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File #: 21-0531    Version: 1
Type: Award of bid, rfp, etc. Status: Passed
File created: 4/15/2021 In control: City Council
On agenda: 5/4/2021 Final action: 5/4/2021
Title: Approve the award of Bid 21-002, 2021 Street Resurfacing Program - City, to K-Five Construction, for an amount not to exceed $4,548,679.25, plus a 3% contingency (Item 1 of 2)
Attachments: 1. CIP PAGE
Related files: 21-0532

CITY COUNCIL AGENDA ITEM

 

ACTION REQUESTED:
title

Approve the award of Bid 21-002, 2021 Street Resurfacing Program - City, to K-Five Construction, for an amount not to exceed $4,548,679.25, plus a 3% contingency (Item 1 of 2)

body

 

DEPARTMENT:                     Transportation, Engineering and Development

 

SUBMITTED BY:                     William J. Novack, Director

 

BOARD/COMMISSION REVIEW:
N/A

 

BACKGROUND:

The other related item on the City Council agenda is:

§                     21-0532 Adopt a resolution to allow for the expenditure of State Motor Fuel Tax

 

The City currently maintains almost 460 centerline miles of road through the annual street maintenance program. The annual resurfacing program ensures smooth roads and protects the infrastructure investment in the pavement base.  When resurfacing is delayed, the roadway can no longer be effectively resurfaced and base failures will lead the new pavement to fail much sooner than normal.  This results in additional funds being expended to keep the roadways in a serviceable condition.

 

The Transportation, Engineering and Development (TED) Business Group will conduct two street resurfacing programs in 2021:

1.                     One using state motor fuel tax (MFT) funds

2.                     One using both MFT and City funds. 

 

In March 2021, the TED Business Group issued Bid 21-002, 2021 Street Resurfacing Program-City, to seek contractors to resurface approximately 78,363 feet (14.84 miles) of various local roadways. This is an annual program to rehabilitate existing streets by resurfacing the existing pavement.   This work will be paid for using both state motor fuel tax (MFT) and City funds.  The expenditure of state MFT funds requires the approval and supervision of the Illinois Department of Transportation. The corporate authorities of the municipality must adopt a resolution appropriating the MFT funds (agenda item 21-0532).

 

DISCUSSION:

 

Advertisement Date:

03/26/21

Notices Sent:

113

Opening Date:

04/16/21

Planholders:

  18

 

 

Proposals Received:

    1

 

Bids were received from the following vendors:

 

Vendor Name

Proposed Cost

Engineer’s Estimate

$4,976,540.00

K-Five Construction

$4,548,679.25

 

 

 

Staff contacted plan holders to find out why they chose not to bid. As mentioned above, this year’s City program will be supplemented with MFT funds. When MFT funds are used, this triggers the IDOT requirement that a contractor owns its hot mix asphalt plant. This requirement generally limits the number of contractors able to submit a bid. Staff confirmed with area contractors that this was the reason for the limited bid response.  

 

The engineer’s estimate was based on unit prices obtained from the 2019 and 2020 Street Resurfacing Programs.  The bid received came in below the engineer’s estimate.

 

The completion date of this project is October 31, 2021.

 

FISCAL IMPACT:

CIP #: MP009 - Street Maintenance Improvement Program (MIP)

 

Street Resurfacing - City is expensed to the Infrastructure account listed below. A total of $5,925,000 MFT Funds was budgeted for Street Resurfacing in 2021. Previously $3,739,514.10 has been allocated to 21-001, the rest of $2,185,485.90 will be allocated to 21-002.  Other funds will be used for 2021 Street Resurfacing - City includes Road/Bridge Fund and Bond Fund, of which $2,170,000 and $3,850,000 respectively were budgeted for Resurfacing in 2021. The requested award is within the budgeted amount for this expense.

 

Account Number

Fund Description

Total Budget Amount

30282500-551502

Motor Fuel Tax Fund

$8,868,241

30282400-551502

Road and Bridge Fund

$2,170,000

30282300-551502

Bond Fund

$9,243,000

 

Street Resurfacing is one component of the overall award for MP009.  The chart below breaks out the different award components and award timeframes for the MIP.

 

Project Name

Bid No.

Award Amount

Status

Resurfacing - MFT

21-001

$3,739,514.10

Award - 4/20/2021

Resurfacing - City

 21-002

 $4,548,679.25

Recommend to be Awarded - 5/4/2021

Crackfilling

 21-003

 $359,110.12

Recommend to be Awarded - 5/4/2021

Patching

21-004

$434,150.00

Awarded - 4/7/2021

Microsurfacing

 21-005

 $1,164,536.00

Recommend to be Awarded - 5/4/2021

Sidewalk R&R for Micro

21-006

$446,462.00

Awarded - 4/7/2021

Total

 

$10,692,451.47

 

 

*Per Council directive, contingency on construction projects is set at 3% on projects over $500,000 and 5% on projects under $500,000