R98-106 ACCEPTING THE BID AND AUTHORIZING A CONTRACT

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' ` Page 2 Compared to Engineer's Est. Bidder Bid Price Over(-Under� Engineer's Estimate $ 6,800.00 ---- Otto Baum& Sons, Inc. $ 8,994.00 32.3 The receipt of one bid exceeding the Engineer's estimate by over 30 percent was a concern to stai� However, the small contract value, the type of work involved and the state of the local construction mazket generally contributed to this situation. It was decided by staff that the one bid was acceptable and that readvertisin� the project for bids would realize minimal, if any, savings. In addition, the repairs must be made in a time frame to meet commitments to the Illinois Environmental Protection Agency. Otto Baum & Sons have performed acceptable work on previous projects for the City. Staff has met with representatives from Otto Baum & Sons to discuss the project and the opportunity to save money on the project. In discussion with the contractor's representatives, it was deternuned that the contractor will be able to do some of the work simultaneously and avoid having to mobilize for each structure. The work will be done on a time and materials basis for the not-to-exceed amount of$8,994.00. Funding for this project will be from the City's Water Fund. It is recommended by staff that the City Council approve the attached resolution awarding the contract for the Rehabilitation of the North Water Treatment Plant Overflow Structures, City Project No. 9844, to Otto Baum & Sons, Inc., as the lowest responsive, responsible bidder in an amount not-to-exceed of$8,994.00 and that the Mayor be authorized to execute the contract. City staff will be in attendance at the City Council meeting to answer questions that the Council members may have. attch: 1 cc: Michael J. Jontry, Water Production Maintenance Supervisor William A. Ratekin, Asst. City Engineer Kenneth D. Baum, Otto Baum& Sons, Inc. CP 9844