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Item 1.A.4.
 
City Council Regular
Date: 02/13/2023
Title: W.O. 23-03: Contract No. 1 City Overlay, Bid Award
Presented by: Debi Meling
Department: Public Works
Presentation: No
Legal Review Not Applicable

RECOMMENDATION

Staff recommends the City Council award a contract for W.O. 23-03 Contract No. 1 City Overlay to Knife River in the amount of $1,309,836.20.

BACKGROUND (Consistency with Adopted Plans and Policies, if applicable)

The Contract 1 City Overlay project is part of the ongoing Street Preventative Maintenance Program in place since 1985. Annually, staff identifies streets proposed for preventative maintenance that includes pavement patching (digouts), chip seal resurfacing, overlay resurfacing, and crack sealing. This year's projects include Contract 1 City Overlay, Contract 2 City Chip Seal, and Contract 3 City Digouts. Contract 1 will mill and overlay approximately 1.7 miles of Hilltop Road (Bazaar Exchange to Bench Boulevard) and Central Ave (BBWA Canal to South 32nd Street West).  New striped, separated bike lanes are being added to the Hilltop Road project in conjunction with the overlay, pending Montana Department of Transportation approval at Main Street. The project was bid with an Additive Alternate A (Parkhill Drive) to maximize the budget. However, staff is recommending not awarding the Additive Alternate A so that Contract 2 City Chip Seal Schedule 1 and Contract 3 City Digouts may be awarded, and all three projects will fall within the budget.  Parkhill Drive would be completed in the next three years.  A work location map is attached.

The contract was advertised on November 25, December 2, 9, and 16, 2022, in The Yellowstone County News and on the City's website. Staff opened bids on December 20, 2022, for W.O. 23-03 Contract No. 1 City Overlay. There were two bids received. Knife River submitted the lowest responsible bid.

ALTERNATIVES

City Council may:
  • Award W.O. 23-03 Contract No. 1 City Overlay to Knife River in the amount of $1,309,836.20; or,
  • Do not award a contract and reject all bids. If the contract is not awarded, the streets planned for maintenance will continue to degrade.

FISCAL EFFECTS

The following bids were received:
Contractor Base Bid Additive Alternate A
Knife River $1,309,836.20 $237,769.80
Askin Construction $1,389,293.90 $242,397.80

The project was budgeted in FY23 using Gas Tax and Street Maintenance District II funds in the amount of $2,750,000. The remaining funds will be used for Contract 2 City Chip Seal, Contract 3 City Digouts, and the administration portion of the program. There is sufficient budget to award this project.

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