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RESOLUTION AWARDING CONTRACTS TO ULLAND BROTHERS, INC. AND NORTHLAND CONSTRUCTORS OF DULUTH, A DIVISION OF MATHY CONSTRUCTION COMPANY FOR BITUMINOUS (HOT MIX BLACKTOP) FOR STREET MAINTENANCE ACTIVITIES IN 2024 FOR A TOTAL AMOUNT NOT TO EXCEED $442,470.00.
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CITY PROPOSAL:
RESOLVED, that the proper city officials are hereby authorized to enter into two contracts in the estimated amounts as identified below for bituminous for street maintenance activities in 2024 for a total amount not to exceed $442,470.00, payable from fund 290-500-5222 (street system maint utility; Public Works and Utilities; blacktop)
Ulland Brothers, Inc. - $128,370.00
Northland Constructors of Duluth,
a division of Mathy Construction Company - $314,100.00
Statement of Purpose
STATEMENT OF PURPOSE: This resolution authorizes a split award of the approximately 5,500 tons of bituminous needed for street maintenance activities for the 2024 construction season. The total amounts requested are estimates only, and do not guarantee that a minimum amount of product will be purchased from any vendor.
The purchasing division posted an Invitation for Bids on February 14, 2024, and received two bids by the due date. The bids were evaluated based on the total overall cost to the city, factoring in the bid price and the estimated travel time to each company’s plant location. The product is picked up on an as-needed basis by street maintenance crews. The Ulland plant is located at 6274 Rice Lake Road, the Northland plants are located on Helberg Drive, and at 5927 Albany Avenue, Superior, WI.
Although Ulland’s bid price per ton is lower than Northland’s, splitting the award allows the city to purchase blacktop from both vendors for projects that are closest in proximity to the plant locations to reduce worker travel time and mileage costs for those projects. It also ensures availability of material during times when one or more plants is shut down or is low on material.
Bituminous specifications are based on the current Minnesota Department of Transportation Construction Standards. Two different mixtures were bid; the only difference being that the TTWE Special mixture is more resistant to thermal cracking due to the grade of binder used to make the asphalt. The type and quantity of blacktop purchased is at the discretion of the city and will depend upon the job. It is estimated that approximately fifty percent of the total tonnage purchased will require the more expensive special mixture. Bid results are shown below.
Mix SPWEA340B Mix TTWE Special
Company Bid Price/Ton Bid Price/Ton
Ulland Brothers, Inc. $65.00 $95.00
Northland Constructors of Duluth, a
Division of Mathy Construction Company $66.00 $106.50