Title
Resolution to Approve a Construction Contract with Action Traffic Maintenance, Inc. for the 2018 Guardrail Rehabilitation Program - RFP No. 4546 ($322,527.00), and to Appropriate Related Funds (8 Votes Required)
Memorandum
Attached for your consideration and approval is a resolution to authorize the award of a unit-price construction contract to Action Traffic Maintenance, Inc. in an estimated amount of $322,527.00 for the maintenance and replacement of guardrails at various locations throughout the City.
The City has guardrails in approximately 60 locations, and, until now, has addressed their condition reactively (e.g., after a guardrail had been hit). Many of these guardrails have been in service for years, and the standards to which they were built have changed. The City hired Hubbell, Roth and Clark, Inc. (HRC), which inventoried and evaluated the guardrails, helped the City prioritize repairs and replacements, and prepared plans for the same at 19 locations.
The City then advertised for bid the repair and replacement proposed work on its website and on the Michigan Inter-Governmental Trade Network (MITN) website. Action Traffic Maintenance, Inc. was the lowest responsible bidder of the two bids the City received. Its bid is $322,527.00, which is approximately $135,000.00 above the Engineer's Estimated Opinion of Costs, which was developed based on average unit prices obtained from MDOT literature. The City believes that market volatility and the age of the MDOT literature explain the gap between estimate and bid. That the two bids the City received are only 2% different bolsters the City's confidence in the winning bid.
Budget/Fiscal Impact: Funding for this level of work was not anticipated during budget development, but is available in Major Street Fund, Fund Balance. Operationally, these guardrail improvements will benefit the safety of patrons using the City's motorized and non-motorized transportation systems.
The contract will inc...
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