The original plan for W.O 04-12 was to reconstruct Alkali Creek Road between Senators Blvd. and Airport Road. In addition to a reconstructed street section, the project was to include storm drainage, water and sewer mains, a multi-use path, sidewalk and curb & gutter improvements. The first two phases of the project were started in the summer of 2005 and completed in the summer of 2006. These phases encompassed the section between Senators and the BBWA Canal siphon crossing near Black Pine Street. The multi-use path constructed during these phases stretches from Alkali Creek Elementary School to Black Pine Street.

Phase 3 of the project involves street maintenance, relocation of Alkali Creek to the north, reconstruction of the north slopes between the road and stream, construction of a multi-use path, and improvements to curb, gutter and storm drainage along Alkali Creek Road between Black Pine Street and a point between Morningside Lane and Aronson Ave. The slope reconstruction is due to major slope failures discovered in 2007, resulting from erosion caused by Alkali Creek at the bottom of the slopes and runoff from the rims above the road. The current bid package is broken into separate segments; west and east of Morningside Lane. The west segment will be constructed while an existing historical site is being mitigated on the east segment, and construction of the east segment will follow completion of the historical mitigation. In addition to the tasks listed above, the project includes installation of guardrail and revegetation and landscaping of all affected areas.

This phase of the project has been designed by Kadrmas, Lee & Jackson (KLJ), with whom the City has a contract for these professional services.  Construction bids were opened April 13, 2010, and by law, Council must act on the bids at this time.

The Council may:
• Approve award of the construction contract to CMG Construction; or
• Reject all bids.

The project is being funded by Montana Reinvestment Act House Bill 645, Arterial fees, and Storm Water funds. The FY 2010 budget amounts are: 

House Bill 645 funds:	$1,650,688
Arterial Road Improvements:	$1,272,000
Storm Water Funds:	$   157,700
Spent (and obligated) to date:	($ 852,295)
Remaining Funding:	$2,228,093

           
Bids were opened April 13, 2010, with the following results:
 

CONTRACTOR	Schedule 1        (west segment)	Schedule 2         (east segment)	TOTAL
JEM Contracting	$  779,501.71 *	$  200,346.01 *	$ 979,847.72 *
CMG Construction	$ 1,053,135.50	$  283,422.50	$ 1,336,558.00
HL Ostermiller	$ 1,155,972.26	$  343,450.61	$ 1,499,422.87
Donnes Construction	$ 1,390,056.00	$  290,439.97	$ 1,680,495.97
Western Municipal	$ 1,573,053.65	$  344,327.20	$ 1,917,380.85
Coleman Construction	$ 1,718,080.15	$  499,584.60	$ 2,217,664.75
Knife River	$ 1,845,285.35	$  479,020.35	$ 2,324,305.70
Riverside Sand & Gravel	$ 2,130,279.70	$  283,422.50	$ 2,413,702.20
Engineer's Estimate	$ 1,794,825.25	$  343,755.00	$ 2,138,580.25

 * Bid determined to be nonresponsive.

After review of the bids by the design engineer (KLJ) and city staff, the low bid was determined to NOT be in the best interests of the City of Billings due to the amount of the bid not being sufficient to complete the work at the level required by the project specifications.  Per Section 0200 of the project documents, the City reserves the right to reject any bids that are deemed nonconforming or nonresponsive and not in the best interests of the City.  The low bidder (JEM) has indicated they will not protest rejection of their bid and award of the contract to the second lowest bidder.

Staff recommends that Council reject the apparent low bid from JEM Contracting and award a construction contract for W.O. 04-12—Phase 3, Alkali Creek Road Maintenance and Slope Reconstruction, Schedules 1 and 2, to CMG Construction for $1,336,558.00.