Staff recommends the City Council award the one-year contract with 3 optional one-year extensions for snow plowing on local streets to K2 Civil Inc at the hourly of $249 per hour per blade, not to exceed $450,000 per year. 

The City Council approved snow plowing on residential streets by a private contractor in FY18.  The City of Billings has 740 lane miles of local streets and does not have the labor or equipment resources to perform the service in-house.  The successful bidder will be responsible to plow all local streets in Billings when Public Works staff determines that the plowing is necessary.  In general, snow plowing on local streets will be initiated when there is an anticipated snow accumulation of five (5) inches or greater.  However, Public Works staff will also take long-term weather forecasts and current conditions of streets into consideration when making the determination.  

The bids are for equipment and operators as follows:

• Residential snow plowing to the curb with no hauling of snow
• Minimum of six (6) motor graders that are equivalent to the Caterpillar 12m3 AWD (all wheel drive) or Champion 720A with operators
• City will supply snow gates to the successful bidder if requested
• Single dispatcher
• Minimum of 1 supervisor per shift
• Safety officer/Supervisor to respond to property damage/complaints daily.

The Snow Plowing on Local Streets invitation for bid was advertised on September 10 and 17, 2021 in the Yellowstone County News and on the city's website.  Bids were received and opened on September 21, 2021, and two bids were received.  K2 Civil, Inc. submitted the lowest responsible bid.

City Council may:

• Approve the contract to K2 Civil, Inc.; or,
• Not approve the contract, which will result in local streets not being plowed this winter.

The City received two bids for snow plowing on local streets as shown below:

Vendor	Hourly price for equipment and operator
K2 Civil Inc	$249.00 per hour/blade
Knife River	$265.83 per hour/blade

Snow plowing on local streets is in the approved FY22 budget in the amount of $450,000 using Street Maintenance District 2 funds.