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Item 1.B.2.
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| City Council Regular | |
| Date: | 02/26/2024 |
| Title: | W.O. 24-03: Contract No. 2 City Chip/Scrub Seal, Bid Award |
| Presented by: | Debi Meling |
| Department: | Public Works |
| Presentation: | No |
| Legal Review: | Not Applicable |
| Project Number: | N/A |
RECOMMENDATION
Staff recommends the City Council award a contract for W.O. 24-03 Contract No. 2 City Chip/Scrub Seal to Hardrives Construction, Inc. in the amount of $1,474,077.40.
BACKGROUND (Consistency with Adopted Plans and Policies, if applicable)
The Contract No. 2 City Chip Seal project is part of the ongoing Street Preventative Maintenance Program in place since 1985. Annually, staff identifies streets proposed for preventative maintenance that includes pavement patching, chip/scrub seal resurfacing, overlay resurfacing, and crack sealing. Chip and scrub sealing are economical surface treatments designed to protect and prolong the life of a pavement by addressing cracking, raveling, and oxidation. The treatments reduce water intrusion and slow cracking. The project bid with three schedules delineating different street areas and Staff recommends that City Council award all three schedules, including additive alternates for fog sealing. The attached map shows the locations of the proposed work.
The contract was advertised on January 12, 19, 26, and 16 and February 2, 2024, in The Yellowstone County News and on the City's website. Staff opened bids on February 6, 2024. There were three bids received. Hardrives Construction, Inc. submitted the lowest responsible bid.
The contract was advertised on January 12, 19, 26, and 16 and February 2, 2024, in The Yellowstone County News and on the City's website. Staff opened bids on February 6, 2024. There were three bids received. Hardrives Construction, Inc. submitted the lowest responsible bid.
ALTERNATIVES
City Council may:
- Award W.O. 24-03 Contract 2 City Chip/Scrub Seal, to Hardrives Construction, Inc. in the amount of $1,474,077.40; or,
- Do not award a contract and reject all bids. If the contract is not awarded, the streets planned for maintenance will continue to degrade.
FISCAL EFFECTS
The following bids were received:
The project was budgeted in FY24 using South Tax Increment Funds (TIF) in the amount of $90,000 for the Hallowell chip seal and SMD2 and Gas Tax Funds for the remainder of the project. The budget is adequate to award the project.
| Contractor | Schedule 1 | Schedule 2 | Schedule 3 | Total |
| Hardrives Construction, Inc. | $792,114.45 | $274,924.60 | $407,038.35 | $1,474,077.40 |
| ASTECH Corp. | $981,953.31 | $308,879.79 | $406,093.39 | $1,696,926.49 |
| Knife River | $1,013,130.75 | $331,039.70 | $412,203.75 | $1,756,374.20 |
The project was budgeted in FY24 using South Tax Increment Funds (TIF) in the amount of $90,000 for the Hallowell chip seal and SMD2 and Gas Tax Funds for the remainder of the project. The budget is adequate to award the project.