Title
Resolution to Award a Construction Contract to Strawser Construction, Inc. (ITB-4530, $1,585,143.25) for the FY2019 Street Surface Treatment Project
Memorandum
Attached for your review and consideration for approval, please find a resolution to authorize the award of a construction contract to Strawser Construction, Inc. for $1,585,143.25 for the FY2019 Street Surface Treatment Project, which consists of the application of surface treatments on various major and “local” City streets.
Scope and Schedule
The FY2019 Street Surface Treatments Project includes micro-surfacing and cape sealing pavement preservation applications on approximately two (2) major streets and twenty-nine (29) local streets citywide. Attached, is a list of streets and a map showing the proposed work locations. The schedule anticipates for construction to begin in early August 2018 and be complete by June 30, 2019. The Contractor will provide an exact schedule for each street, as required, to coordinate with planned City and other area construction projects, events such as U of M home football games, in-session school days, and applicable holiday periods.
The proposed contract is a unit price contract, based on the fact that actual construction quantities will vary. This arrangement allows for removal, addition and substitution of streets as appropriate. Depletion of available funds prior to the completion of all the streets on the list will result in termination the construction contract and deferral of the balance of the streets to a future surface treatments project. Conversely, the City may add additional streets if the available budget allows.
Bidding
The City advertised the proposed work for bid on its procurement webpage and on the Michigan Inter-governmental Trade Network (MITN) website with the bidding documents being available to interested contractors. Staff received and opened 2 bids on Thursday, May 31, 2018. Attached is a copy of the results. The lowest responsible bid from Strawser Construction, Inc., for $1,585,143.25, was 21.1% lower than the Engineer's Estimate. Staff reviewed and compared the bid prices received with others from recent statewide projects and found them to be comparable and acceptable.
Budget/Fiscal Impact
The current City of Ann Arbor Capital Improvements Plan (CIP) includes the Annual Capital Street Maintenance Program (TR-SC-15-02), of which this project and one for crack sealing streets citywide are parts. These projects coupled with that for the Annual Street Resurfacing Program are vital to the continued improvement of the City’s street network. This work is included in the adopted FY 2019 Major and Local Street Funds Operations and Maintenance and Budgets, and is essential toward achieving the long-term goals established for the City’s pavement asset management plan. The project will have no additional operational impacts.
The estimated total cost for this project is $2,100,000.00 and includes estimated revenue from the following sources:
|
Revenue Source |
Amount |
|
Major Street Fund |
$1,250,000.00 |
|
Local Street Fund |
$ 850,000.00 |
|
Total |
$2,100,000.00 |
Maintenance of Traffic
On major streets, the contract requires maintaining two-way traffic. The contractor will utilize lane closures with traffic shifts, and flag control at times to perform its work. It will utilize temporary short-term street closures (one day or less) to accomplish the work on local streets. For all the streets, the contract requires maintaining access to driveways and side streets during construction although short-term restricted access will be necessary. The contractor, at the staff’s direction, will utilize message boards to notify drivers of upcoming construction and related traffic delays.
Public Outreach
The Contractor, working with staff, will provide advance construction notice to residents and business owners affected by this project. The City will notify the public of any temporary traffic control impacts on major streets.
Strawser Construction, Inc. is in compliance with the requirements of the City’s Non-Discrimination and Living Wage ordinances.
Staff
Prepared by: Nicholas Hutchinson, P.E., City Engineer
Reviewed by: Craig Hupy, Public Services Area Administrator
Approved by: Howard S. Lazarus, City Administrator
Body
Whereas, The City of Ann Arbor’s Adopted FY2018 Capital Budget includes the Annual Capital Street Maintenance Program;
Whereas, The FY2019 Street Surface Treatments Project includes the application of micro-surfacing and/or cape sealing surface treatments on approximately two (2) major streets and twenty-nine (29) local streets citywide;
Whereas, The City’s Procurement Office received competitive bids for a contract for that project on Thursday, May 31, 2018, and Strawser Construction, Inc. was the low responsible bidder at $1,585,143.25;
Whereas, The contract proposal sets forth the services to be performed by said company, and the payments to be made by the City therefore, along with other terms and conditions, all of which are agreeable to the City;
Whereas, The FY2019 Street Surface Treatments Project is important to improving and maintaining City streets and achieving the goals of the City’s pavement asset management program;
Whereas, Funds are available from the FY 2019 approved Major and Local Street Fund Operations and maintenance budgets;
Whereas, It is now important to enter into a contract with said company for said construction project; and
Whereas, Strawser Construction, Inc. complies with the City of Ann Arbor Non-Discrimination and Living Wage Ordinances;
RESOLVED, That a contract in the amount of $1,585,143.25 be awarded to, and entered into with, Strawser Construction, Inc. for the construction of the FY2019 Street Surface Treatments Project;
RESOLVED, That the funds for the FY2019 Street Surface Treatments Project expenditure and revenue budgets be available without regard to fiscal year; and
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 a contingency amount of $158,500.00 be established within the project budget and that the City Administrator be authorized to approve additional change orders to the construction contract with Strawser Construction, Inc., not to exceed $158,500.00 in order to satisfactorily complete this project; and
RESOLVED, That the City Administrator be authorized to take necessary administrative actions to implement this project, including issuing Traffic Control Orders for the streets included in the FY2019 Street Surface Treatments Project, including parking prohibitions as needed in excess of one (1) block and/or ninety (90) days.