City Council will consider awarding a professional engineering services contract to Kadrmas, Lee & Jackson, Inc. (KLJ) in the amount of $290,928 for design, bidding and construction administration services on W.O. 17-23 King Avenue West Water and Sewer Extension. The project consists of extending approximately 1,600 feet of water and sanitary sewer main in King Avenue West, westerly from 44th Street West. An adjacent developer will be contributing to the construction of approximately 360 feet of the water and sewer.  The city's water and sewer regulations call for the adjacent property owner to pay for the cost of a 12" main and the city pays for oversizing.  Due to the fact that there are unbuilt sections of mains in the systems of approximately 1,240 feet that is the city's financial responsibility, it was determined that the city would perform the project and the developer would pay the City for their portion. 
 
KLJ was selected based on City staff review of project proposals submitted by prequalified firms. Other firms considered for the work were Morrison Maierle, DOWL, and Sanderson Stewart.

City Council may:

• Award the professional engineering services contract to KLJ or;
• Disapprove award of the construction contract to KLJ.  If the project is not completed, the water and sanitary sewer main in King Avenue West serving Billings' west end in this area will not be extended to keep pace with development.

Funding for this project has been approved by City Council in the Capital Improvement Plan (CIP) for infill projects and is sufficient for the engineering design and construction administration portion of the project.  Construction will be from the FY 18 budget.  It is estimated that the level of effort on this $290,928 engineering contract will be evenly split between water and sanitary sewer; therefore, $145,464 has been allocated to each utility in the table below. The developer will be contributing towards the project. The total length and cost to the developer will be determined during design.
 

	Water	Sanitary Sewer
Project Budget	$500,000	$500,000
Previously Encumbered	$64,536	$64,536
This Contract	$145,464	$145,464
Budget Remaining	$290,000	$290,000

Staff recommends that the City Council award a professional engineering services contract for the design and construction administration of W.O. 17-23 King Avenue West Water and Sanitary Sewer Extension to KLJ in the amount of $290,928.