177 Iowa 659 | Iowa | 1916
The questions presented are largely of fact, and there is a voluminous record and a large number of exhibits have been certified. These exhibits include the original specifications, samples of the pavement, gravel, etc. We shall not attempt to set out the evidence at any considerable length, but shall state the claims of the parties and our conclusions. No formal pleadings were filed in the district court, but the issues as tried were the objections filed by plaintiff before the city council. The objections to the paving assessment were substantially as follows:
“1. That said assessment is inequitable, unjust, and largely in excess of the benefits derived therefrom.
“2. That said improvement was not ordered and made as provided by law. .
“3. That said assessment is invalid for the reason that no valid contract was let or entered into by the said city for the construction of said improvement.
“4. That the alleged contract under which said improvement was constructed was not a legal contract for the reason that the same was not let to the lowest bidder on a sealed proposal, but said contract was entered into by the city by a private negotiation with such contractors, and not upon open and competitive bidding, as by statute required. That said contract was and is void, and the proposed assessment against the property of this objector is invalid.
“5. That the council allowed the contractors who constructed said improvement to change the bid after the bids upon said improvement had been opened and rejected by the council, and the contract so entered into was not let by the city to the lowest bidder on sealed proposals, as by statute required.
“6. That said improvement was not constructed accord
“(a). In that the subgrade was not prepared as said specifications required.
“(b). In that the concrete foundation was not of the material required by said specifications.
“(c). In that the concrete foundation was not laid on subgrade as required by said specifications.
“7. That the cost of construction of said improvement for which said assessment is made against the property of this objector, includes items not lawfully included therein, and is excessive and unlawful.”
The objections were amended upon the trial, to conform with the proof, as follows:
“Now comes the appellant, C. E. Atkinson, and amends his objections to the manner in which the contract was per- - formed on Willson Avenue, and his objections to the paving thereon, to conform with the proof, and amends the sixth objection by adding thereto: Division D. And stating that the concrete foundation for said pavement was not of the thickness required by said specifications and did not comply with the said specifications in that the same was not four inches thick; that the fact that the same did not comply with the specifications was concealed from the plaintiff and not discovered until after the trial of this case; that the evidence shows the facts under which said foundation was laid, and it conclusively appears that the contractor and the city officials were guilty of fraud in laying or permitting the same to be so laid, and permitting the same to be covered and reporting the same as having been laid in compliance with the plans and specifications.”
The objections filed to the curb and gutter assessment were substantially in this form:
“1. That said assessment is inequitable, unjust, and largely in excess of the benefits derived therefrom.
“3. That no valid contract was ever let or entered into by said city for the construction of said improvement.
“4. That said curb and gutter-were not constructed according to specifications, or according to the alleged contract entered into by said city with the contractors constructing the same, in the following respects, among others: (a) That' the material used for the foundation of said curb and gutter was not of the quality required by said specifications. (b) That the concrete used in the construction of said curb and gutter was not mixed as required by said specifications. (c) That the concrete was not placed in layers as said specifications require. ’ ’
As to the paving, it appears that, in the year 1913, the city of Webster City paved Willson Avenue. No question is raised on this appeal as to the preliminary resolution. The plans and specifications for the pavement provided, among other- things, for a third kind of pavement, designated “asphaltic concrete pavement.” Quoting, the specifications read as follows:
“These specifications provide for two distinct classes of ■asphaltic concrete pavement, designated as Class A and Class B. Contractors may bid upon either or both classes as they may desire.”
Class A provides for the use of artificial asphalt. 'Class B required the contractor to use refined Bermudez Lake asphalt. Class B provides for a better grade of asphalt than is required by Class A, and a more expensive paving.
The notice to contractors inviting sealed proposals distinctly specified the two classes of asphalt paving. The sealed proposal of Zitterell & Sullivan, who constructed the paving, contained a bid upon both classes of asphaltic paving. By such sealed proposal they offered to construct the Class A asphalt paving for $1.71, and the Class B asphalt
“No. 4 for asphaltic concrete pavement, Class A, per square yard $1.71. No. 5 for asphaltic concrete pavement, Class B, per square yard $1.76.”
Their sealed proposal on these classes of work was the lowest proposal submitted. The' proposals of the various bidders, including one of Zitterell and Sullivan, were opened by the city council on the evening of June 4, 1913. The council did not see fit to let the contract upon the bids submitted on that evening, and adjourned, to meet the next evening, without making any record upon the subject.
The next evening, June 5, 1913, Zitterell & Sullivan met with the city council and filed with the council a modification of their sealed proposal, by which they offered in writing to construct Class B asphalt paving, for which by their sealed proposal they were asking $1.76, for the sum of $1.71. This written proposition of Zitterell &. Sullivan is as follows:
“To the Mayor and City Council of Webster City, Iowa:
“In reply to your inquiry as to the kind of asphalt we propose to use in case we are awarded contracts for paving on Seneca Street, Willson Avenue and Des Moines Street, under Class A on our bid of $1.71, we desire to say we expect to use Bermudez Pitch Lake asphalt, and we hereby bind ourselves to use' the same.
“June 5, 1913. Zitterell & Sullivan,
“J. G. Sullivan.”
After said written proposition was submitted, the city council awarded the contract for the said paving to Zitterell & Sullivan at $1.71 per yard, and entered into a written contract with the said Zitterell & Sullivan whereby it was agreed that they should construct a paving in compliance with the specifications for the third kind of paving designated as Class B; that is, requiring the contractor to use natural asphalt as distinguished from artificial asphalt. This modified proposal
It is the contention of the plaintiff that, because of the foregoing facts the contract for the paving was void, in that the same was not let “by sealed proposal,” as required by statute. This contention is raised by objections filed before the council, numbered 2, 3, 4 and 5 of plaintiff’s objections. It is further the contention of the plaintiff in his objections that the contract was not performed in compliance with the specifications:
(1) Because the subgrade was not prepared as said specifications required. The specifications provided:
“No plowing will be allowed within two inches of the subgrade, and the proper grade must be obtained by use of mattocks and shovels and other suitable tools. No earth shall be removed below subgrade, and any earth taken out below subgrade shall be replaced at the expense of the contractor by sand or gravel; anywhere sand or gravel are used they shall be thoroughly dampened and tamped in layers not exceeding six inches, immediately before placing the concrete. ’ ’
Said specifications further provide:
“In hot weather, or where the subgrade is dry, the contractor shall thoroughly moisten the same immediately before spreading the concrete and to the satisfaction of the engineer. ’ ’
The foregoing provisions were disregarded by the contractor. There is evidence to show that not only was this a material specification so far as the resulting quality of the pavement is concerned, but that it was a material item in the cost of construction. The evidence shows that the contractor would plow not only within two inches of the sub-grade, but at times five or six inches below the subgrade. They would then fill-back to subgrade with soil and dirt
(2) That the concrete foundation was not of the material required by said specifications.
By an insert in the specifications, crushed rock for the concrete foundation was not to be of the commercial character and quality. Quoting from the specifications, they read as follows:
“Broken stone shall be of approved quality of hard rock with no fragments larger than will pass through a 1% inch ring, and none smaller than will pass through a % inch ring in their longest dimensions, free from all refuse and foreign matter and well graded. ’ ’
The original specifications have been certified to this court, from which it appears that this requirement was a modification of the standard specification, and required a special kind of crushed rock. From the testimony of some
The plaintiff, at the close of the evidence, raised the further objection that the concrete foundation was not of the thickness required by the specifications, and states that this fact was not discovered by him until during the trial. This amended objection made at the close of the evidence is as follows:
“Now comes the appellant, • C. E. Atkinson, and amends his objections to the manner in which the contract was performed on Willson Avenue, and his objections to the paving thereon, to conform with the proof, and amends the sixth objection by adding thereto: Division D. And stating that the concrete foundation for said pavement was not of the thickness required by said specifications and did not comply with the said specifications in that the same was not four inches thick; that the fact that the same did not comply with the specifications was concealed from the plaintiff and not discovered until after the trial of this ease; that the evidence shows the facts under which said foundation was laid, and it conclusively appears that the contractor and the city officials were guilty of fraud in laying or permitting the same to be so
The foundation was put in and covered, and plaintiff did not discover the fact of its thickness until, during the trial, the defendant tore up a cross-section of the pavement in front of the plaintiff’s house. This cross-section was inspected by the trial court. Little, if any, of this foundation was 4 inches thick, and much of it did not exceed a thickness of 2y2 inches. Slabs taken from this foundation were introduced upon the trial, identified and preserved, and certified to this court for inspection.
As to the curb and gutter, it appears that the contract for thé curb and gutter was let at the same time as the contract for the paving. The contracts, however, were separate, and the proceedings with reference to the improvement were separate. . Separate proposals were made for the work. The contract, however, was let to the same contractors, Zitterell & Sullivan. The objections to the curb and gutter have been set out. These objections were presented to the city council prior to the time the assessment was fixed and confirmed, and at the same time the objections to the paving assessment were presented to the city council.
It is first contended that no valid contract was ever let or entered into by the city for the construction of said improvement, or said curb and gutter. The specifications provided by red ink insert:
“Upon the subgrade shall be placed a foundation of coarse gravel six inches deep after compacting. Said foundation must be thoroughly wetted, and compacted before the concrete is placed thereon, ■ all gravel to be larger than % inch.”
It appears from the testimony of the contractors’ superintendent, Mr. Cox, and the plaintiff, Atkinson, that, prior to the letting of the contract, there was an arrangement between
The material used for the foundation of said curb and gutter was not of the quality required by said specifications. Samples of the material were preserved by the plaintiff prior to the time the foundation for the curb and gutter was laid, and were produced upon the trial. Plaintiff protested against the use of this material to the mayor, chairman of the street and alley committee, city engineer, the contractors and contractors’ superintendent. During the trial, excavations were made under the -curb and gutter, and samples of the alleged gravel foundation produced at the trial. These exhibits have been certified to this court, and show that the material for the foundation of the curb and 'gutter was not such as required by the specifications, and show, we think, that even the material used was not the kind discussed or agreed upon between the engineer and the contractor before the letting of the contract and agreed upon by them as a substitute. The evidence shows that not to exceed 60, and sometimes not to exceed 20 per cent of the material used would comply with the specifications as to the use of gravel.
The concrete used in the construction of said curb and gutter was not mixed as required by said specifications. The specifications required the cement; sand and gravel to be thoroughly mixed, in a dry state, and then further mixed after being wetted. The contractors did not follow this provision of the specifications, but wet the ingredients before mixing. This was a cheaper process and resulted in a saving to the contractors. The requirement enhanced the amount of the bid. The substitute reduced the cost to the contractors. Again, the specifications required that the concrete should be composed of one part cement to three of sand and gravel. Two witnesses testify that by actual measurement the mixture was one of cement to between three and a half and four and a half of sand and gravel. Sand and gravel is cheaper material than cement, and a weaker mixture produces a poorer job. Again, the specifications provide:
' “The concrete is to be composed of one part Portland cement to three parts of perfectly clean gravel, containing sufficient well graded sand to fill the voids. No gravel shall be larger than one-half inch in any dimension, and the proportion of fine and coarse material shall be satisfactory to the city engineer.”
Plaintiff produced and identified upon the trial a sample of the material used as a substitute for the clean gravel and
The city council gave notice to the property owners whose property would be assessed for these improvements, inviting them to file objections to the proposed assessment. This plaintiff filed his objections. At the time set for the hearing of these objections, the plaintiff appeared before the council in person to urge these objections. The contractors were in attendance at this session of the city council, and when plaintiff arose to make his objections, as he did several times, he was interrupted to such an extent that he was unable to proceed. Upon this point, a witness testifies:
‘ ‘ I was present at the meeting at the city hall when Mr. Atkinson tried to make his oral objections. ... I heard Mr. Atkinson start to make his objections. He arose to make his oral objections and was frequently and repeatedly interrupted. These interruptions came from the north side of the room. My recollection is from Mr. Zitterell, one of the contractors. There was uo attempt made "on the part of the
Following this, the assessments were approved. The record shows that thereafter the contractors presented the members of the council, the mayor, the city engineer, the city attorney, and the inspector, each with a turkey. Upon this point, one of the contractors, J. Q-. Sullivan, testified:
“Following the completion of that job, we sent out some turkeys to different people at Christmas time. . . . My recollection is that we sent them out to all the city officers; by my order they were sent to every member of the city council. My orders were to send one to the mayor. The city engineer was included among the list.”
During the trial, the court inspected the improvement generally, and the points also where the samples introduced in evidence were obtained.
Zitterell & Sullivan were the lowest bidders. Plaintiff is a contractor, and was an unsuccessful bidder. The contract • called for 6,074 linear feet of combined curb and gutter, and there were 935.6 cubic yards of pavement. The work was done under inspection of a person appointed for that purpose and was supervised by the city engineer, and later accepted by the city council by formal resolution. It is claimed by appellant that it is shown that the material for the concrete foundation and for the mixtures was according to specifications ; that, after a year from the completion of the work, and after one season of freezing and thawing, there was no evidence of poor material or workmanship or cracking of the
There is a conflict in the testimony at some points, but the trial court saw and heard the witnesses, and, as we understand the record, personally inspected the improvement, and, after a. reading of the record, we are satisfied with the conclusions of the trial court, where there is a dispute in the testimony.
In a supplemental argument, the claim is made that there are three different kinds of asphalt under Class A, upon which •the contractors bid at $1.71 per square yard. But as to this last proposition, the fact remains that, after the bids were opened and before the contract was awarded, the other class, that is, Class B Bermudez Lake asphalt, upon which the contractors bid $1.76 per square yard, was substituted. It may be that, in a particular case, the substitution of a better quality of material would not work any prejudice to the property owners of the city, but there are two or three difficulties in regard-to this matter. In the first place, the other bidders did not have the same chance as was given the successful bidders. In the next place, the procedure adopted in this case ignores the plain provision of the statute. Furthermore, it does not necessarily follow that, because á higher grade of asphalt was substituted for a lower grade, the city or property owner was benefited. A case could readily be imagined where there might be a combination between bidders representing the two classes, in which the bid on the better grade would be so high as to justify the substitution of the better grade at the price of the lower; then, after the contract was let, the bidders could arrange the matter among themselves. The question is whether the city council had a right under the statute, after inviting sealed proposals for a public improvement which is to be paid for by,special asssessment against the abutting property, to enter into a contract at, variance with the sealed proposals. The statute provides (Code Supp., 1913, Section 813):
“All contracts for the making or reconstruction of street improvements and sewers shall be let in the name of the city, to the lowest bidder, by sealed proposals, upon giving notice, ’ ’ etc.
It will be noticed that, under the provisions of the statute, the terms “to the lowest bidder,” “by sealed proposals,” and
In the Chippewa Bridge Co. case, supra, at page 943, it was said:
‘ ‘ It may be that, in the' particular case, the methods adopted by the city officials to procure the bridge were advantageous to the public; but that does not help the matter. The charter having prescribed how such contracts must be made, having mapped out, expressly or by implication, a particular plan to be followed in order to prevent dickering, which, if allowed in such matters, is liable to result in favorit
The city council, in providing improvements of this kind, acts as an agent of the taxpayer and abutting owners, but without consulting them; hence the necessity of the rule that the statute empowering them must, be strictly construed. The council is not vested with an arbitrary and unlimited discretion, but must exercise a bona fide judgment.. Before letting a contract to the lowest bidder, the members of the council should have believed that such bid was the lowest reasonable bid that could be obtained. The difference in the two classes of asphalt amounted, under the contract, to almost $2,000; so that, in this case, it appears that, after the bids had all been submitted, the members of the council were advised that the lowest bidder was willing to reduce his bid to that amount by furnishing a higher grade of asphalt. It has been held that the action of the council in accepting the modified proposal was in effect a rejection of all the proposals. Attorney General v. Public Lighting Commission (Mich.), 118 N. W. 935-938. We are of opinion that the council had no authority, under this record, to let this contract.
We shall refer later to appellant’s claim that the contract was substantially complied with. They contend that the improvement was of some value, and that the plaintiff and other property owners ought not to receive the benefit of the improvement without paying for it. It is possible, though we do not determine the point, that the statute is broad enough, had there been a valid contract, to permit a reassessment according to the benefits received by abutting property, if the improvement was of some value, even though there was not a substantial compliance with the contract authorizing the assessment of the benefits which the property would have received had it been according to the contract. But the case was not tried upon that theory in the district court. The evidence does not show how much the property was benefited
At one point in appellant’s argument, it is said that, when a part of this work was being done, it was done under the observation of the appellee, sitting on his front porch, and that changes were made to meet his objections. But, at another point in the argument, it is said that plaintiff’s evidence is not credible, because he was so far away, sitting on his porch, that he could not see. They say that there is no evidence that the mixture of cement was not as specified, “except the unsupported statement of Mr. Atkinson, based on
It is said by appellant that the fact that the curbing and paving passed through one season of freezing and thawing without being broken or cracked shows that the improvement was up to specifications and was apparently all right after a year’s trial. This is hardly a fair test. The improvement is supposed to be permanent and to last for more than the one year. Furthermore, it is said by appellant that, where changes were made, the pavement was just as good as though the contract had been complied with. Some of the eases hold that the city cannot be heard to say- that the original requirements in the specifications did not add any to the value of the improvement, and that a substitute was just as good. In Littell v. Webster County, 152 Iowa 206, 215, it was said :
“ ‘ “Substantial performance,” as defined by the cases, permits only such omissions or deviations from the contract as are inadvertent or unintentional, are not due to bad faith, do not impair the structure as a whole, are remedial without doing material damage to other parts of the building in tearing down and reconstructing, and may without injustice be compensated for by deductions from the contract price.’ ”
See, also, Wingert v. City of Tipton, 134 Iowa 97; Henry v. Jons, 164 Iowa 364, 366; In re Apple, 161 Iowa 314, 322.
At the risk of repetition, we shall refer as briefly as may be to some of the matters wherein the contract was not complied with. The foundation of the paving was not made of broken stone and of the size required by the specifications; the concrete for the curb was not placed in layers and tamped, as required by the specifications. The material was not mixed
The writer is of opinion that contracts of this character ought to be strictly complied with, perhaps more so than under the rules heretofore announced by the court. It is recognized that, in some instances, property ownérs object to an assessment against their property, even where there has been full compliance with the contract, and that trivial objections are made in an attempt to defeat the assessment. It is doubtless right that, where the contractor has honestly and in good faith attempted to fully .comply with his contract, and there is only some slight or unintentional defect which could be readily remedied and the cost deducted, the assessment ought to be made. On the other hand, it is well known that, in many instances, improvements of this character are not well performed and the contract and specifications are substantially- ignored, at least in many particulars, and then the doctrine that there has been a substantial compliance is invoked. To use an inelegant expression, but one in more or less common use at this time, the contractor simply does enough work to try to “get by” under the rule of substantial performance. The city is the agent for the property owners. The property owners have but little, if anything, to say dur
Our conclusion is that the judgment of the district court is right, and it ought to be and is — Affirmed.