FINANCIAL BUSINESS REQUEST (FBR)
Motion/Request:
title
MOTION to grant a Bid Waiver to STV Construction Inc. not to exceed $91,496 due to receiving fewer than the required three bids in response to Bid #LPS 23-01 (Owner’s Representative Services for Select Capital Projects,), in accordance with Ordinance #200-001 (rev 1) “An Ordinance for Purchasing”.
end
Background:
Department Comment/Recommendation:
Finance Director Comment/Recommendation:
Mayor Comment/Recommendation:
Meeting Action Detailtitle.end
Meeting Action Detail:
Finance Committee Meeting 05/03/2023:
File #: 23-1426 Version: 1
Type: Financial Business Request (FBR)
Title: MOTION to grant a Bid Waiver to STV Construction Inc. not to exceed $91,496 due to receiving fewer than the required three bids in response to Bid #LPS 23-01 (Owner’s Representative Services for Select Capital Projects,), in accordance with Ordinance #200-001 (rev 1) “An Ordinance for Purchasing”.
Action: Remove from Agenda (Withdrawn)
Minute Note:
Finance Director Matthew Bonin stated the Permanent Municipal Building Committee (PMBC) met on May 1, 2023 and decided to update the bid specifications to include the full scope of work and to rebid the “Owner’s Representative Services for Select Capital Projects”.
The Finance Committee noted that they were pleased with the PMBC’s decision to rebid the work, noting the importance to have a fair and equitable process; and that rebidding the work was the right process.
The Committee agreed by consensus to remove the bid waiver request regarding the work for the “Owner’s Representative Services for Select Capital Projects” from their Agenda.
Action: Remove from Agenda (Withdrawn)
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Finance Committee Meeting 04/19/2023:
File #: 23-1426 Version: 1
Type: Financial Business Request (FBR)
Title: MOTION to grant a Bid Waiver to STV Construction Inc. not to exceed $91,496 due to receiving fewer than the required three bids in response to Bid #LPS 23-01 (Owner’s Representative Services for Select Capital Projects,), in accordance with Ordinance #200-001 (rev 1) “An Ordinance for Purchasing”.
Action: No Action
Minute Note:
No Action.
Councilor Saums noted this item was withdrawn at the Finance Committee’s April 5, 2023 meeting for the Permanent Municipal Building Committee (PMBC) to obtain more information. He stated the PMBC was not ready for the Finance Committee to act on this request tonight.
Action: No Action
______________________________________________________________________
Finance Committee Meeting 04/5/2023:
File #: 23-1426 Version: 1
Type: Financial Business Request (FBR)
Title: MOTION to grant a Bid Waiver to STV Construction Inc. not to exceed $91,496 due to receiving fewer than the required three bids in response to Bid #LPS 23-01 (Owner’s Representative Services for Select Capital Projects,), in accordance with Ordinance #200-001 (rev 1) “An Ordinance for Purchasing”.
Moved: Ingalls Seconded: Saums
Action: Withdrawn
Minute Note:
Moved by Councilor Ingalls, seconded by Councilor Saums
Discussion: Councilor Saums explained when the town received fewer than the required
three bids that a bid waiver was required. He stated in response to Bid #LPS 23-01 (Owner’s Representative Services for Select Capital Projects) that only two bids were received. However, he stated that he had some questions regarding the process, noting that the PMBC has requested a bid waiver for STV Construction, Inc., whose original bid came in at $141,470; but after several meetings the price was negotiated down to $91,496. However, he stated the original proposal submitted by other Bidder, Colliers Project Leaders, came in at $63,301, but the PMBC did not negotiate with that Firm.
Councilor Saums went to state that although they had the right to select the best value for the taxpayer, and not necessarily the lowest cost, that he had concerns with the mechanics of negotiating with the highest bidder, but not also negotiating the lowest bidder. He stated when this has happened in the past the Finance Committee has rejected the request for the bid waiver because they had only negotiated with one of the bidders.
Mr. Gary Schneider, Permanent Municipal Building Committee (PMBC) Chairman, 101 Inchcliffe Drive, Gales Ferry, stated the PMBC via the Board of Education issued an RFQ/RFP for the “Owner’s Representative Services for Select Capital Projects” on January 13, 2023 for the Board of Education Roof Replacement Projects for the Central Office and the Juliet W. Long School. He explained the RFQ was a two-part request: (Part A) Qualifications; and (Part B) Dollar Value. He stated the dollar value part was kept in a sealed envelope that was held by Board of Education Director of Facilities and Grounds Wayne Donaldson.
Mr. Schneider stated the PMBC interviewed both Firms noting that they were both very qualified. He stated during the interviews the PMBC discussed with both Firms what their process/procedure would be; and he noted the following:
STV Construction, Inc. - Mr. Schneider stated STV Construction, Inc., was willing and included in their proposal having a full-time inspector on-site while the roof was being installed, noting that the roof was the most valuable piece of the building envelope.
Collier’s Project Leaders - Mr. Schneider stated Colliers Projects Leaders stated that since they knew both of the roofing contractors, and because they knew that both of the contractors were good, that their process would be to have a person drive/stop by to see that they were starting the work right, and then leave, noting that Colliers proposal included 2 - 4 hours of an inspector on each of the roof projects.
Mr. Schneider went on to state because they had issues with the roofs for the Schools Consolidation/Improvement Projects (Middle School & Gallup Hill School) that the PMBC was not comfortable with Colliers Project Leaders approach. He stated the PMBC did ask Colliers what the cost would be to have a full-time inspector on the roofs. However, he stated Colliers’s response was that a full-time inspector on the roofs was not needed and that they would not recommend it, and it was left it at that.
Mr. Schneider stated based on the interviews and not knowing the bid proposal prices, because they were in sealed envelopes, that the PMBC selected STV Construction, Inc. He stated the proposals were as follows:
• Collier’s Project Leaders $63,301
• STV Construction, Inc. $141,470
Mr. Schneider stated because the PMBC thought $141,470 was high they authorized Board of Education Director of Facilities and Grounds Wayne Donaldson to invite STV Construction, Inc., back. He stated they had a good discussion, noting that the PMBC told STV Construction, Inc., that they did not think they needed the added expense of having their Project Manager on-site, and so they came back with a lower price. He stated that the PMBC asked Mr. Donaldson to go back one more time to STV Construction, In