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Item No: 07E Meeting Date: April 10, 2017 Type of Business: Council Business Administrator Review: ____ City of Mounds View Staff Report To: Honorable Mayor and City Council From: Brian Erickson, Public Works Director Item Title/Subject: Resolution 8741, Accepting Bids Received by the City of Coon Rapids Joint Powers Agreement for 2017 Seal Coating of Area D Background: The City is about to finish the process of reconstructing the twenty six (26) miles of City-owned streets as part of the Streets and Utilities Improvement Program (Program). The City established a pavement maintenance plan for these streets and Area D is scheduled for a bituminous seal coat in 2017. Area D plus Bronson Avenue between Edgewood Drive and Raymond Avenue, and County Road H2 between Program Avenue and Mounds View Boulevard will be seal coated. This area contains approximately 3.0 miles of streets. Area D was reconstructed in 2011, and other than crack filling, there has been no major maintenance work performed since their construction took place. To ensure the longevity and performance of these roads, a bituminous seal coat is recommended. Discussion: The City entered into a Joint Powers Agreement (JPA) with the City of Coon Rapids on February 13, 2017 (Resolution 8704) to provide routine street maintenance such as traffic marking, street sweeping, crack sealing, and seal coating. The City of Coon Rapids prepared plans, specifications, and bid documents using the combined quantities of the all the members of the JPA for the 2017 Seal Coat Project and a public bid solicitation was executed to obtain pricing. The Mounds View quantity for 2017 is 60,012 square yards (syd). On March 17, 2017, Coon Rapids opened bids from three qualified seal coating contractors with the lowest bid being submitted by Pearson Bros., Inc. of Hanover, Minnesota. The bids are as follows: Rank Contractor Total Bid (Mounds View only) Low Pearson Bros., Inc. $76.120.36 1 Allied Blacktop Company $79,576.84 2 Asphalt Surface Technologies Corp. $84,210.24 The bid is a unit price bid meaning payment will be made based on measured quantities. The costs provided to the JPA ($1.27/syd) are comparable to bids received in 2015 for seal coating of Areas A through C ($1.26/syd). The 2017 budget includes funding of $150,000 to perform the proposed seal coat work in the Street Improvement Fund (485-4470-7050). As part of the JPA with Coon Rapids, Mounds View has a 30-day ‘opt-out’ period during which Mounds View can completely opt out of the contract, in addition to adjusting the planned quantities. Prior to the expiration of this 30-day period (April 15, 2017), Mounds View needs to provide either a concurrence or an opt-out notification to Coon Rapids. Coon Rapids expects to award the contract at their April 18, 2017 Council Meeting. Once the contractor begins work, Mounds View will inspect and approve the work and all the invoices will come to Mounds View.