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HomeMy WebLinkAboutResolution No. 2026-63 SubstituteKENAI CITY OF KENAI RESOLUTION NO. 2026-63 (SUBSTITUTE) Sponsored by: Administration A RESOLUTION AUTHORIZING A CONTRACT AWARD FOR THE MISSION AVENUE EROSION CONTROL PROJECT. WHEREAS, an Invitation to Bid was released and no bids were received for the Mission Avenue Erosion Control Project; and, WHEREAS, the project is critical to mitigate future erosion along the former Mission Avenue and to relocate a water service which was exposed by erosion this spring and if not relocated is likely to freeze this winter; and, WHEREAS, the Public Works Department negotiated with Peninsula Construction, Inc. to complete part of the work with a time and expense cost of $98,800 for the project; and, WHEREAS, the cost was determined to be reasonable; and, WHEREAS, this project will relocate the water service, mitigate \stormwater and install erosion control measures at this location; and, WHEREAS, the project is funded through the Capital Project Fund for Kenai Bluff Erosion, utilizing the remaining State of Alaska Grant funds available for the project; and, WHEREAS, KMC 7.15.070 (b)(6) allows the City to award a contract by Resolution if the solicitation of bids has been limited or by direct negotiation if found to be in the best interest of the City; and, WHEREAS, it is in the best interest of the City to award the contract for the Mission Avenue Erosion Control Project to Peninsula Construction, Inc. NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, AS FOLLOWS: Section 1. That the City Manager is authorized to execute a contract with Peninsula Construction, Inc. in the amount of $98,800 for the Mission Avenue Erosion Control Project. Section 2. That this Resolution takes effect immediately upon passage. l PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, THIS //DAY OF x 2026. ATTEST: elle C, City Clerk yor New Text Underlined; [DELETED TEXT BRACKETED] Resolution No. 2026-63 SUBSTITUTE Page 2 of 2 Approved by Finance New Text Underlined; [DELETED TEXT BRACKETED] Kc, 1A1 City of Kenai 1 210 Fidalgo Ave, Kenai, AK 99611-7794 1907.283.7535 1 www.6nai.city MEMORANDUM TO: Mayor Knackstedt and Council Members THROUGH: Terry Eubank, City Manager FROM: Lee Frey, Public Works Director DATE: October 7, 2026 SUBJECT: Resolution 2026-63 (Substitute)- Authorizing a Contract Award for the Mission Avenue Erosion Control Project. This memo requests Council's approval to award a contract for the Mission Avenue Erosion Control Project to Peninsula Construction, Inc. The project was released for bidding and no bids were received for the project. The City contacted Peninsula Construction, reviewed the construction documents with them and met on site to review the work. The associated cost of $98,800 is a time and expense cost to relocate the water service and perform additional erosion mitigation as able. KMC 7.15.070 (b)(6) allows the City to award a contract by Resolution if the solicitation of bids has been limited or by direct negotiation if found to be in the best interest of the City. The Public Works Department has found the costs to be reasonable and will work with the contractor during construction to minimize costs as feasible. In addition, there is considerable concern that if the water service work is not completed this year, it would not be able to function this winter due to freezing temperatures. The current erosion issue also occurred during breakup this year and preventative measures need to be installed to minimize potential erosion during the spring of 2027. The funding for this project is available through the Capital Project Fund for Kenai Bluff Erosion, utilizing the remaining State of Alaska grant funds available for the project. It is in the best interest of the City to award the contract for the Mission Avenue Erosion Control Project to Peninsula Construction, Inc. in the amount of $98,800.