HomeMy WebLinkAboutItem 06.i
Date: Item No.
AWARD CONTRACT TO NORTHWEST ASPHALT, INC.
FOR THE 2020 MISCELLANEOUS ROADWAY REPAIRS AND OVERLAY PROJECT,
CITY PROJECT No. 20-01
Proposed Action
Staff recommends adoption of the following motion: Move to award contract to Northwest
Asphalt, Inc. for the 2020 Miscellaneous Roadway Repairs and Overlays, City Project 20-01, and
approve resolution authorizing funding.
Overview
At the February 24, 2020 work session, the Lakeville City Council reviewed the plans for the 2020
Miscellaneous Projects, 20-01. Generally, the project includes 1.3 miles of edge mill and overlays
in residential streets (not assessed), improvements to the gravel road section and drainage ditch
on 190th Street, ADA ramp improvements, Market Plaza sidewalk replacement, sidewalk and curb
and gutter replacement and storm sewer improvements.
On Thursday, March 19, 2020 at 10:00 a.m. four bids were received as follow:
NORTHWEST ASPHALT, INC. $ 1,417,203.02
MCNAMARA CONTRACTING,
INC
$ 1,496,332.55
GMH ASPHALT CORPORATION $ 1,621,801.11
BITUMIONOUS ROADWAYS,
INC.
$ 1,662,052.25
The engineer’s estimate of the construction cost was $1,573,502.15. Northwest Asphalt has worked
for the City of Lakeville in the past. Their work has been acceptable.
Primary Issues to Consider
• Construction is anticipated to start in May and be completed by the end of July.
• Project Financing (see attached)
Supporting Information
• Resolution
• Contract
Financial Impact: $ Budgeted: Y☒ N☐ Source:
Related Documents: (CIP, ERP, etc.): Adopted 2020-2024 Capital Improvement Plan
Envision Lakeville Community Values: Safety Throughout the Community
Report Completed by: Paul Oehme, Public Works Director
April 20, 2020
1,619,197 Multiple Sources
Primary Issues to Consider
Project Financing
Funding for the project was programmed in the 2020-2024 CIP. The revised estimated total project
cost including the Northwest Asphalt, Inc. contract, engineering and indirect costs is $1,640,853.
The City will be reimbursed by Dakota County and property owners for the Icenic Way driveway
apron replacement as noted below, which reduces the City share of the project to approximately
$1,619,197.
Project Costs by Type:
Project Costs by Funding Source:
The 2020 Pavement Management Fund budget included $1,377,074 for this project. The 2020
Water Operating Budget included $85,000 for the paving at the Dakota Heights Tower.
Cost Type Amount
Construction contract (Northwest Asphalt)1,417,203$
Engineering/design/survey costs 223,650
Total Estimated Costs 1,640,853$
Funding Sources Amount
Pavement Management $1,262,953
Dakota County and property owners
(Icenic Way driveway apron replacement)21,656
Water Operating Fund 137,323
S anitary S ewer Operating Fund 66,902
Environmental Resources Fund 68,425
S tormwater Infrastructure Fund 80,537
Trail Improvement Fund 3,057
Total Estimated Costs $1,640,853
Total City Share of Costs $1,619,197
CITY OF LAKEVILLE
RESOLUTION NO. 20-
RESOLUTION AUTHORIZING FUNDING FOR
2020 MISCELLANEOUS ROADWAY REPAIRS AND OVERLAYS
CITY PROJECT 20-01
WHEREAS, 2020 Miscellaneous Roadway Repairs and Overlays, City Project 20-01, is
programmed in the adopted Lakeville 5-year Capital Improvement Plan (2020-2024).
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Lakeville, Minnesota:
The estimated total project cost is $1,640,853 and anticipated funding sources are listed below.
City staff is hereby authorized to amend the 2020 budgets and make the appropriate transfers
between funds with respect to the project funding sources up to 10% above the estimated costs.
Funding transfers may include loans between funds to cover engineering and other costs incurred
on the project in advance of receiving other funding.
ADOPTED by the Lakeville City Council this 20th day of April 2020.
______________________________
Douglas P. Anderson, Mayor
_________________________________
Charlene Friedges, City Clerk
Funding Sources Amount
Pavement Management $1,262,953
Dakota County and property owners
(Icenic Way driveway apron replacement)21,656
Water Operating Fund 137,323
S anitary S ewer Operating Fund 66,902
Environmental Resources Fund 68,425
S tormwater Infrastructure Fund 80,537
Trail Improvement Fund 3,057
Total Estimated Costs $1,640,853
2020 MISCELLANEOUS ROADWAY REPAIRS AND OVERLAYS AGREEMENT
CITY IMPROVEMENT PROJECT NO. 20-01
PAGE 1
AGREEMENT BETWEEN OWNER AND CONTRACTOR
FOR CONSTRUCTION CONTRACT
THIS AGREEMENT is by and between City of Lakeville (“Owner”) and
Northwest Asphalt, Inc. (“Contractor”).
Owner and Contractor hereby agree as follows:
ARTICLE 1 – WORK
1.01 Contractor shall complete all Work as specified or indicated in the Contract Documents. The Work
is generally described as follows:
ARTICLE 2 – THE PROJECT
2.01 The Project, of which the Work under the Contract Documents is a part, is generally described as
follows: 2020 Miscellaneous Roadway Repairs and Overlays for the City of Lakeville, City Project
No. 20-01.
ARTICLE 3 – ENGINEER
3.01 The Project has been designed by the City of Lakeville City Engineer.
ARTICLE 4 – CONTRACT TIMES
4.01 Time of the Essence
A. All time limits for Milestones, if any, Substantial Completion, and completion and readiness for
final payment as stated in the Contract Documents are of the essence of the Contract.
4.02 Contract Times: Dates
A. The Work will be substantially completed on or before August 31, 2020, and completed and
ready for final payment in accordance with Paragraph 15.06 of the General Conditions.
4.03 Liquidated Damages
A. Contractor and Owner recognize that time is of the essence as stated in Paragraph 4.01 above
and that Owner will suffer financial and other losses if the Work is not completed and
Milestones not achieved within the times specified in Paragraph 4.02 above, plus any
extensions thereof allowed in accordance with the Contract. The parties also recognize the
delays, expense, and difficulties involved in proving in a legal or arbitration proceeding the
actual loss suffered by Owner if the Work is not completed on time. Accordingly, instead of
requiring any such proof, Owner and Contractor agree that as liquidated damages for delay
(but not as a penalty);
1. The liquidated damages shall be in accordance with Table 1807-1 Schedule of Liquidated
Damages for all stated completion dates, as well as any intermediate completion dates.
2. Failure to complete restoration of boulevards and driveways within the specified time
frame.
3. Failure to provide temporary stabilization and appropriate erosion/sediment control.
4. Liquidated damages will be cumulative, and shall be collected for each portion of the
project under construction in which the specified parameters have not been met
2020 MISCELLANEOUS ROADWAY REPAIRS AND OVERLAYS AGREEMENT
CITY IMPROVEMENT PROJECT NO. 20-01
PAGE 2
ARTICLE 5 – CONTRACT PRICE
5.01 Owner shall pay Contractor for completion of the Work in accordance with the Contract Documents
the amounts that follow, subject to adjustment under the Contract:
A. For all Unit Price Work, an amount equal to the sum of the extended prices (established for
each separately identified item of Unit Price Work by multiplying the unit price times the actual
quantity of that item). The Contractor’s Bid, attached hereto as an exhibit, provides the basis
for the extended prices for the Unit Price Work. The extended prices for Unit Price Work set
forth as of the Effective Date of the Contract are based on estimated quantities. As provided
in Paragraph 13.03 of the General Conditions, estimated quantities are not guaranteed, and
determinations of actual quantities and classifications are to be made by Engineer.
Total of all Extended Prices for Unit Price Work (subject to final adjustment based on actual
quantities) $1,417,203.02.
ARTICLE 6 – PAYMENT PROCEDURES
6.01 Submittal and Processing of Payments
A. Contractor shall submit Applications for Payment in accordance with Article 15 of the General
Conditions. Applications for Payment will be processed by Engineer as provided in the General
Conditions.
6.02 Progress Payments; Retainage
A. Owner shall make progress payments on account of the Contract Price on the basis of
Contractor’s Applications for Payment on or about the third Monday of each month during
performance of the Work as provided in Paragraph 6.02.A.1 below, provided that such
Applications for Payment have been submitted in a timely manner and otherwise meet the
requirements of the Contract. All such payments will be measured by the Schedule of Values
established as provided in the General Conditions (and in the case of Unit Price Work based
on the number of units completed) or, in the event there is no Schedule of Values, as provided
elsewhere in the Contract.
1. Prior to Substantial Completion, progress payments will be made in an amount equal to
the percentage indicated below but, in each case, less the aggregate of payments
previously made and less such amounts as Owner may withhold, including but not limited
to liquidated damages, in accordance with the Contract
a. 95 percent of Work completed (with the balance being retainage). If the Work has
been 50 percent completed as determined by Engineer, and if the character and
progress of the Work have been satisfactory to Owner and Engineer, then as long
as the character and progress of the Work remain satisfactory to Owner and
Engineer, there will be no additional retainage; and
b. 95 percent of cost of materials and equipment not incorporated in the Work (with
the balance being retainage).
B. Upon Substantial Completion, Owner shall pay an amount sufficient to increase total payments
to Contractor to 100 percent of the Work completed, less such amounts set off by Owner
pursuant to Paragraph 15.01.E of the General Conditions, and less 200 percent of Engineer’s
estimate of the value of Work to be completed or corrected as shown on the punch list of items
to be completed or corrected prior to final payment.
6.03 Final Payment
A. Upon final completion and acceptance of the Work in accordance with Paragraph 15.06 of the
General Conditions, Owner shall pay the remainder of the Contract Price as recommended by
Engineer as provided in said Paragraph 15.06.
ARTICLE 7 – INTEREST
7.01 All amounts not paid when due shall bear interest at the rate of 5 % percent per annum.
2020 MISCELLANEOUS ROADWAY REPAIRS AND OVERLAYS AGREEMENT
CITY IMPROVEMENT PROJECT NO. 20-01
PAGE 3
ARTICLE 8 – CONTRACTOR’S REPRESENTATIONS
8.01 In order to induce the Owner to enter into this Contract, Contractor makes the following
representations:
A. Contractor has examined and carefully studied the Contract Documents, and any data and
reference idents identified in the Contract Documents.
B. Contractor has visited the Site, conducted a thorough, alert visual examination of the Site and
adjacent areas, and become familiar with and is satisfied as to the general, local, and Site
conditions that may affect cost, progress, and performance of the Work.
C. Contractor is familiar with and is satisfied as to all Laws and Regulations that may affect cost,
progress, and performance of the Work.
D. Contractor has carefully studied all: (1) reports of explorations and tests of subsurface
conditions at or adjacent to the Site and all drawings of physical conditions relating to existing
surface or subsurface structures at the Site that have been identified in the Supplementary
Conditions, especially with respect to Technical Data in such reports and drawings, and (2)
reports and drawings relating to Hazardous Environmental Conditions, if any, at or adjacent
to the Site that have been identified in the Supplementary Conditions, especially with respect
to Technical Data in such reports and drawings.
E. Contractor has considered the information known to Contractor itself; information commonly
known to contractors doing business in the locality of the Site; information and observations
obtained from visits to the Site; the Contract Documents; and the Site-related reports and
drawings identified in the Contract Documents, with respect to the effect of such information,
observations, and documents on (1) the cost, progress, and performance of the Work; (2) the
means, methods, techniques, sequences, and procedures of construction to be employed by
Contractor and (3) Contractor’s safety precautions and programs.
F. Based on the information and observations referred to in the preceding paragraph, Contractor
agrees that no further examinations, investigations, explorations, tests, studies, or data are
necessary for the performance of the Work at the Contract Price, within the Contract Times,
and in accordance with the other terms and conditions the Contract.
G. Contractor is aware of the general nature of work to be performed by Owner and others at the
Site that relates to the Work as indicated in the Contract Documents.
H. Contractor has given Engineer written notice of all conflicts, errors, ambiguities, or
discrepancies that Contractor has discovered in the Contract Documents, and the written
resolution thereof by Engineer is acceptable to Contractor.
I. The Contract Documents are generally sufficient to indicate and convey understanding of all
terms and conditions for performance and furnishing of the Work.
J. Contractor’s entry into this Contract constitutes an incontrovertible representation by
Contractor that without exception all prices in the Agreement are premised upon performing
and furnishing the Work required by the Contract Documents.
K. Unless otherwise specified in the Contract Documents, the Contractor shall, upon receipt of
the executed Contract Documents, submit in writing to the Owner the names of the
Subcontractors proposed for the work. Subcontractors may not be changed except at the
request or the with the consent of the Owner.
L. The Contract Documents shall not be construed as creating any contractual relationship
between the Owner and any subcontractor.
2020 MISCELLANEOUS ROADWAY REPAIRS AND OVERLAYS AGREEMENT
CITY IMPROVEMENT PROJECT NO. 20-01
PAGE 4
ARTICLE 9 – CONTRACT DOCUMENTS
9.01 Contents
A. The Contract Documents consist of the following:
1. This Agreement (pages 1 to 7, inclusive).
2. Performance bond (pages 1 to 2, inclusive).
3. Payment bond (pages 1 to 2, inclusive).
4. Other bonds.
a. Maintenance bond (pages 1 to 2, inclusive).
5. General Conditions (pages 1 to 72, inclusive).
6. Supplementary Conditions (pages 1 to 13, inclusive).
7. Specifications as listed in the table of contents of the Project Manual.
8. Drawings (not attached but incorporated by reference) consisting of 68 sheets with each
sheet bearing the following general title: _2020 Miscellaneous Roadway Repairs and
Overlays, City Improvement Project 20-01, dated 2/26/20.
9. Addenda (numbers 1 to 1, inclusive).
10. Exhibits to this Agreement (enumerated as follows):
a. Contractor’s Bid (pages 1 to 12, inclusive).
b. Non-Collusion Affidavit
c. Responsible Contractor Verification and Certification Form
List any other required attachments (if any), such as documentation submitted by Contractor prior to
Notice of Award and documents required by funding or lending agencies.
11. The following which may be delivered or issued on or after the Effective Date of the
Contract and are not attached hereto:
a. Notice to Proceed.
b. Work Change Directives.
c. Change Orders.
d. Field Orders.
B. The documents listed in Paragraph 9.01.A are attached to this Agreement (except as
expressly noted otherwise above).
C. There are no Contract Documents other than those listed above in this Article 9.
D. The Contract Documents may only be amended, modified, or supplemented as provided in
the General Conditions.
ARTICLE 10 – MISCELLANEOUS
10.01 Terms
A. Terms used in this Agreement will have the meanings stated in the General Conditions and
the Supplementary Conditions.
2020 MISCELLANEOUS ROADWAY REPAIRS AND OVERLAYS AGREEMENT
CITY IMPROVEMENT PROJECT NO. 20-01
PAGE 5
10.02 Assignment of Contract
A. Unless expressly agreed to elsewhere in the Contract, no assignment by a party hereto of any
rights under or interests in the Contract will be binding on another party hereto without the
written consent of the party sought to be bound; and, specifically but without limitation, money
that may become due and money that is due may not be assigned without such consent
(except to the extent that the effect of this restriction may be limited by law), and unless
specifically stated to the contrary in any written consent to an assignment, no assignment will
release or discharge the assignor from any duty or responsibility under the Contract
Documents.
10.03 Successors and Assigns
A. Owner and Contractor each binds itself, its successors, assigns, and legal representatives to
the other party hereto, its successors, assigns, and legal representatives in respect to all
covenants, agreements, and obligations contained in the Contract Documents.
10.04 Severability
A. Any provision or part of the Contract Documents held to be void or unenforceable under any
Law or Regulation shall be deemed stricken, and all remaining provisions shall continue to be
valid and binding upon Owner and Contractor, who agree that the Contract Documents shall
be reformed to replace such stricken provision or part thereof with a valid and enforceable
provision that comes as close as possible to expressing the intention of the stricken provision.
10.05 Contractor’s Certifications
A. The provisions of MINN. STAT. 16C.285 Responsible Contractor are imposed as a
requirement of this Contract. This Contract may be terminated by the Owner at any time upon
discovery by the Owner that the prime contractor or subcontractor has submitted a false
statement under oath verifying compliance with any of the minimum criteria set forth in the
Statute.
B. The provisions of MINN. STAT. 471.425, subdivision 4a. are imposed as a requirement of this
Contract.
1. Each contract of a municipality must require the prime contractor to pay any
subcontractor within ten days of the prime contractor’s receipt of payment from the
municipality for undisputed services provided by the subcontractor. The contract must
require the prime contractor to pay interest of 1-1/2 percent per month or any part of a
month to the subcontractor on any undisputed amount not paid on time to the
subcontractor. The minimum monthly interest penalty payment for an unpaid balance of
$100 or more is $10. For an unpaid balance of less than $100, the prime contractor shall
pay the actual penalty due to the subcontractor. A Subcontractor who prevails in a civil
action to collect interest penalties from a prime contractor must be awarded its costs and
disbursements, including attorney’s fees, incurred in bringing the action.
10.06 Indemnity
A. The Contractor agrees to indemnify and hold the City harmless from any claim made by
third parties as a result of the services performed by it. In addition, the Contractor shall
reimburse the City for any cost of reasonable attorney’s fees it may incur as a result of any
such claims.
10.07 Other Provisions
A. Owner stipulates that if the General Conditions that are made a part of this Contract are based
on EJCDC® C-700, Standard General Conditions for the Construction Contract, published by
the Engineers Joint Contract Documents Committee®, and if Owner is the party that has
furnished said General Conditions, then Owner has plainly shown all modifications to the
standard wording of such published document to the Contractor, through a process such as
highlighting or “track changes” (redline/strikeout), or in the Supplementary Conditions.
2020 MISCELLANEOUS ROADWAY REPAIRS AND OVERLAYS AGREEMENT
CITY IMPROVEMENT PROJECT NO. 20-01
PAGE 6
B. Any provision or part of the Contract Documents held to be void or unenforceable under any
law or regulation shall be deemed stricken, and all remaining provisions shall continue to be
valid and binding upon Owner and Contractor, who agree that the Contract Documents shall
be reformed to replace such stricken provision or part thereof with a valid and enforceable
provision that comes as close as possible to expressing the intention of the stricken provisions.
10.08 Software License.
A. If the equipment provided by the Contractor pursuant to this Contract contains software,
including that which the manufacturer may have embedded into the hardware as an integral
part of the equipment, the Contractor shall pay all software licensing fees. The Contractor
shall also pay for all software updating fees for a period of one year following cutover. The
Contractor shall have no obligation to pay for such fees thereafter. Nothing in the software
license or licensing agreement shall obligate the City to pay any additional fees as a condition
for continuing to use the software.
10.09 Patented devices, materials and processes.
A. If the Contract requires, or the Contractor desires, the use of any design, devise, material or
process covered by letters, patent or copyright, trademark or trade name, the Contractor shall
provide for such use by suitable legal agreement with the patentee or owner and a copy of
said agreement shall be filed with the Owner. If no such agreement is made or filed as noted,
the Contractor shall indemnify and hold harmless the Owner from any and all claims for
infringement by reason of the use of any such patented designed, device, material or process,
or any trademark or trade name or copyright in connection with the Project agreed to be
performed under the Contract, and shall indemnify and defend the Owner for any costs,
liability, expenses and attorney's fees that result from any such infringement.
10.10 Assignment.
A. Neither party may assign, sublet, or transfer any interest or obligation in this Contract without
the prior written consent of the other party, and then only upon such terms and conditions as
both parties may agree to and set forth in writing.
10.11 Permits and Licenses; Rights-of-Way and Easements.
A. The Contractor shall give all notices necessary and incidental to the construction and
completion of the Project. The City will obtain all necessary rights-of-way and
easements. The Contractor shall not be entitled to any additional compensation for any
construction delay resulting from the City’s not timely obtaining rights-of-way or easements.
2020 MISCELLANEOUS ROADWAY REPAIRS AND OVERLAYS AGREEMENT
CITY IMPROVEMENT PROJECT NO. 20-01
PAGE 7
IN WITNESS WHEREOF, Owner and Contractor have signed this Agreement.
This Agreement will be effective on 4/20/2020 (which is the Effective Date of the Contract).
Note that the Effective Date of the Contract should match the dates of any construction bonds, if possible.
The bonds shall not be dated earlier than the effective date of the Contract.
OWNER: CONTRACTOR:
By: By:
Title: Title:
(If Contractor is a corporation, a partnership, or a
joint venture, attach evidence of authority to
sign.)
Attest: Attest:
Title: Title:
Address for giving notices: Address for giving notices:
License No.:
(where applicable)
(If Owner is a corporation, attach evidence of
authority to sign. If Owner is a public body, attach
evidence of authority to sign and resolution or
other documents authorizing execution of this
Agreement.)