4.1 Street Maintenance - Mill and Overlay Project
Request for
City Council Action
DEPARTMENT INFORMATION
ORIGINATING DEPARTMENT REQUESTOR: MEETING DATE:
Public Works City Engineer Wagner July 24, 2023
PRESENTER(s) REVIEWED BY: ITEM #:
City Engineer Wagner City Administrator/Finance Director Flaherty 4.1 – Mill & Overlay Bids
STRATEGIC VISION
MEETS: THE CITY OF OTSEGO:
Is a strong organization that is committed to leading the community through innovative communication.
X Has proactively expanded infrastructure to responsibly provide core services.
Is committed to delivery of quality emergency service responsive to community needs and expectations in a
cost-effective manner.
Is a social community with diverse housing, service options, and employment opportunities.
Is a distinctive, connected community known for its beauty and natural surroundings.
AGENDA ITEM DETAILS
RECOMMENDATION:
City staff recommends the City Council adopt a resolution accepting bids and awarding contract for the 2023 Mill &
Overlay Project.
ARE YOU SEEKING APPROVAL OF A CONTRACT? IS A PUBLIC HEARING REQUIRED?
Yes No
BACKGROUND/JUSTIFICATION:
At the June 26, 2023 meeting, the City Council authorized the bid process for the Mill & Overlay Project and
approved multiple change orders to reduce the scope of the Street Maintenance and Micro-Surface Projects. Bids
were opened for the 2023 Mill & Overlay Project, City Project No. 23-10 on July 19, 2023. A total of eight bids were
received as shown on the attached Bid Tabulation.
The Pavement Management Program, which is part of the Capital Improvement Plan for the City, has a total of
$2,271,038 in funding identified for street maintenance and renewal projects. The attached budget summary
provides a comprehensive view of the 2023 projects. With the change in scope of the 2023 projects to substitute
mill & overlay maintenance in lieu of micro-surface and seal coat maintenance, there is a budget overage of
$319,392, which can be funded through reserve funds in the Pavement Management fund.
The low bid from Park Construction Company was in the amount of $468,077.25, including engineering estimated
costs will amount to a total project cost of $491,481.11. City staff recommend awarding the contract to the low
bidder Park Construction Company. They have completed projects within the City of Otsego in the past; the work
was completed to specifications and in a timely manner.
SUPPORTING DOCUMENTS ATTACHED:
• Bid Tabulation
• Pavement Management Budget Summary
• Engineer Estimate
• Resolution 2023-48
POSSIBLE MOTION
PLEASE WORD MOTION AS YOU WOULD LIKE IT TO APPEAR IN THE MINUTES:
Motion to adopt Resolution 2023-48 accepting bids and awarding contract for the 2023 Mill & Overlay Project, City
Project No. 23-10 to Park Construction Company of Minneapolis, MN in the amount of $468,077.25.
BUDGET INFORMATION
FUNDING: BUDGETED:
Fund 201 – Pavement Management Yes; however the 2023 pavement management projects have
exceeded the budgeted amount in the CIP.
BID TABULATION
CITY OF OTSEGO
2023 MILL OVERLAY PROJECT
Bids were opened at 2:00 p.m., July 19, 2023.
There were eight bids received, as shown herein.
SCHEDULE "A" - RIVERWOOD NATIONAL
ITEM
NO.
Mn/DOT
SPEC. NO.ITEM DESCRIPTION UNIT
ESTIMATED
QUANTITY UNIT PRICE EXTENSION UNIT PRICE EXTENSION UNIT PRICE EXTENSION
1 2357.506 BITUMINOUS MATERIAL FOR TACK COAT GAL 1582 2.35$ 3,717.70$ 4.00$ 6,328.00$ 3.50$ 5,537.00$
2 2232.501 MILL BITUMINOUS SURFACE SY 30140 1.10$ 33,154.00$ 1.10$ 33,154.00$ 1.35$ 40,689.00$
3 2360.509 TYPE SP 9.5 WEARING COURSE MIXTURE (2,B) 1.5" LIFT TON 2670 69.75$ 186,232.50$ 72.65$ 193,975.50$ 77.50$ 206,925.00$
4 2563.601 TRAFFIC CONTROL LS 1 10,680.00$ 10,680.00$ 7,650.00$ 7,650.00$ 1,300.00$ 1,300.00$
Schedule A Total $233,784.20 $241,107.50 $254,451.00
SCHEDULE "B" - SUNRAY FARMS
ITEM
NO.
Mn/DOT
SPEC. NO.ITEM DESCRIPTION UNIT
ESTIMATED
QUANTITY UNIT PRICE EXTENSION UNIT PRICE EXTENSION UNIT PRICE EXTENSION
1 2357.506 BITUMINOUS MATERIAL FOR TACK COAT GAL 1619 2.35$ 3,804.65$ 4.00$ 6,476.00$ 3.50$ 5,666.50$
2 2232.501 MILL BITUMINOUS SURFACE SY 30834 1.00$ 30,834.00$ 1.10$ 33,917.40$ 1.35$ 41,625.90$
3 2360.509 TYPE SP 9.5 WEARING COURSE MIXTURE (2,B) 1.5" LIFT TON 2732 69.20$ 189,054.40$ 72.65$ 198,479.80$ 77.50$ 211,730.00$
4 2563.601 TRAFFIC CONTROL LS 1 10,600.00$ 10,600.00$ 6,125.00$ 6,125.00$ 1,300.00$ 1,300.00$
Schedule B Total $234,293.05 $244,998.20 $260,322.40
Schedule A + Schedule B Total $468,077.25 $486,105.70 $514,773.40
Omann Brothers
Paving Inc.
Omann Brothers
Paving Inc.
Park Construction Company Northwest Asphalt
Park Construction Company Northwest Asphalt
Page 1 of 3
BID TABULATION
CITY OF OTSEGO
2023 MILL OVERLAY PROJECT
Bids were opened at 2:00 p.m., July 19, 2023.
There were eight bids received, as shown herein.
SCHEDULE "A" - RIVERWOOD NATIONAL
ITEM
NO.
Mn/DOT
SPEC. NO.ITEM DESCRIPTION UNIT
ESTIMATED
QUANTITY
1 2357.506 BITUMINOUS MATERIAL FOR TACK COAT GAL 1582
2 2232.501 MILL BITUMINOUS SURFACE SY 30140
3 2360.509 TYPE SP 9.5 WEARING COURSE MIXTURE (2,B) 1.5" LIFT TON 2670
4 2563.601 TRAFFIC CONTROL LS 1
Schedule A Total
SCHEDULE "B" - SUNRAY FARMS
ITEM
NO.
Mn/DOT
SPEC. NO.ITEM DESCRIPTION UNIT
ESTIMATED
QUANTITY
1 2357.506 BITUMINOUS MATERIAL FOR TACK COAT GAL 1619
2 2232.501 MILL BITUMINOUS SURFACE SY 30834
3 2360.509 TYPE SP 9.5 WEARING COURSE MIXTURE (2,B) 1.5" LIFT TON 2732
4 2563.601 TRAFFIC CONTROL LS 1
Schedule B Total
Schedule A + Schedule B Total
UNIT PRICE EXTENSION UNIT PRICE EXTENSION UNIT PRICE EXTENSION
3.50$ 5,537.00$ 3.30$ 5,220.60$ 3.50$ 5,537.00$
1.30$ 39,182.00$ 1.54$ 46,415.60$ 1.75$ 52,745.00$
77.50$ 206,925.00$ 76.60$ 204,522.00$ 77.80$ 207,726.00$
1,500.00$ 1,500.00$ 2,500.00$ 2,500.00$ 18,650.00$ 18,650.00$
$253,144.00 $258,658.20 $284,658.00
UNIT PRICE EXTENSION UNIT PRICE EXTENSION UNIT PRICE EXTENSION
3.50$ 5,666.50$ 3.30$ 5,342.70$ 3.50$ 5,666.50$
1.30$ 40,084.20$ 1.54$ 47,484.36$ 1.80$ 55,501.20$
79.00$ 215,828.00$ 76.60$ 209,271.20$ 77.80$ 212,549.60$
1,500.00$ 1,500.00$ 2,500.00$ 2,500.00$ 18,650.00$ 18,650.00$
$263,078.70 $264,598.26 $292,367.30
$516,222.70 $523,256.46 $577,025.30
S.M. Hentges & Sons, Inc.
Asphalt Surface Technologies
Corp.S.M. Hentges & Sons, Inc.
C. S. McCrossan
Construction, Inc.
C. S. McCrossan
Construction, Inc.
Asphalt Surface Technologies
Corp.
Page 2 of 3
BID TABULATION
CITY OF OTSEGO
2023 MILL OVERLAY PROJECT
Bids were opened at 2:00 p.m., July 19, 2023.
There were eight bids received, as shown herein.
SCHEDULE "A" - RIVERWOOD NATIONAL
ITEM
NO.
Mn/DOT
SPEC. NO.ITEM DESCRIPTION UNIT
ESTIMATED
QUANTITY
1 2357.506 BITUMINOUS MATERIAL FOR TACK COAT GAL 1582
2 2232.501 MILL BITUMINOUS SURFACE SY 30140
3 2360.509 TYPE SP 9.5 WEARING COURSE MIXTURE (2,B) 1.5" LIFT TON 2670
4 2563.601 TRAFFIC CONTROL LS 1
Schedule A Total
SCHEDULE "B" - SUNRAY FARMS
ITEM
NO.
Mn/DOT
SPEC. NO.ITEM DESCRIPTION UNIT
ESTIMATED
QUANTITY
1 2357.506 BITUMINOUS MATERIAL FOR TACK COAT GAL 1619
2 2232.501 MILL BITUMINOUS SURFACE SY 30834
3 2360.509 TYPE SP 9.5 WEARING COURSE MIXTURE (2,B) 1.5" LIFT TON 2732
4 2563.601 TRAFFIC CONTROL LS 1
Schedule B Total
Schedule A + Schedule B Total
UNIT PRICE EXTENSION UNIT PRICE EXTENSION
0.01$ 15.82$ 5.15$ 8,147.30$
2.80$ 84,392.00$ 2.65$ 79,871.00$
78.00$ 208,260.00$ 112.72$ 300,962.40$
5,000.00$ 5,000.00$ 600.00$ 600.00$
$297,667.82 $389,580.70
UNIT PRICE EXTENSION UNIT PRICE EXTENSION
0.01$ 16.19$ 5.15$ 8,337.85$
2.80$ 86,335.20$ 2.65$ 81,710.10$
78.00$ 213,096.00$ 112.53$ 307,431.96$
5,000.00$ 5,000.00$ 600.00$ 600.00$
$304,447.39 $398,079.91
$602,115.21 $787,660.61
Knife River Corporation Duininck, Inc.
Knife River Corporation Duininck, Inc.
Page 3 of 3
City of Otsego
Capital Project Tracking
2023 Street Maintenance
CIP Original Estimated Revised
Budget Bids June 26 Bids
Maintenance
Fog & Seal Coat 119,515.00 114,145.00 72,905.00 72,905.00
Striping 44,617.00 93,093.76 93,093.76 93,093.76
Sub-Total - Construction 164,132.00 207,238.76 165,998.76 165,998.76
Engineering 17,927.00 10,361.94 8,299.94 8,299.94
Total - Street Maintenance Project 182,059.00 217,600.70 174,298.70 174,298.70
Micro-Surface
Construction 642,954.00 753,810.82 542,072.73 542,072.73
Engineering 96,443.00 37,690.54 27,103.64 27,103.64
Total - Micro-Surface Project 739,397.00 791,501.36 569,176.37 569,176.37
Mill & Overlay
Construction - - 615,788.49 468,077.25
Engineering - - 30,789.42 23,403.86
Total - Mill & Overlay Project - - 646,577.91 491,481.11
Grand Total 921,456.00 1,009,102.06 1,390,052.98 1,234,956.18
Percent of Maintenance Budget 100.00% 109.51% 150.85% 134.02%
CIP Budget - Maintenance 1,084,151.00
Less: Crack Filling (84,462.00)
Less: Contracted Patching (78,233.00)
Net Budget - Maintenance 921,456.00
CIP Budget - Maintenance 1,084,151.00 2,271,038.00
Revised Bid - Maintenance (174,298.70)
Revised Bid - Micro-Surface (569,176.37)
Bid - Mill & Overlay (491,481.11)
Quoted - Crack Filling (84,462.00)
Quoted - Contracted Patching (74,958.75)
CIP Budget - Renewal 1,186,887.00
Bid - Renewal (1,196,053.00)
Net Budget - Pavement (319,391.93)
Engineers Estimate
2023 Otsego Street 1.5" Mill and Overlay Project
City of Otsego
Riverwood National and Sunray Farms
SCHEDULE "A" - MILL AND OVERLAY
No.MnDOT Description Unit Price Extension
1 2357.506 BITUMINOUS MATERIAL FOR TACK COAT 3201 GAL 3.25$ 10,403.74$
2 2232.501 MILL BITUMINOUS SURFACE 60974 SY 3.00$ 182,922.83$
3 2360.509 TYPE SP 9.5 WEARING COURSE MIXTURE (2,B) 1.5" LIFT 5402 TON 77.28$ 417,461.92$
4 2563.601 TRAFFIC CONTROL 1 LS 5,000.00$ 5,000.00$
SCHEDULE "B" MILL AND OVERLAY ESTIMATED TOTAL COST $615,788.49
SCHEDULE "A" - MILL AND OVERLAY $615,788.49
TOTAL ALL SCHEDULES $615,788.49
Engineering and Construction Administration (5%)$30,789.42
TOTAL ALL SCHEDULES $646,577.91
Estimated
Quantity
OT387-2023 MO EngEst 5-24-23
Mill Overlay Estimate 1 6/22/2023 9:11 AM
1
CITY OF OTSEGO
COUNTY OF WRIGHT
STATE OF MINNESOTA
RESOLUTION NO: 2023-48
ACCEPTING BIDS AND AWARDING CONTRACT
FOR THE 2023 MILL & OVERLAY PROJECT
WHEREAS, pursuant to an advertisement for bids for the construction of the 2023 Mill & Overlay Project, City Project No. 23-
10, bids were received, opened on July 19, 2023, and tabulated according to law, and the following bids were received
complying with the advertisement; and
Contractor Total Base Bid
1. Park Construction Company $468,077.25
2. Northwest Asphalt $486,105.70
3. Omann Brothers Paving Inc. $514,773.40
4. C.S. McCrossan Construction, Inc. $516,222.70
5. Asphalt Surface Technologies Corp. $523,256.46
6. S.M. Hentges & Sons, Inc. $577,025.30
7. Knife River Corporation $602,115.21
8. Duininck, Inc. $787,660.61
WHEREAS, it appears that Park Construction Company of Minneapolis, Minnesota is the lowest responsible bidder.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF OTSEGO, MINNESOTA:
1. The Mayor and City Clerk are hereby authorized and directed to enter into a contract with Park Construction
Company of Minneapolis, Minnesota in the name of the City of Otsego for the 2023 Mill & Overlay Project, City
Project No. 23-10, according to the plans and specifications therefore approved by the City Council and on file in the
office of the City Clerk.
2. The City Clerk is hereby authorized and directed to return forthwith to all bidders the bid bond made with their bids,
except that the bid bond of the successful bidder and the next lowest bidder shall be retained until a contract has
been signed.
2
ADOPTED by the Otsego City Council this 24th day of July, 2023.
MOTION BY:
SECONDED BY:
IN FAVOR:
OPPOSED:
CITY OF OTSEGO
__________________________________
Jessica L. Stockamp, Mayor
ATTEST:
__________________________________
Audra Etzel, City Clerk