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Board approves exterior-signage contract with 3D Specialties after sole-bid negotiation
Summary
The Fargo Airport Authority approved a negotiated award to Fargo-based 3D Specialties for exterior wayfinding signs after bids exceeded estimates and only one responsive bidder stepped forward; board members pressed staff about bid integrity and whether rebidding was required.
Mary Schaefer, the airport project lead, told the board that bids for exterior signage came in well above the $175,000 estimate and that only a single responsive bid was received. "We did receive bids in on May 13th. They came in quite a bit higher than our $175,000 estimate," Schaefer said, and explained staff negotiated with the sole bidder under North Dakota Century Code to reduce costs to a revised bid of $184,923. She recommended awarding the contract to 3D Specialties of Fargo.
Board members raised concerns about changing bid parameters after award. One member asked whether staff had "significantly altered this to make it in essence a new bid" and whether the project should be rebid; other members said negotiation with a sole bidder is allowed under state law if only one bid is received. "We believe that we met the letter of the law when it came to this discussion and negotiation," Schaefer said.
After discussion, a board member moved to approve the award subject to Stacy's legal review; the motion was seconded and the board voted to approve the negotiated award. The board also requested staff provide documentation showing how the revised scope differs from the original specifications and to confirm contractor licensing and the outreach that preceded the solicitation.
The contract award will fund replacement wayfinding signs across airport property; Schaefer said the negotiated approach moved the project from a refurbishment concept to installing new signs, which accounted for the cost differences. The board did not direct rebidding but asked that staff and legal documentation be provided to ensure procurement compliance.
Next steps: staff will finalize the contract with 3D Specialties pending legal review and return documentation to the board as requested.
