Scot Wrighton, City Manager

Matt Newell, P.E., Public Works Director

Paul Caswell, P.E., City Engineer

Robert Weil, P.E., Assistant City Engineer

Resolutions Accepting the Bid and Authorizing the Execution of a Construction Contract with Lourash and Mahannah Excavation, LLC, for the Oakley Sediment Basin Drainage Improvements, Project No. 2022-04

It is recommended by staff that the City Council approve the attached resolution awarding a contract in the amount of $364,140.00 for Oakley Sediment Basin Drainage Improvements, City Project 2022-04, with Lourash and Mahannah Excavation, LLC, as the lowest qualified and responsible bidder, and that the Mayor be authorized to execute the contract and the City Clerk to attest.  Attachments to the Resolution include all contract documents except for standard “boilerplate” language and project specific drawings and specifications, general conditions, and standard provisions, common to all City Contracts.  Anyone wishing to review the full set of contract documents may obtain copies from the City Clerk.

Project Description

The Oakley Sediment Basin contains a large volume of sediment resulting from the dredging of Lake Decatur. The embankment surrounding the basin is regulated as a dam by the Illinois Department of Natural Resources. In keeping with the permit, a project has been developed to remove excess water from the interior of the sediment basin.  Enabling the surface to drain properly is critical to the overall drying process for the sediment. The project consists of grading and excavation, drainage ditches, rock check dams, outlet structures, access ramps, installation of culverts, seeding, and pond dewatering.

Public Bid Letting Results

The project was advertised on January 24, 2024, and bids were opened on March 20, 2024.  There was a high level of interest in the project. The bid results are as follows: 

The primary difference between the engineer’s estimate and the low bid is the unit price for excavating drainage ditches. It was difficult to estimate the bid price for this work since it is not a common bid item. The stability of the sediment was a general concern that was difficult to anticipate.  The low bid, although higher than the engineer’s estimate, does appear to represent a good value, given the high level of competitive interest in the project.

MINORITY PARTICIPATION GOALS:

Contractors for City Projects shall comply with City Code Chapter 28, Article 10, “Minority Participation Goals for Public Works Contracts.” 

Contractors for City projects shall make a good faith effort to comply with the following minimum goals:

1. Ten (10) percent of the total dollar amount of the contract should be performed by Minority Business Enterprises (MBE) if subcontracting opportunities are available and/or ten (10) percent of the total dollar amount should be for the purchase of goods, material, and equipment to MBE; and, 
2. Eighteen (18) percent of the total hours worked should be performed by minority workers. 
3. If the use of Minority Business Enterprise meets or exceeds 20% of the final contract value, the City will award a 2% Bonus based on the final contract amount up to a maximum of $50,000.

In this case, Lourash and Mahannah elected not to employ any subcontractors. This is consistent with the City Code.  Lourash and Mahannah also documented their intent to meet and/or exceed the 18% goal for participation by MBE workers.

SCHEDULE:   

Work on this project is expected to start in May 2024 and be completed by November 30, 2024.

LEGAL REVIEW:  The Contract was reviewed by Legal on March 19, 2024.  

1. August 5, 2022 – Council approved a consulting services agreement with Martin Engineering Company to design the Oakley Sediment Basin drainage improvements.
2. September 25, 2023 – Study session in which the Mayor and City Council received an update on progress in watershed management projects.

None

Budget Impact:   Funding for this project is included in the 2024 Water Capital budget.

Staff Impact:  Staff has allocated time to manage this project.