Staff opened bids on January 30, 2018, for the 2018 Street Maintenance Program, City Overlay Contract. There were 3 bids and Riverside Contracting Inc. submitted the lowest responsible bid. This project is part of the on-going Street Preventative Maintenance Program supported by the City Council since 1985. Annually, staff identifies streets proposed for preventative maintenance that includes chip seal resurfacing, overlay resurfacing, and crack sealing. This contract will provide an overlay on approximately 1.5 miles of 24th St W and Central Avenue. Three Additive Alternates were included with the bid. Alternate A is to overlay Central Avenue from 24th St W to the BBWA Canal. Alternates B and C are additional costs to construct concrete collars around manholes and water valves. A work location map for this project is attached.  Staff recommends that the project is awarded with all three alternatives. The contract was advertised on January 5th,12th, and 19th in The Yellowstone County News and on the City's website.

The Council may:

• Award W.O. 18-03 Contract No. 2 City Overlay to Riverside Contracting Inc. in the amount of $1,265,099.40; or
• Not award the contract to Riverside Contracting Inc. and reject all bids. If the contract is not awarded, the streets planned for maintenance will continue to degrade.

The following bids were received and evaluated:

Contractor	Base Bid+Additive Alternates A, B, C
Riverside Contracting Inc.	$1,265,099.40
Knife River	$1,288,545.75
Century Companies, Inc.	$1,681,831.40

The funding for the project was budgeted in FY18 and the source is gas tax and arterial funds.

Project Budget	$2,500,000.00
Previously Encumbered	$208,955
This Contract	$1,265,099.40
W.O. 18-03 Contract No.3 City Chip Seal	$639,844.26
Budget Remaining	$386,101.34

Staff recommends the City Council award a contract for W.O. 18-03 Contract No.2 City Overlay to Riverside Contracting Inc. in the amount of $1,265,099.40.