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Department Approval �-��-, �------ Item Description: BACKGROUND �� � REQUEST FOR COUNCIL ACTION Date: October 5, 2015 Item No.: 8.e City Manager Approval Adopt Resolution Accepting Bids and Awarding Contract for Twin Lakes Parlcway Phase 3 On August 10, 20l S, the City Council approved plans and authorized advertisement of bids for the Twin Lakes Parkway Phase 3 project. This project, funded through TIF District 17 funds, involves the extension of Twin Lakes Parkway from Prior Avenue to Fairview Avenue. The new road extension includes one lane of traffic in each direction, pedestrian facilities on both sides of the road, storm water improvements, lighting and landscaping. Items in the bid also include the removal of the Hagen building and removal of old building footings within the right of way. The improvements will provide more capacity at the intersection as well as align the through lanes between the on and off ramps and Twin Lakes Parkway. The signal light at Fairview is not included in this project but will be in a subsequent contract. The signal light will still be installed prior to the opening of Twin Lakes Parkway. Staff will be bringing proposals on this signal as well as the signal at Cleveland Avenue and County C2 within the next month. While the primary reason for removing the traffic signal was due to some coordination issues with Ramsey County, combining the signal projects together may result in some cost savings by having a larger signal project and using a signal contractor as the prime contractor instead of sub- contractors. The engineer's estimate, provided by the consultant SRF Consulting Group, was $2,202,567.50. Bids were opened on September 30, 2015 at 11:00 AM at City Hall. We received four total bids. The bids received are as follows: Contractor Bid Amount Forest Lalce Contractin , Inc. $2,570,712.80 Me er Contractin , Inc. $2,667,101.44 Park Construction Com an $2,706,562.04 New Look Contractin $3,070,799.40 The low bid was received by Forest Lake Contracting, Inc. at a confirmed amount of $2,570,712.80 which is $368,145.30, or 16.7% higher than the engineer's estimate. This increase is likely due to the continued variability in the bidding climate as well as added costs due to the risks associated with the contaminated materials present in the project area. It should be noted that over $250,000 of the overall project cost is attributable to the excavation and handling of contaminated soils. Page 1 of 2