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  8.       
City Council Regular Meeting
Meeting Date: 02/11/2020  

BACKGROUND
The 2018 Street Preservation and Maintenance/Rehabilitation Project was previously bid and no bids were received.  Based on contractor feedback, the bid package was modified and the project was re-bid in September.
 
The bid package was split into three schedules.  Each schedule represents work items of a similar nature.  Schedule I is for reconstruction of a segment of Tri-County Parkway (I-35 to Corridor Parkway) and a segment of Schertz Parkway (Maske Road to Woodland Oaks Drive) with a concrete pavement section. Schedule II is for Northcliffe reclamation, reconstruction of a segment of Randolph Avenue (Main Street to Exchange Avenue), and an overlay to a portion of Schertz Parkway (Live Oak Road to Beck Street).  Schedule III is for applying a chip seal to several areas (Randolph Avenue, a segment of Curtiss Avenue, Live Oak Road, Greenfield Village subdivision, The Estates at Wilson’s Preserve subdivision, Deer Haven subdivision, and Lone Oak subdivision).  The bid package allowed for awarding a single contract for all three schedules or individual contracts for each schedule.
 
Three bids were received on October 3, 2019, for the project.  One bidder bid on all three schedules; one bidder bid on Schedule I only, and one bidder bid on Schedule III only.
 
The bids received for Schedules II and III were significantly higher than the Engineer's estimate, while the lowest bid received for Schedule I was acceptable.  On November 11, 2019, Council awarded a construction contract to the lowest bid received for Schedule I and rejected all other bids.  The remaining Schedules were re-named and re-bid as separate projects.  Schedule III was renamed "2018 SPAM Resurfacing Project."

Three bids were received on January 29, 2020, for the 2018 SPAM Resurfacing Project.  Selection of the best bid was based primarily on cost.  All bidders were required to submit additional information, such as experience on similar projects; experience on public projects; available resources to complete the project; corporate history and stability; and references. The additional information was used to verify the bidders were capable of completing the project.  Based on the information provided, all bidders are capable of completing the project work.  The lowest bid received for was from Fuquay, Inc. and was higher than the Engineer’s Estimate.  However, the bid was significantly lower than the bid received for Schedule II on October 3, 2019.  In the analysis of the bids received, Staff noted that asphalt oil prices in our area have increased significantly since the Engineer's Estimate was created for the project.  Based on the analysis, staff feels it is appropriate to award a construction contract for the project.
 
A construction contract awarded to Fuquay, Inc. would perform prep work and apply a chip seal to Randolph Avenue, a segment of Curtiss Avenue, Live Oak Road, Greenfield Village subdivision, The Estates at Wilson’s Preserve subdivision, Deer Haven subdivision, and Lone Oak subdivision.
GOAL
To obtain authorization from City Council to execute a construction contract with Fuquay, Inc. for $686,191.77, and a not to exceed amount of $755,000, for the 2018 SPAM Resurfacing Project.
COMMUNITY BENEFIT
The project will preform prep work (base repairs, minor asphalt leveling, etc.) and apply a chip seal to Randolph Avenue, a segment of Curtiss Avenue, Live Oak Road, Greenfield Village subdivision, The Estates at Wilson’s Preserve subdivision, Deer Haven subdivision, and Lone Oak subdivision.  This process effectively restores the Pavement Condition Index of the streets to 100 and provides a new driving surface.
SUMMARY OF RECOMMENDED ACTION
Approve the contract for the 2018 SPAM Resurfacing project to Fuquay, Inc. for $686,191.77, and a not to exceed amount of $755,000.
FISCAL IMPACT
The cost of the project shall not exceed $755,000 and funding is available from proceeds of Certificates of Obligation for Road Improvements.
RECOMMENDATION
Staff recommends Council approve Resolution 20-R-16 and award the bid for the 2018 SPAM Rehabilitation Project to Fuquay, Inc. for $686,191.77, and a not to exceed amount of $755,000.
Attachments
Resolution 20 - R - 16
Bid Tabulation - Resurfacing
SPAM Current Status
SPAM Resurfacing Agreement

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