Agenda - Council - 02/27/2018 - Laserfiche WebLink

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ngineer's Estimate $554, 640.56 The bid of Pearson Brothers, Inc. of Hanover, Minnesota, in the amount of $434,699.22 for the base bid plus 3 bid alternates in accordance with the approved plans and specifications and advertisement for bids, is the lowest responsible bidder. Their bid is $119,941.34, or 21.6%, less than the engineer's estimate of $554,640.56. If Council accepts bids and awards a Contract to Pearson Brothers, staff will issue a Notice of Award to initiate execution of a Contract and issuance of required bonds and insurance. The City Attorney will then verify that the Contract, bonds, and insurance are in proper legal form prior to execution of the Contract. After the Contract is executed, a Notice to Proceed will be issued allowing construction to commence. A preconstruction meeting will be conducted before construction begins. At this meeting, the contractor will provide the City with their sealcoat mix design and proposed schedule. Staff will then prepare and mail postcards to all property owners having immediate access onto streets being cracksealed and sealcoated to notify them of the proposed improvements and construction schedule, and to provide contact information and other pertinent project details. Alternatives: Alternative 41 - Motion to adopt Resolution 418-048 accepting bids and awarding a Contract to Pearson Brothers, Inc. in the amount of $434,699.22 for the base bid plus 3 bid alternates for 2018 Crackseal and Sealcoat Improvements, Improvement Project 418-04. Alternative 42 - Motion to deny adoption of Resolution 418-048 at this time. Funding Source: The low bid submitted by Pearson Brothers is $434,699.22. After adding 14% indirect costs for administrative (5%), engineering (7%), finance (1%), and legal (1%) costs, total project costs become $495,557.11. These improvements are proposed to be funded using the $500,000 budgeted annually for pavement crackseal and sealcoat projects, which would leave $4,442.89 unspent if final project costs equal the bid amount. Any unspent funds could be used by Public Works for additional street patching in 2018. No special assessments are proposed with this project. Recommendation: Staff recommends Alternative 41. Action: Motion to adopt Resolution 418-048 accepting bids and awarding a Contract to Pearson Brothers, Inc. in the amount of $434,699.22 for the base bid plus 3 bid alternates for 2018 Crackseal and Sealcoat Improvements, Improvement Project 418-04. Resolution 18-048 Plans IP 1804 Attachments Form Review Inbox Reviewed By Date Kurt Ulrich Kurt Ulrich 02/22/2018 02:51 PM Form Started By: Bruce Westby Started On: 02/20/2018 03:18 PM Final Approval Date: 02/22/2018