TO: Honorable Mayor & Members of the North Port Commission
FROM: A. Jerome Fletcher II, ICMA-CM, MPA, City Manager
TITLE: Approve Contract No. 2024-28 Price Boulevard Widening - Phase I to Watson Civil Construction, Inc., in the Amount of $79,283,010.35 and Contingency in the Amount of $3,964,150.52 for a Total Amount of $83,247,160.87.
Recommended Action
Approve Contract No. 2024-28 Price Boulevard Widening - Phase I to Watson Civil Construction, Inc., in the amount of $79,283,010.35 and contingency in the amount of $3,964,150.52 for a total amount of $83,247,160.87.
Background Information
The scope of this project is to widen Price Boulevard between Sumter Boulevard and Toledo Blade from a two-lane section to a five-lane section, including one center bi-directional left turn lane. Along with the road widening will be construction of two ten-foot-wide multi use paths, construction of a closed drainage system and eleven stormwater ponds, force main and water main replacements, and intersection and signal improvements along the length of the corridor.
Request for Bids (RFB) 2024-28 for Price Boulevard Widening was advertised on September 3, 2024, with an initial due date of November 4, 2024, however this deadline was extended to December 4, 2024, to allow additional time for contractors to complete bid documentation due to Hurricanes Helene and Milton. A mandatory pre-bid meeting was held on October 2, 2024, and on December 4, 2024, the City received one submittal from Watson Civil Construction, Inc. (Contractor). The received bid was over budget, and the City negotiated with the Contractor to secure the best price for the City. During the negotiation process, several value engineering opportunities were identified as described below:
|
Identified Cost Saving Measure |
Associated Cost Savings |
|
Using imported Utility materials, including iron & steel, rather than domestically produced materials. |
$405,501.11 |
|
Grouting and abandoning in place the existing water main, rather than removing and disposing of it. |
$26,462.57 |
|
Grouting and abandoning in place the existing force main, rather than removing and disposing of it. |
$937,625.70 |
Staff recommends that the cost-saving measures identified above be accepted as they do not impact the overall benefit of the project, and reducing the project cost is in the best interest of the City. The Contractor was also able to reduce their bid prices on several other utility items, and the total negotiated amount, including the cost-saving measures above, is $79,283,010.35.
Several bid options were included in the RFB. These options included three different alternatives for the center turn lane, including stamped concrete, stamped asphalt, and standard asphalt. Additional optional items included adding sidewalks to the temporary mailbox sites, and a premium to expedite the utility work. Due to the City’s time and budgetary constraints, it is staff’s recommendation to award roadway alternate 2, for a standard asphalt center turn lane, and to reject the other optional items. This contract includes the costs associated with that recommendation.
|
Bid Components |
Amount |
|
Roadway Alternate 2 |
$54,650,551.48 |
|
Signing & Pavement Marking |
$440,978.35 |
|
Lighting |
$4,975,706.95 |
|
Signals |
$3,289,663.95 |
|
Landscaping |
$1,590,000.00 |
|
Utilities |
$14,336,109.62 |
|
Grand Total |
$79,283,010.35 |
|
Contingency |
$3,964,150.52 |
|
Grant Total with Contingency |
$83,247,160.87 |
Contract No. 2024-28 has been reviewed by the Interim City Attorney and is legally correct as to form.
Strategic Plan
Infrastructure & Facilities Integrity
Financial Impact
Funding in the amount of $83,247,160.87 is budgeted in the Fiscal Year 2025 budget Project No. R15PW1 in the account numbers below including bond proceeds.
On October 23, 2024, the City closed on bonds for the Price Boulevard Widening project. The City’s Aa2 bond rating and low debt position generated significant interest in this competitive financing opportunity. The Finance Department secured an excellent rate for the residents of North Port through this process. The bonds were competitively awarded to Jefferies, LLC, which submitted the lowest bid, achieving a True Interest Cost (TIC) of 3.306908%. While the referendum authorized borrowing up to $80M, the bonds were issued at $53.835M based on the available surtax revenues required for repayment. The bonds were issued at a premium, which provided $55M in funding for the project as Identified in account 331-5000-541.63-00 below.
|
Account Number |
Project |
Available Amount |
|
107-5000-541.31-05 |
R15PW1 |
$81,761.87 |
|
107-5000-541.63-00 |
R15PW1 |
$7,720,017.00 |
|
115-2755-537.63-00 |
R15PW1 |
$1,590,000.00 |
|
144-5000-541.31-05 |
R15PW1 |
$236,707.96 |
|
153-5000-541.63-00 |
R15PW1 |
$7,240,084.84 |
|
306-5000-541.63-00 |
R15PW1 |
$11,378,589.20 |
|
331-5000-541.63-00 |
R15PW1 |
$55,000,000.00 |
Procurement
RFB 2024-28 Price Boulevard Widening - Phase I was procured pursuant to Section 2-404 of the City of North Port Procurement Code - Competitive Sealed Bid Process.
Negotiations were held pursuant to Chapter 2 Administration, Article VII - Procurement, Sec. 2-404 Per Section 2-411 (f) of City of North Port Procurement Code.
Watson Civil Construction, Inc.
319 West Town Place, Suite 25
St. Augustine, Florida
32092
Attachments:
1. Contract No. 2024-28
2. Notice of Intent to Award
3. Award Recommendation
4. Original Bid Tabulation
5. Attachment 1 - Negotiated Bid Tabulation
6. Bid Document with Addenda
7. Florida Division of Corporations Document
Prepared by: Anthony Friedman, P.E., PTOE, City Engineer
Department Director: Chuck Speake, Public Works Director