7.4.
CC Regular Session
- Meeting Date:
- 06/28/2016
- By:
- Bruce Westby, Engineering/Public Works
Information
Title:
Adopt Resolution #16-06-120 Accepting Bids and Awarding Contract for Improvement Project #16-00 Division A, Crackseal and Sealcoat Improvements
Purpose/Background:
Purpose:
The purpose of this case is to adopt Resolution #16-06-120 accepting bids and awarding a contract for construction for City Improvement Project #16-00 Division A, Crackseal and Sealcoat Improvements.
Background:
As part of the City's long-term Street Maintenance Program, various city streets receive cracksealing and sealcoating improvements each year to help maximize the life expectancy of the street pavement sections. Cracksealing of streets prevents stormwater runoff from seeping through cracks in the pavement and through joints between the pavement and concrete curb and gutter and/or utility castings, reducing the potential for future pavement damage due to wet subgrade soils, especially as a result of freeze-thaw cycles. Sealcoating streets helps protect pavement from the negative effects of stormwater runoff, ultraviolet rays from the sun, and oil based by-products that are deposited on pavement surfaces by vehicles.
This spring, City staff prepared final plans and specifications for a 2016 crackseal and sealcoat improvement project covering 13.53 miles of municipal streets in various locations throughout the City. On May 24th the City Council accepted final plans and specifications and authorized advertisements for bids for this work. All sealcoating was proposed to be completed using granite rock chips. In addition, two sealcoat areas were proposed to be fog sealed (Ramsey Meadows 2nd Addition and the parking lot at Fire Station 1). The total cost for fog-sealing these two areas based on the low bid is $5,855.50.
In 2015 the City tried fog-sealing several street segments after sealcoating the pavement to determine if benefits outweigh costs to fog seal. Other cities have fog-sealed over sealcoat applications in recent years and reported benefits including pavement that looks newer longer, and extended sealcoat life due to reduced loss of seal coat rock over time. Fog-sealing reportedly also reduces the amount of rocks that make their way into garages, homes and businesses on tires and the bottoms of shoes. However, this spring Staff observed essentially identical amounts of loose rock on streets that were fog sealed in 2015 versus streets that were not. It was also observed that fog sealed streets lost much of their “new street” look after the first winter. Staff therefore has not observed the anticipated short-term benefits to fog sealing over sealcoating applications, and is unsure of any long-term benefits that would outweigh the cost for fog sealing over sealcoating on future projects.
In 2015 Dresser trap rock was also applied to several streets on a trial basis in lieu of applying the more common granite rock chips to determine if feedback received from other cities regarding potential benefits to using trap rock versus granite rock chips was noticed. However, based on the higher bid prices received for trap rock in 2015, and based on Staff’s field observations, there does not appear to be a significant benefit to using trap rock so Staff did not propose to use trap rock with the 2016 project.
During the bid process staff received comments from potential bidders that granite sealcoat rock is in short supply so the City should consider allowing an alternate bid for trap rock. To ensure bids would be received for the project Staff prepared an addendum requesting an alternate bid for trap rock in lieu of granite. Epoxy paint was also specified for all striping in the addendum.
On June 21st three (3) sealed bids were received and publicly opened and read aloud. City staff checked each bid for errors and omissions, then tabulated the bids. All bids were found to be competitive and favorable, complied with the advertisement for bids, and required no adjustments based on staff review. A summary of the bids is included below, as well as in the attached resolution.
Of the three bids received, the lowest responsible bid was submitted by Pearson Bros., Inc. of Hanover, Minnesota, in the amount of $260,521.76. This bid price is valid for either the base bid or the alternate bid. This bid is $85,115.56 or 24.6% less than the engineer’s estimate of $345,637.32.
When reviewing bids, Staff observed that quantities for four of the fifteen bid items in the bid proposal were between 7% and 23% less than the quantities associated with the proposed design as shared with Council on May 24th. In addition, based on the lowest responsible bid over $150,000 would have remained unspent from the $500,000 budgeted for sealcoats in 2016. Staff therefore used the bid proposal quantities to revise the proposed project scope by removing 2.66 miles of street segments from the original project to allow the City to accept bids and award a contract for construction to the lowest responsible bidder as shown on the attached plan sheet. Staff then proposes to bid a second sealcoat project in 2016 to use the remainder of the $500,000 budgeted annually for sealcoats. This will be discussed in detail in a subsequent City Council case this evening.
Following award of contract, staff will immediately issue a Notice of Award to Pearson Bros., Inc. to initiate execution of a contract and issuance of required bonds and insurance. The City Attorney will then verify the contract, bonds and insurance are in proper legal form prior to execution of the contract. Once the contract is executed, staff will issue a Notice to Proceed allowing construction to begin. At this time it is anticipated construction will begin after July 4th and will be completed by August 19th.
The purpose of this case is to adopt Resolution #16-06-120 accepting bids and awarding a contract for construction for City Improvement Project #16-00 Division A, Crackseal and Sealcoat Improvements.
Background:
As part of the City's long-term Street Maintenance Program, various city streets receive cracksealing and sealcoating improvements each year to help maximize the life expectancy of the street pavement sections. Cracksealing of streets prevents stormwater runoff from seeping through cracks in the pavement and through joints between the pavement and concrete curb and gutter and/or utility castings, reducing the potential for future pavement damage due to wet subgrade soils, especially as a result of freeze-thaw cycles. Sealcoating streets helps protect pavement from the negative effects of stormwater runoff, ultraviolet rays from the sun, and oil based by-products that are deposited on pavement surfaces by vehicles.
This spring, City staff prepared final plans and specifications for a 2016 crackseal and sealcoat improvement project covering 13.53 miles of municipal streets in various locations throughout the City. On May 24th the City Council accepted final plans and specifications and authorized advertisements for bids for this work. All sealcoating was proposed to be completed using granite rock chips. In addition, two sealcoat areas were proposed to be fog sealed (Ramsey Meadows 2nd Addition and the parking lot at Fire Station 1). The total cost for fog-sealing these two areas based on the low bid is $5,855.50.
In 2015 the City tried fog-sealing several street segments after sealcoating the pavement to determine if benefits outweigh costs to fog seal. Other cities have fog-sealed over sealcoat applications in recent years and reported benefits including pavement that looks newer longer, and extended sealcoat life due to reduced loss of seal coat rock over time. Fog-sealing reportedly also reduces the amount of rocks that make their way into garages, homes and businesses on tires and the bottoms of shoes. However, this spring Staff observed essentially identical amounts of loose rock on streets that were fog sealed in 2015 versus streets that were not. It was also observed that fog sealed streets lost much of their “new street” look after the first winter. Staff therefore has not observed the anticipated short-term benefits to fog sealing over sealcoating applications, and is unsure of any long-term benefits that would outweigh the cost for fog sealing over sealcoating on future projects.
In 2015 Dresser trap rock was also applied to several streets on a trial basis in lieu of applying the more common granite rock chips to determine if feedback received from other cities regarding potential benefits to using trap rock versus granite rock chips was noticed. However, based on the higher bid prices received for trap rock in 2015, and based on Staff’s field observations, there does not appear to be a significant benefit to using trap rock so Staff did not propose to use trap rock with the 2016 project.
During the bid process staff received comments from potential bidders that granite sealcoat rock is in short supply so the City should consider allowing an alternate bid for trap rock. To ensure bids would be received for the project Staff prepared an addendum requesting an alternate bid for trap rock in lieu of granite. Epoxy paint was also specified for all striping in the addendum.
On June 21st three (3) sealed bids were received and publicly opened and read aloud. City staff checked each bid for errors and omissions, then tabulated the bids. All bids were found to be competitive and favorable, complied with the advertisement for bids, and required no adjustments based on staff review. A summary of the bids is included below, as well as in the attached resolution.
| CONTRACTOR | BASE BID (granite rock) | ALTERNATE BID (trap rock) |
| Pearson Bros., Inc. | $260,521.76 | $260,521.76 |
| Allied Blacktop Company | $268,472.05 | $0 |
| Asphalt Surface Technologies Corp. | $289,480.05 | $299,960.31 |
| Engineer’s Estimate | $345,637.32 | $345,637.32 |
Of the three bids received, the lowest responsible bid was submitted by Pearson Bros., Inc. of Hanover, Minnesota, in the amount of $260,521.76. This bid price is valid for either the base bid or the alternate bid. This bid is $85,115.56 or 24.6% less than the engineer’s estimate of $345,637.32.
When reviewing bids, Staff observed that quantities for four of the fifteen bid items in the bid proposal were between 7% and 23% less than the quantities associated with the proposed design as shared with Council on May 24th. In addition, based on the lowest responsible bid over $150,000 would have remained unspent from the $500,000 budgeted for sealcoats in 2016. Staff therefore used the bid proposal quantities to revise the proposed project scope by removing 2.66 miles of street segments from the original project to allow the City to accept bids and award a contract for construction to the lowest responsible bidder as shown on the attached plan sheet. Staff then proposes to bid a second sealcoat project in 2016 to use the remainder of the $500,000 budgeted annually for sealcoats. This will be discussed in detail in a subsequent City Council case this evening.
Following award of contract, staff will immediately issue a Notice of Award to Pearson Bros., Inc. to initiate execution of a contract and issuance of required bonds and insurance. The City Attorney will then verify the contract, bonds and insurance are in proper legal form prior to execution of the contract. Once the contract is executed, staff will issue a Notice to Proceed allowing construction to begin. At this time it is anticipated construction will begin after July 4th and will be completed by August 19th.
Notification:
No notifications were required for this case. Advertisements for bids were published in the Anoka Union Herald and in Finance and Commerce on May 27th and June 3rd.
Observations/Alternatives:
Observations:
Streets proposed to receive crackseal and sealcoat improvements under Division A of the 2016 Street Maintenance Program were selected by City staff based on various criteria including Pavement and Surface Evaluation Rating (PASER), maintenance histories, available budget, location, and other less tangible criteria.
Specifications are not attached but will be available for review at the Council meeting, if needed.
Alternatives:
Alternative #1 - Motion to adopt Resolution #16-06-120 accepting bids and awarding a contract for construction for City Improvement Project #16-00 Division A, Crackseal and Sealcoat Improvements.
Alternative #2 - Motion to deny adoption of Resolution #16-06-120 at this time.
Streets proposed to receive crackseal and sealcoat improvements under Division A of the 2016 Street Maintenance Program were selected by City staff based on various criteria including Pavement and Surface Evaluation Rating (PASER), maintenance histories, available budget, location, and other less tangible criteria.
Specifications are not attached but will be available for review at the Council meeting, if needed.
Alternatives:
Alternative #1 - Motion to adopt Resolution #16-06-120 accepting bids and awarding a contract for construction for City Improvement Project #16-00 Division A, Crackseal and Sealcoat Improvements.
Alternative #2 - Motion to deny adoption of Resolution #16-06-120 at this time.
Funding Source:
A total of $500,000 was budgeted for 2016 cracksealing and sealcoating work. Applying 14% for engineering to the low bid of $260,521.76 results in a total project cost of $296,994.81. The remainder of the $500,000 will be spent in 2016 on a second sealcoat project and on temporary concrete pavement repairs on Sunwood Drive through the COR. These costs will be discussed in a subsequent case this evening.
Recommendation:
Staff recommends Alternative #1 using the alternate bid for trap rock, which is the same price as the base bid. This will ensure an adequate supply of sealcoat rock for the project, and will allow the City to better evaluate the use of trap rock for sealcoating public streets.
Action:
Motion to adopt Resolution #16-06-120 accepting bids and awarding a contract for construction for City Improvement Project #16-00 Division A, Crackseal and Sealcoat Improvements.
Attachments
Form Review
| Inbox | Reviewed By | Date |
|---|---|---|
| Kurt Ulrich | Kurt Ulrich | 06/23/2016 03:56 PM |
- Form Started By:
- Bruce Westby
- Started On:
- 06/22/2016 10:57 AM
- Final Approval Date:
- 06/23/2016