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21 - 2017 - Street Bond Fund - Construction Contract Award for 17th S.E. Street ImprovementsItem No. 21 TO: Mayor & City Council John Godwin, City Manager FROM: Carla Easton, City Engineer SUBJECT: 2017 STREET BOND FUND — CONSTRUCTION CONTRACT AWARD FOR 17th SE STREET IMPROVEMENTS DATE: November 5, 2018 BACKGROUND: In May 2017, voters authorized the sale of $9.5 Million in bonds to improve city streets. 24`' Street SE, from Clarksville to Lamar, and 17th Street SE from Clarksville to Pine Bluff, were ranked numbers 8 and 10 on the street priority list. The proposed improvements include full depth pavement replacement, with improvements to the storm drainage system to enclose the open ditches and increase capacity, where possible. The contract plans and specifications were prepared by KSA Engineers, and the bid documents were structured such that a contract could be awarded for reconstruction of 17th St only, with the option to mill & overlay from Lamar to Pine Bluff, 24th St only, or both streets, as budget allows. STATUS OF ISSUE: The City advertised for bids and conducted a bid opening on October 18, 2018. Four bids were received, as summarized below. Bidder Bid A: 17th St SE Bid A Alt: 17th NE Bid B: 24th St Richard Drake Const. 2,122,020.25 41,583.10 2,666,469.15 PavCon Public Works 2,060,905.05 50,848.30 2,808,945.50 Stateline Const. 2,172,139.00 68,937.50 2,784,679.00 RK Hall 3,023,363.20 51,841.00 4,141,464.55 The drainage improvements resulted in increased construction costs for both 17th and 24th Streets, and both projects cannot be constructed at this time with the available bond funds. Therefore we are recommending award of a contract for 17th Street only, and will plan for a smaller resurfacing project on 24th St in 2019. The bids were reviewed and references checked in accordance with the contract documents, and the engineer of record recommends the award of a contract for 17th Street SE, including the additive alternate to mill and overlay from Lamar to Pine Bluff, to the lowest bidder, PavCon Public Works. BUDGET: Funding is available in the 2017 Street Bond Fund. RECOMMENDATION: Authorize the city manager to execute a contract with PavCon Public Works for the 17"' Street SE Reconstruction Project and related change orders for an amount not to exceed $2,200,000.00.