6. Bid Award - Buffalo Hill Water Line Replacementk.,ity
Public
.r�` Department
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Post Office Box 1997, Kalispell, Montana 59903--1997 - Telephone (406)758-7720, Fax (406)758--783
REPORT TO: Mayor and City Council
FROM: James C. Hansz, P.E., Director of Public works
SUBJECT: Bid Award — Buffalo Hill Water Line Replacement
MEETING DATE: May 5, 2008
BACKGROUND: This project will install a new pipeline inside an existing abandoned waterline that
connects the City's two in --ground storage tanks. A total of five companies bid this work. Four bids were
closely grouped around the engineer's estimate for the work..A fifth bid was substantially outside and far
below the estimate. This is a complex project that involves facilities of great importance to the City's
public water supply. Because of this, staff conducted a full review of the project requirements with the
low bidder to confirm their correct understanding of the project in order to gauge their ability to
successfully perform the required work. Following that review, staff is satisfied that the low bidder,
Goose Bay Equipment is able to perform the work in a satisfactory manner. A listing of all bidders is
attached with the staff recommendation.
Staff recommends a bid award to Goose Bay Equipment.
ACTION REQUESTED: AT CITY COUNCIL MEETING OF MAY 5, MOTION TO
AWARD THE BID FOR REPLACEMENT OF THE BUFFALO HILLS WATER LINE
TO GOOSE BAY EQUIPMENT, INC. OF KALISPELL,
FISCAL EFFECTS: Expenditure of funds totaling $92,704.40 from the FY 2007/08 water Fund budget.
ALTERNATIVES: As suggested by the City Council
Respectfully submi ,,---�
Jam .Ham. �' �J James H. Patrick
Direc or of Public Works /City Eng Une City Manager
Attachment: Staff Memo
May 5, 2008 Award Bid Buffalo Hill water Line Replacement.doc
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Post Office Box 1997 Kalispell, Montana 59903- 997 -� Telephone 40� 758-7720 Fax 4 6 75
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April 22, 2008
To: James C. Hansz, P.E., Director of Public Works/City Engineer
From: Paul E. Burnham, P.E., Civil Engineer
Subject: Buffalo Hills Waterline Replacement Project
Bids were received and opened at 2:30 p.m. on April 11, 2008 for the referenced project. The City
received five bids on this project, as noted below.
LHC, Inc.
P.O. Box 7338
Kalispell, MT 59901
Amount Bid: $167 420.23
REB, LLC
P.O. Box 96
Lakeside, MT 59922
Amount Bid: $162,529.50
NCC Neumann Construction
136 Crestline Ave.
Kalispell, MT 59901
Amount Bid: $137,900.00
Weaver Gravel, Inc.
1190 Elk Parr Road
Columbia Falls, MT 59912
Amount Bid: $134,497.35
Goose Bay Equipment, Inc.
1285 Stillwater Road
Kalispell, MT 59901
Amount Bid: $922704.40
The engineer's estimate for this project was $155,700.00. The project is shown as Line Item 934 in
the current budget with an estimated cost of $155,000.00.
Last week I requested extra time to review the low bidder's qualifications and approach to the
project. I met with the low bidder (Goose Bay) this morning. Two concerns I had were (1) the
inordinately low unit price on the slip line, and (2) the quality of work furnished by one of the
potential sub -contractors.
Both issues are resolved as follows: Goose Bay is the only contractor that is not using a sub-
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contractor to complete the slip line; they have the equipment and personnel to complete this work
in-house. They assured me that they did not make an error in the unit price. They have completed
similar work, and qualify based on the specifications for minimum previous experience.
I recommend the Buffalo Hills Waterline Replacement Project be awarded to Goose Bay
Equipment, Inc.