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<br /> I" '-. JUL -12-1'396 11' 2-1 P.02.,-05 <br /> I MS My 12 1996 n,/C, <br /> ~ File: 520-075-20 ~~~j~/ <br /> I . UtlllgmNEIJS <br /> 1326 En"1l)' Pork Drive Honorable Mayor and City Council <br /> I 51. Po.!. MN 55108 City of Arden Hills / l;oOf ~:~ <br /> 1450 W. Highway 96 <br /> 612.6.....389 Arden Hills, MN 55112 <br /> / k <br /> I 1.100.188.2923 f\l <br /> Fox: 612.644.9446 RE: OLD mGHW A Y 10 <br /> ./ <br /> BID OPENING <br /> I Dear Mayor and Council: <br /> I As you are aware, bids were opened for the referenced project on July 10, 1996, at City <br /> Hall. Six bids were received and the bids ranged from a low bid of $139,972.50 as <br /> presented by Bonine Excavating, Inc., to a high bid of $344,874.93 as proposed by <br /> I N orthdale Construction. A copy of the bid tabulation is attached for your review. The <br /> wide spread between bids indicates that the project may have been bid at a poor time of <br /> (NiL ENGINEERING: the summer. <br /> I EN'I;!ll:ONMENTA~ <br /> MUNIC!'Al Apparently, spring construction began somewhat late this year and many contractors are <br /> Pl.A.....~~G busier than what might have been expected. This, in conjunction with a 21-day <br /> I 4fLlDWA.lTE construction period, resulted in a low bid that was approximately $40,000 higher than the <br /> t.CTJRAl feasibility estimate for the project. As a result, the Engineer has discussed with City staff <br /> SU~VIY'''-IG the various options available for the City's consideration relative to this project. Those <br /> I iP..v~1( are as follows: <br /> TRA"lS~R'7AnO!\t <br /> . Consider the award of the entire project and inform affected residents of the bid <br /> I ElKHICAl/MKHANICAl results. This would require an inquiry as to the residents' willingness to accept <br /> fNCif'JEERING assessments that are approximately 3S to 40% higher than previously estimated. <br /> H'l/,:: <br /> . Consider the award of the entire project, funding the excess costs with City Waler <br /> PQ'wEi OISUIiUTlON <br /> I SU.CA Utility funds. <br /> . Delete the northerly segment of watermain improvement between Wedgewood <br /> SYSTEM CONTROLS <br /> I Circle and Highway 96, and complete the replacement of the watennain between <br /> Valentine Court and County Road F as a City project. <br /> . Discard all bids and complete the work at some time in the future, perhaps with <br /> I possible bike trail construction or upon petition from benefitting residents. <br /> Based upon the high conslrUclion costs, the City may not fee! the project is economically <br /> I feasible to complete at this time. MSA and the City's Public Works SUperintendent both <br /> feel it is important to replace the southerly segment of watermain as soon as possible. <br /> OFfiCES IN: This is recommended as the number of repairs to this segment continue to increase and <br /> I MlNNEAPOUS thc cost of such repairs will become more expensive with the required restoration of the <br /> PRtOR LAKe newly paved segment of Old Highway 10. The low bidder is unable to complete Schedule <br /> 1.0 as an independent project and the second low bidder, Kober Excavating, stated he <br /> S1. PAUL could do the work for $2,500 above his bid for that segment, or $38,442.70, <br /> I .fCA <br /> An Equal Opportunity Employer <br /> I <br />