05-09-2022 Council Packet - Laserfiche WebLink

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AGENDA ITEM Prepared By: Reviewed By: Approved By: 1.Purpose. The purpose of this action item is to reject bids for the new public works facilitypProject and provide direction on a way forward. 2.Background. In May of 2021 the city began a design process for a new public works facility at 365 Old Crystal Bay Road. Design work was completed in April and the project put out for Bid with bid date of April 26th 2022. 3.Scope of Work. The project consists of the construction of a new public works facility with associated site work. 4.Cost. The city received seven bids. The bid Summary is at Exhibit A. The low bid for was for $18,382,000 from Rochon Cooperation. The low bid is significantly higher than the project estimate and funding. A bid analysis is included as part of Exhibit B. 5.Funding. The project is funded by a facility bond. A facility bond was sold in December of 2021 with $13,000,000 allocated for the PW facility. 6.Design Committee Recommendation. The design committee met on May 2nd to analysis the bids and develop a recommendation for a way forward. The committee recommends rejecting all bids and repackaging the project in to component parts (Site work, Facility, Commodity Yard) for rebid in the future. Timing of the rebid should be based on monitoring construction costs but with bid packets ready by August 2022. 7.Staff Recommendation. I council reject the bids as the costs exceed funding available. The project is not time sensitive so delaying to wait for market condition to improve makes sense. COUNCIL ACTION REQUESTED Move to reject the bids received for the public works facility and to direct staff and consultants to prepare bid packages for rebid. Exhibits A.Bid Tab B.Oertel Architects Bid Review Letter. References A.Orono PW Bid Package Item No.: 10 Date: May 9, 2022 Item Description: Public Works Facility (21-039)- Bids Presenter: Adam T. Edwards, P.E. City Engineer Agenda Section: Consent Agenda