Title
Bulk Material Purchase, Hot Mix Asphalt - Proposal
History
During the warmer seasons, Public Works patches deteriorated asphalt streets, and restores asphalt over underground utility repairs. Prior to the start of construction season, staff solicits asphalt vendors for competitive prices to purchase bulk Hot-Mix Asphalt (HMA). Asphalt vendors generally cannot guarantee cost past a single construction season due to the uncertainty and volatility of fuel, oil and raw material costs. Much of the asphalt work that is performed requires both an asphalt binder layer and a surface course of asphalt. Because these are two entirely different mixes of asphalt, two different and separate deliveries are required.
To avoid considerable freight charges, Village staff and equipment are utilized to transport Hot-Mix Asphalt from the asphalt plant to the job site. There are three factors that staff considers when selecting a vendor: (1) Asphalt plant proximity to job site, (2) plant HMA production schedule, (3) plant HMA availability.
It is critical that asphalt maintain a warm temperature through the installation process. The need to transport, install and compact the material in a timely manner makes Plant proximity and minimizing travel time a priority. Other factors affecting HMA availability are the type and amount of material produced each day. These factors are controlled by the individual asphalt plant and often dictate what type of work crews are able to perform on a given day.
To minimize delays and the effects of these factors, staff is requesting approval to purchase from multiple locations as needed. Staff solicited and received proposals from three (3) vendors with asphalt plants near Orland Park: Crowley-Sheppard Asphalt, of Chicago Ridge, IL, D-Construction of Coal City, IL and K-5 Construction Corp. of Lemont, IL. These three HMA suppliers are IDOT certified for the production of (N50) HMA Mixes.
Crowley-Sheppard submitted a fixed cost for 2017 of $45.00 per ton for binder material and $52.00 per ton for surface product. D-Construction provided a cost (through July) of $39.50 per ton for binder and $45.50 for surface product. K-5 Construction submitted costs (through July) of $45.00 for binder material and $47.25 for surface product.
On March 6, 2017, this item was reviewed by the Public Works Committee and recommended for approval and referred to the Village Board of Trustees for consideration.
Financial Impact
Funds to cover the cost for HMA during the 2017 season are available in 031-6007-462800; 010-5002-462800 and 031-6002-462800.
Recommended Action/Motion
I move to approve accepting the proposals from D-Construction of Coal City, IL, Crowley-Sheppard Asphalt, of Chicago Ridge, IL and K-5 Construction Corporation of Lemont, IL., for the bulk material purchase of Hot-Mix Asphalt for the 2017 construction season as needed at a cost not to exceed the budgeted amounts.