Adopt Resolution #17-07-180 Accepting Bids and Awarding Contract for Improvement Project #16-20, Riverdale Drive Extension - Traprock Street to Ramsey Boulevard

Purpose:
The purpose of this case is to adopt a resolution accepting bids and awarding a Contract for construction for Improvement Project #16-20, Riverdale Drive Extension - Traprock Street to Ramsey Boulevard.

Background:
In September 2014, the Cities of Ramsey and Anoka, in partnership with the Minnesota Department of Transportation (MnDOT), the Anoka County Highway Department, and the Metropolitan Council, completed the Highway 10 Access Planning Study. This Study includes an Implementation Plan that identifies 21 proposed improvement projects along the Highway 10 corridor through Anoka and Ramsey. These projects are prioritized as immediate, short-term, mid-term, or opportunity/development/safety driven projects. The extension of Riverdale Drive from Traprock Street to Ramsey Boulevard is prioritized as an immediate need, the highest priority.

On October 28, 2014, the City Council adopted the Highway 10 Access Planning Study, thereby supporting the mutual goals and objectives of the various agencies to improving the operations and safety of Highway 10 in balance with local community values. In support of these goals and objectives, City staff submitted an application on January 2, 2015 for $750,000 in grant funding from the Routes of Regional Significance Account, administered through the Local Road Improvement Program, for extending Riverdale Drive between Traprock Street and Ramsey Boulevard.  This application was subsequently denied.

On May 26, 2015, the City Council authorized applying for up to $710,000 in funding through the MnDOT Metro Municipal Agreement Program. On September 21, 2015, the City was notified the project was awarded up to $584,280 in funding through the Metro Municipal Agreement Program.

On October 13, 2015, the City Council adopted a resolution accepting the awarded MnDOT Metro Municipal Agreement Program funds for the Riverdale Drive extension project in the maximum amount of $584,280.  This obligated the City to moving forward with the project including preparation of final Plans and Specifications, as well as executing a Cooperative Construction Agreement before awarding a Contract for construction.  

On November 24, 2015, the City Council adopted a resolution authorizing Bolton & Menk, Inc, to prepare final plans and specifications.
 
In the spring of 2017, the City of Ramsey paid $200,000 to Anoka County to acquire 5.31 acres of roadway right-of-way along the north edge of the Mississippi West Regional Park as needed to extend Riverdale Drive.  MnDOT was then able to complete their review of final plans and specifications and to sign the plans allowing the project to be let for bids.
 
On July 11, 2017, Council approved entering into a Cooperative Construction Agreement between the City and MnDOT, which allows the awarded Metro Municipal Agreement Program funds to be applied to the improvements.  This Agreement must be executed before a Contract for construction can be awarded by the City. This Agreement also states the City will receive bids and award a construction contract to the lowest responsible bidder, subject to concurrence by the State, and that the City will, within 7 days of opening bids for the construction contract, submit to the State's State Aid Agreements Engineer a copy of the low bid and an abstract of all bids together with the City's request for concurrence by the State in the award of the construction contract.  The City may therefore not award a Contract for construction until the State advises the City in writing of its concurrence.  Award of contract must therefore be approved contingent on execution of the Cooperative Construction Agreement and on receiving a letter of bid concurrence from the State.
 
On June 27, 2017, the City Council approved plans and specifications and authorized advertising for bids. Bids were advertised on June 30 and July 7, 2017.  On July 21, 2017, eight (8) sealed bids were received and were publicly opened and read aloud.  The bids were checked for errors and omissions, and were tabulated.  All 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
Douglas-Kerr Underground, L.L.C.                 $701,270.54
Forest Lake Contracting, Inc.                         $759,454.91
RL Larson Excavating Inc                              $762,571.15
Kuechle Underground Inc.                             $773,292.37
Northdale Construction Company, Inc.         $775,654.73
Ryan Contracting Co.                                   $796,845.00
LaTour Construction, Inc.                             $797,210.35
Park Construction Company                        $809,638.90
 
The bid of Douglas-Kerr Underground, L.L.C., of Mora, MN in the amount of $701,270.54 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.  
 
Following award of contract, staff will issue a Notice of Award to Douglas-Kerr Underground, L.L.C. 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.
 
A preconstruction meeting will also be conducted before construction begins.
 

Notifications are not required for this case.

Observations:
Staff anticipates that construction may begin in early to mid-August, allowing substantial project completion before the end of October.

 

Alternatives:
Alternative #1 - Adopt Resolution #17-07-180 accepting Bids and awarding a Contract for Improvement Project #16-20, Riverdale Drive Extension - Traprock Street to Ramsey Boulevard, contingent on execution of the Cooperative Construction Agreement and on receiving a letter of bid concurrence from the State.

Alternative #2 - Deny adoption of Resolution #17-07-180 at this time.

The low bid submitted by Douglas-Kerr Underground is $701,270.54.  After adding indirect costs, the total project cost is $862,562.76.
 
The City's cost share is estimated to be less than $550,000 after the Metro Municipal Agreement funds are applied.  Municipal State Aid dollars are proposed to cover the City’s cost share as noted in the current CIP.

Staff recommends approving alternative #1.

Motion to adopt Resolution #17-07-180 accepting Bids and awarding a Contract for Improvement Project #16-20, Riverdale Drive Extension - Traprock Street to Ramsey Boulevard, contingent on execution of the Cooperative Construction Agreement and on receiving a letter of bid concurrence from the State.