Staff recommends the City Council award a contract for W.O. 20-39, 2020 Miscellaneous Drainage Improvements, to KLE Construction, LLC in the amount of $417,630.00.

W.O. 20-39, 2020 Miscellaneous Drainage Improvements, is intended to install drainage improvements at five locations throughout Billings to help alleviate flooding issues and to control flows from natural springs that have developed.  Drainage improvements will occur at the following areas: Morocco Drive between Siesta Avenue and Sierra Granda Blvd., the area around the intersection of Illinois/Poly/Ponderosa, N. 14th Street, N. 18th Street and South Plainview.   A single contract will be awarded to the lowest bidder of all five schedules.   

The project was advertised on May 22, May 29, and June 5, 2020, in the Yellowstone County News and on the City’s website.  Bids were opened on June 9, 2020 and two bids were received.  KLE Construction, LLC submitted the lowest, responsible bid.

City Council may:

• Award W.O. 20-39, 2020 Miscellaneous Drainage Improvements, to KLE Construction, LLC in the amount of $417,630.00; or
• Do not award a contract and reject all bids. If the project is not awarded, localized flooding and natural spring issues will continue.

The following bids were received:

Contractor	Base Bid
KLE Construction, LLC	$417,630.00
Western Municipal Construction, Inc.	$437,842.00

 
The project was budgeted in FY20 using Storm funds.  The amount budgeted was $490,000.00.  This bid was lower because of a favorable bid environment.  The remaining budget will be used for engineering charges and any possible project changes.