MEMORANDUM. Timothy P. Oakley, P.E., CFM, Director of Public Works and Engineering Timothy Watkins, Assistant Director of Public Works and Engineering

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1 PUBLIC WORKS AND ENGINEERING DEPARTMENT 1111 Joseph Schwab Road Des Plaines, IL P: desplaines.org MEMORANDUM Date: March 2, 2017 To: From: Cc: Subject: Mike Bartholomew, MCP, LEED-AP, City Manager Tom Bueser, Superintendent of General Services Timothy P. Oakley, P.E., CFM, Director of Public Works and Engineering Timothy Watkins, Assistant Director of Public Works and Engineering Bid Award 2017 Purchase of Hot Mix Asphalt Issue: The 2017 City budget includes funding in the Street/Grounds Division, Street Repair and Maintenance account for the purchase of Hot Mix Asphalt (HMA) material from an outside vendor to make street repairs as needed. City Council gave authorization to advertise for bid for unit pricing of hot mix asphalt at the February, 16, 2016 Council meeting. Analysis: The 2017 HMA purchase was bid with an opening date of March 2, The material will be picked up at the vendor s plant by Public Works vehicles and applied to the street. Three bids were received from qualified vendors. Arrow Road Construction provided the lowest bid for purchase of hot mix asphalt. Arrow Road Construction provided the City with hot mix asphalt in 2016 and However, during this time, there were instances of extended waiting periods for our trucks to be loaded (5/6/16-40 minutes; 7/13/16 60 minutes; 7/26/16 - over 15 minutes), foreign material found within the asphalt (5/2/16 and 7/26/16), and dates in which no asphalt was available due to other commitments (8/11/16 and 12/16/16). Orange Crush, LLC has also been utilized for this purchase in previous years with no issues. Due to these circumstances and the slight difference in pricing ($0.20 per ton) the most responsible bidder for this purchase is Orange Crush, LLC. COMPANY Price per Ton IDOT Spec. Hot Mix Price Per Ton Modified Surface Hot Mix Arrow Road Construction Co. $46.30 $43.30 Orange Crush, LLC. $46.50 $43.50 Plote Construction Company $51.00 $46.00 Page 1 of 31

2 The HMA bid included alternate pricing for asphalt milling of roadways for which there is $75,000 budgeted. The alternate bid includes mobilization, two inch asphalt milling, and preparation of roadway for Public Works crews to complete improvements. Orange Crush, LLC, was the lowest responsible bidder for the alternate bid as shown in the bid tabulation below: COMPANY Mobilization 2 Asphalt Milling per Square Yard Preparation Per Square Yard Orange Crush, LLC $ $2.79 $0.50 Plote Construction Co. $2, $6.50 $1.20 Arrow Road Construction No bid No bid No bid Recommendation: We recommend award of the bid for the 2017 purchase of hot mix asphalt to Orange Crush, LLC, 321 Center Street, Hillside, IL 60162, per unit pricing in the not-to-exceed amount of $195,000. This material will be funded from the Street Maintenance Supplies Street R&M account ( ) in the amount of $125,000 and the Capital Projects Supplies Capital Maintenance account ( ) in the amount of $70,000. Additionally, we recommend the award for Alternate Bid for Asphalt Milling per unit pricing in the not to exceed amount of $75,000 to Orange Crush, LLC, 321 Center Street, Hillside, IL 60162, to be funded from the Street Maintenance Miscellaneous Contractual Services account ( ) Attachments: Resolution R Exhibit A Orange Crush, LLC, 2017 Purchase of Hot Mix Asphalt Contract Exhibit B Orange Crush, LLC, Alternate Bid for Asphalt Milling Contract Page 2 of 31

3 CITY OF DES PLAINES RESOLUTION R A RESOLUTION APPROVING AN AGREEMENT FOR THE PURCHASE OF HOT MIX ASPHALT AND AN AGREEMENT FOR ASPHALT MILLING SERVICES FROM ORANGE CRUSH, LLC. WHEREAS, Article VII, Section 10 of the 1970 Illinois Constitution authorizes the City to contract with individuals, associations, and corporations in any manner not prohibited by law or ordinance; and WHEREAS, the City has appropriated funds in the Street Maintenance Supplies fund and the Capital Projects Supplies Capital Maintenance fund for use by the Public Works and Engineering Department during the 2017 fiscal year for the purchase of: (i) hot mix asphalt meeting IDOT specifications ("IDOT Spec. Asphalt"); (ii) modified surface hot mix asphalt ( Modified Surface Asphalt ); and (iii) asphalt milling services ( Asphalt Milling Services ); and WHEREAS, pursuant to Chapter Ten of Title One of the City of Des Plaines City Code, the City issued an invitation for bids for the purchase of the IDOT Spec. Asphalt, Modified Surface Asphalt, and procurement of Asphalt Milling Services; and WHEREAS, the City received three bids, which were opened on March 02, 2017; and WHEREAS, Orange Crush, LLC ("Vendor"), submitted the lowest responsible bid in the amounts of: (i) $46.50 per ton for IDOT Spec. Asphalt; and (ii) $43.50 per ton for Modified Surface Asphalt; and WHEREAS, the City desires to enter into an agreement with Vendor for the purchase of IDOT Spec. Asphalt in the amount of $46.50 per ton and Modified Surface Asphalt in the amount of $43.50 per ton, all in the not-to-exceed amount of $195,000 ("Agreement for Hot Mix Asphalt"); and WHEREAS, the City also desires to enter into an agreement with Vendor for the procurement of Asphalt Milling Services, all in the not-to-exceed amount of $75,000 ("Agreement for Asphalt Milling Services"); and WHEREAS, the City Council has determined that it is in the best interest of the City to enter into the Agreements with Vendor for the purchase of the IDOT Spec. Asphalt, the Modified Surface Asphalt, and procurement of the Asphalt Milling Services; NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Des Plaines, Cook County, Illinois, in the exercise of its home rule powers, as follows: 1 Page 3 of 31

4 SECTION 1: RECITALS. The foregoing recitals are incorporated into, and made a part of, this Resolution as findings of the City Council. SECTION 2: APPROVAL OF HOT MIX ASPHALT AGREEMENT. The City Council hereby approves the Agreement for Hot Mix Asphalt in substantially the form attached to this Resolution as Exhibit A, and in a final form to be approved by the General Counsel. SECTION 3: AUTHORIZATION TO EXECUTE HOT MIX ASPHALT AGREEMENT. The City Council hereby authorizes and directs the City Manager and the City Clerk to execute and seal, on behalf of the City, the final Hot Mix Asphalt Agreement. SECTION 4: APPROVAL OF ASPHALT MILLING SERVICES AGREEMENT. The City Council hereby approves the Agreement for Asphalt Milling Services in substantially the form attached to this Resolution as Exhibit B, and in a final form to be approved by the General Counsel. SECTION 5: AUTHORIZATION TO EXECUTE ASPHALT MILLING SERVICES AGREEMENT. The City Council hereby authorizes and directs the City Manager and the City Clerk to execute and seal, on behalf of the City, the final Asphalt Milling Services Agreement. SECTION 6: EFFECTIVE DATE. This Resolution shall be in full force and effect from and after its passage and approval according to law. PASSED this day of, APPROVED this day of, VOTE: AYES NAYS ABSENT MAYOR ATTEST: Approved as to form: CITY CLERK Peter M. Friedman, General Counsel DP-Resolution Approving Agreement for Purchase of Hot Mix Asphalt and Asphalt Milling Services from Orange Crush, LLC Page 4 of 31

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