Title
RESOLUTION AUTHORIZING A PURCHASE FROM NORTHLAND CONSTRUCTORS OF DULUTH, LLC, FOR 24,000 TONS OF HOT MIX BLACK TOP IN THE AMOUNT OF $1,092,000.
Body
CITY PROPOSAL:
RESOLVED, that the proper city officials are hereby authorized to purchase 24,000 tons of hot mix black top from Northland Constructors, LLC, in the amount of $1,092,000, payable as follows:
$471,150 Street System Maint Utility 290, Public Works and Utilities 500, Blacktop 5222
$620,850 General Fund 110, Public Administration 121, Maintenance Operations 1217, Street Maintenance 2140, Blacktop 5222
Statement of Purpose
STATEMENT OF PURPOSE: This resolution authorizes the purchase of 24,000 tons of hot mix black top from Northland Constructors of Duluth, LLC, in the amount of $1,092,000.
This asphalt/blacktop will be used for pothole patching, permanent patches of utility repairs and capping; 10-12 miles of streets will be capped in 2016.
The purchasing division posted a request for bids on February 16, 2016 and received two bids by the closing date. Ulland Brother’s bid was rejected as non-conforming. The bid tabulation is attached as Exhibit A. Northland Constructor’s bid of $45.50 per ton is $1.00 per ton lower than the price paid in 2015, and it is also lower than the current pricing on the Minnesota State contract. The City purchased approximately 17,400 tons of hot mix in 2015.