Title
CONSIDERATION OF AWARDING BID-1819-53, APPROVAL OF CONTRACT K-1819-114 WITH SILVER STAR CONSTRUCTION COMPANY, INC., IN THE AMOUNT OF $1,419,627.50; PERFORMANCE BOND B-1819-67, STATUTORY BOND B-1819-68, AND MAINTENANCE BOND MB-1819-51 FOR THE URBAN ASPHALT PAVEMENT REHABILITATION CAPITAL IMPROVEMENT PROJECT #2 (FYE 2017-2019) AND RESOLUTION R-1819-79 GRANTING TAX EXEMPT STATUS.
Body
BACKGROUND: The City of Norman funds a portion of its annual asphalt street repairs through the City’s Capital Improvement Program Budget. Other asphalt street repairs are also conducted in Norman using funds from the Street Maintenance Bond Program and the City’s General Fund. Locations are chosen using the City’s Pavement Management System (PMS) and visual inspections. Repairs are made by both City of Norman employees and qualified paving contractors.
This project is funded in Asphalt Pavement Maintenance, Materials (account 050-9511-431.63-01) and Asphalt Paver Patching, Materials (account 050-9692-431.63-01; projects SC0602, SC0603, SC0605, SC0640, SC0642, SC0643, SC0644 and SC0645) with a total of $1,472,586. Bid specifications and documents were advertised on March 7, 2019 and March 14, 2019.
DISCUSSION: The project involves full-depth repairs to all streets as needed, followed by a 2 inch mill and inlay of new asphalt pavement. All locations will also have pavement markings reapplied upon completion of the paving if pavement markings existed beforehand.
In order to complete the projects in a timely manner and get back on regular budget schedule, it was determined necessary to complete these projects using private contract services. These projects were originally intended to be completed using city forces. The delay in completing these projects is due to staff turn-over and inadequate staffing in the Street Division.
The locations included in this project are:
Rock Creek Road; 48th Avenue NW - 72nd Avenue NW (2018; project SC0602)
Whispering Hills North Addition (2018; project SC0603)
Whispering Hills South Addition (2017; project SC0605)
Oak Tree Apartment Addition (2019; project SC0640)
Hampton Court: 36th Avenue NE - 3600 Hampton Court (2019; project SC0642)
Hawthorne Place (2019; project SC0643)
Brookhaven Addition (2019; project SC0644)
Robinson Street; W. 3294 to W. 3438 (2019; project SC0645)
The bid was advertised on March 14th and 21st, 2019 in the local newspaper and bids were sent to EPlan Room and Construct Connect. Three (3) contractors received bids.
The bid opening was conducted on March 28, 2019 and one (1) contractor submitted bids. The other contractors did not submit bids for various reasons, including bonding issues, previous disqualification issues with the City, and proximity of the asphalt plant to project locations. The Engineer’s Estimate is $1,468,737. The lowest bid in the amount of $1,419,627.50, submitted by Silver Star Construction Company of Moore, OK is $49,109.50 (3.34% percent) below the estimate.
Silver Star Construction Company has previously worked for the City of Norman, and the firm received favorable references from other cities on similar projects. If approved, construction will begin on these projects in May, 2019 and will be completed in phases prior to November 2019.
RECOMMENDATION NO 1: Staff has reviewed the bids and recommends that Bid 1819-53 for the CIP Urban Asphalt Pavement Rehabilitation BID #2 (FYE 2017-2019), be awarded to the low bidder, Silver Star Construction Company in the amount of $1,419,627.50.
RECOMMENDATION NO 2: Staff further recommends that, upon approval of Bid 1819-53, the following contract and bonds be approved:
Contract K-1819-114
Performance Bond B-1819-67
Statutory Bond B-1819-68
Maintenance Bond MB-1819-51
RECOMMENDATION NO 3: Staff further recommends that, upon approval of Bid 1819-53, Resolution R-1819-79 be adopted authorizing Silver Star Construction Company Inc. as project agent to avoid the payment of sales taxes on materials purchases related to the project.