Title
Approval of a Bid Award for the State Avenue Safety Improvements Project
Recommended Action
Committee Recommendation:
Not referred to a committee.
City Manager Recommendation:
Move to award the construction contract for the State Avenue Safety Improvements Project to Active Construction, Inc. in the amount of $867,530.90, and authorize the City Manager to execute the contract pending concurrence with the Washington State Department of Transportation.
Report
Issue:
Whether to award the construction contract for the State Avenue Safety Improvements Project to Active Construction, Inc. in the amount of $867,530.90, and authorize the City Manager to execute the contract.
Staff Contact:
Randy Wesselman, Project Manager, Public Works, Engineering, 360.753.8477
Presenter(s):
None - Consent Calendar Item.
Background and Analysis:
In 2020, the City applied for a grant for the construction of the State Avenue Safety Improvements Project. This project makes safety improvements for people walking and biking along State Avenue between Pear Street and Chestnut Street. In December 2020, the Washington State Department of Transportation (WSDOT) awarded the City a Highway Safety Improvement Program (HSIP) grant of $782,400 for project construction. The current total estimated project cost is $1,405,389.
The City bid the project starting on August 3, 2022 and opened bids on August 25, 2022. The low bid of $867,530.90 is approximately 27% above the Engineer’s estimate. Staff evaluated the bid and determined that it is reasonable, and we should move forward with awarding the contract for the following reasons:
• A total of 5 bids were received. The high four bids were approximately 10% to 15% above the low bid and tightly grouped. This indicates to staff that the contractors who bid, viewed the project in a similar way. Rejecting the bids and rebidding the project would not likely result in different results.
• Current bidding climate reflects substantially higher individual bid item costs than what has been historically realized.
Neighborhood/Community Interests (if known):
Completion of this project will have the following impacts on the community through improved:
• Safety of people biking through the intersection of State Avenue and Plum Street/East Bay Drive.
• Safety for people walking and crossing at the intersection of State Avenue and Plum Street/East Bay Drive.
• Transit stop safety improvements for people riding the bus.
Options:
Award the construction contract for the State Avenue Safety Improvements Project to Active Construction, Inc., in the amount of $867,530.90, and authorize the City Manager to execute the contract pending concurrence with the Washington State Department of Transportation. The project proceeds as planned.
1. Do not approve awarding the construction contract, reject all bids, and direct staff to rebid the project. This will cause a delay in improving vehicle and pedestrian safety at the intersection of State Ave. and East Bay Dr. A delay could also create higher costs and will require additional staff time.
Financial Impact:
There are sufficient funds in the transportation program budget to complete this project.
Overall project costs:
Total Low Bid: $867,531
Contingency to Award (10%): $86,753
Engineering: Design, Inspection, Consultants $451,105
Total Estimated Project Cost: $1,405,389
Attachments:
Summary of Bids
Vicinity Map