Title
2024 Orland Hills West Road and Ditch Reconstruction - Notice of Cancellation
History
On March 4, 2024, the Village Board awarded the Orland Hills West Road and Ditch Reconstruction project to M&J Asphalt Paving Company, Inc. The Village’s intention was to have the project completed before the end of this fiscal year.
In February 2023, the Village Board awarded the Orland Hills West design engineering to Engineering Resource Associates (ERA), for storm water and road work. The ERA-designed plans and specifications were then published in an RFP (Request for Proposal) on the BidNet Direct website on January 22, 2024. During the bidding process, ERA was still in the process of acquiring the required Metropolitan Water Reclamation District (MWRD) permitting. The permit was finally approved by MWRD in mid-July 2024. The Contractor couldn’t start any work during this time.
On July 31, 2024, Public Works met with Christopher Burke Engineering, M&J Asphalt, and their sub-contractor, M&J Underground, to discuss the project. Due to the delays with the MWRD permitting, M&J Paving Company and M&J Underground stated they would only commit to Circle Drive for this year, that the project wouldn’t commence until after Labor Day, and would not be completed until 2025. In addition to the delays, the contractor stated there would be increased costs to the Village of Orland Park.
Staff believes it would be in the best interest of the Village to cancel this contract, combine the scope for Orland Hills West with the Orland Hills East Road and Ditch Reconstruction Project that has been planned for 2025, and bid out both subdivisions at as one project, which should result in better pricing due to the larger scope.
Therefore, it is staff’s recommendation that the contract with M&J Asphalt Paving Company, Inc. of Cicero, Illinois be terminated for convenience. The project is traditionally split-funded due to the roadway reconstruction and ditch reconstruction components. The summation of road-related costs versus the summation of stormwater costs indicates the cost split to be 60% road work and 40% stormwater work.
Financial Impact
Funds for this work are budgeted in the FY2024 Capital Improvement account 3008020-571250 and the Strom Sewer account 5008170-570500, and would be rolled over to 2025.
Recommended Action/Motion
I move to terminate the agreement between the Village of Orland Park and M & J Asphalt Paving Company, Inc. For the 2024 Orland Hills West Road and Ditch Reconstruction agreement dated March 4, 2024;
AND
Authorize the Village Manager to send a fifteen (15) day notice of cancellation.