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Observations:
<br />On July 29, 2022, a total of four (4) bids were received, opened, tabulated, and found to comply with the
<br />advertisement for bids.
<br />,CONTRACTOR
<br />Douglas -Kerr Underground, L.L.C.
<br />Forest Lake Contracting, Inc.
<br />New Look Contracting, Inc.
<br />North Valley, Inc.
<br />Engineer's Estimate
<br />TOTAL BID
<br />$2,342,102.66
<br />$2,368,094.65
<br />$2,441,445.45
<br />$2,463,365.28
<br />$2,346,670.50
<br />The bid of Douglas -Kerr Underground, L.L.C. of Mora, Minnesota, in the amount of $2,342,102.66 for the total bid
<br />for construction of said improvements in accordance with the approved plans and specifications and advertisement
<br />for bids, is the lowest responsible bidder. Adding indirect costs of 23-percent for administrative, engineering,
<br />finance, and legal costs brings total project costs based on the low bid to $2,880,786.27.
<br />The 4 bids received were very competitive. The low bid is 0.2-percent less than the engineer's estimate.
<br />Bid results were sent to the MnDOT State Aid Agreements Engineer for concurrence. Attached is a copy of the bid
<br />concurrence letter received from MnDOT, which is one of two requirements of MnDOT before allowing a contract
<br />for construction to be executed. The other requirement is for the Cooperative Construction Agreement to be
<br />executed by MnDOT. At the time this case was published, Staff had not yet received an executed Cooperative
<br />Construction Agreement from MnDOT. An update will be provided while presenting this case to Council.
<br />Resolution #22-176 requires Cooperative Construction Agreement #1050030 to be executed by MnDOT before a
<br />contract for construction can be executed for Improvement Project #20-05.
<br />Alternatives:
<br />Alternative #1:
<br />Motion to adopt Resolution #22-176 accepting bids and awarding a construction contract for Improvement Project
<br />#20-05, Riverdale Drive Extension, Llama Street to Bowers Drive, to Douglas -Kerr Underground, L.L.C. for their
<br />bid in the amount of $2,342,102.66.
<br />Alternative #2:
<br />Motion denying adoption of Resolution #22-176 at this time.
<br />Funding Source:
<br />Total project costs based on the low bid are estimated at $2,880,786.27.
<br />The engineer's estimate from February 2022 was $1,456,310.50. Costs have generally increased since then due to;
<br />• Increased material prices for the watermain loop between Riverdale Drive and Bunker Lake Boulevard.
<br />• Increased bituminous prices.
<br />• Including the reconstruction of Riverdale Drive east of Llama Street.
<br />• Including the MnDOT required median cable barrier along Highway 10, though this will be reimbursed by
<br />MnDOT.
<br />• Including sewer and water services on the west end of the project, though this cost will be reimbursed by the
<br />developer through a separate cost -share agreement that will be presented to the City Council for approval
<br />before the improvements are constructed. If an agreement is not executed, this work will not be completed.
<br />• Inflation across all remaining bid items.
<br />Bolton and Menk, Inc. prepared final plans and specifications for Improvement Project #20-05, Riverdale Drive
<br />Extension, Llama Street to Bowers Drive, at a not -to -exceed fee of $89,024. This cost is being shared among the
<br />project funding partners per the previously approved, executed and recorded assessment agreements.
<br />Bolton and Menk, Inc. has submitted the attached proposal for construction related services in the amount of
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