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5.1.C. SR 04-18-2005 I tern #. 5. 1. B&C 13065 Orono Parkway Elk River, MN 55330 April 13, 2005 File: 824180]-0060 The Honorable Mayor and City Council City of Elk River 13065 Orono Parkway Elk River MN 55330 RE: 2005 STREET RECONSTRUCTION IMPROVEMENT AWARD OF BIDS Dear Councilmembers: At the close of the Assessment Hearing and adoption of the assessment roll for the 2005 Street Reconstruction Improvement, it would be appropriate for the City Council to consider awarding the construction bids. As the City Council will recall from March when authorization to bid this project was given, the project was broken into two pieces for bidding purposes. The smaller bid was for the lining of the existing sanitary sewer system throughout the project. The larger piece was for the street reconstruction project and watermam 1ll1provement. We have tabulated the bids received on Tuesday, April 12, 2005 for the Street Reconstruction Project. The sanitary sewer lining portion of the project received three bids. The table below lists each of the bidder and their total bid: 165,450 $174,025 $184,045 The second bid and larger portion of the project received a total of eight bids. The following table lists each of the bidders and their total bid: Phone: 763.635.1000 Fax: 763.635.1090 www.cLelk-river.mn.us 2005 Street Reconstruction Improvement April 13, 2005 Page 2 $925,054.90 $954,159.58 $1,050,305.66 $1,061,158.75 $1,086,462.80 $1,130,036.25 $1,182,680.00 $1,492,948.50 The feasibility study for this project estimated the total construction costs for both bids and all pieces of the improvement at $1,443,920. The low bid received from Insituform Technologies USA, Inc. for the sewer lining and from Universal Enterprises for the street reconstruction total $1,135,304.90. This is approximately 21 percent under the feasibility estimate. As presented in the feasibility study the financing for the improvements include the Elk River Municipal Utilities paying for all of the water improvements. The remaining street improvements including the sanitary sewer lining are to be funded by assessments to the benefited property owners and the City. The feasibility study estimated that slightly less than 1/3 of the cost would be assessed and the Citywould fund slightly more than 2/3 of the cost. With the low bids being less than the feasibility study estimate, the Gty's share of the project cost will be reduced and the project will come more into compliance with the City's desire to have 1/3 of the cost of street reconstruction projects assessed and 2/3 of the cost funded by the City. Both Insituform Technologies USA, Inc. and Universal Enterprises have successfully completed similar type work within the City of Elk River in the past. Therefore, we would recommend award to them as the lowest responsible bidders. The Insituform award is for the sanitary sewer lining portion of the project in the amount of $165,450 and the Universal Enterprises award would be for the street reconstruction and watermain improvements in the amount of $925,054.90. It should be noted that the Elk River Municipal Utilities Commission reviewed the watermain portion of Universal Enterprises' bid last Tuesday and concur with the award. Attached are two separate resolutions for the City Council's consideration which will make the awards to Insituform Technologies USA, Inc. and Universal Enterprises. If you have any questions regarding this issue, I will be in attendance at your April 18, 2005 City Council meeting. Sincerely, .~fJjlcu~ Terry J. :t<A~urer, PE Gty Engineer S:\EngineerImprovProj\2005 Improvement Projects\Pavement Rehab 2005\04 13 05 cc memo.doc RESOLUTION 05- A RESOLUTION FOR THE CITY OF ELK RIVER A RESOLUTION ACCEPTING BID AND AUTHORIZING EXECUTION OF CONTRACT IN THE MATTER OF THE SANITARY SEWER LINING IMPROVEMENT OF 2005 WHEREAS pursuant to a City Council Resolution 05-26, passed at the March 21, 2005 meeting, competitive bids were solicited and received for the Sanitary Sewer Lining Improvement; and WHEREAS the City Council has considered the amount of the bids and the responsibility of the bidders and determined that Insituform Technologies USA, Inc., is the lowest responsible bidder; NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Elk River, Minnesota: 1. The Mayor and City Administrator are authorized and directed to execute, on behalf of the City, such contract with Insituform Technologies USA, Inc., as is approved by the City Attorney, for the completion of the Sanitary Sewer Lining according to the approved plans and specifications designed by City Council Resolution. 2. The City Administrator is authorized and directed to forthwith return to all bidders the deposits made with their bids upon execution of the contract specified above. Passed and adopted this 18th day of April 2005. Stephanie A. Klinzing, Mayor ATTEST: Joan M. Schmidt, City Clerk S:\EngineerlmprovProj\2005 Improvement Projects\Sanitary Sewer Lining\Accept bid-authorize contract.doc RESOLUTION 05- A RESOLUTION FOR THE CITY OF ELK RIVER A RESOLUTION ACCEPTING BID AND AUTHORIZING EXECUTION OF CONTRACT IN THE MATTER OF THE STREET RECONSTRUCTION IMPROVEMENT OF 2005 WHEREAS pursuant to a City Council Resolution 05-26, passed at the March 21, 2005 meeting, competitive bids were solicited and received for the 2005 Street Reconstruction Improvement; and WHEREAS the City Council has considered the amount of the bids and the responsibility of the bidders and determined that Universal Enterprises, is the lowest responsible bidder; NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Elk River, Minnesota: 1. The Mayor and City Administrator are authorized and directed to execute, on behalf of the City, such contract with Universal Enterprises, as is approved by the City Attorney, for the completion of the 2005 Street Reconstruction Improvement according to the approved plans and specifications designed by City Council Resolution. 2. The City Administrator is authorized and directed to forthwith return to all bidders the deposits made with their bids upon execution of the contract specified above. Passed and adopted this 18th day of April 2005. Stephanie A. Klinzing, Mayor ATTEST: Joan M. Schmidt, City Clerk S:\EngineerlmprovProj\2005 Improvement Projects\Pavement Rehab 2005\Resolutions\Accept bid-authorize contract.doc