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Alternative #1 — Motion to adopt Resolution #21-107 accepting bids and awarding a construction contract for 2021 <br />Neighborhood Pavement Overlay Improvements, Improvement Project #21-04, to North Valley, Inc. for the total <br />bid in the amount of $421,410.74. <br />Alternative #2 — Motion to deny adoption of Resolution #21-107 at this time. <br />Funding Source: <br />Bids were advertised in the Anoka Union Herald and in Finance and Commerce on March 26 and April 2, 2021. On <br />April 19, 2021 a total of seven (7) bids were received, opened, and tabulated, and the following bids were found to <br />comply with the advertisement for bids. <br />CONTRACTOR TOTAL BID <br />North Valley, Inc. i $ 421,410.74 <br />Asphalt Surface Technologies Corp. <br />Valley Paving, Inc. <br />Omann Brothers Paving, Inc. <br />Bituminous Roadways, Inc. <br />Northwest <br />Rum River Contracting <br />Engineer's Estimate <br />$ 474,072.35 <br />$ 481,664.65 <br />$ 489,179.83 <br />$ 498,293.55 <br />$ 501,577.81 <br />$ 577,174.09 <br />$521,438.00 <br />The bid of North Valley, Inc. of Nowthen, Minnesota, in the amount of $421,410.74 for the total bid for <br />construction of said improvements in accordance with the approved plans and specifications and advertisement for <br />bids, is the lowest responsible bidder. Adding indirect costs in the amount of 14% brings total project costs to <br />$480,408.24. <br />Per the final plans and specifications, estimated construction costs were $521,438.00. After adding 14-percent for <br />indirect costs for administrative, engineering, finance and legal costs, estimated project costs totaled $594,439.32. <br />The low bid is 19% less than the engineer's estimate, primarily due to lower than estimated bituminous paving cost. <br />Funding sources for these improvements includes a mix of Pavement Management Funds, and Stormwater Utility <br />Funds. <br />• Pavement Management Funds $457,445.71 <br />• Stormwater Utility Funds $22,962.53 <br />• Total Project Costs $480,408.24 <br />City Staff proposes to administer and inspect construction <br />Plans and specifications were prepared in-house as part of Staff's normal duties. <br />Recommendation: <br />Staff recommends Alternative #1. <br />Action: <br />Motion to adopt Resolution #21-107 accepting bids and awarding a construction contract for 2021 Neighborhood <br />Overlay Improvements, Improvement Project #21-04, to North Valley, Inc. for the total bid in the amount of <br />$421,410.74. <br />Attachments <br />Resolution #21-107 <br />