Adopt Resolution #21-108 Accepting Bids and Awarding Contract for 2021 MSA Pavement Overlay Improvements, Improvement Project #21-05

Purpose:
The purpose of this case is to adopt Resolution #21-108 Accepting Bids and Awarding Contract for 2021 MSA Pavement Overlay Improvements, Improvement Project #21-05.
 
Background:
Overlaying the Municipal State Aid (MSA) streets identified within the 2021 – 2030 Capital Improvement Program for 2021 will allow the City to maintain these streets in the most cost-effective manner throughout the serviceable life of the streets.
 
The MSA street segments proposed to receive bituminous pavement overlay improvements in 2021 are:
 

• Sunwood Drive between Bunker Lake Boulevard and Sunfish Lake Boulevard
• Sunwood Drive between Erkium Street and Trunk Highway 47

 
A street segment summary is attached. The proposed project is 0.72 miles in total length.
 
On January 12, 2021 the Ramsey City Council adopted resolution #21-012, ordering Staff to prepare plans and specifications for improvement project #21-05, 2021 MSA Pavement Overlay Improvements. Staff has prepared plans and specifications in-house, as part of their normal duties.
 
On March 23, 2021 the Ramsey City Council adopted resolution #21-075, approving plans and specifications for improvement project #21-05, and authorizing advertisements for bids.
 
The proposed improvements are designated as City Improvement Project #21-05, 2021 MSA Pavement Overlay Improvements.

No work is proposed to occur on Sunwood Drive east of Bunker Lake Boulevard as part of Anoka County's 2021 Bunker Lake Boulevard interim improvements project, other than striping for the proposed turn lanes as needed for the new signal system. Striping improvements proposed with this project will be coordinated with Anoka County to prevent/minimize any throw away costs, as best as practical.  

Advertisements were published in the Anoka Union Herald and in Finance & Commerce on March 26 and April 2, 2021. Bids were also advertised on-line on QuestCDN.

Alternative #1 – Motion to adopt Resolution #21-108 accepting bids and awarding a contract for 2021 MSA Pavement Overlay Improvements, Improvement Project #21-05, to North Valley, Inc. for the total bid in the amount of $206,395.58.
 
Alternative #2 – Motion to deny adoption of Resolution #21-108 at this time.

Bids were advertised in the Anoka Union Herald and in Finance and Commerce on March 26 and April 2, 2021. On April 19, 2021 a total of eight (8) bids were received, opened, and tabulated, and the following bids were found to comply with the advertisement for bids.
 

CONTRACTOR	TOTAL BID
North Valley, Inc.	$ 206,395.58
Valley Paving, Inc.	$ 220,979.51
Northwest	$ 226,862.01
Park Construction Company	$ 229,115.44
Asphalt Surface Technologies Corp.	$ 232,644.68
Rum River Contracting	$ 238,757.01
Bituminous Roadways, Inc.	$ 245,713.77
Omann Brothers Paving, Inc.	$ 256,877.47
Engineer’s Estimate	$258,919.50

 
The bid of North Valley, Inc. of Nowthen, Minnesota, in the amount of $206,395.58 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 bid. Adding indirect costs in the amount of 14% brings total project costs to $235,290.96.
 
The low bid is 20% less than the engineer’s estimate of $258,919.50, primarily due to lower than estimated bituminous paving costs.
 
Funding sources for these improvements includes a mix of Municipal State Aid (MSA) Funds, and Stormwater Utility Funds.
 

• MSA Funds = $229,380.69
• Stormwater Utility Funds = $5,910.27
• Total Project Costs = $235,290.96

 
City Staff proposes to administer and inspect construction.
 
Plans and specifications were prepared in-house as part of Staff’s normal duties.

Staff recommends Alternative #1.

Motion to adopt Resolution #21-108 accepting bids and awarding a construction contract for 2021 MSA Pavement Overlay Improvements, Improvement Project #21-05, to North Valley, Inc. for the total bid in the amount of $206,395.58.