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t • <br /> , . Page 2 <br /> Compared to <br /> Engineer's Est. <br /> Bidder Bid Price Over(=Under� <br /> Engineer's Estimate $ 1,967,647.60 --- <br /> Dunn Company $ 1,684,760.50 (14.38) <br /> Memll's Contractors, Inc. $ 1,797,674.35 (8.64) <br /> Illinois Valley Paving Co. $ 1,906,262.75 (3.12) <br /> The preliminary review of unit prices from this year's low bid as compared to last year's low <br /> bid found that for bituminous concrete surface course the City paid $43.95 per ton in last year's <br /> conventional resurfacing program and $42.76 per ton in last year's milling and rehabilitation <br /> program. The low bid unit price this year for the bituminous concrete surface course is $43.50 <br /> for Mix D used on high traffic volume streets and $41.00 for Mix C used on lower traffic volume <br /> streets. There is not a direct comparison to last year's prices other than comparing the averages <br /> between the two years because of bid item descriptions differences between last year and this <br /> year. The average price per ton last year for the two separate projects was $43.35 as compared <br /> to this year's average of$42.25. <br /> This trial program indicates that the City may be able to save money on its major contracted <br /> paving projects by having larger projects, particularly as it relates to contractor bidding interest. <br /> However, there are several factors that can, on an annual basis, affect prices and complicate <br /> making direct comparison from year to year. These include material costs, labor costs, equipment '' <br /> costs, geogaphic distribution of the City's street program and the general pavement contract <br /> market as to whether the contractors are busy or "hungry for work". <br /> The funds for this project are from the City's Motor Fuel Tax(N�T)Fund. <br /> It is recommended by staff that the City Council approve the attached resolution awarding <br /> the contract for the 1998 Milling and Rehabilitation project, City Project 9808, to Dunn Company <br /> as the lowest responsive, responsible bidder in the amount of$1,684,760.50, and that the Mayor <br /> be authorized to execute the contract. <br /> City staff will be in attendance at the City Council meeting to answer questions that the <br /> Council members may have. <br /> attach: 3 <br /> cc: Phillip R. Wilhelm, Municipal Services Manager <br /> William A. Ratekin, Asst. City Engineer <br /> Dunn Company <br /> Merrill Contractors, Inc. <br /> Illinois Valley Paving Company <br />