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Council awards Picard Avenue drainage and paving contract to HO Construction after low bid review
Summary
Council approved a Notice of Award to HO Construction for Picard Avenue drainage and paving after the low bid of $624,060.94 was reviewed and found complete; staff noted risk of change orders given the low bid relative to the high bid of $1,076,607.24.
The City Council voted to issue a Notice of Award to HO Construction to perform drainage and paving improvements on Picard Avenue, after a competitive bidding process produced a low bid of $624,060.94. Development Services Director Steven Tomita told the council four bids were received and the lowest bid was significantly below the highest bid of $1,076,607.24. Staff and consultants reviewed the low bid for potential omissions and concluded it was legitimate and complete, while acknowledging the risk of change orders for unusually low bids.
Tomita said the improvements will address a long-standing drainage bottleneck near the Subway restaurant and include work on the culvert under Main Street to the ditch at Seventh Street; the project is funded through a state agreement. Council authorized entering into an agreement with HO Construction and directed staff to monitor construction and control any change orders closely. The motion was made by Councilor Frank F. Ortega, seconded by Councilor Rudy M. Espinoza, and carried unanimously.
