RES 2008-1427 - Dostal Construction Co INc appeals bid rejection on Whispering Ridge Park Improvements (denied) l � ,
✓
Dostals Construction Company Inc.
13680 South 220`h Street,Gretna,NE 68028 — rn
(402)670-8506(Bodie) __1 -� C,
1"u
To: City of Omaha, City Council rp T3 �.
From: Bodie Dostal - fl
Date: October 8, 2008 7`
Re: Whispering Ridge Park
Appeal to Whispering Ridge Bid Rejection
Dostals Construction Co. Inc is small construction company. Including myself, Bodie
Dostal and my father James Dostal there are 19 employees. In return 19 families that
count on income for their livelihood. Our goal is to take care of our family, our
employees' families. Dostals Construction works had to line up work in advance to
insure its employees' families have a consistent income.
Dostals construction has not ever or will not ever discriminate against any one. We give
everyone the equal opportunity to work with us as a subcontractor or for us as an
employee. Everyone should and must be created equal.
Whispering Ridge Park consists of grading, seeding, wetland improvements, playground
area with play equipment and a small amount of equipment. Going into the bid I, Bodie
Dostal saw the goal was at 10% on the total job if the project reached over $200,000. I
looked thought the DBE list. There are two playground equipment companies on the list,
which neither submitted their information to the park planner, Pat Slaven, to be approved
on time. There were three DBE companies on the bidders list that are direct competition
to Dostals Const. Dostals Construction could not us them, and all three companies are
larger in size than us. (Swain Const., TAB Const. and Navarro Enterprises) All three of
those companies did not bid on this project. They must not have needed the work.
Dostals Construction was the only bidder out of seven companies on the bidders list.
1
r
10/27/2008
related to the extension column to the right. Since that was fairly vague. I assumed that if
the calculation was asking, for my total to be multiplied by 12 then it must be asking for a
monthly figure. However. that would never equate properly except i'or in the last
category where it actually asks for a monthly amount. My interpretation then of this
calculation was that it was asking for the total dollar figure for daily services in a month
multiplied by 12 (rather than just one daily amount by 12)and the total dollar figure for
weekly services in a month multiplied by 12 (rather than just one weekly amount by 12).
Doing it this way does lead to the annual amount. which is what was listed on each
extension line. The overall effect is that the unit prices arc correct, and the amounts listed
in the extension line represent the overall annual bid amount (with the rationale described
above).
a subsidiary of!M Industries Inc.
s , Dostals Construction used Armbrust Excavation for the grading on this project. They're
• a small company that will not gross $150,000. I felt that I was trying to help out the
small company. Them being a smaller company they did not have the high overhead and
in return would save the city $5,000 of the tax payer's money. When bidding publicly
bid projects it is always the low bid wins. That is what I am concerned with. Being the
low bidder and being awarded the jobs. The human relations department only cares if the
goal is met. The majority of the time when bidding projects with DBE goals the prices
that come in higher from the DBE's companies than non DBE's companies. That makes
is hard for us as a company when only low bid matters in being awarded a contract.
There needs to be regulations on the size of DBE companies on the list, as the state of
Nebraska has on their minority owned company list. The low bid should always be
awarded the job, especially with tax dollars being used. Dostals Construction has lost
two jobs in the last three years in which it could not meet its goals and in return cost the
tax payers seventy plus thousand dollars.
Dostals Construction has successfully completed many projects with the Parks and
Recreation Dept. and with the Public Works Dept. for the City of Omaha. We wish to
continue the great working relationship. We believe that is would be unfair not award
this project to us for not reaching the DBE goal. Dostals Const. does not discriminate
against anyone and ask the City of Omaha not to either. We believe the families that we
support are equal to in importance to the families of DBE companies.
In closing Dostals Construction supports the thought in trying to help the DBE companies
get established. Though all companies have to fight to stay afloat, especially with
economy today. Dostals Construction really needs this job and want to build a quality
project for the City of Omaha.
Thank you for your time,
Bodie Dostal
2
that was fairly vague. I assumed that if
the calculation was asking, for my total to be multiplied by 12 then it must be asking for a
monthly figure. However. that would never equate properly except i'or in the last
category where it actually asks for a monthly amount. My interpretation then of this
calculation was that it was asking for the total dollar figure for daily services in a month
multiplied by 12 (rather than just one daily amount by 12)and the total dollar figure for
weekly services in a month multiplied by 12 (rather than just one weekly amount by 12).
Doing it this way does lead to the annual amount. which is what was listed on each
extension line. The overall effect is that the unit prices arc correct, and the amounts listed
in the extension line represent the overall annual bid amount (with the rationale described
above).
a subsidiary of!M Industries Inc.
1J-)14X114' NF
%Cit o Omaha f illebras a
P
1819 Farnam —Suite LC 1 2 f� ;t
Omaha, Nebraska 68183-0112 0E:� �,�� ,.�-;-
Buster Brown (402) 444-5550 ic: ti"
City Clerk FAX (402) 444-5263 04,4TP13 FE1 9.
October 9, 2008
Bodie Dostal
Dostals Construction Co., Inc.
13680 South 220 Street
Gretna, NE 68028
Dear Mr. Dostal:
This letter is notification that a hearing before the Omaha City Council on the appeal of
your rejection for "Whispering Ridge Park Improvements" has been set for October 21,
2008. The City Council Meeting begins at 2:00 P.M. in the Legislative Chamber, (LC-4),
Omaha/Douglas Civic Center, 1819 Farnam Street, Omaha, Nebraska. This is your
opportunity to present your case to the City Council.
Sincerely yours,
Buster Brown
City Clerk
BJB:te
y
"v.
Ob n • o 0
al.og r CD
CD CD S CD
a �
0* I , ..ii N m c„ a. x5
4 ' 0 (7) 'CS ooR t 0 5'
It.
,P (q: _4-,'" --a
k N, • . 2. cD
n td ��\ �. u: 5'
o
IIh1•
\\'
•ck .) ...k-r
AtL
(N , .
ki .\` ',, (.1::tf.'\\.!
oN
GI
s been set for October 21,
2008. The City Council Meeting begins at 2:00 P.M. in the Legislative Chamber, (LC-4),
Omaha/Douglas Civic Center, 1819 Farnam Street, Omaha, Nebraska. This is your
opportunity to present your case to the City Council.
Sincerely yours,
Buster Brown
City Clerk
BJB:te
6
N. all , ors
outdoor recreation products
1055 North.205th St,.
Elkhorn,Nebraska 68022
Phorte;402-28 400 Fax:402-289-0300
Toll free:800-747-KIDS(5437)
vww.outdoorrecreationproducts.cor ;
October 28, 2008
Mr. Bodie Dostal
Dostals Construction Company Inc.
13680 South 220th St.
Gretna, Nebraska 68028
Re: Whispering Ridge Park
Bodie,
This is letter is to confirm our conversation regarding the referenced project.
Prior to the bid date we spoke about Outdoor Recreation Products' inability to submit a
proposal for the play equipment and other associated items. This was a result of our
equipment not being approved by the Engineer.
Respectfully,
Bill Pospichal
Vice-President
opportunity to present your case to the City Council.
Sincerely yours,
Buster Brown
City Clerk
BJB:te
]
I
• \
q § / q
2 01 g P 9 o P
?Hi
i! UI
—.
00 n \ 7 ¢ "' o
.iI.
CD is; 0 0 \
, 2
.. n
47 VP00K 0
q R o °
F ¢ ' p
G # R 7
K \ •
A _. a R•
9 § f ?
spoke about Outdoor Recreation Products' inability to submit a
proposal for the play equipment and other associated items. This was a result of our
equipment not being approved by the Engineer.
Respectfully,
Bill Pospichal
Vice-President
opportunity to present your case to the City Council.
Sincerely yours,
Buster Brown
City Clerk
BJB:te
•
INTER-OFFICE COMMUNICATION
October 27, 2008
TO: Councilmembers, Warren Weaver
FROM: Dean Miller, Council Staff Assistant
SUBJECT: Dostal Construction Appeal Summary - AGENDA ITEM #56
Agenda item #56 is the bid appeal, regarding the Park Department Improvement
project, opened on September 17, 2008. The PBE/DBE goal for this project was set
at 10%. •
Dostal's was the only bidder, but failed to get any PBE/DBE participation on this
project. Fatally, they did not provide any good faith effort as defined in Section 10-
196 of the City Municipal Code. The failure to submit any documentation showing
"good faith" effort requires the HRR Department no choice but to recommend a bid
rejection - see attachment #1 of Section 10-196.
Although Dostals Construction did supply a letter (attachment #2) explaining they do
not discriminate and they thought about contacting two companies, the letter
provides no proof of any effort taken to get participation (ie advertising, phone
conversations, faxes, emails, PBE/DBE bids or follow-up calls to potential
contractors). Unfortunately, the City Council can only rely upon the documentation
submitted at the time of bid as per Section 10-196 dictates.
Council Staff recommends the Council request Dostals Construction to meet "one-on-
one" with the HRR staff before bidding on their next project to understand the
program in greater detail. This strategy has an excellent record of educating specific
contractors on the intricacies of the program and frequently, the appellant wins a bid
shortly thereafter. Furthermore, it is recommended the bid be rejected and returned
to the Parks Department for disposition (re-bid).
Please refer to the memos which have similar conclusions from the HRR Director Gail
Thompson and Michelle Peters, from the Law Department.
dm
c: Council Staff,
Gail Thompson, HRR Director
Kathy Hendrix
Steve Scarpello, Parks Department
Paul Kratz, City Attorney
City Clerk
IA - e'Y\ C%
Dostals Construction Company Inc.
• 13680 South 220'h Street.Gretna,NE 6 028
Office: (402)332-4537
Fax:(402)332-2881
Mobile Phones:
(402)690-9468(Jim)
(402)670-8506(Bodie)
To: City of Omaha
. From: Bodie Dostal
Date: September 17, 2008
Re: Whispering Ridge Park
Good Faith Effort
e_o_t5-71. „let dc • evc_iy e pt-017-7- Tip
/✓jGG 14- A9E/OZE
d
44. /i -, 07 our- GC7,,,` L)p Gve-i"-G oPit Plc W cy>
145 c-- e-o-vkfa y4:xxid h7LA f , rl
A S f1 Cu-) �•1 t•,a era) - ira-c- ✓` LG c /c) 11C)\it4 t-14 Ar%
U S /4'J'(G 4\('0j/ h 6\ 3111u// CIY1.c)✓LY
f � I
/4k71-f tut u-G\ doe> AGe c0 73 0 COO,
%fit a�`c Flo Ge i"li- i`tcA Ogf iLe_x c+t
)-%00 kl‘k5 , � ')1` / Aoc, rt,04-
aken to get participation (ie advertising, phone
conversations, faxes, emails, PBE/DBE bids or follow-up calls to potential
contractors). Unfortunately, the City Council can only rely upon the documentation
submitted at the time of bid as per Section 10-196 dictates.
Council Staff recommends the Council request Dostals Construction to meet "one-on-
one" with the HRR staff before bidding on their next project to understand the
program in greater detail. This strategy has an excellent record of educating specific
contractors on the intricacies of the program and frequently, the appellant wins a bid
shortly thereafter. Furthermore, it is recommended the bid be rejected and returned
to the Parks Department for disposition (re-bid).
Please refer to the memos which have similar conclusions from the HRR Director Gail
Thompson and Michelle Peters, from the Law Department.
dm
c: Council Staff,
Gail Thompson, HRR Director
Kathy Hendrix
Steve Scarpello, Parks Department
Paul Kratz, City Attorney
City Clerk
IA - e'Y\ C%
Sec. 10-196. Disadvantaged business enterprise and protected business enterprise
subcontractors to be listed in the bid documents; compliance determination;
recommendation by human rights and relations director.
(a) All bidders shall complete the requisite forms in the bid documents listing all
disadvantaged business enterprise and protected business enterprise subcontractors to
be utilized and the total amount of dollars or percentage of total dollars of each
subcontract shall be designated at the time the bid is opened. If the bid fails to meet the
city's overall yearly participation goals as set forth in section 10-200, the bidder must
demonstrate the bidder's good faith effort to do so. At the time the bid is opened, or not
later than 2:00 p.m. on the day of the opening of the bids, the bidders must submit
verification in writing from all disadvantaged business enterprise or protected business
enterprise subcontractors that said subcontractors have agreed to perform the
subcontracting work identified in the bid submitted by the bidder. The verification shall be
submitted to the city clerk. All other information required by the bid specifications,
including the designation of the percentage or dollar amount of the DBE/PBE utilization
and the good faith efforts documentation must be submitted at the time the bid is opened.
If a bidder or any of its designated subcontractors desires to be considered a
disadvantaged business enterprise or protected business enterprise, the requisite forms
need to be completed and approved by the human rights and relations department prior
to the date of bid opening on the project for which they are submitting a bid.
(b) The human rights and relations director shall determine whether or not the apparent
successful bidder has a contract compliance form (CC-1) on file as required by section
10-194. In addition, if the apparent successful bidder or any of its designated
subcontractors indicate that they are disadvantaged business enterprises or protected
business enterprises on the bid documents, the human rights and relations director also
shall determine whether or not the apparent successful bidder and its subcontractors
have been approved as such by the department. The human rights and relations director
shall determine whether or not the apparent successful bidder has complied with all
provisions set forth in this division and shall submit his/her determination and
recommendation thereon to the mayor or the director of the department involved.
(c) After receiving the recommendation of the human rights and relations director, the
mayor or the director of the department involved shall process the award
recommendation to the city council. If the contractor or the listed disadvantaged business
enterprise and/or protected business enterprise subcontractors have not complied with
the requirements set forth in subsections (a) and (b) of this section, the bid shall be
considered null and void and shall be rejected.
(d) After the bid opening and during contract performance, the successful
bidder/contractor shall make every reasonable effort to replace a disadvantaged business
enterprise and/or protected business enterprise subcontractor, which the contractor has
determined to be unable to perform successfully or is not performing satisfactorily, with
another disadvantaged business enterprise or protected business enterprise. Prior to
substituting such disadvantaged business enterprise and/or protected business
enterprise, the apparent successful bidder/contractor must have approval from the
human rights and relations director. The human rights and relations director shall approve
all substitutions in writing.
(e) The requirements of this section are not subject to waiver.
(Code 1980, § 10-196; Ord. No. 35344, § 1, 9-26-00; Ord. No. 36071, § 1, 10-29-02; Ord. No.
36923, § 1, 2-8-05; Ord. No. 37101, § 2, 8-9-05)
w
ss
9 A \ 7 § �` ° o 2
E ® n b• -? §
7 k U ' - / 3' 2.
�` §
54 2 o k
tQ _. g o
coo RD — ogk � �.
» cA c°
\ 3 2 > o N5• 0 / §
410 IT CA
o \ § cr C,.
7 fa
m ).
. D § K
c
q 9 C f k \
o
e
§ ' q
P . K -q
�
�
\
r ,
Inter Office Communication
Confidential Memo
To: Warren Weaver, City Council Chief of Staff
From: Gail Kinsey Thompson, Director ,
Human Rights and Relations Department
Date: October 22, 2008
Re: Whispering Ridge Park Improvements Bid rejection
The Human Rights and Relations Department and the Planning Department set a goal of 10% on
this project. A pre-bid was not held for this project. The request for bid was sent out on
September 3, 2008 and bids opened on September 17, 2008. There was one bidder on this
project: Dostals Construction Company Inc. for $222,400.00.
Dostals Construction Company Inc. submitted exhibits A and B with the bid. Exhibits were
signed and dated, but listed no PBE/DBE company on exhibit A. The total participation amount
for Dostals Construction Company Inc. was $0 or 0%. Dostals Construction Company, Inc. did
not submit any good faith efforts documentation.
Dostals Construction Company, Inc.'s submitted the following:
• A letter stating that the company "made every effort to meet the PBE/DBE goals".
Accompanying this letter was a list of companies with two PBE companies highlighted.
According to the letter submitted, Dostals did not contact these companies because they
are his competitors and are capeable of bidding on their own as prime contractors. There
was no documentation indicating that any certified contractors were considered or
contacted or what the outcome of that contact might have been.
We have always been consistent on following the procedures set forth by the Ordinance
throughout the life of the program and therefore cannot approve this bid. Dostals Construction
Company, Inc. failed to meet the 10%goal for this project and did not submit sufficient goad
faith efforts documentation with their bid. The Dostal bid is,therefore, not in compliance with
Section 10-196 of the Omaha Municipal Code.
Based on the foregoing and as mandated by the Ordinance Section 10-196(c),I hereby
)?6
recommend rejection of this bid due to my determination of the failure by the bidder to
comply with the requirements of the Ordinance.
The following is the current Ordinance language:
Sec. 10-196. Disadvantaged business enterprise and protected business enterprise
subcontractors to be listed in the bid documents; compliance determination;
recommendation by human rights and relations director.
(a) All bidders shall complete the requisite forms in the bid documents listing all disadvantaged
business enterprise and protected business enterprise subcontractors to be utilized and the total
amount of dollars or percentage of total dollars of each subcontract shall be designated at the
time the bid is opened. If the bid fails to meet the city's overall yearly participation goals as set
forth in section 10-200, the bidder must demonstrate the bidder's good faith effort to do so. At
the time the bid is opened, or not later than 2:00 p.m. on the day of the opening of the bids, the
bidders must submit verification in writing from all disadvantaged business enterprise or
protected business enterprise subcontractors that said subcontractors have agreed to perform the
subcontracting work identified in the bid submitted by the bidder. The verification shall be
submitted to the city clerk. All other information required by the bid specifications, including the
designation of the percentage or dollar amount of the DBE/PBE utilization and the good faith
efforts documentation must be submitted at the time the bid is opened. If a bidder or any of its
designated subcontractors desires to be considered a disadvantaged business enterprise or
protected business enterprise, the requisite forms need to be completed and approved by the
human rights and relations department prior to the date of bid opening on the project for which
they are submitting a bid.
(b) The human rights and relations director shall determine whether or not the apparent
successful bidder has a contract compliance form (CC-1) on file as required by section 10-194.
In addition, if the apparent successful bidder or any of its designated subcontractors indicate that
they are disadvantaged business enterprises or protected business enterprises on the bid
documents, the human rights and relations director also shall determine whether or not the
apparent successful bidder and its subcontractors have been approved as such by the department.
The human rights and relations director shall determine whether or not the apparent successful'
bidder has complied with all provisions set forth in this division and shall submit his/her
determination and recommendation thereon to the mayor or the director of the department
nvolved.
(c) After receiving the recommendation of the human rights and relations director, the mayor or
the director of the department involved shall process the award recommendation to the city
council. Tf the contractor or the listed disadvantaged business enterprise and/or protected
business enterprise subcontractors have not complied with the requirements set forth in
subsections (a) and (b) of this section,the bid shall be considered null and void and shall be
rejected lI
(d) After the bid opening and during contract performance, the successful bidder/contractor
shall make every reasonable effort to replace a disadvantaged business enterprise and/or
protected business enterprise subcontractor, which the contractor has determined to be unable to
perform successfully or is not performing satisfactorily, with another disadvantaged business
enterprise or protected business enterprise. Prior to substituting such disadvantaged business
enterprise and/or protected business enterprise, the apparent successful bidder/contractor must
have approval from the human rights and relations director. The human rights and relations
director shall approve all substitutions in writing.
(e) The requirements of this section are not subject to waiver.
(Code 1980, §P-196; Ord.No. 35344, § 1, 9-26-00; Ord.No. 36071, § 1, 10-29-02; Ord.No.
36923, § 1, 2-8-05; Ord. No. 37101, § 2, 8-9-05)
2
%
�Ob CD CD P � CD• O 0
t..) a. 0 o CD CD ...
Cr1 :3 :3 ° n
°° o d 4 �, C.� ,-n -.
° 0
-----.3 Sis\
0
C cm D D •
c ~
,-o '.`�
rn ( � ° o
co o, c ac.i) •
,•
lJ A