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<br />.~ <br /> <br />the city that works for you <br /> <br />Re ort Number: <br />A enda Section: <br />Re ort Date <br />Council Meetin <br /> <br /> <br />REQUEST FOR COUNCIL CONSIDERATION <br /> <br />ITEM DESCRIPTION: CONSIDERATION OF BID FROM MIDWEST ASPHALT AND <br />AWARD OF CONTRACT FOR CITY PROJECT 06-1, NORTHWEST QUADRANT PHASE 1 <br />STOCKPILE DISPOSAL <br />DEPARTMENT HEAD'S APPROVAL: <br />Grant Wyffels, Director of Public Works <br />CITY MANAGER'S APPROV AL: -v1dV(\--- <br />No comments to supplement this report f' Comments attached <br /> <br />Recommendation: Adopt a resolution accepting the bid from Midwest Asphalt and awarding a contract for <br />City Project 06-1, Northwest Quadrant Phase I Stockpile Disposal in the amount of $577,600. <br /> <br />Legislative History: On September 27, 2005, the City entered into a Binding Mediated Settlement <br />Agreement with Midwest Asphalt. This agreement identifies the terms and conditions of the business and <br />land sale. One of the conditions in the agreement states the City will purchase moving or hauling services <br />from Midwest Asphalt for the movement of the stockpile so long as the services are competitively priced. <br /> <br />To help determine the competitive price for their service, the City received bids for City Project 06-01 <br />Northwest Quadrant Redevelopment Phase 1 Grading Improvements on April 19, 2006. These bids <br />included a base bid for the majority of the project work and an alternate bid for the disposal of the stockpile. <br />In the event that a competitive price was not offered by Midwest Asphalt or that they simply would decline <br />this stipulation in the agreement, the City could select the Contractor that had the lowest combined bid for <br />the base bid and bid alternate. <br /> <br />Financial Impact: There were fifteen bids received for the Phase 1 Grading Improvement s project. Bid <br />Alternate 1 (Option 4) ranged in price from $132,000 to $840,000. The bid price from Midwest Asphalt is <br />for $577,600 which is for the disposal of 80,000 cubic yards of stockpile. It is the opinion of staff and the <br />City attorney that this is a fair and competitive bid for the required work. This conclusion was reached after <br />considering how the Midwest Asphalt bid compared to overall package bids provided by the contractors <br />bidding on the overall grading work. <br /> <br />All costs for this project will be deducted against the land sale purchase. <br /> <br />Explanation: At the time of this agreement, it was thought that the City would be able to use this material <br />throughout the development and given the location of Midwest Asphalt, we could use their moving and <br />hauling services to place this material. The City has been unable to determine a location to stockpile this <br />material at and it is in the way of the first phase of this project. It has since been determined that this <br />material is undesirable for use as a fill material anywhere on the project and that the best option for this <br />stockpile is to simply dispose of the material off-site at a location determined by the Contractor. <br /> <br />Assuming Midwest Asphalt receives a notice to proceed on or about May 4, 2006, Midwest Asphalt will be <br />contractually responsible for completing this work by June 2, 2006. This date is the same day that the <br />Beisswenger site will be available to the Phase 1 grading contractor. <br /> <br /> <br />':\COUNCII.\REPORTS\2006\Engineering\06-1 Stockpile !lid Award Council reportl,doc <br />