The city's Capital Improvement Plan (CIP) contains the 2018 Trail Rehabilitation Project CIF-18-001 and Trail Overlay Project PA-18-01. On May 15, 2018, the City Council adopted Resolution R2018-062 approving the plans and specifications, and authorizing bidding of the project.

In accordance with Minnesota Statute Section 471.347 Uniform Municipal Contracting Law, bids were solicited and opened on June 7, 2018. Four (4) bids were received and Northwest Asphalt Inc., from Shakopee, Minnesota, is the low bidder in the amount of $257,128.85 (see the attached resolution for the bid tabulation summary). The construction cost estimate for the project was $259,000. Northwest Asphalt Inc., has the capacity and experience for the project and is deemed a responsible bidder. They are prepared to begin work in June with an anticipated completion in August 2018.

The CIP identifies a budget of $100,000 for the 2018 Trail Rehabilitation Project and will be funded by the Capital Improvement Fund. The CIP also identifies a budget of $60,000 for the 2018 Trail Overlay project, funding from the Park Asset Internal Service Fund.

Additionally, the 2015 CIP and 2016 CIP each identified a budget of $80,000 for trail rehabilitation projects. These projects were postponed to maximize life of existing trail infrastructure. Funding has been carried over within the Capital Improvement Fund for use on trail projects.

The total estimated project cost based on the low bid plus five percent (5%) contingency and ten percent (10%) estimated engineering/administration/legal make up a revised total project budget of $296,984, which is 7.2 percent under the combined CIP budgets of $320,000. The contingency amount covers any unexpected change orders, quantity adjustments and other miscellaneous expenses encountered as part of the project.