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BACKGROUND The subject project was authorized in the 2007/2008 Capital Improvement Program. The project consists of the replacement of approximately 1,500 linear feet of curb and gutter, 1,800 S.F. of sidewalk/driveway, and installation of 32 access ramps on Suddard Court, Shorewood Court, Ruxton Court, Roslin Court, Ashley Court, Audrey Court, Page Court, Calle Reynoso, Dorman Road, Calle Enrique, Paseo Santa Cruz, Paseo Navarro and Calle Altamira. It also involves the installation of detectable warning surfaces on 180 existing access ramps, the majority of which are located in the Hacienda Business Park area (Hacienda Drive, Owens Drive, Willow Road and Rosewood Drive), in order to upgrade the ramps to meet the Americans with Disabilities Act (ADA) requirements. These improvements are part of the City's on-going program to remove impediments when undertaking new construction and alterations, as provided in the City's transition plan, and as required by the ADA. This project will correct deficient sections of curb and gutter along roadways that are scheduled for resurfacing under the Annual Street Resurfacing project for FY 2007/08. This work is critical in order to improve drainage and pedestrian safety and accessibility. The City's Streets Division performed curb and gutter improvements on the remaining streets under the same Annual Street Resurfacing project. BIDS Sealed bids for this project were opened on April 23, 2008. There were a total of nine (9) bids received with bid amounts ranging between $189,950 and $286,249.90 (see Attachment 1). The engineer's estimate for this project is $275,000. The apparent low bid amount was received from Nema Design Construction of Mill Valley. The bid documents required that bidders list three projects similar in nature to this project. Staff reviewed the projects listed by Nema and determined that the work on one project failed to meet City standards, that Nema was not the prime contractor on another project, and that the third project was not similar to this project. Additionally, the check Nema used to acquire the set of plans and specifications for the project failed to clear the bank due to insufficient funds. Staff is therefore recommending the bid submitted by Nema Design Construction be rejected. Staff reviewed the bid submitted by the apparent second low bidder, North Valley Construction, and found it to be in order. Past work performed by North Valley Construction was also verified to be satisfactory. Staff recommends award of the construction contract to the second lowest responsible bidder, North Valley Construction. BUDGET Project funding and estimated expenditures are presented in Attachment 2 to this report. Page 2 of 3