04-0440R

RESOLUTION AWARDING CONTRACT TO ARROWHEAD PAINTING FOR PAINTING OF 2,620 GAS METER PIPING THROUGHOUT THE CITY OF DULUTH IN THE AMOUNT OF $29,842.86.

BY COUNCILOR STOVER:

RESOLVED, that Arrowhead Painting be and hereby is awarded a contract for painting of 2,620 gas meter piping throughout the city of Duluth for the utility operations division in accordance with specifications on its low specification bid of $29,842.86, terms net 30, FOB job site, payable out of Gas Fund 0520, Department/Agency 500, Organization 1905, Object 5535.


STATEMENT OF PURPOSE: This resolution will authorize the painting of 2,620 gas meters piping at various locations throughout the city of Duluth from Arrowhead Painting for $29,842.86 to be paid from Gas Fund 0520. This award is the annual blanket contract for corrosion protection of gas service piping to comply with the federal office of pipeline safety regulations. This project was rebid as requested by the city council after only one bid was received on April 29, 2004, in the amount of $36,175.29. Arrowhead Painting was the lowest of the five companies who responded. The low bid was two percent below the engineers' estimate of $30,500. The capital improvements annual infrastructure program had budgeted $32,000 for this project. Rebid No. 04-0424A; Job No. 0377GS

Tabulation of re-bids received June 14, 2004

Arrowhead Painting, White Bear Lake, MN $29,842.86
Premier Companies, Duluth, MN $35,004.05
Lakehead Painting, Superior, WI $35,424.10
Swanson & Youngdale, Duluth, MN $36,129.80
Duluth Superior Erection, Duluth, MN $40,210.00