The Airport's approved Capital Improvement Program includes the Runway 10L/28R Rehabilitation Project.  Runway 10L/28R is the Airport's only runway that has the strength and is long enough to accommodate the commercial air carriers' large aircraft.  The project will be constructed over six weekends in July and August, during which the runway will be closed at 9:00 a.m. Friday and reopened at 6:00 p.m. Sunday.  During each of these 57-hour closures the contractor will work continuously to mill off 2-4 inches of the existing pavement surface, replace the milled off surface with 3-5 inches of new asphalt, install new runway edge lights and electrical cabling, and paint the runway markings (edge stripes, centerline, etc.) as required by the FAA before the runway can be reopened.  Additionally, during the 6 closures, old Taxiway G will be removed, and a new in pavement temperature sensing system will be installed to assist staff during winter operations with determining the proper surface temperature to apply deicing fluid to the runway surface to prevent ice buildup. The project was advertised in the Billings Times on January 10, 17, 24, 31, and February 7, and was posted on the City's Web site. On Tuesday, February 12, 2013, the following bids for this project were received.

CONTRACTOR	BID
Knife River	$7,811,153.90
Riverside Contracting	$7,167,213.00
Engineer's Estimate	$8,921,200.00

The City Council may:

• Approve the bid award for the Runway 10L/28R Rehabilitation Project; or
• Decline to approve the bid award for the project, reject all bids, and delay the Runway Rehabilitation Project.

The total low bid cost for this project is $7,167,213. The project includes $22,682 for hold line painting that is an Airport maintenance item and is not eligible for Federal funding. It was included in this project because the hold lines needed painting and given the large amount of other painting in this project, better pricing was anticipated. The remaining $7,144,531 is eligible for 90% Federal funding or $6,430,078, and the remaining 10% Local Share plus the $22,682 for the hold line painting will provide a total local share amount of $737,135. The local share match funds are budgeted and available in the Airport's Passenger Facility Charge (PFC) Capital account.

Staff recommends that the City Council approve the bid award for the Runway 10L/28R Rehabilitation Project to the low bidder, Riverside Contracting, for the amount of $7,167,213.