Department: Resource Management
Staff Contact: Mary Jaeger/Amy Tharnish
Subject: Consideration of renewal of contracts with O’Donnell & Sons Construction Co., Inc., Asphalt Sales Co., and Vance Brothers, Inc. for the purchase of hot and cold mix asphalt and liquid asphalt for the Streets Division of Public Works.
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Item Description:
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Consideration of renewal of contracts with O’Donnell & Sons Construction Co., Inc., Asphalt Sales Co., and Vance Brothers, Inc. for the purchase of hot and cold mix asphalt and liquid asphalt for the Streets Division of Public Works.
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Summary:
On May 4, 2015, five (5) bids were received for hot and cold mix asphalt and liquid asphalt. These products will be used for street repair, overlay, and other repair projects by the Street Maintenance Section of the Public Works Department.
Due to the volatility of petroleum market pricing, the KDOT asphalt market index is used as the basis for pricing of these items. KDOT generates an Asphalt Material Index (AMI) on or about the first day of each month.
Staff recommends renewal of contracts with O’Donnell & Sons Construction Co., Inc., Asphalt Sales Co., and Vance Brothers, Inc. for one (1) year contracts through June 30, 2020.
Three (3) Olathe vendors were notified of the bid, of which one (1) responded (Asphalt Sales). The other vendors do not provide these products.
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Financial Impact:
Estimated annual expenditure will be $675,000 which will be charged to the asphalt budgets of Public Works and the Street Preservation Program.
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Action Needed:
Renewal of contracts O’Donnell & Sons Construction Co., Inc., Asphalt Sales Co., and Vance Brothers, Inc.
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Attachment(s):
None.