Item Coversheet

*4.B.3.


Shakopee City Council
July 16, 2024


FROM:Micah Heckman, Assistant City Engineer
TO:Mayor and Council Members
Subject:
Award a Contract for the Downtown ADA, Lighting and Tree Rehab Improvement Project.
Policy/Action Requested:
Adopt Resolution R2024-099, accepting bids and awarding a contract in the amount of $901,284.70 to Pember Companies, Inc., for the Downtown ADA, Lighting and Tree Rehab Improvement Project.
Recommendation:
Adopt Resolution R2024-099.
Discussion:

The City's adopted Capital Improvement Plan (CIP) contains the Downtown ADA, Lighting and Tree Rehab Improvement Project (CIF-22-003). The project improvements include replacement of the existing street lighting system (including cabinets, conduit, wiring and poles), improvements to pedestrian ramp facilities, removal of decorative pavers and tree replacements along Fuller Street from County Road 69 to 3rd Avenue, 2nd Avenue from Fuller Street to Atwood Street and the south side of 2nd Avenue adjacent to the Lewis Street parking lot.

 

On April 16, 2024, the City Council adopted Resolution R2024-052 approving plans and specifications, and authorizing bidding for the combined project.

 

In accordance with Minnesota Statute Section 471.345 Uniform Municipal Contracting Law, bids were solicited and opened June 25, 2024. Four bids were received and Pember Companies, Inc. from Menomonie, Wisconsin, was the low bidder in the amount of $901,284.70 (see the attached resolution for the bid tabulation summary).

 

Pember Companies has the capacity and experience for the project and is deemed a responsible bidder. Construction is anticipated to begin in August and be completed by November 2024.

 

Budget Impact:

Based on the low bid amount, the updated total estimated project cost is as follows:

 

CIP

Estimate
Based On Bid
Award

COSTS

Construction Cost

$ 840,000.00

$ 901,284.70

Contingency

$ 42,000.00

$ 45,064.24

Subtotal

$ 882,000.00

$ 946,348.94

Eng/Admin/Legal

$ 250,000.00

$ 216,722.15

Total Estimated Project Cost

$ 1,132,000.00

$ 1,163,071.09

FUNDING

Capital Improvement Fund

$ 1,100,000.00

$1,154,071.09

Tree Replacement Fund

$ 32,000.00

$9,000.00

Total Funding

$ 1,132,000.00

$ 1,163,071.09

 

 

The overall funding from the Capital Improvement Fund (CIF) is $54,071 above the programmed amount in the CIP. The CIF has funding to cover the differences due to cost savings realized from other projects bid earlier this year and will be under budget overall at year end. Staff does not expect to award any additional projects with CIF funding in 2024.

ATTACHMENTS:
Description
Resolution R2024-099
CIP Sheet
Contract