722410 Intent to Award Letter.pdf

This is an Intent to Award Letter from the City of Salem, Oregon, formally notifying North Santiam Paving Company of the City's intent to award a contract for the McKay Park Improvements project (Bid Number 256116, Project Number 722410). The project encompasses comprehensive park renovations including sidewalk widening and restoration, installation of a prefabricated picnic shelter, a concrete food truck pad, two prefabricated restroom structures with utility extensions, soil reconditioning and turf restoration of two soccer fields, subsurface drainage and irrigation system installation, and landscape improvements. The bid opening was conducted virtually via the OregonBuys platform on April 7, 2026, with an award date of April 23, 2026. Critical project milestones include turf seeding and irrigation substantial completion by September 1, 2026, overall substantial completion by October 1, 2026, and final completion by November 20, 2026.

The City is awarding the contract to North Santiam Paving Company in the amount of $1,236,376, which falls within the budgeted range of $1,400,000 to $1,700,000. The award was made to the lowest responsive and responsible bidder. Additional bidders who submitted proposals included Brown Contracting Company, Gelco Construction Company, Northcore USA LLC, Paul Brothers Inc., and Pihl Inc. The contract is subject to Oregon prevailing wage requirements and requires contractors to maintain performance and payment bonds equal to the full contract price, along with comprehensive insurance coverage including $2,000,000 per occurrence commercial general liability coverage. Progress payments will be made monthly at 95 percent of completed work with 5 percent retainage held until substantial completion, and liquidated damages are assessed at $160 to $1,110 per day for delays.