TRANSMITTAL LETTER FOR BOARD MEETING OF APRIL 2, 2026
COMMITTEE ON PROCUREMENT
Mr. John P. Murray, Executive Director
Title
Authority to award Contract 25-730-21, HVAC Improvements at the Egan & Kirie Water Reclamation Plants, Groups A and B, to John Burns Construction Company, LLC, in an amount not to exceed $17,961,000.00, Account 401-50000-645780, Requisitions 1626920 and 1638370
Body
Dear Sir:
On July 17, 2025, the Board of Commissioners authorized the Director of Procurement and Materials Management to advertise for bids Contract 25-730-21, HVAC Improvements at the Egan & Kirie Water Reclamation Plants.
In response to a public advertisement of November 19, 2025, a bid opening was held on February 3, 2026. The bid tabulation for this contract is:
GROUP A: EGAN WATER RECLAMATION
INDUSTRIA INC $11,481,111.00
INDEPENDENT MECHANICAL INDUSTRIES, INC $13,280,445.00
GRANITE CONSTRUCTION CO $14,452,693.00
JOHN BURNS CONSTRUCTION COMPANY LLC $14,993,000.00
GROUP B: KIRIE WATER RECLAMATION.
AUTUMN CONSTRUCTION SERVICES INC $2,298,473.00
JOHN BURNS CONSTRUCTION COMPANY LLC $2,968,000.00
INDEPENDENT MECHANICAL INDUSTRIES, INC $3,082,850.00
GRANITE CONSTRUCTION CO $3,712,996.00
On February 5, 2026, Industria, Inc., the apparent low bidder for Group A, sent an email withdrawing their bid due to errors in calculating their prices incorrectly. Based on the above, their bid is considered non-responsive and rejected in the public’s best interest. The Director of Procurement and Materials Management has informed Industria, Inc. of this action.
A review by the Diversity Administrator for the next low bidder for Group A, Independent Mechanical Industries, Inc. (Independent), revealed that they had a shortfall for their MBE utilization goal. Independent committed to18.84% MBE participation However, for this project, the goal for MBE was 20%. In addition, the bidder did not submit a waiver for the MBE shortfall. Therefore, Independent did not comply with the Affirmative Action Ordinance Revised Appendix D: Section 15. Utilization Plan Submission (b) (c) and Section 16. Bid Submission Compliance Review (a) (ii). The Director of Procurement and Materials Management has notified Independent that their bid for Group A is considered non-responsive and rejected.
A review by the Diversity Administrator for the next low bidder for Group A, Granite Construction Co. (Granite), revealed that the bidder committed to 1% MBE, 0% WBE, and 0.40% VBE goals, and did not submit a waiver with its bid. The goals for the contract were 20% MBE, 9% WBE, and 3% VBE. Granite failed to meet the MBE and WBE goal requirements under the Affirmative Action Ordinance Revised Appendix D: Section 15. Utilization Plan Submission (b)(c)(e) and Section 16. Bid Submission Compliance Review (a)(ii). The Director of Procurement and Materials Management has notified Granite that their bid is considered non-responsive and rejected.
John Burns Construction Company, LLC (John Burns), the lowest responsible bidder for Group A, is proposing to perform the contract in accordance with the specifications. The estimated cost range for Group A is between $15,100,000.00 and $18,280,000.00, placing the bid of $14,993,000.00 approximately 0.7% below the low end of the cost range.
Autumn Construction Services, Inc., the apparent low bidder for Group B sent a letter dated February 6, 2026 withdrawing their bid due to errors in calculating their base estimate for the work. Therefore, their bid is considered non-responsive and rejected in the public’s best interest. The Director of Procurement and Materials Management has informed Granite of this action.
John Burns Construction Company, LLC., the lowest responsible bidder for Group B, is proposing to perform the contract in accordance with the specifications. The estimated cost range for Group B is between $3,480,000.00 and $4,210,000.00, placing the bid of $2,968,000.00 approximately 14.7% below the low end of the cost range.
The Affirmative Action Ordinance Revised Appendix D goals for this contract are 20% Minority Business Enterprise (MBE) and 9% Women Business Enterprise (WBE). The goal for Veteran-Owned Business Enterprise (VBE) is 3%. The goals above apply to each group.
John Burns is in compliance with the Affirmative Action Ordinance Revised Appendix D for Group A as indicated in the attached report. The MBE and WBE utilization goals offered for this contract are 20.19% MBE and 15.28% WBE. The policy goal for VBE participation offered is 3.01%.
John Burns is in compliance with the Affirmative Action Ordinance Revised Appendix D for Group B as indicated in the attached report. The MBE and WBE utilization goals offered for this contract are 20.31% MBE and 9.05% WBE. The policy goal for VBE participation offered is 0.62%.
John Burns has executed the Multi-Project Labor Agreement (MPLA) certificate as required. It is anticipated that the following trades will be utilized on this contract: painters, laborers, truck drivers, carpenters, bricklayers, ironworkers, plumbers, insulators, electricians, pipefitters, machinists, and millwrights. The list of construction trades is not intended to confer any rights or jurisdiction upon any union or unions.
The contractor shall commence work upon approval of the contractor’s bond and terminate, under Group A, within 1094 calendar days and under Group B, within 720 calendar days as stated in the contract documents.
The contract will employ approximately 10-12 people per group for the services.
In view of the foregoing, it is recommended that the Director of Procurement and Materials Management be authorized to award Contract 25-730-21, Group A and B, to John Burns Construction Company, LLC in an amount not to exceed $17,961,000.00, subject to the contractor furnishing a performance bond in form satisfactory to the Law Department and approved by the Director of Procurement and Materials Management.
Funds for Groups A and B are available in Account 401-50000-645780.
Requested, Pinakin V. Desai, Acting Director of Maintenance and Operations
Recommended, Darlene A. LoCascio, Director of Procurement and Materials Management, DAL:SEB:mh
Respectfully Submitted, Precious Brady-Davis, Chairperson, Committee on Procurement
Disposition of this agenda item will be documented in the official Regular Board Meeting Minutes of the Board of Commissioners for April 2, 2026
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