Included in the Airport's Capital Improvement Program is the Operations Building Ramp Rehabilitation Project. The Airport's Operations Building provides the indoor parking for the Airport's airfield maintenance and fire fighting equipment. The asphalt pavement around this building is 25 years old and is well past its expected service life. The worst deterioration occurred at the equipment bay door entrances and exits, as the heavy fire equipment and snow removal equipment must follow the same track in and out of the parking areas, subsequently creating ruts in the asphalt pavement. This project will provide 8,000 square feet of additional concrete surface at the equipment bay doors, reducing the potential for future pavement rutting from this heavy equipment.

Additionally, 55,000 square feet of new asphalt pavement around the Operations Building will replace the existing asphalt that is beginning to crack and break into pieces. The project will also include the installation of water and sewer lines below the ramp surface to accommodate future development for the areas directly north of the Operations Building.

This project was advertised in the Yellowstone County News on March 23, 30, and April 6, and was posted on the City and Airport's Websites. On April 10, 2018 the following bids were received:

CONTRACTOR                                    BID
Knife River-Billings Division                  $434,638.00
Hardrives Construction                         $622,345.50
Engineer's Estimate                              $551,058.00

City Council may:

• Approve the low bid and award the contract for the Airport Operations Building Ramp Rehabilitation Project to Knife River, Billings Division; or
• Decline to approve the award, reject all bids, and delay the project.

The low bid cost for this project is $434,638. The project will be funded 90% with Federal Aviation Administration (FAA) Airport Improvement Program (AIP) entitlement grant funds and 10% local match funds. The FAA's grant funding will be $391,174 and the City's local match will be $43,464. The local match funds are budgeted and available in the Airport's Capital Account.

Staff recommends that the City Council accept the low bid and approve the contract award for the Operations Building Pavement Rehabilitation Project with Knife River-Billings Division for the amount of $434,638.