MEMO

TO: Gary Superman, Assembly President

Members, Kenai Peninsula Borough Assembly

THRU: Dale Bagley, Mayor

Mark Fowler, Purchasing and Contracting Officer

FROM: Gary Davis, Roads Director

DATE: June 9, 2005

SUBJECT: Resolution 2005-_______, Authorizing Award of Contracts for Summer & Winter Road Maintenance, North Region, Units 1, 2, 3, 4 and 5.

The Kenai Peninsula Borough opened proposals for the above-referenced projects on May 19, 2005. The request for proposals was advertised in the Peninsula Clarion on April 27, 29 and May 3, 2005.

The Contracts consist of providing all labor, materials and equipment to perform summer and winter road maintenance. This is a three-year contract with two optional years at the sole option of the Kenai Peninsula Borough.

The attached resolution requests award of contracts for this work to the highest-ranking proposers.

Below are the total estimated annual expenses submitted by each proposal. These contracts are for work performed on an hourly basis and is controlled primarily by weather. The "Estimated" word is emphasized here, indicating these numbers are contingent upon the various maintenance demands of the respective units.

North Unit 2 was the only unit to receive more than one proposal, from both General Services and Arctic Sun Maintenance. Arctic Sun Maintenance submitted the highest rated proposal. The RSA Evaluation Committee has evaluated the proposals consistent with the criteria established in the RFP, and recommendations are as follows:

� North Unit 1: D&L Construction $95,100

� North Unit 2: Arctic Sun Maintenance $86,280

� North Unit 3: Arctic Sun Maintenance $82,440

� North Unit 4: DC Rappe Excavating $78,800

� North Unit 5: Nikiski Equipment $94,650

Funding is available in the FY2006 Road Service Area operating budget. Expenditures for the contracts will be charged to account number 236.33950.46910.