ADMINISTRATION - Dan Schluender, City Engineer
Title
ACCEPT BID FROM VALLEY PAVING, INC. IN THE AMOUNT OF $760,506.25 FOR THE PAVEMENT MANAGEMENT PROGRAM 2018 STREET RECONSTRUCTIONS, IMPROVEMENT PROJECT NO. 18-07
Background
Bids were received at 10:00 AM, August 28, 2018 for Project No. 18-07. A total of 5 bids were received ranging from $760,506.25 to $853,441.10. The Engineer’s estimate for construction and the three lowest bidders are as follows:
|
Engineer’s Estimate - Construction Cost |
$797,500.00 |
|
Valley Paving, Inc. |
$760,506.25 |
|
North Valley, Inc. |
$772,225.83 |
|
ASTECH Corp. |
$797,974.26 |
Bids have been checked and tabulated, and it has been determined that Valley Paving, Inc. of Shakopee, Minnesota is the lowest bidder. The Engineering Department has worked with Valley Paving, Inc. on previous contracts. Staff recommends the low bid be accepted and a contract entered into with Valley Paving, Inc.
City Council is also asked to approve a 10% contingency to bring the total project budget to $836,557.00. The funding source for this project is the City Pavement Management Program Fund, and there are sufficient funds to cover these costs.
Recommendation
By motion, adopt the resolution.
Body
WHEREAS, pursuant to advertisement for bids for Improvement Project No. 18-07, said bids were received on August 28, 2018, opened and tabulated according to law, and the following three lowest bids were received complying with the advertisement:
|
Valley Paving, Inc. |
$760,506.25 |
|
North Valley, Inc. |
$772,225.83 |
|
ASTECH Corp. |
$797,974.26 |
AND WHEREAS, Valley Paving, Inc. of Shakopee, 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 Valley paving, Inc. for the designated improvements in the amount of $760,506.25.
2. A 10% contingency is hereby approved to bring the total project budget to $836,557.00 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 6th day of September, 2018.