Title
Resolution to Award a Construction Contract to M-K Construction Company ($234,156.60, Bid No. ITB-4414) for the Huron River Drive Slope Stabilization Project
Memorandum
Attached for your review and approval is a resolution to award a contract to M-K Construction Company in the amount of $234,156.60 for the Huron River Drive Slope Stabilization Project.
After the completion of the reconstruction of West Huron River Drive in 2008, settlement was discovered in a short section of the roadway. Through monitoring, it was determined this settlement was not attributed to construction activities, but was a global stability failure caused by very deep, poor soils. The City hired Applied Geotechnical Services, Inc. to evaluate the site and propose alternatives to correct the slope failure. The consultant recommended an auger-drilled pile retaining wall as the best alternative to correct the problem.
In response to the Invitation to Bid (ITB-4414), two (2) bids were received on Tuesday, February 9, 2016. The low bid from M-K Construction Company of $234,156.60 is approximately $129,000.00 over the Engineer’s Estimate.
The construction of the project is scheduled to begin in early May of 2016 and to be completed by May 27, 2016, prior to the Dexter-Ann Arbor Run.
M-K Construction Company complies with the requirements of the City’s Non-Discrimination and Living Wage ordinances.
Budget Impact
The current City of Ann Arbor Capital Improvements Plan (CIP) includes project TR-SC-16-17, the West Huron River Drive Sloughing Correction Project, for an amount of $350,000.00. Not many comparable projects were able to be found to use for estimating purposes, which likely led to the low Engineer’s Estimate. However, even with the bid price significantly higher than the Engineer’s Estimate, the project is still anticipated to be completed within the approved project budget.
Staff
Prepared by: Nicholas Hutchinson, P.E., City Engineer
Reviewed by: Craig Hupy, Public Services Area Administrator
Approved by: Tom Crawford, Interim City Administrator
Body
Whereas, A global stability failure is causing settlement in a small portion West Huron River Drive;
Whereas, This project is included in the City’s Capital Improvement Plan (TR-SC-16-17);
Whereas, Funding for this project is included in the approved FY16 Street Millage Fund capital budget;
Whereas, Competitive bids were received by the Procurement Unit on February 9, 2016 and M-K Construction Company of Brownstown, MI, was the lowest responsible bidder at $234,156.60;
Whereas, It is now necessary to enter into a contract with M-K Construction Company for the construction of Huron River Drive Slope Stabilization Project; and
Whereas, M-K Construction Company complies with the requirements of the City’s Non-Discrimination and Living Wage ordinances;
RESOLVED, That a contract in the amount of $234,156.60 be awarded to M-K Construction Company for the construction of the Huron River Drive Slope Stabilization Project (Bid No. ITB-4414);
RESOLVED, That a contract contingency amount of $40,000.00 be established within the project budget and that the City Administrator be authorized to approve additional change orders to the construction contract with M-K Construction Company not to exceed $40,000.00 in order to satisfactorily complete this project;
RESOLVED, That the Mayor and City Clerk be authorized and directed to execute said contract after approval as to form by the City Attorney, and approval as to substance by the City Administrator;
RESOLVED, That the City Administrator be authorized to take the necessary administrative actions to implement this resolution including approval of needed Traffic Control Orders, night work authorizations, and other similar administrative approvals to allow the work of the project to proceed without delay.