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III. 1. Award of Contract for Dow Towers Water Service, Ventilation and Exterior Entrance Project (HRA2019-04) February 28, 2019 HRA Report 2019-04 Award of Contract for Dow Towers Water Service, Ventilation and Exterior Entrance Project Proposed Action Staff recommends approval of the following motion: Authorize execution of Resolution 528 and award the contract to AVM Construction LLC for the Water Service, Ventilation and Exterior Entrances Project at Dow Towers. Overview The Hopkins HRA applied for funding for this project with the Minnesota Housing Finance Agency in 2017. As part of the application the HRA was required to rank the items requested and come up with some matching funds. The HRA was initially awarded $292,048 for this project from the MHFA. The HRA has solicited sealed bids for the Plumbing and HCDP Project. Two contractors completed bids for the project. Staff is recommending the contract be awarded to AVM Construction LLC. They were the low bidder. Primary Issues to Consider • What is the scope of work? • Is the project within the proposed budget? • Is the bid from AVM Construction a responsible bid? Supporting Documentation • Bid Tabulation Primary Issues to Consider What is the scope of work? The scope of work includes water service and water heating replacement, building ventilation cleaning, ventilation equipment replacement and exterior entrances replacement. The remaining proposed items in relation to the HDCP improvements listed as alternates in the common areas are also to be completed. ________________________________ Stacy Unowsky, Executive Director HRA Report 2019-04 - Page 2 Is the project within the proposed budget? After the bids came in over our estimated budget established in 2017, staff requested additional funds from MHFA. Both the HRA and MHFA will put additional funds to complete the project. The HRA will utilize Capital Funds and Reserves to fund our portion of the project. The HRA also has decided to pay for the two alternates as the improved Handicapped Accessibility and Safety features are critical to our residents and guests. Is the bid from AVM Construction Company a responsible bid? Yes. AVM Construction has completed and submitted all requested components with their bid. Following the contract award, HRA staff will execute a contract and the additional forms. AVM has completed similar work for occupied rental properties and area HRAs. Our Architect has checked additional references performed an onsite interview regarding the project with the prospective contractor. Alternatives The HRA has the following alternatives to consider: 1. Approve the action as recommended by staff. This will allow the HRA to enter into a contract with AVM Construction LLC for $507,000. 2. Continue for additional information. THE CITY OF HOPKINS HOUSING AND REDEVELOPMENT AUTHORITY HENNEPIN COUNTY, MINNESOTA RESOLUTION 528 RESOLUTION FOR AWARD OF BID DOW TOWERS WATER SERVICE, VENTILATION AND EXTERIOR ENTRANCE PROJECT BE IT RESOLVED BY THE HOPKINS HRA OF HOPKINS, MINNESOTA, that the bid from AVM Construction LLC in the amount of $507,000.00 is the most complete and responsible bid for the Water Service, Ventilation and Exterior Entrances Project at Dow Towers, and the HRA Executive Director is hereby authorized and directed to enter into a contract with said bidder for and on behalf of the Hopkins HRA. Adopted by the Housing and Redevelopment Authority of the City of Hopkins, Minnesota, this 5th day of March 2019. By___________________________________ Molly Cummings, HRA Board Chair ATTEST: _____________________________________ Mike Mornson, Executive Director