Submitted By
Bill McKenna, Village Engineer
Reviewed By
A.M. Zayyad
Agenda Item Title
Title
A Resolution Authorizing the Rejection of all Bids for Project 22-2, Resurfacing of Various Streets
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Overview
Overview
Bids were opened on May 19, 2022, for Project 22-2, Resurfacing of Various Streets. Eight contractors picked up proposal documents and one bid was received. The only bid was submitted by Brothers Asphalt Paving, Inc. in the amount of $3,431,622.72 which is over the engineer’s estimate and budget amount. The Engineering Division recommends rejecting the bid and rebidding the project.
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Recommendation
Recommendation
Adopt the Resolution.
Fiscal Impact
There is no fiscal impact to rejecting the bid. The project is proposed to be funded using a variety of funds including $1.75 Million in State DCEO Grant revenues in the Capital Improvement Fund, Public Works - Engineering, Grant Revenue account no. 3095.43480.101.431400; $400,000 in Federal CDBG funds in the Community Development Block Grant Fund, DCS-Neighborhood Services - CDBG Department for VOP Streets & Sidewalks account no. 2083.46201.101.583651; $56,000 in the Parking Fund, DCS - Parking Services Department, Capital Improvements account no. 5060.43770.787.570707; and the balance of the project being funded using Capital Improvement Funds, Public Works- Engineering, Local Street Construction account no. 3095.43780.101.570951.
The bid amount of $3,341,622.72 substantially exceeds the estimated and budgeted amount for this project.
Background
The 2022 street resurfacing project included the resurfacing of 21 blocks of local streets in the Village. The project is primarily funded with Illinois Department of Commerce and Economic Opportunity (DCEO) funds and Federal CDBG funds. The Village issued plans for bidding on April 28th and received bids on May 19th. The Village only received one bid for this project which was over the estimated and budgeted amount for the project by approximately one million dollars. Staff and the Village’s consultant are working to revise the project to adjust the disadvantaged business participation requirements which will ultimately be set by DCEO and other factors to attract additional bidders and obtain more competitive pricing.
Alternatives
The alternative to this recommendation is to award the contract over the budgeted amount for this work.
Previous Board Action
On April 4, 2022, the Village Board approved a Resolution Authorizing the Submission of a Uniform Application for State Grant Assistance with the Illinois Department of Commerce and Economic Opportunity (DCEO) for the 2022 Resurfacing of Various Streets project and the Madison Street Streetscape Project.
Citizen Advisory Commission Action
N/A
Anticipated Future Actions/Commitments
Pending Village Board concurrence, staff will rebid the project and present a future construction contract to the Village Board for approval. Staff will also present a future agreement with the State for using the DCEO funds for this project pending the final DCEO review and approval of the project.
Intergovernmental Cooperation Opportunities
This project involves the State working with the Village to help fund resurfacing of streets and infrastructure improvements.