HomeMy WebLinkAbout7. MANAGERS REPORT 11/15/05
Mount Prospect
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Mount Prospect Public Works Department
INTEROFFICE MEMORANDUM
TO:
VILLAGE MANAGER MICHAEL JANONIS
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FROM:
PROJECT ENGINEER
DATE:
NOVEMBER 10,2005
SUBJECT:
2006 TRAFFIC SIGNAL MAINTENANCE CONTRACT - $56,550.00
At 10:00 a.m. on November 7th, sealed bids were publicly opened and read aloud for the 2006 Traf IC
Signal Maintenance Contract. A notice was published in the mOT Notice to Contractors Bulletin as well
as the Daily Herald. The contract consists of the maintenance of eight traffic signals within the Village of
Mount Prospect for the 2006 calendar year.
Bids Results
Three contractors picked up contract bid documents and one submitted a bid. A bid of $36,550.00 was
received by Meade Electric Company of McCook, Illinois. The Engineer's estimate for the project was
$30,350.00.
The bidder submitted a bid bond in the amount of 5% of their total bid as required by the contract
documents. The bid was checked for accuracy. No errors were found. The bidder correctly signed their
bid and bid bond.
Discussion
The bid results reveal a trend occurring in the traffic signal maintenance industry in the Chicago area.
Whereas in the past the Village could expect three to four bids from companies who focused on
maintenance, some companies are now focusing on the construction end of their business. Aldridge
Electric, the Village's contractor for the past seven years, has decided to get out of the maintenance
business altogether and solely focus on new construction. H&H Electric, one of the two companies who
picked up bid documents but did not submit a bid, realized their workload in construction projects in 2006
will prevent them from adequately fulfilling the maintenance responsibilities for this contract. Lyons
Pinner Electric, the other company who picked up bid documents but did not submit a bid, also has a
number of new construction projects.
Meade Electric is still doing a significant amount of traffic signal maintenance because they have both the
mOT and Cook County Highway Department contracts. They have a large workforce patrolling the
streets taking care of a majority of the traffic signals in the Chicago area. As a result, they are beginning
to take over maintenance in communities where other companies such as Aldridge Electric once had a
contract. Based on the bid results and speaking with other communities, Staff believes the one bid is
reasonable and does not recommend re-bidding the contract. A re-bid contract may again yield only one
bid and with Meade Electric now knowing this, they may raise their prices because of a lack of
competition.
page 2 of2
2006 Traffic Signal Maintenance Contract
November 10, 2005
Meade Electric was the Village's traffic signal maintenance contractor in 1998. In addition, as stated
above they are currently the traffic signal maintenance contractor for IDOT and the Cook County
Highway Department. Meade Electric was also the contractor hired by the Village earlier this year to
install pedestrian signals at a couple of intersections. Staff has a good working relationship with Meade
Electric and their work has been acceptable.
Award Price
The budget item for traffic signal maintenance from the 2006 Proposed Budget includes the cost of
routine traffic signal maintenance as well as emergency signal repair resulting from accidents or
equipment failure. Not only does this budget item include the eight intersections maintained by the
Village but also accounts for intersections maintained by IDOT and Cook County in which the Village
must reimburse a percentage back to these agencies.
The total bid for this proposed contract reflects the predictable cost of the routine maintenance work of
the eight intersections and establishes hourly prices for the unpredictable emergency work. The final
award to the contractor must also include funds for emergency work as well as unexpected replacement of
older equipment. For 2006, Staff estimates this amount to be $20,000.00.
Therefore, the award price to the contractor should be as follows:
Routine Maintenance Work
Emergency Work
Total
$36,550.00
$20,000.00
$56,550.00
Funding for the routine maintenance, emergency and replacement work has been requested in the 2006
Proposed Budget. Sufficient funds are available under Account #0505405-540660 in the 2006 Proposed
Budget.
Recommendation
This contract price includes the cost of routine traffic signal maintenance and emergency signal repair
resulting from accidents or equipment failure. It reflects the predictable cost of the routine work and
establishes hourly prices for the unpredictable emergency repairs. The cost of emergency repairs
resulting from accidents will be able to be offset by billing the offender for the damage in the event the
offender is caught.
It is Staff's recommendation that Meade Electric be awarded the contract for the 2006 Traffic Signal
Maintenance Contract in the amount not to exceed $56,550.00 to cover the cost of routine maintenance
and potential emergency repairs. There are sufficient funds in the 2006 Proposed Budget to cover this
traffic signal maintenance contract.
Please include this item on the November 15th Village Board Meeting Agenda.
I concur with the above recommendation.
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Attachment: Map
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CENTRAL RD
VILLAGE OF MOUNT PROSPECT
2006 TRAFFIC SIGNAL MAINTENANCE
1 BUSSE ROAD & WILLOW LANE
2 ROUTE 83 & GREGORY STREET
3 CENTRAL ROAD & OWEN STREET
4 CENTRAL ROAD & MT PROSPECT ROAD
5 RAND ROAD & CENTRAL ROAD
6 RAND ROAD & MT PROSPECT ROAD
7 RAND ROAD & BUSINESS CENTER DRIVE
8 WOLF ROAD & FEEHANVILLE DRIVE