05-17-1976 - Special
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CITY COUNCIL OF THE CITY OF EDGEWATER, FLORIDA
SPECIAL MEETING HELD
MAY 17,1976
Mayor Armstrong called the special meeting of the City Council of the City
of Edgewater, Florida to order May 17,1976 at 2:00 P.M.
ROLL CALL:
Mayor Dana T. Armstrong
Councilwoman Ryta F. Webber
Councilman Willaim H. Cairnie
Councilman Walter B. Sikes
Councilman Calvin R. Dietz
City Attorney Judson I. Woods
City Clerk Sue Blackwell
Police Chief Earl Baugh
Present
Present
Present
Present
Present
Present
Present
Excused
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Mayor Armstrong explained that pursuant to the F.H.A. requirements in com-
pliance with Section 34 of the Charter laws of the City of Edgewater we call
this special meeting for the purpose of preconstruction conference and any
necessary appropriate action to be taken by the Council to authorize the
commencement on the addition to the EdgewaterWater Pollution Control
Facilities. He explained that American Consolidated who the bid was
awarded to 'has apparently found a discrepancy in their bid price. He
read a letter from them stating that they still do not have a valid binding
contract with the City of Edgewater, and they are asking for a 10% increase
on their bid price or to be let out of the agreement.
Mr. Fernandez spoke to the Council about this; he explained that the City
received a letter from American Consolidated in February that they would
keep the bid open. He explained the signing of the contract by American
Consolidated and the City of Edgewater. It is stated in the documents that
if the notice to proceed has not been issued within ten days from the City
signing the bid, the contractor may terminate the agreement without further
liability to either party. He stated that they have had some conferences
with American Consolidated and he said that he is of the opinion that the
reason for their increase is related to a mistake on the original bid rather
than the esculation of prices. He stated that Mr. Mc Mahan has expressed an
interest in accepting the job, which the City has the right to negotiate with
him since American Consolidated wants out.
Mayor Armstrong explained that Mc Mahan Construction would now be the low
bidder.
Councilman Sikes stated that most of our delay was caused by the man from
F.H.A. telling us that they would make us the loan at 5% if we could not
get the interim financing, and he would like to know how much time F.H.A.
will not give us to complete all of the paperwork and so forth so that we
don't go over the time again.
At this time Mayor Armstrong declared a five minute recess so that Mr. Gordon,
the representative from F.H.A. could make a phone call and get the information
that the Council needs.
Mayor Armstrong stated that he received a telephone telegram fron American
Concolidated in regard to the 10% increase in their bid figure or their release.
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Mr. Gordon spoke to the Council about his conversation with Mr. Eldridge
explaining that if the contract is completed and the Councilor a repre-
sentative could meet with Mr. Balard he will review the paperwork and what-
ever papers are necessary for the notice to proceed will be issued right
there.
The Council discussed further the proposal or bid from Mc Mahan Construction
Company, and agreed that he should be notified to get something in writing
to the Council.
It was also agreed that a Resolution needs to be drawn up accepting his bid.
Meeting adjourned.
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