The City Hall carpet project consists of replacement of the existing carpet which has been in place since 1986.  The scope of work includes removing the existing carpet, preparing the floor, lifting all office equipment, replacing all existing base, installing new carpet tiles and disposing of all old carpet.  All work will be performed between the hours of 5 p.m. and 6 a.m. to minimize disruption to staff and inconvenience to the public.  The carpet installation is on the FY 2002/2003 replacement schedule.

Bid specifications were prepared by Facilities Management and Purchasing staff.  The Notice Inviting Bids was broadcast to potential contractors through the DemandStar by Onvia public procurement network.

Sealed bids were received and publicly opened on February 19, 2003.  Two responsive bids were received.

Bidder	Total Bid
Harry L. Murphy, Inc., of San Jose	$69,911
Welker Brothers of Milpitas	$76,232

As the City's budget crisis unfolded, the decision was made to put this project on hold until the City's financial condition became more clear.

Staff has now determined that funding exists to go forward, and the low bidder has agreed to honor its February 2003 bid pricing.

Staff therefore, recommends award of contract to Harry L. Murphy, Inc., the lowest responsive and responsible bidder.

It is recommended that Council:

1.      Award a contract in the amount of $69,911 to Harry L. Murphy, Inc., for the replacement of carpet in the Sunnyvale City Hall; and

2.      Approve a contingency of $10,487.