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9.B.
City Council Meeting - FINAL
Meeting Date:
05/05/2026
From:
Geneva Lanzetta, Capital Improvements Project Manager

TITLE:

Consideration and Approval of Contract:   Construction Contract with J. Banicki Construction, Inc. for the Highway 89 Smokerise Intersection Rebuild (“the Project”) in the amount of $1,064,129.25.

STAFF RECOMMENDED ACTION:

  1. Approve the Construction Contract with J. Banicki Construction, Inc. (“Contractor”) in the amount of $1,064,129.25 with a contract duration of 300 calendar days;
  2. Approve a contract allowance of $53,206.46, which is 5% of the lowest responsive bid;
  3. Approve Administrative Change Order Authority to the City Manager in the amount of $106,412.92, which is 10% of the lowest responsive bid; and
  4. Authorize the City Manager to execute the necessary documents.

Executive Summary:

The recommended Construction Contract with J. Banicki Construction, Inc. will authorize the Contractor to provide construction services for the Highway 89 and Smokerise Rebuild Project. The Project is located at the intersection of Smokerise Drive and Highway 89, with a bid alternate location at the intersection of Country Club Drive and Nestle Purina Avenue. Work at Smokerise Drive includes complete signal replacement, median realignment, curb ramps, signing, and striping. Work at Nestle Purina Avenue will include one signal pole replacement and related work.

Financial Impact:

The Project is funded by Proposition 419 Street Operations Fund. The total budget appropriation is $1,348,000.00 (includes FY2025-26 estimate and FY2026-27 proposed budget). This total project budget accommodates construction administration, permitting, construction, testing and inspection, and Capital Improvements project management costs.

Policy Impact:

No impact.

Previous Council Decision or Community Discussion:

The Council has previously approved the FY2025-26 Capital Improvements 5-year Plan and authorized the FY2025-26 budget for this Project.

Options and Alternatives to Recommended Action:

  1. Approve the Construction Contract as recommended. Approval will allow work on the project to proceed without delay; or 
  2. Reject all bids. This action would delay the Project. If rejection occurs, possible options include:
    1. Evaluate other procurement options for the Project; or
    2. Suspend or cancel the Project.

Background and History:

The intersection of Highway 89 and Smokerise Drive has long presented operational and safety challenges due to its existing geometric configuration. The current layout restricts a driver’s ability to clearly see oncoming traffic when attempting to make left-turn movements from Highway 89 in both directions. The limited sight distance has contributed to multiple recorded collisions at the intersection, underscoring a persistent safety concern for motorists. The intersection is currently American with Disabilities Act (ADA) non-compliant in several areas. The existing curb ramps are deficient, the existing push buttons are misplaced and too far from existing ramps, the east leg lacks push buttons and pedestrian signals, and the north leg pedestrian crossing does not exist. The planned improvements will realign the intersection to correct these deficiencies, improve sight lines, support safer and more predictable turning movements, correct ADA deficiencies, and bring it into conformance with established engineering guidance and available resources.

In addition to the Smokerise Drive improvements, the project also includes upgrades at the Country Club Drive and Nestle Purina Avenue intersection. Under current conditions, the southbound traffic signal mast arm is vulnerable to being struck by vehicles due to insufficient vertical clearance. These strikes not only damage infrastructure but also pose risks to motorists and create avoidable maintenance burdens. The project will replace and update the existing traffic signal pole and mast arm to achieve standard Federal Highways Administration vertical clearance.

The Purchasing Section posted an Invitation for Bid solicitation for construction on March 10, 2026, on the OpenGov.com website and advertised March 17, 2026, and March 28, 2026, in the Arizona Daily Sun. There were six (6) firms that submitted one (1) bid, received on the opening date, April 10, 2026. After reviewing all bids received, staff determined that J. Banicki Construction, Inc., was the lowest responsive and responsible bidder.

Banicki: $1,064,129.25     
Mountain High: $1,091,813.00                           
Jud Co.: $1,383,201.30                           
Ames: $1,444,641.00 
Granite: $1,595,159.00                           
Combs: $1,598,810.00                           
                         
Community Benefits and Considerations:
These improvements will enhance pedestrian and driver safety, reduce crash risk, and support a more reliable transportation network for the surrounding community and businesses.

Connection to PBB Priorities and Objectives:

Sustainable, Innovative Infrastructure: Deliver outstanding services to residents through a healthy, well-maintained infrastructure system.

Connection to Regional Plan:

Goal T.1. Improve mobility and access throughout the region.
Goal T.2. Improve transportation safety and efficiency for all modes.

Connection to Carbon Neutrality Plan:

Not applicable.

Connection to 10-Year Housing Plan:

Not applicable.

Connection to Division Specific Plan:

Active Transportation Master Plan –
Goal: design and build transportation infrastructure that is appropriate for the context of the corridor, neighborhood, or district where it is located.
Policy 4.2: Conduct roadway safety audits or assessments at locations identified as having high volumes or high rates of crashes.
The Highway 89 and Smokerise intersection has been identified in the City’s Annual Crash Report as a high crash location warranting further investigation.

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