Title
RESOLUTION AUTHORIZING A CONTRACT WITH VEIT & COMPANY, INC. FOR CANAL PARK LAKEWALK AND SHORELINE RESTORATION FOR AN AMOUNT NOT TO EXCEED $10,147,732.
Body
CITY PROPOSAL:
RESOLVED, that the proper city officials are authorized to contract with Veit & Company, Inc. for Canal Park Lakewalk and Shoreline Restoration for a total amount not to exceed $10,147,732, payable from funds as follow:
$3,450,228.88 225-125-1811-5310-STRM1018 (Disaster Recovery Fund; Finance; Contract Services; Storm Surge October 2017)
$202,954.64 225-125-1813-5310-STRM1018 (Disaster Recovery Fund; Finance; Contract Services; Storm Surge April 14, 2018)
$6,494,548.48 225-125-1815-5310-STRM1018 (Disaster Recovery Fund; Finance; Contract Services; Storm Surge October 10, 2018)
Statement of Purpose
STATEMENT OF PURPOSE: This resolution authorizes a contract with Veit & Company, Inc. for Canal Park Lakewalk and Shoreline for an amount not to exceed $10,147,732.
The 2000-foot Lakewalk and shoreline along Canal Park were severely damaged in the October 2017, April 2018, and October 2018 storms. The Lakewalk and shoreline are of critical importance to the City of Duluth. Restoration of these areas will allow for safe public access and long-term protection of the City’s shoreline infrastructure.
Construction will include stabilization of the heavily-eroded shoreline, new asphalt and boardwalk Lakewalk trails, stormwater improvements, and replacement of displaced revetment stone with heavier armor stone. This is part of a larger project that has been approved for state and federal disaster recovery reimbursement.
Purchasing issued an Invitation to Bid on April 21, 2020, and received three bids as listed below. Veit & Company, Inc. submitted the lowest responsive bid.
Contractor Bid
Veit & Company, Inc. $10,147,732
Rachel Contracting, LLC $10,524,538
Stack Bros Mechanical Contractors, Inc. $13,799,999
The low bid came in more than $6 million below the engineer’s estimate for this contract. Total project costs for all three phases to repair storm damages is projected to be $20,014,629.85. The City of Duluth’s share of these project costs is projected to be $4,236,659.69 which will be financed by a city general obligation bonding.