           $ 35,000

Construction Co.

Raleigh, NC

 

Evaluation of Bids

 

The bids were reviewed by Town staff and LDA Architecture.  Four contractors submitted bids. The bid of Carl Garris & Sons, Inc. in the amount of $757,000 was the lowest responsive bid for the total of the base bid and Alternate 2.

 

Budget

 

The Airport Gardens renovations project budget is funded by the Housing Capital Fund and Community Development Block Grant Program. Funds available for the contract are sufficient to cover the base bid and Alternate 2.  Sources of funding for the Airport Gardens renovations are:

 

                             Funding Source                                                        Amount

 

            2004 Community Development Funds                           $150,000

            2003 Housing Capital Funds                                                     $340,513

            2002 Housing Capital Funds                                                     $428,815

                                                                      TOTAL                          $919,328

 

The bid amount for the total of the base bid and Alternate 2 is $757,000, leaving an estimated contingency of $162,328.  Any remaining funds would be used for renovation work in the remaining 8 apartments and the site work. 

 

Because of funds not expended by other agencies, we expect to receive an additional $95,773 in February under the Capital Fund Program, bringing the total amount available for Airport Gardens to $1,015,101.  Also, we expect to receive allocations next summer under the 2004 Community Development Block Grant and Capital Fund Programs that could be used for the Airport Gardens renovations. 

 

We intend to negotiate with Carl Garris & Son, Inc. to determine the amount of additional work that can be done with the additional funding.  The bid prices can be held for 90 days from the bid opening date of December 17, 2003.  In the future, we anticipate requesting the Council to consider a resolution to approve a negotiated contract sum for parts of Alternates 1, 3 and/or 4 and to authorize an amendment to the construction contract. 

 

CONCLUSION

 

Carl Garris & Son, Inc. was the contractor for the Town’s rehabilitation of the Lindsay Street public housing community in 2000 and we were pleased with their work.  In addition, we contacted references to determine the low bidder’s financial status, stability, reputation, quality and timeliness of their work, responsiveness to their clients and sensitivity to neighbors of the construction work.  Based on this information, we believe that Carl Garris & Son, Inc. is a responsible contractor as well as the lowest responsive bidder.

 

We believe that with the use of future funding under the Community Development and Capital Fund Programs, the remaining renovation work at Airport Gardens can be completed as funds become available.

 

If the Council awards this bid to Carl Garris & Son, Inc., we expect renovation work to begin on the first 18 apartments in March 2004 and to be completed by spring 2005.

 

RECOMMENDATION

 

Manager’s Recommendation:  That the Council adopt the attached resolution accepting the single prime base bid and Alternate 2, and award a contract to the Carl Garris & Son, Inc. in the amount of $757,000 for the comprehensive renovation of 18 of the 26 apartments at the Airport Gardens public housing neighborhood.

 

 

ATTACHMENTS

 

1.      A Resolution dated July 5, 2000, Authorizing the Manager to Include Air Conditioning in Future Renovations for the Public Housing Apartments (p. 6).

 

A RESOLUTION ACCEPTING AND AWARDING THE BID FOR THE COMPREHENSIVE REHABILITATION OF AIRPORT GARDENS APARTMENTS (2004-01-26/R-5)

 

WHEREAS, the Town of Chapel Hill solicited formal bids by advertisement in The Chapel Hill News, Chapel Hill, North Carolina on November 23, 2003 and in The Challenger Newspaper, Wilmington, North Carolina on November 20, 2003, in accordance with G.S. 143-128 for the construction work; and

 

WHEREAS, the following bids were received and opened December 17, 2003:

 

VENDOR                    BASE BID      ALT. 1             ALT. 2                         ALT. 3             ALT. 4

                                    (8 Apts.)             (8 add’l Apts.)        (10 add’t Apts.)          (Site Work)            (Parking Lot)           

 

 

Hairston Enterprises      $348,304           $368,304           $425,380           $160,995           $ 10,850

General Contractor                         

Durham, NC

 

Carl Garris & Sons,       $349,000           $355,000           $408,000           $249,000           $ 8,500                  

 Inc.

Lake View, SC            

 

Cornerstone                  $480,703           $536,144           $522,367           $408,644           $ 7,556

Construction

Raleigh, NC

 

Raleigh Durham            $494,567           $503,250           $583,342           $349,855           $ 35,000

Construction Co.

Raleigh, NC

 

NOW, THEREFORE, BE IT RESOLVED by the Council of the Town of Chapel Hill that the Council accepts the single prime base bid and Alternate 2, and awards a contract to Carl Garris & Son, Inc. in the amount of $757,000 for the comprehensive renovation of 18 of the 26 apartments at the Airport Gardens public housing neighborhood.

 

BE IT FURTHER RESOLVED that the Town Manager is authorized to negotiate additional work from Alternates 1, 3 and/or 4 under the current bid prices, and present such change order to the Council at a future meeting.

 

This the 26th day of January, 2004.

 

 

 

 

 

 

 

                                                                                    ATTACHMENT 1

 

A RESOLUTION AUTHORIZING THE MANAGER TO INCLUDE AIR CONDITIONING IN FUTURE RENOVATIONS FOR THE PUBLIC HOUSING APARTMENTS (2000-07-05/R-14c)

 

BE IT RESOLVED by the Council of the Town of Chapel Hill that the Council authorizes the Manager to include air conditioning in future public housing renovation, as funding permits.

 

This the 5th day of July, 2000.