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DISCUSSION Bids Sealed bids for this slurry sealing project were opened on March 13, 2014. There were a total of seven bids received, ranging from the low bid amount of $226,452 of VSS International to $299,999. The low bid is approximately 15% lower than the engineer's estimate of $265,000 (see attached Bid Summary). Five of the contractors submitted bids that were lower than the engineer's estimate. Similar to last year, staff suspects that the low bid amounts received from the contractors were due to their desire to secure projects in preparation for the summer months. It is therefore staffs goal to advertise future slurry seal projects as early as possible to realize budget savings. The City's slurry seal project last year (2013) was awarded to and completed satisfactorily by the same contractor, VSS International, Inc.. Past work performed by VSS International, Inc. with other agencies was also verified to be satisfactory. Therefore, staff recommends award of the construction contract to VSS International, Inc.. Budget The project was authorized under the FY 2013/2014 Capital Improvement Program (CIP) budget for design and construction with an approved budget of $350,000. This funding includes Gas Tax. Schedule This project has a delayed start of construction in coordination with the completion of other projects in the vicinity. The proposed schedule for the subject project is as follows: Approval of Plans & Specifications and Award of Contract: 04/15/2014 Start of Construction: 08/11/2014 End of Construction: 09/12/2014 Submitted by: Fiscal Review: Approved y: Brian Dolan Emily Wagner Nelson Fialho Director of Director of Finance City Manager Community Development Attachments: 1. Vicinity Map 2. Bid Summary 3. Funding and Estimated Expenditure Summary Page 3 of 3