Consent 1.B.3.
Regular City Council Meeting
- Meeting Date:
- 06/14/2021
- Title
- W.O. 20-07 Solid Waste CNG Station Expansion, Bid Award
- Presented by:
- Debi Meling
- Department:
- Public Works
- Division:
- Engineering
RECOMMENDATION
Staff recommends the City Council reject all bids received for W.O. 20-07 Solid Waste CNG Station Expansion.
BACKGROUND (Consistency with Adopted Plans and Policies, if applicable)
W.O. 20-07 Solid Waste CNG Station Expansion involves expanding the City's existing compressed natural gas (CNG) fueling operations at the Billings Operation Center (BOC). The project consists of installing 12 slow-fill fueling ports and 2 fast-fuel fueling ports; installing new electrical outlets at all existing and new fueling ports for engine block and hydraulic heaters; installing pin-down curbs, jersey barriers, movable concrete blocks, and asphalt striping; and all other electrical, mechanical, structural, storage systems, and site work necessary to complete the project. An additive alternate was included in the bid to provide a SCADA system to report any outages or errors experienced by the existing CNG compressors. There are currently 16 existing fueling ports and two compressors making up the system.
The project was advertised on May 7, 14, and 21, 2021, in the Yellowstone County News and on the City’s website. Bids were opened on May 25, 2021, and three bids were received. Ace Electric submitted the lowest, responsible bid, in the amount of $727,430.00. However, this is approximately $327,000 over the budget amount of $400,000. Staff will re-evaluate the design with the engineering consultant (HDR Engineering) and contractors, make any pertinent changes, and re-bid the project when the bidding environment is more favorable.
The project was advertised on May 7, 14, and 21, 2021, in the Yellowstone County News and on the City’s website. Bids were opened on May 25, 2021, and three bids were received. Ace Electric submitted the lowest, responsible bid, in the amount of $727,430.00. However, this is approximately $327,000 over the budget amount of $400,000. Staff will re-evaluate the design with the engineering consultant (HDR Engineering) and contractors, make any pertinent changes, and re-bid the project when the bidding environment is more favorable.
ALTERNATIVES
City Council may:
- Award W.O. 20-07 Solid Waste CNG Station Expansion, to Ace Electric in the amount of $727,430.00, which greatly exceeds the approved budget; or
- Do not award a contract and reject all bids.
FISCAL EFFECTS
The following bids were received:
Construction of the project was budgeted in FY21 using Solid Waste funds. The original amount budgeted was $1,000,000, but was revised to $400,000 when the scope of work was changed during design. The low bid greatly exceeds the approved budget, so the project will be evaluated with the consulting engineer and contractors, and re-bid when there is a more favorable bidding environment.
| Contractor | Total Lump Sum Bid (Including Additive Bid Alternate) | Additive Bid Alternate |
| Ace Electric LLC | $ 727,460.00 | $ 27,460.00 |
| Star Service, Inc. | $ 760,605.00 | $ 29,500.00 |
| Colstrip Electric, Inc. (CEI) | $ 149,700.00 (only Bid Schedule III) | $ 9,500.00 |
Construction of the project was budgeted in FY21 using Solid Waste funds. The original amount budgeted was $1,000,000, but was revised to $400,000 when the scope of work was changed during design. The low bid greatly exceeds the approved budget, so the project will be evaluated with the consulting engineer and contractors, and re-bid when there is a more favorable bidding environment.