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HomeMy WebLinkAboutResolution No. 2023-40 SubstituteSponsored by: Administration CITY OF KENAI RESOLUTION NO. 2023-40 (SUBSTITUTE) A RESOLUTION AUTHORIZING A CONSTRUCTION AGREEMENT AND CORRESPONDING PURCHASE ORDER FOR THE 2023 NORTH WILLOW STREET ROADWAY IMPROVEMENTS PROJECT. WHEREAS, a formal Invitation to Bid was released on May 18, 2023 with bids due on June 1, 2023 for the 2023 N. Willow St. Roadway Improvements project which extends from the intersection with Granite Point St. to 525 N. Willow St, just past the Forestry Service's driveway; and, WHERES, the project area extends approximately 3600 linear feet and involves milling asphalt, raising of gravel base, resurfacing of asphalt paving, culvert and drainage ditch line work; and, WHEREAS, the following bids were received by the City: Bidders Knik Construction Company, Inc. Foster Construction LLC and, Bid 1 $1,050,797 $1,179,318 d WHEREAS, Knik Construction Company, Inc. was found to be the lowest responsive and responsible bidder; and, WHEREAS, bids received were in excess of previously budgeted and engineer estimated amounts; and, WHEREAS, after negotiations with Contractor and removal of some scope of work items including several culverts the new proposed contract amount shall be $1,017,833; and, WHEREAS, staff evaluation of the bid received, comparing with other similar government agencies in the area, and understanding the current inflationary environment it has been determined that award to Knik Construction Company, Inc. is in the best interest of the City. NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA: Section 1. That the City Manager is authorized to execute a construction agreement with Knik Construction Company, Inc. in the amount of $1,017,833 for the 2023 N. Willow St. Roadway Improvements Project. Section 2. That the City Manager is authorized to issue a corresponding purchase order to Knik Construction Company, Inc. in the total amount of $1,017,833, which includes $50,000 in contingency force account funding in support of the project. Section 3. That this Resolution takes effect immediately upon passage. New Text Underlined; [DELETED TEXT BRACKETED] Resolution No. 2023-40 (Substitute) Page 2 of 2 PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, THIS 215T DAY OF JUNE, 2023. -CC ST: ha� Michelle . San MMC City Clerk Approved by Finance: Contingent upon passage of Ordinance No. 3359-2023 Brian Gabriel Sr., Mayor New Text Underlined; [DELETED TEXT BRACKETED] k I N A' City of Kenai 1 210 Fidalgo Ave, Kenai, AK 99611-7794 1907.283.7535 1 www.kenai.city MEMORANDUM TO: Mayor Gabriel and Council Members THROUGH: Terry Eubank, City Manager FROM: Scott Curtin, Public Works Director DATE: June 14, 2023 SUBJECT: Resolution 2023-40 — 2023 (Substitute) N. Willow St. Roadway Improvements Project This memo seeks Council's approval to award a construction contract for the 2023 N. Willow St. Roadway Improvements Project. The project was formally released for bids on May 18th, with bids due on June 1st. The following bids were received: Bidders Total Bid Knik Construction Company, Inc. _ $1,050,797 $1,179,318 Foster Construction LLC Knik Construction Company, Inc. was found to be the lowest responsive and responsible bidder with a total bid cost of $1,050,797. Both bids received were in excess of budgeted amounts and after negotiations with Knik Construction to remove some items from the scope of work the new contracted cost will be $1,017,833. Removal of these bid items does not change the bid ranking. It is the Department's recommendation that award to Knik Construction is in the best interest of the City. It is noted that approval of this Resolution is dependent upon Council's approval of Ordinance 3359-2023 being introduced and heard at the June 21st, 2023 council meeting. Without passage of that Ordinance there will not be sufficient funds available to award the project. The project, as detailed in the attached map, extends from Granite Point to just past the Forestry Service's lot located at 525 N. Willow St. The project area from Granite Point to Airport Way, which has concrete curb and gutter will largely be milled and paved, with the areas extending further down N. Willow receiving grade adjustments to address drainage issues. Driveway approaches and drainage culvert are also included with this work. The majority of the roadway dates from 1980, south of the tower. With the section north of the tower dating to 1985. The most prominent damages are the result of the roadways inability to shed water, which this project will rectify. Work is expected to take place this summer with completion before winter sets in. Council's support is respectfully requested. Page 2 of 2 The City of Kenai I www.kenai.city