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CONSIDERATION OF AWARDING BID 1920-4; CONTRACT K-1920-7 BY AND BETWEEN THE CITY OF NORMAN, OKLAHOMA, AND CENTRAL CONTRACTING SERVICES, INC., IN THE AMOUNT OF $308,235; PERFORMANCE BOND B-1920-11; STATUTORY BOND B-1920-12, AND MAINTENANCE BOND MB-1920-5 FOR THE URBAN CONCRETE PAVEMENT PROJECT, FYE 2020 LOCATIONS, BID 1, (LAKECREST DRIVE FROM 12TH AVENUE N.E. TO ERIE AVENUE AND MCKINLEY AVENUE AND GEORGE AVENUE FROM LINDSEY STREET TO STINSON STREET) AND ADOPTION OF RESOLUTION R-1920-2.
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BACKGROUND: In the Norman General Obligation Bond Election of 2016, voters approved the Street Maintenance Bond Program, a 5-year, 4-phase program to address maintenance needs on neighborhood streets. The four categories include (1) Urban Asphalt Street Rehabilitation, (2) Urban Concrete Street Rehabilitation, (3) Urban Road Reconstruction and (4) Rural Road Rehabilitation. Prior to the election, the City provided a list of all streets included in the program based upon the pavement condition data from the City’s current Pavement Management System. The following is the list of the fiscal year ending June 30, 2020 (FYE 2020) Urban Concrete Pavement project locations included in this Bid:
• Lakecrest Drive - 12th Avenue NE to Erie Avenue
• McKinley Avenue - Lindsey Street to Stinson Street
• George Avenue - Lindsey Street to Stinson Street
The roadways included in this project are located in established residential neighborhoods. The current roadways are constructed of concrete pavement. The concrete pavement is in poor condition. This project involves rehabilitation of the existing pavement including panel replacement.
DISCUSSION: Bid documents and specifications for the Street Maintenance Bond Program - Urban Concrete Pavement FYE 2020 Locations, Bid 1 Project were advertised on July 4, 2019 and July 11, 2019 in accordance with State Law. Two (2) bids were received on July 25, 2019.
The low bidder is Central Contracting Services, Inc. of Norman, Oklahoma in the amount of $308,235. This bid is $269,667 or 46.7% below the Engineer’s Estimate of $577,902. This bid is $102,125 or 24.9% below the next lowest bid of $410,360. Prior to the 2016 bond election, staff prepared the engineer’s estimates for all of the projects included in the 5-year Street Maintenance Bond Program. In estimating future pricing for this bond program, staff included assumptions for inflation, need for engineering design, and contingency. Comparing the bids versus the engineer’s estimate, staff believes that the engineer’s estimate was overly inflated due to the previously mentioned assumptions. Comparing the Central Contracting Services, Inc. low bid versus the next lowest bid, indicates that unit pricing for mobilization and concrete were the key differences in pricing. Staff has done a comparative analysis of the bids, and believes the bid to be competitive and represents a fair price. The bid tabulation is attached.
Central Contracting Services, Inc. is a responsible bidder. They have successfully completed numerous paving projects for the City of Norman including the 2019 Urban Concrete Pavement Locations Project.
This project will be funded from the following Urban Concrete Project No’s: BP0446 and BP0450 (Account No. 050-9393-431.61-01).
If approved, construction of Street Maintenance Bond Program - Urban Concrete Pavement FYE 2020 Locations, Bid 1 Project will begin in September 2019. The construction time for this project is 180 days with an estimated completion of March 2020.
RECOMMENDATION NO. 1: Staff has reviewed the bids and recommends Bid 1920-4 for Street Maintenance Bond Program - Urban Concrete Pavement FYE 2020 Locations, Bid 1 Project be awarded to the low bidder, Central Contracting Services, Inc. of Norman, Oklahoma, for $308,235.
RECOMMENDATION NO. 2: Staff further recommends that, upon approval of Bid No. 1920-4, the following contract and bonds be approved:
Contract K-1920-7
Performance Bond B-1920-11
Statutory Bond B-1920-12
Maintenance Bond MB-1920-5
RECOMMENDATION NO. 3: Staff further recommends that, upon approval of Bid No. 1920-4, Central Contracting Services, Inc., be authorized and appointed as Project Agent via Resolution R-1920-2.