Skip to main content

AgendaQuick™

View Agenda Item

Consent   1.A.2.
Regular City Council Meeting
Meeting Date:
04/13/2020
TITLE
Bid Award: W.O. 19-16 Belknap Office Remodel
PRESENTED BY:
David Mumford
Department:
Public Works
Presentation:
No

PROBLEM/ISSUE STATEMENT

This project is phase one of two phases which will remodel the Belknap Service Center to address maintenance issues that are due to the age of the building and provide space for Environmental Affairs staff which are in a remote location currently. The maintenance issues include a new roof, lighting, HVAC, and windows.  The remodel will also consolidate and centralize the Distribution and Collection Division currently spread out within the building and consolidate the existing Fiscal Services area. Phase one, as designed, accommodates the potential for a phase two project which would create office space for additional Public Works staff working in a remote location.  Phase two will only be constructed if a new city hall that can accommodate staff located at the Depot building is not constructed. 

The project was advertised on February 14, 21, 28 and March 6, 2020, in The Yellowstone County News and on the City's website. Staff opened bids on March 17th for Phase one of the remodel. There were three bidders. Diamond Construction submitted the lowest responsible bid. Bid Results were presented to Council on March 23rd and award was delayed until April 13th.

 

ALTERNATIVES ANALYZED

City Council may:
  • Award the construction contract of W.O. 19-16: Belknap Office Remodel to Diamond Construction in the amount of $1,205,000, or;
  • Do not award a contract and reject all bids. If the Contract is not awarded, phase 1 of the remodel cannot be completed and leases for existing space will need to be extended.  The roof will continue to leak and require considerable repair costs.  

FINANCIAL IMPACT

The following bids were received and evaluated:
 
Contractor Contract Price
Diamond Construction $1,205,000
TW Clark Construction $1,226,000
Heart Mountain Construction $1,276,976

Funding for this project has been approved by the City Council in the Capital Improvement Plan (CIP) for FY 20 budget. The project will use water and wastewater funds.  The bids were significantly below the available budget as the scope of the project was reduced during design.  Upon completion of this phase of construction, the leases for Public Works storage space and Environmental Affairs office space will be eliminated, saving approximately $30,000 annually.  Public works will also benefit from electricity cost savings due to more efficient lighting and windows, as well as electrical rebates from NorthWestern Energy.  The amount of these cost savings are unknown at this time.

RECOMMENDATION

Staff recommends the City Council award a contract for W.O. 19-06 Belknap Office Remodel to Diamond Construction in the amount of $1,205,000.

APPROVED BY CITY ADMINISTRATOR