The City of Billings has received record amounts of snow this winter.  In order to provide continued snow plowing and hauling through the rest of the winter months, the Public Works Department determined it may be necessary to contract some of the snow plowing and hauling to assist the Street/Traffic Division.  A Snow Plowing and Hauling invitation for bids was advertised on December 22, 2016, December 29, 2016 and January 5, 2017 in The Billings Times and on the City's website.  The bids are for equipment and operators for a minimum of 5 trucks, 2 graders, 1 loader and a dispatcher.  Staff will determine the combination of equipment needed at any given time.  Staff opened bids on January 10, 2017 and Knife River submitted the lowest responsible bid.  The Knife River trucks also have more carrying capacity than ones operated by the other bidder, which should increase the operations' efficiency.  The contract is structured so that it can be renewed for an additional two (2), one (1) year periods, if both parties agree. 

The Council may:

• Award the contract to the low, responsible bidder, Knife River; or
• Reject all bids, which will delay the snow plowing and hauling from arterial and collector streets in the City of Billings.

 The two bids are as follows:
 
Hourly rate - $/each                                                     Bidder     

	Knife River	CMG Const.
Grader	$125	$200
Loader	$125	$200
Dump truck
Daytime	$125	$110
Night	$125	$120
Dispatcher	$200	$65

The Street/Traffic Division is proposing to set-aside up to $75,000 of the Street Maintenance budget to fund this contract.  Since the expense wasn't anticipated when Council approved the FY 2017 budget, the Division may have to reduce some of its other planned work.   

 

Staff recommends that the City Council award the contract for Snow Plowing and Hauling to Knife River at the hourly rates shown above, not to exceed $75,000 in FY 2017 and including two (2), one (1) year extensions with mutual agreement.