Accept bid of $1,687,301 from Knife River Corporation Northwest for the NE Cornfoot Rd: NE 47th to Alderwood Rd Project (Procurement Report - ITB 00002200)

Authorize the Chief Procurement Officer to execute a construction contract for NE Cornfoot Rd: NE 47th to Alderwood Rd Project to Knife River Corporation Northwest. The construction cost based on bids received is $1,687,301. The Portland Bureau of Transportation (PBOT) needs to construct the NE Cornfoot Rd: NE 47th to Alderwood Rd project. The project will pave a portion of Cornfoot Rd from AirTrans Way to Alderwood, improve illumination in the corridor and install new guard rail alongside the south side of NE Cornfoot Rd. Cornfoot Rd is an important freight route as well as main route to the Portland airport. Several important business corporations are also located in the area such as: Boeing, USPS, FedEx, Horizon, Oregon Army National Guard, etc. The NE Cornfoot Rd: NE 47th to Alderwood Rd project will address deficiencies in pavement, illumination as well as safety in this corridor. Ordinances 190874 was approved by City Council on June 15, 2023, authorizing the Chief Procurement Officer to issue a competitive solicitation for the project known as NE Cornfoot Rd: NE 47th to Alderwood Rd Project on behalf of PBOT No revenues will be impacted by this legislation. This legislation does not change existing City policy.

The engineer’s estimate for this project was $2,270,414 and the confidence level was Moderate . Based on bids received, PBOT anticipates the construction contract cost to be $1,687,301, which is 29.5% under the engineer’s estimate. The project is in the Adopted CIP for FY 2021-22 and Proposed CIP for FY 2022-23. Funding for the project comes from HB 2017 in the amount of $2,000,000; HVUT in the amount of $2,920,000 and Transportation System Development Charges in the amount of $200,000 for a total amount of $5,120,000. No present positions will be created, eliminated or re-classified as a result of this legislation.

The construction contracting community, including contractors certified with the State of Oregon as minority, women, and emerging small businesses became involved when the Chief Procurement Officer advertised and publicly noticed the project on the City’s Online Procurement System September 28, 2023, including a public notice posted in the Daily Journal of Commerce on September 29, 2023. Potential bidders were able to review the competitive solicitation, ask questions, provide comments and submit a bid in response to the Invitation to Bid (ITB). Bids received resulted in the award of the construction contract. Procurement Services managed the procurement process. The City’s equity in contracting aspirational goal of 20% of the hard construction costs for subcontractor and supplier utilization of firms certified by the State’s Certification Office for Business Inclusion and Diversity (COBID) applies to this project. Knife River Corporation Northwest has committed to subcontract 20.09% to COBID Certified firms as follows: Subcontractor Certification Area of Work Ownership Amount Alvin L Hall dba Rock & Road Construction, Limited Liability Company D/M Hauling African American/Male $35,000 Andersons Erosion Control, Inc. D/W Landscaping/Erosion Control Caucasian/Female $51,969 Clark Moore Trucking, Inc. D/M/W/ESB Trucking/Hauling Asian Pacific/Male $125,000 Eugene William Asphalt, LLC D/M/ESB Asphalt Paving Native American/Male $115,000 High Quality Traffic Control, LLC D/W/ESB Flagging Caucasian/Female $12,000 Total $338,969.00 Knife River Corporation Northwest, acting as the prime contractor intends to self-perform 79.91% of the work and to subcontract 0% to non-certified firm: Subcontractor Area of Work Amount NONE Knife River Corporation Northwest is located in Tangent, Oregon, and is not a State COBID Certified Contractor and is a Caucasian/male owned firm. They have a current City of Portland Business Tax Registration and are in full compliance with all of the City’s contracting requirements. No known persons or groups will be testifying. No future public involvement is anticipated or necessary for this request.