REPORT TO COUNCIL
SUBJECT
Title
Reject all Bids Received for the Refurbishment of Water Tank at Wolfe and Evelyn Water Plant Project and Make a Finding that the Action Does not Constitute a "Project" Within the Meaning of the California Environmental Quality Act (CEQA) Guidelines Section 15378(b)(4) (PW-25-06)
Report
REPORT IN BRIEF
Approval is requested to reject all bids received in response to an invitation for bids for PW25-06, Refurbishment of Water Tank at Wolfe and Evelyn Water Plant. The first apparent low bidder withdrew their bid due to a mathematical error, and all bids exceeded the engineer's estimate.
EXISTING POLICY
Pursuant to Chapter 2.09.140(b)of the Sunnyvale Municipal Code, the City Council may reject bids or proposals in response to formal competitive bid solicitations. This Code section also provides that if all bids are rejected, the City has the discretion to re-advertise.
ENVIRONMENTAL REVIEW
The rejection of all bids is not subject to the California Environmental Quality Act ("CEQA") pursuant to CEQA Guidelines section 15061(b)(4) as CEQA does not apply where the project is rejected or disapproved.
BACKGROUND AND DISCUSSION
The Refurbishment of Water Tank at Wolfe & Evelyn Project (Project No. UW-20-01) was publicly advertised for competitive bidding through the City's DemandStar procurement platform on December 20, 2024. Seventy-five (75) requests were received to access the bid documents. Sealed bids were opened on March 12, 2025, and five (5) bids were received. Euro Style Management submitted the lowest responsive and responsible bid of $4,374,400; however, the firm formally withdrew its bid on March 18, 2025, citing a mathematical error. Following this withdrawal, Unified Field Services Corporation was identified as the next lowest responsive and responsible bidder, with a proposed contract amount of $5,250,847 (see Attachment 1 - Bid Summary).
The five bids received are substantially higher than both the engineer's estimate o...
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