Adopt Resolution #17-05-118 Approving Plans and Specifications and Authorizing Advertisements for Bids for Improvement Project #17-03, 2017 Crackseal and Sealcoat Improvements

Purpose:
The purpose of this case is to adopt Resolution #17-05-118 approving plans and specifications and authorizing advertisements for bids for Improvement Project #17-03, 2017 Crackseal and Sealcoat Improvements.

Background:
As part of the city's long-term Street Maintenance Program, various city streets receive crackseal and sealcoat improvements each year to help maximize the life expectancy of their pavement sections.  Cracksealing streets prevents stormwater runoff from seeping through cracks in the pavement and joints between the pavement and concrete curb and gutter and/or utility castings.  This reduces future pavement damage due to wet subgrade soils, especially during freeze-thaw cycles.  Sealcoating streets protects pavement from the negative effects of stormwater runoff, ultraviolet rays from the sun, and oil-based products deposited on the pavement by vehicles.

Plan sheets for Improvement Project #17-03, 2017 Crackseal and Sealcoat Improvements were prepared in-house and are attached for reference.  Plans call for approximately 0.24 miles of City streets to receive crackseal improvements, and approximately 13.41 miles of streets to receive crackseal and sealcoat improvements.
 
Streets proposed to receive crackseal and sealcoat improvements in 2017 were selected by City staff based on various criteria including their Pavement and Surface Evaluation Rating, their previous maintenance histories, the project scope, and other less tangible criteria.
 
Plans include a base bid plus 4 alternate bids.  This approach was discussed previously with Council. The intent of adding alternate bids is to allow the City to accept a base bid plus some combination of alternate bids such that most or all of the allocated budget for this work can be spent without needing to develop a second crackseal and sealcoat project after the first project is bid, which is inefficient.
 
All streets colored magenta on the attached plans are included in the base bid, while streets colored orange are included in the 4 alternate bids identified  as alternates A through D on their respective plan sheets.  Alternate bids are ordered based on the recommendations of staff such that alternate A should be approved first, followed by alternate B, then alternate C, and lastly alternate D.
 
Staff is not proposing to fog seal any streets this year.  Though numerous other cities fog seal over new sealcoat applications due to reported benefits including that the pavement looks newer longer, that the life of the sealcoat application is extended due to reduced loss of rock over time, and that they receive less complaints about the amount of rock making its way into garages, homes and businesses on tires and the bottoms of shoes, staff in Ramsey have not observed the same benefits.  In 2016, fog seal was applied over new sealcoating in Ramsey Meadows 2^nd Addition and the Fire Station 1 parking lot.  The intent for doing this in the Fire Station parking lot was to better secure sealcoat rock to prevent rock migration into the Fire Station.  However, no appreciable difference in rock migration has been observed in either location.  Fog seal was also applied on several streets on a trial basis in 2015 but again no appreciable benefit has been observed to date.  It is therefore staff’s opinion that the benefits for fog sealing do not outweigh the costs.
 
Dresser trap rock is proposed to be used instead of granite rock chips due primarily to the increased availability of trap rock and decreased availability of granite rock chips.

No notifications were required for this case.

Observations:
If Council approves plans and specifications and authorizes advertisements for bids, advertisements for bids will be published in the Anoka Union Herald and in Finance and Commerce on May 26th and June 2nd.  Bids will be opened publicly on June 21st, and Council will be asked to accept bids and award a contract for construction on June 27th.  Per the project specifications, work may not begin until July 10th, and work must be complete by August 18th.

Alternatives:
Alternative #1 - Motion to adopt Resolution #17-05-118 approving plans and specifications and authorizing advertisements for bids for Improvement Project #17-03, 2017 Crackseal and Sealcoat Improvements.

Alternative #2 - Motion to deny adoption of Resolution #17-05-118 at this time.

Attached is a cost estimate for the proposed improvements.  Estimated costs for the base bid plus 4 alternates totals $503,306. This includes 14% indirect costs for administrative, engineering, legal and financing.

A total of $500,000 was budgeted in 2017 for crackseal and sealcoat improvements, but as previously discussed staff would like to use approximately $70,000 of this budgeted amount for other purposes.  This leaves approximately $430,000 available for all 2017 Crackseal and Sealcoat Improvements.

Staff anticipates that bids will be favorable and will therefore be equal to or slightly less than staff’s estimated costs.

Assessments are not proposed to fund any portion of the 2017 Crackseal and Sealcoat Improvements.

Staff recommends Alternative Action #1.
 
The Public Works Committee reviewed the proposed 2017 Crackseal and Sealcoat Improvement project on May 16th and recommended City Council approval of plans and specifications.
 
The Public Works Committee also recommended City Council approval for reserving approximately $70,000 of the $500,000 budgeted for 2017 Crackseal and Sealcoat Improvements for two other purposes directly related to street maintenance.  First, staff proposes to evaluate pavement sections on street segments proposed to be reconstructed and/or milled and overlaid per the City’s 2017 - 2026 Capital Improvement Program.  This work was estimated to cost $35,000 and will be addressed in more detail in a separate case later this evening.  Second, Public Works Staff requests that $35,000 be reserved to fund spray patching operations which are effective in sealing cracks and filling small potholes, and has been well-received by the public.  Public Works rented a spray patch machine this spring and has been patching streets for over a month.  This work was not budgeted for but is allowing staff to evaluate whether it may be more cost-effective to rent and operate a spray patch machine versus buying one as is currently identified in the CIP.

Motion to adopt Resolution #17-05-118 approving plans and specifications and authorizing advertisements for bids for Improvement Project #17-03, 2017 Crackseal and Sealcoat Improvements.