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File #: 19-0745    Version: 1 Name: 5/6/19 - 2019 Street Resurfacing Project Construction Contract
Type: Resolution Status: Passed
File created: 5/6/2019 In control: City Council
On agenda: 5/6/2019 Final action: 5/6/2019
Enactment date: 5/6/2019 Enactment #: R-19-208
Title: Resolution to Award a Construction Contract to Cadillac Asphalt LLC (ITB. 4570, $8,995,000.00) for the 2019 Street Resurfacing/Restoration Project, and to Appropriate $675,000.00 from the Major Street Fund and $1,917,500.00 from the Local Street Fund (8 Votes Required)
Attachments: 1. 2019-004_Street Restoration-2019_Street List_2019-04-11.pdf, 2. ITB 4570 Street Restoration-2019_Bid Summary.pdf, 3. 2019-004 Street Restoration-2019_Contract Document_ORIGINAL.pdf

Title

Resolution to Award a Construction Contract to Cadillac Asphalt LLC (ITB. 4570, $8,995,000.00) for the 2019 Street Resurfacing/Restoration Project, and to Appropriate $675,000.00 from the Major Street Fund and $1,917,500.00 from the Local Street Fund (8 Votes Required)

Memorandum

Attached for your approval is a resolution to authorize the award of a construction contract to Cadillac Asphalt LLC, in the amount of $8,995,000.00 for resurfacing various City streets. The resolution also appropriates $675,000.00 from the Major Street Fund and $1,917,500.00 from the Local Street Fund Operations and Maintenance Budget. 

 

This year’s resurfacing project includes resurfacing or restoration of over 7 miles of streets, including 6 major streets, 15 local streets, and approximately 1,400 feet of shared use asphalt path. Attached, is a list of the proposed locations.

 

Construction will begin in late May 2019, and conclude by early November 2019. The Contractor will provide an exact schedule for each street, as required, to coordinate with planned community events, such as Art Fair and U of M home football games, in-session school days, holiday periods, and other construction projects.

 

The contract is a unit-price contract because actual construction quantities may vary. This allows removal, or substitution, of any streets on the proposed list for any reason. 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 resurfacing project. The City may add additional streets if the available budget allows.

 

Budget/Fiscal Impact

The estimated cost for this year’s project, which is part of the Annual Street Resurfacing Program in the current Capital Improvements Plan, is $10,795,000.00, and includes estimated revenue from the following sources:

 

Revenue Source

Amount

Street, Bridge, and Sidewalk Millage Fund

$5,947,500

Major Street Fund

$645,000

Local Street Fund

$1,917,500

County Road Millage Funds

$1,875,000

Stormwater Fund

$350,000

Water Fund

$30,000

Sanitary Fund

$30,000

Total

$10,795,000

 

This project includes the annual, planned resurfacing program, which is funded by Street, Bridge, and Sidewalk Millage funds, County Road Millage funds, Major and Local Street Maintenance and Operating Budget funds, and various utility operating budget funds. The project includes no unplanned operational impacts.

 

Maintenance of Traffic

The contract requires maintenance of local access throughout the majority of all construction. On major streets, the contract requires part-width construction. The contractor will maintain traffic in at least one direction, with the opposite direction temporarily detoured. The contractor, at the staff’s direction, will install message boards to notify drivers of upcoming detours and related traffic delays.

 

Public Outreach

In mid-March, staff met with affected residents and property owners regarding the planned local street work, including those in the Water Hill neighborhood and along Sheridan Drive in the Ann Arbor Hills area.  These are where most of the local street work will happen.  In early April, staff held an open house and met with affected property owners regarding the planned major street work.  Information about the project (i.e., planned project locations, display materials from the open house, etc.) is publicly available at: www.a2gov.org/RoadConstruction <http://www.a2gov.org/RoadConstruction>

 

Staff will distribute a more detailed notice prior to construction on each street.  Residents and property owners may check the webpage weekly to obtain updates on the progress of work. The Contractor will distribute additional notices, as required, when its work activities and operations directly impact residents and property/business owners.

 

Bidding

The City advertised this contract, received, and opened two bids for it on April 16, 2019. The lowest responsive bidder was Cadillac Asphalt LLC with a bid of $8,995,000.00, which is 3.8% lower than the Engineer's Estimate. Attached is a summary of the bids.

 

Cadillac Asphalt LLC complies with the City of Ann Arbor 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 Adopted FY 2019 Street, Bridge, and Sidewalk Millage Capital Budget, which includes the Annual Street Resurfacing Program;

 

Whereas, FY 2019 Budget Amendment One increased the Major and Local Street Fund Operations and Maintenance Budgets for increased Road Preventative Maintenance funding;

 

Whereas, Funding budgeted in the Major and Local Street Fund Operations and Maintenance budgets for increased preventative road maintenance will not be fully expended by June 30, 2019, and it is necessary to make this funding available without regard to fiscal year, requiring a budget amendment;

 

Whereas, The 2019 Street Resurfacing/Restoration Project includes 6 major streets, 15 local streets, and approximately 1,400 feet of shared use asphalt path located throughout the City;

 

Whereas, The 2019 Street Resurfacing/Restoration Project will improve and maintain streets in the City;

 

Whereas, Bids were received by the City’s Procurement Office on Tuesday, April 16, 2019, and Cadillac Asphalt LLC was the lowest responsible bidder at $8,995,000.00;

 

Whereas, The contract sets forth, among other things, the services to be performed by said company, and the payments to be made by the City therefore, all of which are agreeable to the City;

 

Whereas, It is appropriate now to enter into a contract with said company for said construction project;

 

Whereas, Cadillac Asphalt LLC complies with the City of Ann Arbor Non-Discrimination and Living Wage Ordinances; and

 

RESOLVED, That a construction contract in the amount of $8,995,000.00 be awarded to Cadillac Asphalt LLC for the construction of the 2019 Street Resurfacing/Restoration Project;

 

RESOLVED, That the 2019 Street Resurfacing/Restoration Project expenditure and revenue budgets be increased by $2,592,500.00 with the sources of funding being the appropriation of Major Street Fund Unobligated Fund Balance ($675,000.00) and the Local Street Fund Unobligated Fund Balance ($1,917,500.00);

 

RESOLVED; That the funding be available without regard to fiscal year until project completion;

 

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 $450,000.00 be established within the project budget and that the City Administrator be authorized to approve additional change orders to the construction contract with Cadillac Asphalt LLC not to exceed $450,000.00 in order to satisfactorily complete this project;

 

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 2019 Street Resurfacing/Restoration Project, including parking prohibitions as needed in excess of one (1) block and/or ninety (90) days; and

 

RESOLVED, That the City Administrator be authorized to take the necessary administrative actions to implement this resolution.