HomeMy WebLinkAboutRESOLUTION 1993-67Suggested by: Administration
CITY OF KF. NAI
RF~OLUTION NO. 93-67
A RESOLUTION OF TH]~ COUNCIL OF TH~ CITY OF KF.N~, ALASKA, RF.~CINDIN(]
TI-I]~ AWARD OF A CONTRACT FOR ~ CONSTRUCTION OF THE KENAI AIRPORT
RUNWAY AND TAXIWAY CRACK S]~LIN~3 AND PAINTING, 1993, DUl~ TO TH~ LOW
BIDDER'S INABILITY TO GET BONDING AS I~UIRI~ BY AS 36.25.010.
WttBRBAS, bids were received on July 29, 1993 for the above-referenced project; and
WHF_,RBAS, on August 4, 1993, the Council of the City of Kenai awarded the bid to the low
bidder, Jack,on Construction; and
V~S, Jackson Construction is unable to get the project bonding as required by Alaska law
under AS 36.25.010;
NOW, THF.~FORE, BE IT RF.~OLVF.~) BY TH~ COUNCIL.. OF THE C.I~ OF
ALASKA THAT the award of the contract for the above referenced project to Jaclc~on
Construction is rescinded because of inability to get the necessa~ bonding as required by Ala~ka
under AS 36.25.010.
PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this 1st day of September,.
1993.
ATTF~T:
aro L. Freas, City Clerk
(8/25/93)
INSTRUCrlON TO nmD~r~
COMPLETION DATE: o '"
The work sb_n"_ be completed September 15, 1~93.: All wOrkrequi.rin. S runwar clogure shalibe.
completed within the Runway Closure Sohedule-'.l~3, :..
If the wor. k is not completed-withln:..the/.time"Sp~fled.or'extended time ltmtt.ag~(:upon,../the.
city may tmpose liquidated damages tn the. amount'of $100,00at daty :tmtfl.the work'is.c0mPl~.' ·
Sundays, holidays, and extensions granted, by .tbe City shall be exoluded in det~g days' in.
BASIS OF PAYMENT: ·
Payment will,be made at the contract price for the completed project authorized by the City.
This price shall be full compensation for furnishing all materids, labor, equipment, tools, and
incidentals necessary to complete the project as authorized by the. City.
CONTRACTOR'S BONDS:.
~_.~AS 3S.2~.010 specifies that except
for the construction,, altetmion; 0r ~-.Of.a.p~lic 'bui!ding-.or.p~ork of..~e
political subdi~ion"0f ~e. state iS.a~ed tO a.$~eml"~. ~ty contractor, .the'
contractor shall furnish Performance and pay~t'. !:rands.'.' "BM' 'bollds'aro Iiot'/~utred,'',"
'
CI~.RTIFII~D PAYROLLq &' STATE: MINIMUM RATF. X OF_PAY..
The successful bidder will be required to complete and submit ~fled. PaYrollS for 'work done
to the State of Alaska, Depaflment of Labor, Wage and Hour Divt.sion, This Project is subject.
to AS 36 prevnillrig wage requirements, o
.WORKMI~N,S (~OMPg_NSATION INSURANCE: '.~
(a) ~Itt: The Contractor shall?or commence.work Until he has. o.btai~..ed.....~l.
insurance required .under'this section or until he 'has .Satisfied. the. ctty:m...ttus
respect; nor shall he ail0w any su~ntmctor to commence work Until he also has
obtained sim_j.l_~_r insurance wldch is applicable.to' his work...~.Contract0r ~'.
main~ lnmirance thr0ugho.ut the '-life - of this-Conua.ct.asWi!l hold'the City.....
harmless 'and shall indenmtfy' the city'for any-':losses aflsing/.out of. the
Contractor's oPerations, or hiS..subeontractor's operations,...including nny
contingent liability arising theref~°m, " "
Page I - Instructions to Bidders
JACKSON CONSTRUCTION
241 ASPEN ~TREE'r
SOLDOTNA, AK 99669
907-262.4485
FAX e (907) 262.3860
cx?Y
Reteren. oe Co &irpor~ c~aok Sealing and pain-ting
Dear ~ack I
! bid this Job with the impression that
exceed $lOO,OOO no bond would be required.
basle
8/24/'
1993 ....
bid did no~
Your call 8/18/93, Indicating
signature and presentation o~
a surpr~se,
contract was'waiting £or'my
labor and per£ormance bond was
Z made e££orts thru my tnsurance'oarrier.( #alters and OlSon)
but was informed.! will not be able to secure, a Bond .for this'
3ob until.! produce for them"an audited finan'olal statement,.'
my C.P.A. says this is ,n0~.poSs!ble. lns~de.:o~'~"6O,days.;
?his ts.obviously out:,o~.,the'quest10n C0ns'iderlng tbs onse. t
As a result ! aB appealing thru this letter for your
consideration
view of the
The basic bid is well under the
Z have arranged all materials and equipment'for this ~ob.
~ have been in the contracting business at. same location for
over Thirty 'Years. X have never ~ailed Co complete a 3ob,
~ am only temporarily Unable to secure bonding due to some
serious financial di£ficult~es that are nov past, and that are
entirely vnrelated to bus!neSs operations.
Your consideration and 1mis'dints Reply w111 allow me to. get
~htngs tn order ~or start up' and completion of this before
the weather get co severe.
August 25, 1993
Harold Jackson
Jackson Construction
241 Aspen
Soldotna, AK 99669
C I TY 0 F'... K'E
Subject:
Dear..Mr. Jackson: ', ':., '"
This is in response to your letter dated August 24, 1993 .req~tins '~. ~e. ty Watve':.me;
bonding requirements for the referenced project. .. -... ".,':..: !' ."".' ", ."'.'.
The Instructions to Bidders (attached) are very explicit that.'a Contr~..'.t exce~g $100,000.00
must be bonded. The City Administration is in agreement that m-waive this requirement would .
be contrary to State law md an unfair advantage the other.'bidderS..dO'n0thave, i..':! We plan:....,to..:
present a resolution to award the project to the next lowest, bidder at the September 1st City
Council meeting. - .... · -.-
We appreciate, your efforts in submitting your bid. If there are any questions, please contact me.
Sincerely,
City Engineer