The plan to extend Fountain Street is on hold because the winning contractor did not do enough to find businesses owned by minorities or women to help in the project, the Cape Girardeau City Council was told Monday evening.
Nip Kelley Equipment Co. in October won a $1.02 million city contract to build two blocks of Fountain Street, from Morgan Oak to William streets. The contract award, however, was contingent on approval from the Missouri Department of Transportation, which provided federal enhancement funds for the work.
The department rejected not only Kelley's bid but also that of the second-lowest bidder, Fronabarger Concreters Inc., because both failed to meet federal requirements for using minority- and women-owned businesses, city engineer Kelly Green told the council.
The MoDOT action pushes the projected start date for the Fountain Street project back from the beginning of January to sometime in the spring, most likely April or May, Green said. The city first won funding for the extension in July 2007, but land acquisition and other issues have delayed construction.
The setback caused some grumbling among council members.
"These are bids we were very happy with," Mayor Jay Knudtson said, noting that the winning bid was about $300,000 below engineering estimates of the cost.
"I have an issue with saying we have to spend more money to help traditionally disadvantaged minorities," said John Voss, councilman for Ward 1.
Federal rules require that contractors on projects funded with federal money show a good-faith effort to locate and hire minority- or women-owned businesses to handle at least 6 percent of the project's cost under the Disadvantaged Business Enterprises rules.
Green said Kelley Equipment Co. had no minority participation and that Fronabarger Concreters met the requirement but the business named for the work was not a certified subcontractor.
"For some unknown reason, they decided to look more closely at this and they felt Nip Kelley didn't make a good-faith effort," she said.
MoDOT reviews are generally faster than the eight weeks taken on the Fountain Street project, said Mark Shelton, district engineer for Southeast Missouri. The extra time was required because MoDOT reviewed the second-lowest bid for compliance, he said.
"It is probably in the best interest of everybody to repackage it," Shelton said. "I don't know that we will do anything different, except make sure everybody is well aware of what the requirements are and put the thing back on the streets for competitive bidding again."
When completed, Fountain Street will be a brick-paved avenue with decorative lighting. A roundabout at Morgan Oak Street will help manage traffic near the Southeast Missouri State University River Campus.
rkeller@semissourian.com
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Pertinent address:
401 Independence St., Cape Girardeau, MO
Cape Girardeau City Council action
Monday
Cape Girardeau City Hall
401 Independence St.
Action Items
Consent Ordinances
* Approved an ordinance authorizing the Mayor Pro Tempore to execute General Warranty Deeds to CWC-RE Holdings, LLC and Mayson Investments, LLC for the transfer of 6,419 square feet of remnant property at the southwest corner of Mt. Auburn Road and Bloomfield Road in exchange for a 30-foot-wide strip of property along Bloomfield Road.
New Ordinances
* Approved an ordinance appropriating $47.6 million for capital expenditures, including bond payments, for stormwater and parks improvement projects.
* Approve an ordinance amending Schedule F of Section 26-247 of the City Code, by establishing a no parking zone on Themis Street.
* Approved an ordinance authorizing acceptance of permanent drainage easements from various property owners on Albert Street for the purpose of drainage and stormwater maintenance.
Resolutions
* Approved a resolution authorizing the city manager to execute Amendment No. 1 to an Agreement for Professional Architectural and Engineering Services with Markey and Associates, Inc., for improvements to the Central Municipal Pool.
* Approved a resolution authorizing the city manager to execute a financial assistance agreement, and all other necessary documents, with the Southeast Missouri Regional Planning and Economic Development Commission, pursuant to the Missouri Clean Diesel Program, for a $150,000 grant for the purchase of solid waste trucks.
* Approved a resolution authorizing the city manager to execute an agreement with IESI Missouri Landfill Corporation for solid waste transportation disposal service.
Appointments
* Reappointed Ward 5 Councilman Mark Lanzotti and Ward 6 Councilwoman Marcia Ritter to the Cape Girardeau Area MAGNET Board of Directors.
* Appointed Percy Huston to the Parks and Recreation Advisory Board.
* Re-appointed Jack Watts and appointed Chris Janet to the Golf Course Advisory Board.
* Re-appointed Ward 3 Councilwoman Debra Tracy to the Cape Girardeau Park Development Foundation Board of Directors.
Other
* Approved a motion rejecting all bids for the Fountain Street Phase II Project and authorizing staff to re-bid the project.
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