Title
RESOLUTION AUTHORIZING A CONTRACT WITH LAKEHEAD CONSTRUCTORS FOR THE LOWER SPIRIT MOUNTAIN NORDIC CENTER PROJECT FOR AN AMOUNT NOT TO EXCEED $737,995.00.
Body
CITY PROPOSAL:
RESOLVED, that the proper city officials are hereby authorized to contract with Lakehead Constructors for the Lower Spirit Mountain Nordic Center project as identified in the attached Exhibit A for a total amount not to exceed $737,995.00, payable from fund 452-030-5530-HANDHTAX-1506 (tourism & recreational projects, finance, improvements other than buildings, half & half tax projects, Nordic - Lower Spirit).
Statement of Purpose
STATEMENT OF PURPOSE: This resolution authorizes a contract with Lakehead Constructors for the Lower Spirit Mountain Nordic Center project for an amount not to exceed $737,995.00. At minimum, the project will install lighting on 1.5 kilometers of the trail system and increase snowmaking coverage by .5 kilometers. Depending on actual construction costs, the total project budget may be sufficient to expand the scope of work beyond this minimum.
The lower Spirit Mountain Nordic Center is envisioned as a 3.3-kilometer, lighted, snowmaking-supported cross-country ski trail system with a connector to an adjoining 36-kilometer trail system. Though not complete, the lower Spirit Mountain Nordic Center is already a national caliber Nordic competition venue that hosts several significant competitions each year including this week’s United States Cross Country Skiing National Championships. Regionally, the lower Spirit Mountain Nordic Center has become a go-to destination for recreational and competitive skiing, particularly in years like this one with little natural snow when Spirit is one of the only places in the upper Midwest with reliable quality skiing.
Funding is provided by the Duluth Athletic Venue Reinvestment Initiative, a planned $36-million City investment in parks-based athletic venues intended to support sports tourism and improve quality of life. City funding for the Initiative is sourced from one-half-of-one-percent increments in the City’s food-beverage and lodging taxes authorized by the City Council and the State of Minnesota Legislature for this purpose.
City Council Resolution 23-0748R preliminarily allocated $1.2 million from the Initiative for the lower Spirit Mountain Nordic Center. A contribution of $100,000 from the Duluth Cross Country Ski Club increased the total project budget to $1.3 million.
Purchasing issued an Invitation to Bid on January 26th, 2024 and received one bid as listed below. Lakehead Constructors submitted the lowest responsive bid. The scope of work to be awarded has been reduced to meet budget for this project.
Contractor Bid
Lakehead Constructors $1,188,377.70