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Council Action Requested: The City Council is requested to reject the recent bids received for the Malcolm Avenue Drainage Improvements project. Background Information: Six bids were
received on Monday, October 8th for the Malcolm Avenue Drainage Improvements project, with a range of approximately $65,000 to approximately $95,000. The low bid of $65,304.50, submitted
by New Look Contracting, is about 31% higher than what the City has budgeted within its Stormwater Utility Fund to build the project. Bidder Total Bid New Look Contracting, Inc. $65,304.50
G.F. Jedlicki, Inc. $68,440.80 Pember Companies, Inc. $77,714.30 Shurcon, Inc. $82,344.00 Urban Companies $89,979.50 Midwest Concrete Excavating $95,082.00 Financial Impact: To build
up the capital necessary to build the project, the City set aside $50,000 by allocating $25,000 out of the Stormwater Utility Fund in each of the past two budgets. As mentioned previously,
the lowest bid is approximately 31% higher than the budgeted amount. Staff Recommendation: With such a large gap between the amount budgeted and the lowest amount bid, staff is recommending
delaying this project until the 2013 construction year and directing the project to be incorporated into a larger construction contract to gain an economy of scale. This will also provide
staff with an opportunity to look for potential design revisions that might save costs. To: Honorable Mayor & City Council From: Nick Egger – City Engineer Date: October 9, 2012 Re:
Reject Bids – Malcolm Avenue Drainage Improvements
