Item Coversheet
 AGENDA ITEM SUMMARY 

Recommendation to Reject All Bids, Waive Competitive Bidding, and Award the Illinois Avenue Corrugated Metal Pipe (CMP) Storm Sewer Rehabilitation Project to Hoerr Construction Inc.
8/1/2024
Engineering and Public Works Committee

Presenter: Tyler Quattrocchi, Engineering Project Manager
Lead Department:Engineering and Public Works
Accounts(s):Budget: Expense Request: 
 5729020-7457 (21034-20-230)$1,300,000$1,297,840
The budget status for this request is: Under Budget
Amount Under Budget:  $2,160

If amount requested is over budget, a detailed explanation of 
what account(s) the overage will be charged to will be provided 
in the Executive Summary or attached detail. 
Executive Summary: 
 

In 2022, a Corrugated Metal Pipe (CMP) assessment identified a section of storm sewer under Illinois Avenue (from Roselle Road to 1,280 feet to the east) had reached the end of its useful life. The 60-inch CMP under Illinois Ave is over 40 years old and has started deteriorating. The storm sewer will need complete replacement, if it is not repaired soon. This storm sewer serves as a major artery for storm water conveyance in the community.

 

In 2023, the Village Board approved RJN Group, Inc. (RJN) to develop design documents to rehabilitate 1,280 linear feet of CMP under Illinois Avenue. Design documents were completed in late 2023, specifying Spray in Place Pipe (SIPP) lining of the existing storm sewer. Staff solicited competitive bids for the proposed improvements. The bid results were significantly over budget, with Hoerr Construction (Hoerr) providing the lowest qualified bid. In the original bid, Illinois Avenue was a part of a larger bid package; Results were submitted on November 14, 2023, and were over the budget with a low bid of $3,133,346. The Illinois Ave project was then isolated and bid a second time where Hoerr was the only bidder. Again, results were over the budget with a low bid of $2,108,795.

 

Staff worked with RJN and Hoerr on options to reduce the cost of the improvements. The cost for SIPP lining had increased dramatically, while the costs of Cast in Place Pipe (CIPP) lining had remained consistent. RJN revised the design documents to specify CIPP lining. As staff worked with Hoerr on the redesign and they were previously low bid, Hoerr was asked to submit a revised proposal that would meet the new project specifications and budget. 

 

The FY 24/25 Capital Improvement Plan includes a budget of $1,300,000 for the construction of the proposed improvements. Hoerr submitted a revised proposal for $1,297,840 and is ready to perform this work this fall. Staff has worked with Hoerr in the past with positive results. Staff recommends waiving competitive bidding and awarding the project to Hoerr Construction.

 Recommended Action:
 

The Village Manager recommends the Engineering and Public Works Committee recommend the Village Board reject all bids, waive competitive bidding, and award the Illinois Avenue Corrugated Metal Pipe (CMP) Storm Sewer Rehabilitation Project – Construction to Hoerr Construction Inc. of Goodfield, IL in the amount of $1,297,840.

 
ATTACHMENTS:
DescriptionType
Location MapExhibit
Bid TabulationBackup Material
Bid SubmittalExhibit