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1 ^ ` <br /> COUNCIL COMMUNICATION FORM <br /> PURCHASING & INTERNAL SERVICES MEMOR.ANDUM <br /> #04 - 22 <br /> May 6, 2004 <br /> TO: Honorable Mayor Osborne and City Council <br /> FROM: Steve Garman, City Manager <br /> Beth Couter, Financial Management Director <br /> Deborah M. Perry, Purchasing Supervisor � <br /> SUBJECT: Demolition of Property <br /> SUMMARY RECOMMENDATION: Staff recommends awarding contract to Don Roderick, <br /> Inc. to remove asbestos, do necessary plumbing and demolish the property located at 853 W. <br /> North Street. <br /> BACKGROUND: On April 5, 2004, City Council approved a request for C & J Excavating, <br /> Inc. to demolish the property at 853 W. North Street. Mr. Jerry Hupp, owner of C & J <br /> Excavating, Inc. notified staff he will be unable to enter into a contract to do the work. In his <br /> . letter to staff, Mr. Hupp states he had every reason to believe he would be able to obtain a <br /> performance bond to complete the work. However, due to a problem with his 2003 taxes the <br /> bank or the bonding company will not extend his company a performance bond. <br /> Since C & J Excavating, Inc. was unable to obtain a performance bond for the demolition project <br /> at 853 W. North Street their bid deposit will be forfeited to the City and their company will be <br /> eliminated from future City of Decatur projects. The bid deposit to be forfeited to the City is <br /> $613.85. This is calculated as 5% of their bid price of$12,277. <br /> The second low bidder of Don Roderick, Inc. was able to obtain a performance bond for the 8 <br /> properties he was previously awarded a contract for. Mr. Roderick indicated he will be able to <br /> obtain a performance bond to demolish this property at 853 W. North Street as well. <br /> POTENTIAL OBJECTION: None. <br />