Adopt Resolution #17-06-140 Accepting Bids and Awarding Contract for Improvement Project #17-01, Alpine Drive Reconstruction

Purpose:
The purpose of this case is to adopt Resolution #17-06-140 accepting bids and awarding a contract for construction for Improvement Project #17-01, Alpine Drive Reconstruction.

Background:
Final plans were prepared by City staff for Improvement Project #17-01, Alpine Drive Reconstruction, per Council direction on January 24, 2017.
 
This segment of Alpine Drive is part of the City’s Municipal State Aid System of streets therefore plans had to be reviewed and approved by MnDOT State Aid.  Attached is a copy of State Aid’s approval letter authorizing advancement of the project to construction.
 
On May 9, 2017, Council accepted plans and specifications and authorized advertisements for bids.  Bids were advertised on May 12 and May 19, 2017.  On June 7, 2017, three (3) sealed bids were received and were publicly opened and read aloud.  The bids were checked for errors and omissions, and were tabulated.  All three bids were found to be competitive and favorable, complied with the advertisement for bids, and no adjustments were required.  A summary of the bids is included below and in the attached resolution.
 

CONTRACTOR	TOTAL BID
North Valley, Inc.	$341,407.52
Douglas-Kerr Underground, LLC	$351,264.43
Hardrives, Inc.	$358,943.60
Engineer’s Estimate	$425,449.94

 
The bid of North Valley, Inc. of Nowthen, Minnesota, in the amount of $341,407.52 for the total bid for construction of said improvements in accordance with the approved plans and specifications and advertisement for bids, is the lowest responsible bidder.  Their bid is $84,042.42, or 19.8%, less than the engineer’s estimate of $425,449.94.
 
Following award of contract, staff will immediately issue a Notice of Award to North Valley, Inc. to initiate execution of a contract and issuance of the required bonds and insurance.  The City Attorney will verify that the contract, bonds, and insurance are in proper legal form prior to execution of the contract. Once a contract is executed, staff will issue a Notice to Proceed and construction may then begin.  At this time, it is anticipated that construction will begin in early July.
 
A preconstruction meeting will also be conducted before construction begins. Staff will then contact all abutting property owners to provide updates on the proposed construction schedule and operations based on the Contractors input at the preconstruction meeting.

Substantial completion will occur by September 1, 2017 to allow school buses unimpeded access to their normal routes before the next school year begins.  Final completion will occur by September 22, 2017. 

Notifications are not required for this case.

Observations:
Alpine Drive is proposed to be closed to traffic during construction to ensure construction can be completed as quickly and safely as possible, not only for the traveling public, but also for people working on the project.  Since the residential properties along the west end of the project all have their primary driveways on Armstrong Boulevard, and since garbage hauling and mail delivery services are provided from Armstrong Boulevard, closing Alpine Drive will not appreciably impact access to or services to these properties.  The proposed detour route occurs along Ramsey Boulevard/CSAH 56, Bunker Lake Boulevard/CSAH 116, and Armstrong Boulevard/CSAH 83, and Anoka County has approved the proposed detour route.

Alternatives:
Alternative #1 – Motion to adopt Resolution #17-06-140 accepting bids and awarding a contract for construction for Improvement Project #17-01, Alpine Drive Reconstruction, to North Valley, Inc, in the amount of $341,407.52.

Alternative #2 – Motion of other.

The low bid submitted by North Valley, Inc. of Nowthen, Minnesota, is $341,407.52.  After adding indirect costs for administrative (6%), engineering (15%), finance (1%), and legal (1%) costs, total project costs become $419,931.25. 
 
The improvements are proposed to be funded using a combination of street reconstruction bond proceeds and stormwater utility funds.  No special assessments are proposed with this project.

Staff recommends alternative #1.

Motion to adopt Resolution #17-06-140 accepting bids and awarding a contract for construction for Improvement Project #17-01, Alpine Drive Reconstruction, to North Valley, Inc, in the amount of $341,407.52.