New Hospital Bids Due Monday

Tulare - A decision to re-bid the Tulare Regional Medical Center expansion project in light of a potential legal challenge is not expected to cause a delay in the plan to open the four-story tower in mid-2012.

“It will have no impact,” CEO Shawn Bolouki said after the Tulare Local HealthCare District's unanimous vote March 4 to reject all bids and allow prequalified contractors to again bid on the project.

Medical center officials expected to put out a revised bid packet March 5 and open new bids on March 15, Bolouki said.

The board's vote came after it heard from Mike Lipton, vice president for operations for McCarthy Building Companies, who challenged the documents of the apparent low-bidder, Harris Construction Company, and the next low-bidder, Kitchell Contractors.

Lipton alleged a violation of the subcontractor listing law in both bids and clerical errors in Harris' that, he said, gave that company an unfair advantage.

He urged the board to award the contract to McCarthy or, if it decided to rebid the project, not allow Harris and Kitchell to participate.

“We may be forced to consider other action,” Lipton said, hinting at possible legal action if the board accepted Harris' $34.85 million bid. McCarthy's bid was $37.15 million and Kitchell's $35.76 million.

Michael R. Johnson, a Hanford attorney representing Harris, also spoke publicly to the board, before it went into a closed session with its attorney, Kris Pedersen.

Board President Dr. Parmod Kumar reported the decision was difficult for the board, which he said wanted to minimize the district's financial risk. The board vote did not exclude any prequalified contractor.

Pedersen said modifications would be made to the bid instructions to prevent another challenge to the process.

The bids that were opened on Feb. 18 all came in well below the $50 million estimate. The high bid, submitted by Seals/Biehle General Contractors, was for $41 million.

The 115,000-square-foot expansion will include a new emergency room and a helipad.

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