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Marshall awards mill-and-overlay contract to low bidder, adds alternate streets
Summary
Council accepted Central Specialties' low bid and approved adding alternate streets after debate on budget and levy impacts; project remains under the 2025 CIP allocation.
Marshall City Council on a voice vote approved a contract for the 2025 mill-and-overlay street program, awarding the work to Central Specialties of Alexandria and adding alternate streets to the base bid after staff recommended taking advantage of unusually low prices.
City Engineer and Director of Public Works Jason Anderson told the council that the low base bid from Central Specialties was $464,044.96 and that staff recommended including the alternate streets because bidding this year produced “prices that we haven't seen for a few years.” He said including the alternates would bring the total to $545,736 and that the city's 2025 Capital Improvement Plan set $650,000 for the project.
The recommendation to add alternates prompted a debate about whether the council should bank the savings to lower future levy pressure or use the savings now to complete more work. Councilmember Craig Schafer moved to accept the bids and award the contract to Central Specialties, including alternates; John seconded the motion. After discussion the motion passed.
Supporters of adding alternates said the current bid climate made it prudent to do more work now rather than risk higher prices next year. Opponents argued the council had earlier directed a lighter base bid to keep levy increases in check and suggested banking the savings for debt reduction or future needs. The city engineer told council that historically staff had intentionally kept base bids light because it is easier to add quantities to a contract after bidding than to remove them without rebidding.
Key financial details discussed during the meeting included the low bid of $464,044.96, the recommended total with alternates of $545,736, and the CIP appropriation of $650,000 for the project. Staff said the award would leave the city roughly $100,000 under the engineer's estimate for the programmed work.
The resolution to award the contract was approved by council vote; staff will proceed with contracting and project scheduling.
