Title
RESOLUTION AUTHORIZING THE PURCHASE OF DELIVERED CLASS 5 GRAVEL, 3/4-INCH CRUSHED WASHED ROCK, RIP-RAP, AND SAND FROM DULUTH READY MIX, INC., FOR AN AMOUNT NOT TO EXCEED $226,970.10.
Body
CITY PROPOSAL:
RESOLVED, that the proper city officials are hereby authorized to purchase delivered class 5 gravel, 3/4-inch crushed washed rock, rip-rap, and sand from Duluth Ready Mix, Inc., for public works and utilities in year 2018, for an estimated total amount not to exceed 226,970.10, payable as follows:
$68,091.03 510-500-1945-5224 (water fund, public works and utilities, utility operations, gravel and other mtce materials)
$52,203.13 520-500-1945-5224 (gas fund, public works and utilities, utility operations, gravel and other mtce materials)
$49,933.42 530-500-1945-5224 (sewer fund, public works and utilities, utility operations, gravel and other mtce materials)
$56,742.52 535-500-1945-5224 (stormwater fund, public works and utilities, utility operations, gravel and other mtce materials)
Statement of Purpose
STATEMENT OF PURPOSE: This resolution authorizes the purchase of delivered class 5 gravel, 3/4-inch crushed washed rock, rip-rap, and sand from Duluth Ready Mix, Inc., to be used by public works and utilities in year 2018, for an estimated amount of $226,970.10.
The purchasing division posted an invitation to bid for a one-year agreement with four optional one-year renewals on December 27, 2016, and received four bids. After careful review, the purchasing agent determined the low bid was Duluth Ready Mix, Inc. For 2018, Duluth Ready Mix has agreed to hold their 2017 bid prices as listed below, and this purchase will be made from year two of a possible five-year agreement.
Duluth
(Per Ton Prices) Ready Mix
Class V Gravel 11.45
3/4-in washed, crushed rock 18.45
Rip-rap 28.00
Sand 12.45