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Council sustains bid protest, awards 2025 pavement project to Granite Construction

5066954 · June 23, 2025
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Summary

After a bid protest alleging a low bidder incorrectly claimed a local-business preference, council sustained the protest and directed award to Granite Construction; council also discussed background checks on 'local' status for bidders.

The Salinas City Council sustained a bid protest June 17 and awarded the 2025 Pavement Improvements Project to Granite Construction after staff concluded the apparent low bidder did not qualify for the 5 percent local-business preference.

City staff explained five electronic bids were received for the project and that McKim Corporation was listed as the apparent low bidder at the opening. Granite Construction filed a formal protest alleging the apparent low bidder did not meet the city local business enterprise definition in the Saninas municipal code, which if sustained, would eliminate the 5% preference and make Granite the low bidder.

Staff told council that the apparent low bidder had claimed a local office but Carmel city records showed no business license in Carmel-by-the-Sea. Granite urged the council to sustain the protest; McKim did not present at the hearing. Staff said the city had verified no Carmel business license on the record and therefore recommended sustaining the protest.

Councilmember Aurelio Barrera asked whether the city routinely verifies local-business claims with the municipality where the bidder claims an office; staff said they check current records and base determinations on what is on file. Council sustained the protest and directed the award to Granite Construction; a subsequent consent-item motion awarded the project to Granite later in the meeting.

The vote to sustain the protest and award the contract passed unanimously.