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Agenda 05/13/2013 Item #11B5/14/2013 11.B. EXECUTIVE SUMMARY Recommendation to reject all bids received for Invitation to Bid (ITB) 13 -6076 Collier County Beach Renourishment Project; re- solicit the project with target volumes per beach segment; reduced bid acceptance /validity timeframe; approve the project price submittal form and bidding approach; approve a sand placement renourishment approach and make a finding that this project promotes tourism. OBJECTIVE: Provide for a competitively solicited and effectively executed beach renourishment project. CONSIDERATIONS: Bid Solicitation 13 -6076 for the 2013/14 Beach Renourishment Project — Bid solicitation 13 -6076 Collier County Beach Renourishment Project was publicly posted in the Purchasing Department on 3/5/2013; 1,568 vendors were notified electronically; 97 vendors electronically downloaded plans. On 4/22/2013, three (3) bids were received by the required posted deadline; one (1) no bid was received accompanied by an explanation. All three (3) bids received were from truck haul contractors; two (2) of the truck haul bids were deemed non - responsive by not providing all the required bid pricing or information; and, the third bidder was deemed not qualified having no prior experience or background with beach renourishment. No dredge contractors bid on this project. The County received correspondence from one dredger that explained the lack of bids was due to confusion with the bid quantities, the bid form and the exact sand quantities required for each beach segment. A number of contractors also expressed concern that the bid acceptance timeframe was too long at one hundred eighty (180) days. A clarifying "no -bid" letter dated 4/22/2013 was submitted by Great Lakes Dredge and Dock (Great Lakes) and is included as Attachment A. This letter articulates the dredging community's requirement to have definitive target volume quantities by beach segment in order to supply responsive and competitive pricing. It also suggests that County retain the ability to add or deduct up to 25% of the volume quantity of any beach segment without adjusting the unit price. Great Lakes also suggested that the bid acceptance timeframe be reduced to the industry standard of no more than 60 days. These changes would provide the quantity flexibility that the County desires and also provides the dredgers a timely work commitment period during this critical workload bidding/booking period. No bids by the dredging community severely limit the Board of County Commissioners options in evaluation, award and execution of this project. County staff recommends that all bids be rejected and that this project be re- solicited with specific target volumes by beach segment and a reduced time acceptance timeframe of no more than 60 days. Target Volume Quantities and Recommendations — Atkins Peer Review analysis of Coastal Planning and Engineering's volume design confirmed that 387,000 CY's of material was required to be placed on the Vanderbilt, Park Shore and Naples beaches to achieve a six Packet Page -415- 5/14/2013 11. B. (6) year design life project. Additionally, Staff has always stressed that the final renourishment quantities would be adjusted just before actual renourishment with a comprehensive pre - renourishment survey. Staff has estimated these project adjustments in order to project the most accurate target volumes. These adjustments are summarized in the Target Volume Summary Table included as Attachment B. After adjustments are made for the future sand bypassing of Doctors Pass, the difference between the six year design life design and the 2006 unmodified template design for the Naples beach segment is less that 15 %. The final renourishment volumes will be confirmed prior to renourishment when the beach survey is completed. Additionally, these adjustments will also reflect any final decision regarding sand placement for Pelican Bay along with any additional dredge quantities and renourishment adjustments south of Doctors Pass. With these adjustments applied to the Atkins Peer Review quantities, staff is recommending that Vanderbilt Beach be bid with a target range of 53,000 CY's; Park Shore with a target range of 120,000 CY's and Naples beach with a target range of 164,000 CY's. These segments total 337,000 CY's without the addition of the Pelican Bay beach segment. Pelican Bay was not included in the original scope and if renourished, will reimburse the County for the prorated costs associated with this work. If Pelican Bay elects to renourish its beach, the overall Target Volume will increase by 25,000 CY's to an entire project total of 362,000 CY's. 3. Bid Form and Format — The Collier County beach renourishment project is partially funded through FEMA grant PW 1146- Tropical Storm Fay, and has a number of procurement requirements, which must be included in the competitive solicitation process and is therefore incorporated into the proposed bid format. To maximize the potential FEMA reimbursement, this project is being bid and invoiced as two separate components. Both components will total the overall renourishment Target Volumes Summary table identified as Attachment B. The Tropical Storm Fay bid form is included as Attachment C and identifies reimbursement quantities approved by beach segment. This section will include all the costs associated with the contractor mobilization and demobilization, beach tilling, environmental monitoring and pipeline moves. This segment also includes approximately 89% (155,228 CY's) of the 174,576 CY approved by FEMA for TS Fay beach renourishment. The balance quantities are in areas that have experienced accretion since TS Fay. The remainders are the prorated portions for sea turtle trawling, turbidity monitoring and construction surveys. The second component is the remainder volume of the 2013/14 renourishment project that is to be completed with TS Fay's component and listed as Attachment D. Staff is also recommending that this project be bid with the stipulation that the unit prices per beach segment be held firm with a volume variation of +/- 15 %. Staff is also recommending that the Truck Haul bidding option not be incorporated into this solicitation but rather be Packet Page -416- 5/14/2013 11.B. available as a secondary option to offset any price variance above the +/- 15% price threshold or to assure reasonable pricing. FISCAL IMPACT: Regardless of the final design volumes or bid format, this project will be scope managed to meet the available project funds in Tourist Development Council Fund 195 to complete this work. GROWTH MANAGEMENT IMPACT: No impact to the growth management plan would result from this Board action. ADVISORY COMMITTEE RECOMMENDATIONS: Both the Coastal Advisory Committee and the Tourist Development Council have approved Target Volumes by beach segment in the past. Additionally, both these Advisory Committees have recommended approval of the Atkins Peer review which has identified target volumes for renourishment by beach segment. LEGAL CONSIDERATIONS: This item has been reviewed by the County Attorney's Office, is legally sufficient for Board action, and requires majority vote for approval. — CMG RECOMMENDATION: That the Board of County Commissioners: 1. Rejects all bids received for bid solicitation 13 -6076 (2013/14 Beach Renourishment Project); 2. Re- solicits the project with target volumes per beach segment as follows: 1. Vanderbilt Beach — 53,000 CY's 2. Park Shore Beach — 120,000 CY's 3. Naples Beach — 164,000 CY's 4. Pelican Bay Beach — 25,000 CY's 3. Solicitation will direct a +/- 15% volume variation without price change; 4. Adjust Target Volume as needed with a pre - renourishment survey approved by the BCC; 5. Reduces the bid acceptance /validity timeframe from 180 days to not to exceed 60 days; 6. Approve the project bid forms and bidding approach; 7. Defer truck haul as a secondary bidding option; 8. Recognize that the preferred renourishment timing is outside of turtle nesting season; 9. Make a finding that this projects promotes tourism. Prepared by: Gary McAlpin P.E., Manager, Growth Management Division Attachments: A) Great Lakes Dredge and Dock letter dated 4/22/2013; B) Target Volumes Summary table; C) Tropical Storm Fay bid form; D) Remainder Volume of the 2013/14 renourishment project; E) Power Point Presentation Packet Page -417- 5/14/2013 11. B. COLLIER COUNTY Board of County Commissioners Item Number: 11.11.13. Item Summary: This item to be heard at 11:00 a.m. Recommendation to reject all bids received for Invitation to Bid (ITB) 13 -6076 Collier County Beach Renourishment Project; re- solicit the project with target volumes per beach segment; reduced bid acceptance /validity timeframe; approve the project price submittal form and bidding approach; approve a sand placement renourishment approach and make a finding that this project promotes tourism. (Bill Lorenz, Natural Resources Director) Meeting Date: 5/14/2013 Prepared By Name: HambrightGail Title: Accountant,Coastal Zone Management 5/7/2013 2:45:37 PM Approved By Name: McAlpinGary Title: Director - Coastal Management Programs,Coastal Zon Date: 5/8/2013 11:50:25 AM Name: PuigJudy Title: Operations Analyst, GMD P &R Date: 5/8/2013 11:57:39 AM Name: LorenzWilliam Title: Director - CDES Engineering Services,Comprehensive Date: 5/8/2013 12:11:06 PM Name: WardKelsey Title: Manager - Contracts Administration,Purchasing & Ge Date: 5/8/2013 12:50:34 PM Name: JohnsonScott Title: Purchasing Agent,Purchasing & General Services Date: 5/8/2013 12:57:53 PM Packet Page -418- Name: WardKelsey Title: Manager - Contracts Administration,Purchasing & Ge Date: 5/8/2013 2:17 :58 PM Name: MarcellaJeanne Title: Executive Secretary,Transportation Planning Date: 5/8/2013 2:30:59 PM Name: GreeneColleen Title: Assistant County Attorney,County Attorney Date: 5/8/2013 2:40:25 PM Name: KlatzkowJeff Title: County Attorney Date: 5/8/2013 2:53:31 PM Name: lsacksonMark Title: Director -Corp Financial and Mgmt Svs,CMO Date: 5/8/2013 4:19:55 PM Name: OchsLeo Title: County Manager Date: 5!8/2013 4:42:03 PM Packet Page -419- 5/14/2013 11. 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C: D 't CA M CAD cn -% r+ 3 r+ O Ln O 3 Ln Ln � cD rD Ln O Packet Page -434- CD c) O 3 3 CD rt O� Un D v n CCD rn a � Apri122, 2013 Attachment "A" Great Lakes 2122 York Road Dredge & Dock Oak Brook, Illinois 60523 Company, LLC 630 574 3000 .630 574 2909 (tax) Ms. Joanne Markiewicz Interim Purchasing Director Collier County 3327 Tamiami Trail E Naples, FL 34112 Re: Collier County Beach Re- nourishment Project County Bid No. 13 -6076 Statement of No Bid Dear Ms. Markiewicz: 5/14/2013 11. B. Great Lakes Dredge & Dock Company, LLC ("GLDD ") has elected not to bid on the above referenced project. We note that GLDD bid on, was awarded, and successfully completed the last major beach re- nourishment project performed for Collier County in 2005/2006 — which was of similar scope to the current project. Although we have the equipment capable and available to perform the project within the required contract period, we have determined we are unable to accurately cost and/or price the project based on the current bid schedule. We also have major concerns about the 120 day bid validity period, which is far beyond industry standard and beyond that which we can commercially maintain our price. GLDD is the leader in the U.S. dredging industry and we look at every project as an opportunity to serve our clients and employ our equipment: It is an extremely rare occurrence that we do not bid a project that our equipnmt is capable and available to perform We unquestionably want to bid your project and have on numerous occasions engaged both your Packet Page -435- Attachment "A" 5/14/2013 11.B. Collier County Bea&Re- nourishment Bid # 13 -6076 Page 2 of 4 office and the Engineer to make suggested changes to the bid form and/or specifications that would allow both the prospective dredging and the trucking companies to competitively bid the project, as well as provide Collier County the flexibility to award a project that is the most beneficial to your beachfront communities. To date we have been unsuccessful in facilitating the changes required to properly cost and price the project. Bid Schedule In order for dredging contractors to accurately and competitively estimate and bid a beach nourishment project, the Owner/Engineer must identify the beach fill placement location ; and the estimated quantities over that location. Most contracts, as does this contract, allow the owner to vary the quantity a nominal percentage in order to account for the dynamic beach system or to adjust the desired amount of beach fill based on available funds or other needs. Please see the attached bid schedule from Collier County's Bid No. 05 -3854 in 2005, which definitely provided the estimated quantities for each beach segment. The contract in 2005 similarly allowed the County to add or deduct up to 25% of the quantity for any segment without adjusting the unit price. This bid format used in 2005 provided a definitive basis for GLDD to estimate both the cost of placement the material over the specified location and also the risk associated with the potential variation in the bid.quantities. At issue with the current bid schedule is that, while it provides a Base Bid quantity of 174,576 cubic yards to be placed on Vanderbilt, Park Shore and Naples Beaches, the drawings and specification do not provide definitive quantities for each of the beach locations, nor a template design for the Base Bid quantity. The amount of material to be placed over each beach location along with a definitive design template are both key factors in estimating the cost of the work. Please note that our estimated unit costs for each of the three beach segments are vastly different, and thus the quantity placed at each beach segment is necessary to calculate the Packet Page -436- Attachment "A" Collier Coimty Beach Re- nourishment Bid # 13 -6076 Page 3 of 4 5/14/2013 11. B. composite unit cost for the total Base Bid quantity of 174,576 cubic yards. Except for Alternate Bid Item 5, which basically forms the full scope of the project, each of the Bid Alternates provide the same uncertainty for which the cost cannot be definitively estimated. Bid Alternates 2, 3 and 4 are all reduced scopes of work, again without definitive breakouts of quantities and locations for the material to be placed, and therefore cannot be accurately estimated or priced. Further, we note the requirements of paragraph 10.2 of the bid documents which states: "Alternate Bid Pricing: In the event that alternate pricing is requested, it is an expressed requirement of the bid invitation to provide pricing for all alternates as listed. The omission of a response or a no -bid or, lack of a submitted price may be the basis for the rejection of the submitted bid response. All bids responses received without pricing for all alternates as listed will be considered technically non - responsive and will not be considered for award " Therefore, GLDD would be non - responsive if we priced only Alternate Bid 5, for which the specifications do provide a definitive scope of work. Because we cannot definitively cost nor price the Base Bid, nor Alternate Bids 2 through 4 as discussed above, we must decline to bid the project as presented. Bid Validity Period The contract requires all bids to remain valid for 120 days after the bid opening. This is an excessive duration for a contractor to maintain what is essentially an uncertain commitment, especially when the final scope and duration of work to be awarded is unknown. Due to this uncertain commitment, an apparent low bidder (or bidders) may ultimately not be awarded the contract or be awarded a vastly reduced contract months after bid, potentially having to pass on other opportunities. Conclusion Although GLDD has successfully completed an almost identical project in 2006, the current bid schedule does not form a definitive basis for us to cost or price the project. This Packet Page -437- Attachment "A" 5/14/2013 1 1.B. Collier Coimty Beach Re- noimshment Bid* I3 -6076 Page 4 of 4 along with the excessive bid validity period compels us to decline to bid on your project. We would be pleased to work with the County to develop a solution that will allow GLDD and other contractors to competitively bid your project. We provided a simple suggestion for amending the bid form, similar to the 2005 solicitation, in an email to Mr. Scott Johnson on April 17, 2013. We believe that if such a bid form were provided, and if the bid validity were reduced to no more than 60 days, then GLDD and others would be able to submit competitive bids for your project. We appreciate the invitation to bid on your project and please keep us in mind for this or any future projects. Sincerely, GREAT LAKES DREDGE & DOCK COMPANY, LLC Samuel R. Morrison Vice President / Area Manager —South Atlantic Packet Page -438- • Attachment "A" 5/14/2013 11.B. Collier County Beach Renourishment Bid No. 05 -3854 Schedule of Bid Items r Bid Item No. units P� Subtotal BASE BID — Construct Beach Fill Hydraulically 1. Mobil ®tiordDemobii¢ation 1 L.S. 3. Payment and Perbrmance Bond 1 L.S. Beach Fig 4. Dredge Sand from Borrow Area, Place and Grade at Vanderbilt Bead 822.5 -R31 109,119 C.Y. 5. Dredge Sand from Borrow Area, Place and Grade at Pelican R31-R3 63,209 C.Y. 6. Dredge Sand from Borrow Area, Place and Grade at North Park Shore 43.5 -R48 45,714 C.Y. 7. Dredge Sand from Borrow Area, Place and Grade at Park Shore R48-R54.5 140,021 C.Y. 8. Dredge Sand from Borrow Anna, Place and Grade at Naples Beach R58A -R79 315,188 C.Y. 9. - Beach Tilling 45,670 L.F. Beach Fill Subtotal $ Environmental Monitoring 10. Set Buoys for Pipeline Corridor P1, Pumpout & Booster Locations f L.S 1-1. Set Buoys for Pipeline Corridor P2, Pumpout & Booster Locations 1 L.S 12. Set Buoys for Pipeline Corridor P3, Pumpout & Booster Locations 1 LS 13. Set Buoys for Pipeline Corridor P4, Pumpout & Booster Locations 1 LS 14. Turbidity Monitoring 1 LS. Environmental Monitoring Subtotal Offshore Sea Turtle Monitoring Ho pperDrnmexclIgemn 15. MobiiizationlDemobiiizabon Turtle Trawler 1 Event 16. Relocation Trawihg 5 Da 17. Endangered Spedes Observer 1 L.S ' Sea Turtle Trawling Subtotal $ BASE BID — TOTAL $ GC-P-2 Packet Page -439- 5/14/2013 11. B. m X fD _ D CL Q m O -0 O r ' CD Z Co m 3 N O N O m V) t•F fD O O a) rD J W S ai _"1 a, O ro Q �, n Q — C CL CD ` 'A In 0 O = rD =- v" fD Z3 ° � ° =• � ° > D CL C "' S Ln O O �. r+ Mo cn' 0 fD r+ 3 oN 3 n a n o O =S r* � 3 rD O ;* N N a) w Ln O Nrat vn O Ln O rte'+ .. �• O GC1 I C7 CD cr cD 00 O r+ M C v v W I O C D : aU• Q- % � - - N 3 (D G = �� r* r+ v � V) O_ FD CL rD CD rt Rn ul Ln < cu CD O CD O CD O — s 0 o O O o o - �* CD _ s =' o O o O o O O O _ - CD a.► Z •0 Q7 ,� I � — CD CD O O CD O CD CD O O C) CD O _ _ C n S W .V ' Q1 cu z s `n C CD CD CD CD CD r O. O O O N Ln N Ln cODD au W a) �. CD n O' O O O O O O — O a� W N O P 01 .. CD �ll1 CD Q CD o O n CD o Packet Page -440- _ - CU a co 2 n C/) CD 0� 3 N N r� C o D 3 co� C: O 3 3 c S S s ( t f t L t t t S t Z ( i N l.11 (J7 N N 5/14/2013 11. B. 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