Staff recommends the City Council award a construction contract to K2 Civil Inc. for WO 20-46: Landfill Compost Facility-Schedule 1 including Additive Alternate No. 1, in the amount of $1,069,282.50.

The City contracted with Great West Engineering in July, 2020, to perform an investigative study, alternatives analysis, design, and construction contract administration services related to a composting facility at the Billings Regional Landfill.  Solid Waste currently diverts green waste at the landfill, shreds it, and landfills the majority of the material.  The goal is to implement a full-scale composting operation incorporating yard waste, wood waste, and biosolids from the Water Reclamation Facility.  The initial plan is to utilize a Covered Aerated Static Pile (CASP) system that will co-compost 25,000 tons/year of waste products.  By removing these organic waste streams from the landfill, another 6-8 years of operational life is projected to be added to the Landfill.  Eventually, the plan is to increase output to 50,000 tons/year, extending the Landfill life even further.  The footprint of the site improvements is sized to accommodate the future expansion to 50,000 tons/year.  The finished compost product will initially be used at the Landfill for restoration on existing slopes and future Landfill projects and for daily intermediate cover.  After allowing some time to hone the process and likely improve the quality of the finished product, the compost material will be made available to Parks, Street & Traffic, and any other City divisions to be used in restoration on City projects.  Ultimately, there is the potential to make the compost material available to the public.  The location of the new compost facility is south of the existing Landfill, south of Hillcrest Road near the intersection of Hillcrest and Stratton Roads, on City-owned land that has been previously licensed by the Montana DEQ for solid waste operations.  

Schedule 1 of W.O. 20-46 Landfill Compost Facility generally includes the following work elements: site work to construct a 410-foot by 450-foot gravel pad for storing, staging and mixing of raw materials, a 280-foot by 60-foot asphalt pad, on which the actual composting process will take place, construction of an access road from an existing approach off of Hillcrest Road, installation of a water service line; and miscellaneous drainage improvements.  Schedule 2 involves the installation and implementation of all mechanical and electrical components needed to operate the compost facility, and was bid separately on March 21, 2023.

Schedule 1 was advertised on February 10, 17, and 24 and March 3, 2023, in the Yellowstone County News and on the City’s website.  Bids were opened on March 7, 2023.  Three bids were received.  K2 Civil, Inc. submitted the lowest responsible bid.

City Council may:

• Award a construction contract to K2 Civil Inc. for the Base Bid and Bid Alternate in the total amount of $1,069,282.50; or
• Not award a contract and reject all bids.  If the bid is not awarded, green waste and biosolids will continue to be landfilled, limiting the overall operation life of the Landfill.

The following bids were received:

Bidder (Contractor)	Base Bid Amount	Bid Add Alternate #1  (pave the access road)	TOTAL
K2 Civil Inc.	$1,023,682.50	$45,600.00	$1,069,282.50
Weave Construction	$1,222,195.00	$74,860.00	$1,297,055.00
Askin Construction	$1,539,640.00	$95,000.00	$1,634,640.00

The project was budgeted in FY23 using Solid Waste Funds.  There are sufficient funds available to award this contract.