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HomeMy WebLinkAbout4.C.3. Reject All Bids for the East Shakopee Industrial Sewer Improvements Project No. 2013-4-Res. No. 7344 �� Consent Business 4. C. 3. 5k�i=�KC)I'��(= TO: Mayor and City Council Mark McNeill, City Administrator FROM: Jeff Weyandt, Assistant City Engineer DATE: 09/03/2013 SUBJECT: Reject All Bids for the East Shakopee Industrial Sewer Improvements Project No. 2013-4, Res. No. 7344 (E) Action Sought Approve Resolution No. 7344, A Resolution which rejects all bids received for the East Shakopee Industrial Sewer Improvements, Project No. 2013-4. Background On August 16, 2013, staff opened bids for the East Shakopee Industrial Sewer Improvements, Project No. 2013-4. Five (5) bids were received. The lowest bid was submitted by Northwest Asphalt, Inc. with a bid of$508,658.61. At this time the City does not have an approved encroachment agreement with Magellan Pipeline Company, L.P., and Cretex has not relocated a fence and a stockpile of concrete pipe located within the existing utility easement that will be used for the new segment of sanitary sewer. Due to these unresolved issues, there is potential for significant extra costs. The contractor also believes it is in the best interest of both parties to rebid the project. Recommendation Staff is recommending rejecting all bids and rebidding the project for construction in the spring of 2014. Budget Impact When this project is approved, it will be funded by assessments. Relationship to Vision This supports Goal E: Deliver effective and efficient public services by a staff of well-trained, caring, and professional employees. Requested Action Approve Resolution No. 7344, A Resolution which rejects all bids received for the East Shakopee Industrial Sewer Improvements, Project No. 2013-4. Attachments: Resolution No. 7344 RESOLUTION NO. 7344 A Resolution Rejecting All Bids For The East Shakopee Industrial Sewer Improvements Project No. 2013-4 WHEREAS, on August 16, 2013, the City of Shakopee opened and read bids for the East Shakopee Industrial Sewer Improvements,Project No. 2013-4, as prescribed by law; and WHEREAS,the following 5 bids were received, NORTHWEST ASPHALT, INC. $508,658.61 KUSSKE CONSTRUCTION CO. $668,496.80 RYAN CONTRACTING COMPANY $708,104.50 NORTHDALE CONSTRUCTION CO. $781,253.45 EUREKA CONSTRUCTION, INC. $789,722.65 WHEREAS, the City has decided to revise the plans and bid specifications for this project. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SHAKOPEE,MINNESOTA: 1. That all bids received for the project entitled "East Shakopee Industrial Sewer Improvements Project No. 2013-4"be and are hereby rejected. Plans and bid specifications shall be revised and the project re-advertised for bids as soon as practicable. 2. The City Clerk is hereby authorized and directed to return forthwith to all bidders the deposits made with their bids. Adopted in session of the City Council of the City of Shakopee, Minnesota,held this day of ,2013. Mayor of the City of Shakopee ATTEST: City Clerk ENGR/2013-PROJECI'S'2013-EASTSHAKOPEEAIDUSTRIAL/WORD�RES7344REJECTALL�IDS