ITEM: 12.1 ADMINISTRATION - Robert Therres, Public Services Manager
Title
ACCEPT BID FROM NEW LOOK CONTRACTING, INC. IN THE AMOUNT OF $82,686.75 FOR WATER TOWER NO. 3 RECONDITIONING - ALTITUDE VALVE (IMPROVEMENT PROJECT NO. 12-12)
Background
Bids were received at 10:00 a.m., October 9, 2012, for installation of an altitude valve for Water Tower No. 3, Improvement Project No. 12-12. The valve is being installed in advance of the reconditioning of Tower No. 3 and will help stabilize system water pressure. A total of three (3) bids were received ranging from $82,686.75 to $126,358.00. The Engineer's estimate for construction and three lowest bidders are as follows:
Engineer's Estimate - Construction Cost |
$114,200.00 |
New Look Contracting, Inc. |
$ 82,686.75 |
Hydrocon, Inc. |
$105,280.00 |
Penn Contracting, Inc. |
$126,358.00 |
Bids have been checked and tabulated, and it has been determined that New Look Contracting, Inc. of Elk River, Minnesota is the lowest bidder. The Engineering Department has worked with New Look Contracting, Inc. on previous contracts. I recommend the low bid be accepted and a contract entered into with New Look Contracting, Inc.
City Council is also asked to approve a 10% contingency to bring the total project budget to $90,955.44. The funding source for this project is the Water Utility Fund and there are sufficient funds to cover these costs.
Recommendation
By motion, approve the resolution.
Body
WHEREAS, Improvement Project No. 12-12 is being bid as two separate contracts - the first for installation of an altitude valve and the second for reconditioning of Water Tower No. 3; and
WHEREAS, pursuant to advertisement for bids for installation of an altitude valve for Water Tower No. 3, Improvement Project No. 12-12, said bids were received on October 9, 2012, opened and tabulated according to law, and the following three lowest bids were received complying with the advertisement:
New Look Contracting, Inc. |
$ 82,686.75 |
Hydrocon, Inc. |
$105,280.00 |
Penn Contracting, Inc. |
$126,358.00 |
AND WHEREAS, New Look Contracting, Inc. of Elk River, Minnesota is the lowest responsible bidder.
NOW, THEREFORE, BE IT RESOLVED, by the City Council of the City of Blaine as follows:
1. The Mayor and City Manager are hereby authorized and directed to enter into a contract with New Look Contracting, Inc. for the designated improvements in the amount of $82,686.75.
2. A 10% contingency is hereby approved to bring the total project budget to $90,955.44 and the Public Services Manager is hereby authorized to sign all change orders up to the authorized project budget amount.
3. The City Clerk is hereby authorized and directed to return forthwith to all bidders the bid bonds submitted with their bids, except the three lowest bidders. When a contract is duly executed, the bid bonds of the two remaining unsuccessful bidders will be returned. The bid bond of the successful bidder will be retained until the performance and payment bonds have been executed and approved, after which the bid bond will be returned.
PASSED by the City Council of the City of Blaine this 18th day October, 2012.