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A Resolution Authorizing the Rejection of all Bids for Project 25-20, Oak Park Avenue Streetscape Improvements
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Introduction
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The Village received bids on February 4, 2025, for the Oak Park Avenue Streetscape Project. The Village only received one bid for the project from R. W. Dunteman Co. in an amount of $22,777,278 which is over the budgeted amount for the project. The Public Works Department - Engineering Division recommends rejecting the bid and rebidding the project in the late summer of 2025 for a 2026 construction project.
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Recommended Action
Adopt the Resolution.
Prior Board Action
The Board has taken the following prior actions:
• At the Village Board meeting on December 3, 2024, the Village Board approved a Task Order for Professional Engineering Services with TranSystems Corporation for Construction Engineering for the Oak Park Avenue Streetscape Project, in an Amount Not to Exceed $1,522,388. (RES. 24-385)
• At the Village Board meeting on December 3, 2024, the Village Board approved an Amendment to the Professional Services Agreement with Terra Engineering, Ltd. for the Design of the Oak Park Avenue Streetscape and Utility Projects to Change the not to Exceed Amount from $998,577 to $1,121,790. (RES 24-377)
• At the Village Board meeting on August 27, 2024, the Village Board approved an Independent Contractor Agreement with J. Graham, LLC. for the Viaduct Art Installation, in an amount not to exceed $235,000. (RES 24-268)
• At the Village Board meeting on July 30, 2024, the Village Board approved an Independent Contractor Agreement with Ray King Studio, Ltd. for the Flame Beacon Art Installation, in an amount not to exceed $154,250. (RES 24-267)
• At the Village Board meeting on June 11, 2024, the Village Board approved a Motion to Concur with the Recommendation of the Oak Park Area Arts Council to Enter an Independent Contractor Agreement with Ray King Studio, Ltd. for a Flame Beacon Art Installation at the Southeast Corner of South Boulevard and Oak Park Avenue. (MOT 24-180)
• At the Village Board meeting on June 11, 2024, the Village Board approved a Motion to Concur with the Recommendation of the Oak Park Area Arts Council to Enter an Independent Contractor Agreement with Graham Carraway for a Viaduct Art Installation Under the Viaduct Between North Boulevard and South Boulevard. (MOT 24-181)
• At the Village Board meeting on December 4, 2023, the Village Board approved a Professional Services Agreement with Terra Engineering, Ltd. for the Design of the Oak Park Avenue Streetscape and Utility Projects, in an amount not to exceed $998,577. (RES 23-322)
• At the Village Board meeting on October 23, 2023, the Village Board had a presentation and discussion of the Oak Park Avenue Streetscape Project and the Oak Park Avenue Streetscape Steering Committee’s Recommended Conceptual Design and Alternatives. (ID 23-467)
• At the Village Board meeting on September 5, 2023, the Village Board approved a Second Amendment to the Professional Services Agreement with Terra Engineering, Ltd. for the Design of the Oak Park Avenue Resurfacing, Utility, and Streetscape Projects to change the not to exceed amount from $1,010,958 to $1,214,548. (RES 23-273)
• At the Village Board meeting on March 6, 2023, the Village Board approved a Resolution Creating a Steering Committee for the Oak Park Avenue Streetscape Project and a Motion to Approve the Appointment of Members to the Steering Committee. (RES 23-57)
Background
The design of the Oak Park Avenue Streetscape Project was completed in late 2024 and went out for bid in December of 2024. On February 4, 2025, the Village only received one bid for the project from R. W. Dunteman Co. in an amount of $22,777,278 which is over the budgeted amount for the project. The Public Works Department - Engineering Division recommends rejecting the bid and rebidding the project in the late summer of 2025 for a 2026 construction project.
Over the next few months, staff proposes to work with Terra Engineering to revise the design of the project to address issues heard from the contractors during the bidding process and recommend rebidding a project out in late summer so the Board has real costs of the project to review during the 2026 budget process. Staff will work with the design engineering firm to identify any opportunity to reduce project scope while still achieving the project's intended outcomes.
The Oak Park Avenue Streetscape project includes sewer main replacement from Randolph to Ontario; water main replacement from South Boulevard to Ontario; street lighting and traffic signal replacements, full roadway and sidewalk reconstruction using materials approved by the Village Board including brick paver roadways and bluestone sidewalks; public art as approved by the Village Board for an interactive mural under the viaduct and a glass illuminated sculpture at South Boulevard; public spaces with decorative overhead lighting at the Hunter Court alley and at the southeast corner of South Boulevard; as well as new furnishing and landscaping.
Timing Considerations
Adoption of the Resolution at this time will allow staff to begin work with Terra Engineering to revise the design of the project to address issues heard from the contractors. Staff would plan to bid a project out in late summer 2025 to provide real costs of the project for the 2026 budget process.
Budget Impact
The FY25 Budget includes $18,000,000 for the construction of the Oak Park Avenue Streetscape project in the Capital Improvement Fund, Public Works-Engineering, Streetscaping account no. 3095.43780.101.570959. There are insufficient funds dedicated to this project in the 2025 budget to cover the cost of the received bid of $22,777,278. If this resolution is adopted, these funds could be released back to general fund reserves and new real costs from a future bidding process would be allocated to the project during the 2026 budget process.
Staffing Impact
The Oak Park Avenue Streetscape Project will require a significant investment of staff resources to oversee construction and coordinate the construction project with the impacted business community and residents of Oak Park. The project will impact various departments including Public Works, Development Services, and the Office of Communications. No new staffing is anticipated for the project as the Village has already contracted with TranSystems to oversee the construction of the project including the use of a public relations firm, the Prescott Group, to oversee the communications and marketing of the project.
DEI Impact
The Oak Park Avenue Streetscape project increases accessibility with new and better sidewalk infrastructure, ramps, and crosswalks making the area more accessible for people with disabilities or mobility challenges. Improved lighting, crosswalks, and signage will make the area feel safer, especially for marginalized groups such as women, seniors, and children. Upgrading public spaces will create more welcoming environments for all community members and provide a space for social interaction and community events which can promote inclusivity and a sense of belonging for people of different backgrounds. Streetscape projects can also foster economic opportunities for attracting businesses and jobs.
Community Input
The conceptual design of the streetscape project was developed using feedback obtained at public open houses, the Engage Oak Park website, from stakeholders in the project limits, and by the Oak Park Avenue Streetscape Steering Committee which included members of the Disability Access Commission and Aging in Community Commission. The project was also presented at a Disability Access Commission for additional input with Aging in Community commissioners attending that meeting as well.
During the design of the project in 2024, the project team presented the project and solicited community input at the Day in Our Village event and hosted an open house on June 25, 2024, at the main library for the project. The project has been presented at numerous Hemingway Business District meetings and events as well as meetings with individual businesses and stakeholders within the project’s limits.
Updates on the project will be provided to people who subscribe for updates on the project’s website at RenewtheAvenue.com.
Staff Recommendation
Adopt the Resolution and defer the construction of the Oak Park Avenue Streetscape Project to the 2026 construction season.
Advantages:
• Staff can work with the design engineering firm to refine the project scope and specific design elements to provide a more detailed plan set for future bidding with the hopes of getting more interest and better pricing for the Village.
Disadvantages:
• Construction of the project will be delayed until the 2026 construction season.
• Additional communication will need to be developed and disseminated to the business district and community.
• Businesses in the Hemingway district will need to revisit their proposed plans for 2025 and 2026.
• The project would need to be redesigned to meet any updated Board direction regarding the scope and cost of the project.
• Agreements for public art for the project, grant programs for businesses during the project, and agreements for the management of the project would need to be revised.
Alternatives
Alternative 1: The Board can delay to gain additional information.
Advantages:
• The Board can be presented with the requested information.
Disadvantages:
• Notification to potentially impacted businesses on the future of the project will be delayed.
Alternative 2: The Board can vote down the Resolution.
Advantages:
• The opportunity to award the construction contract remains available.
Disadvantages:
• The project cost exceeds the existing budget and will require a budget amendment.
• Redesigns and value engineering during construction are unlikely to reduce costs significantly.
• Redesigns and value engineering during construction could compromise the project schedule.
Anticipated Future Actions
Staff will return to the Board with future agenda items to support the Oak Park Avenue Streetscape project for 2026. This would include a budget recommendation, a future construction contract, possible contract amendments, ordinances, various easements with private properties for sidewalk easements and allowing for work on private property, and agreements related to work being done on vaulted spaces under sidewalks.
Prepared By: Bill McKenna, Assistant Public Works Director/Village Engineer
Reviewed By: Rob Sproule, Public Works Director
Approved By: Kevin J. Jackson, Village Manager
Attachment(s):
1. Resolution
2. Summary of Bids