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ITEM 4.1B Wokson Hills/Autumn Woods Addition Street Improvementsk TY Otsegro MINNESOTA DEPARTMENT INFORMATION Request for City Council Action ORIGINATING DEPARTMENT: REQUESTOR: MEETING DATE: Public Works Ron Wagner, City Engineer March 27, 2017 PRESENTER(s): REVIEWED BY: ITEM #: City Engineer Wagner Interim City Administrator 4.1 B Flaherty AGENDA ITEM DETAILS RECOMMENDATION: Approve Resolution 17-26 Accepting Bids and Awarding Project for the Wokson Hills and Autumn Woods Additions Street Improvements to North Valley, Inc. ARE YOU SEEKING APPROVAL OF A CONTRACT? IS A PUBLIC HEARING REQUIRED? Yes I Yes —was held February 13, 2017 BACKGROUND/JUSTIFICATION: Consistent with the Capital Improvement Plan (CIP) and the Annual Street Renewal Plan, streets are rated and placed in order of City Councils and staff's recommendation to complete an improvement project. Thus the 2017 Street Renewal Project for the streets in Wokson Hills and Autumn Woods is proposed. The streets within Wokson Hills and Autumn Woods are paved. The existing roadway consists of a 2 %" of bituminous surface approximately 24' feet wide. The pavement is 28-30 years old and is experiencing extensive block and thermal cracking as well as some surface raveling due to its age. The value of existing housing is positively benefited by accessing a bituminous paved street in good condition. The existing street surfaces in Wokson Hills and Autumn Wood have PCI (Pavement Condition Index) Ratings of 51 and 57 respectively, well below the average in the City of Otsego. Typically, pavements with PCI Ratings around 50 are in their final stages of useful life and will need to be reconstructed or overlaid in the very near future. If the project is not completed in a timely fashion, the street will quickly deteriorate to a point where an overlay would not be the prudent construction practice and a much more expensive reclaim and repave would need to occur. Our estimates show this would cost two to three times as much. The project is proposed to be a Special Assessment Project and has progressed in accordance with MN State Statue 429. City Council authorized the preparation of a Feasibility Study to determine what needs to be completed to remedy the issues, determine a cost estimate and allocate costs. A public hearing was held on February 13th of 2017 at which the study was presented to the residents along with an estimated assessment amount. The feasibility report estimated a project cost of $205,373.00. The benefitting property owners are proposed to be assessed 50% of the project costs and the City would provide the remaining funding. There were 60 properties and estimated the proposed assessments at $1,711.44 per unit. The actual assessment amounts will be dependent upon the actual project costs. The estimated construction cost estimate was $211,364.00. The low bid was $178,680.27 or 85% of the engineers estimate. One bid was received that did not meet all the requirements of the advertisement. This bid did not affect the outcome of the bid process. With the excellent bid prices and the lowest bid from contractor which is local and which has completed many projects with Hakanson Anderson as the engineer satisfactorily, we recommend awarding the project. SUPPORTING DOCUMENTS: x ATTACHED ❑ NONE • Engineer's Opinion of Construction Cost • Resolution 2017-26 • Bid Tab POSSIBLE MOTION Please word motion as you would like it to appear in the minutes. Motion to Approve Resolution 17-26 Accepting Bids for the Wokson Hills and Autumn Woods Additions Street Improvements to North Valley, Inc. of Nowthen, MN in the amount of $178,680.27. BUDGET INFORMATION FUNDING: BUDGETED: 201— Pavement Management Fund Yes RESOLUTION NO. 2017-26 RESOLUTION ACCEPTING BID AND AWARDING CONTRACT WHEREAS, pursuant to an advertisement for bids for the construction of 2017 Otsego Street Renewal Project, Improvement Project No. 17-02, bids were received, opened and tabulated according to law, and the following bids were received complying with the advertisement: Total Base Bid North Valley, Inc. $178,680.27 Omann Contracting $179,893.27 ASTECH, Inc. $194,363.82 Knife River Corp. $198,222.70 Rum River Contracting $205,643.66 Valley Paving, Inc. $221,486.34 Hardrives, Inc. $239,012.29 C.S. McCrossan Construction, Inc. $239,855.00 AND WHEREAS, it appears that North Valley, Inc. of Nowthen, Minnesota is the lowest responsible bidder. NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF OTSEGO MINNESOTA: 1. The mayor and clerk are hereby authorized and directed to enter into a contract with North Valley, Inc. of Nowthen, Minnesota in the name of the City of Otsego for the 2017 Otsego Street Renewal Project, Improvement Project No. 17-02, 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. Adopted by the city council this 27th day of March, 2017. 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O W J w J U J a fn �j 0 ❑ � rL O M M m m N N m N N O f0 001 dl w y 2 Q n a z O U w ILLu F U N U W z tU) LLIO O ~ K w > Q a O W l!- w w 3 OU r n. !- w Y w U O z LLIco g H vw _ 0 0 W D ��O W 0.' U) Z Q' 'a 4 wa w Q� O l g U m > J Q W F -' Z J Z w ..1 U U DZ K O W Z W F U d J Q a Q 0 Q W OO (H O O W NQ F w m QW pm g w Uw w p O ,wF x w w w wmq w wF- •=o EI 0 t V) W O 'O F Z m N M V t0 (O N G7 rn N U City of Otsego 2017 Street Renewal Project Wokson Hills and Autumn Woods ENGINEER'S COST ESTIMATE Q:A CrhoA..lo uAu _ Colnrt D�frhinn —1 1A/9" n—rimi Item No. Spec. Ref Description Estimated Quantity Unit Unit Price Total Estimated Extension 1 2021.501 MOBILIZATION 1 LS $8,740.00 $ 8,740.00 2 2104.501 REMOVE METAL CULVERT 50 LF $5.00 $ 250.00 3 2104.505 REMOVE BITUMINOUS PAVEMENT FULL DEPTH 1732 SY $5.00 $ 8,660.00 4 2104.513 SAWING BIT PAVEMENT FULL DEPTH 1737 LF $2.50 $ 4,342.50 5 2211.501 CL 5 AGGREGATE BASE ROAD - MODIFIED 19 TON $18.50 $ 351.50 6 2211.501 CL 5 AGGREGATE DRIVEWAYS 8 TON 1 $20.00 $ 160.00 7 2232.501 MILL BITUMINOUS SURFACE 2022 SY $5.00 $ 10,110.00 8 2357.502 BITUMINOUS MATERIAL FOR TACK COAT 1995 GAL $3.00 $ 5,985.00 9 2360.501 TYPE SP 9.5 WEARING COURSE MIXTURE 2,C 1684 TON $55.00 $ 92,620.00 10 2360.502 TYPE SP 12.5 NON WEAR COURSE MIXTURE 2,C - DRIVEWAY/PATCHES 328 TON $100.00 $ 32,800.00 11 2501.515 24" RC PIPE APRON 2 EA $750.00 $ 1,500.00 12 2503.541 24" RC PIPE SEWER DESIGN 3006 CL III ALL DEPTHS 40 LF $50.00 $ 2,000.00 13 2515.503 ARTICULATED INTERLOCKING BLOCK OPEN CELL, TYPE A 16 SY $150.00 $ 2,400.00 14 2563.601 ITRAFFIC CONTROL 1 LS $900.00 $ 900.00 15 2574.525 1 PULVERIZED TOPSOIL BORROW 196 CY $56.00 $ 10,976.00 16 2575.555 ITURF ESTABLISHMENT 1 I LS $2,000.00 $ 2,000.00 Total - Bid Schedule "B" .p IVJ,/JJ.VV Bid Schedule "A" - Select Patching and 1-1/2" Overlay $183,795 15% Administration, Legal, & Engineering $27,569 TOTAL ESTIMATED PROJECT COST $211,364 C:\Users\Tam!.OTSEGOWppData\LocaINMIcrosofl\Windows\INetCache\Oontent.Outlook\9055181P\OT392-2017 EngEst Page 1 of 1