Staff recommends that the City Council approve the award for the purchase of winter traction material for $25.00 per ton from Knife River for one year with the option of purchasing the winter traction material for years two and three based on the mutual consent of the City and the Supplier.

The Public Works Department uses winter traction material on City streets and roads during the winter months as an aid in ice and snow removal.  On average, between 4,000 and 6,000 tons of this material is used in a snow season.  The bid for winter traction material was advertised on September 8 and September 15, 2023, in the Yellowstone County News and on the City's website. Bids were opened on September 19, 2023, and two bids were received. Knife River submitted the lowest responsible bid.

City Council may:

• Approve the award for the purchase of the winter traction material; or
• Not approve the award for the purchase of the winter traction material.  If not awarded, the Public Works Department will not be able to place sand for traction control this winter which will increase safety concerns.

The following bids were received:
 

Vendor	Price per ton each Year	Vendor	Price per ton each Year
Knife River	$25.00/Ton Year 1	Fisher Sand & Gravel	$27.50/Ton Year 1
Knife River	TBD Year 2	Fisher Sand & Gravel	$27.50/Ton Year 2
Knife River	TBD Year 3	Fisher Sand & Gravel	$27.50/Ton Year 3

The bid from Knife River was determined to be the lowest, responsible bid as it is lower for year 1 and the City has the ability to decide whether or not to extend into years 2 and 3 based on the cost that is negotiated with Knife River after year 1. The price paid last year was $24.00 per ton and the increase of $1 per ton is a 4% increase. The winter traction material is budgeted in FY24 using Street and Traffic Funds. There is sufficient budget to award this bid.