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HomeMy WebLinkAbout2021-04-12 21-155 Order 04/12/202121-155 04/12/2021 21-155 Public Works Order N/A Title, Order Authorizing Execution of a Contract with Northeast Paving for the Fiscal Year 2022 Paving Program This Order would authorize a contract with Northeast Paving for the Fiscal Year 2022 paving program. Last year, the City solicited sealed bids to provide this service for Fiscal Year 2021, and the contract was awarded to Northeast Paving, the low bidder. City staff recently met with Northeast Paving to discuss the potential to extend the FY21 paving contracted prices for the FY22 paving program. Northeast Paving was willing to perform the upcoming work at the same price bid in FY 21. Typically, the annual paving list is finalized and bid in late June, to correspond with the adoption of the fiscal year budget, for contract award and commencement in July. This provides a very short time frame for vendors to negotiate favorable supply rates, which is especially concerning currently in light of the current volatile market conditions. While the FY 22 paving list and budget have yet to be finalized, by adopting this Order, the City commits to contract with Northeast Paving for the City Council approved FY 2022 paving program appropriation and Northeast Paving commits to performing the work at the same per unit price bid in FY 2021. The City of Bangor has experience with Northeast Paving, is satisfied with their current contract performance, and recommends extending the current contract through FY22. Finance Committee 04/05/2021 Recommend for passage 50 New Business 04/12/202121-155 CITY OF BANGOR ORDER 04/12/2021 21-155 Schaefer Authorizing Execution of a Contract with Northeast Paving for the Fiscal Year 2022 Paving Program WHEREAS, COVID-19 has resulted in significant disruptions in commodity supply chains, resulting in tightened inventory levels and increased costs; and WHEREAS, the cost of the paving program can be significantly impacted by the petroleum markets; and WHEREAS, there have been signs of volatility with the petroleum based markets; and WHEREAS, this proposed contract will minimize the City's risk for potential marketplace increases; Be it Ordered by the City Council of the City of Bangor that, the City Council hereby authorizes the execution of a contract with Northeast Paving for the Fiscal Year 2022 Paving program, upon adoption of the Fiscal year 2022 budget. IN CITY COUNCIL APRIL 12,2021 CO 21-155 Motion made and seconded for Passage Vote: 9—0 Councilors Voting Yes: Davitt,Dubay,Fournier, Hawes,Nichols, Okafor, Schaefer, Sprague,Tremble Councilors Voting No: None Passed CITY CLE