Resolution No. 2011-29

A Resolution granting an exemption from the competitive bidding requirements for Key Development for the realignment and construction of Country Club Road pursuant to HRMC 2.32.040(B)(4) and ORS 279C.335.

    The Hood River City Council finds as follows:

    WHEREAS, HRMC 2.32.040(B)(4) allows the Contract Review Board to grant specific exemptions from the competitive bid requirements that would otherwise apply to public improvements so long as the special procurement criteria of ORS 279C.335 are met and findings to that effect are adopted by resolution; and

    WHEREAS, the city is planning the realignment and construction of Country Club Road, pursuant to which it is in the process of acquiring right-of-way easements for the new alignment and has secured $3 million in construction funds from the Oregon Department of Transportation (ODOT) pursuant to a Memorandum of Understanding between ODOT and City of Hood River, Country Club Road Relocation/Mt. Adams Avenue; and

    WHEREAS, Key Development owns a significant parcel of land along the new alignment and has the obligation to construct street improvements along its frontage with the newly aligned Country Club Road as part of the project costs; and

    WHEREAS, pursuant to a Road Improvement Agreement, Key Development has contractually committed to construct the entire realigned Country Club Road according to the City’s plans so long as it can proceed on a quicker schedule than the City otherwise would pursue without Key Development’s participation; and

    WHEREAS, to allow Key Development to perform the design and construction work for the realigned Country Club Road project on the schedule anticipated in the Road Improvement Agreement, it is necessary for the City exempt the project from the competitive bid requirements that would otherwise apply; and

    WHEREAS, to qualify for such an exemption, ORS 279C.335 requires findings that award of the contract without full compliance with the competitive procurement requirements (a) is unlikely to encourage favoritism in the awarding of public contracts or substantially diminish competition for public contracts; and (b) will likely result in substantial cost savings to the city; and

    WHEREAS, Key Development is in a unique position as a property owner along Country Club Road with a requirement to construct its own frontage improvements and it’s a developer and construction contractor willing and able to construct the entire Country Club Road in its new location; no other contractor is in this position and no other contractor can perform this work with the cost savings to the  City that Key Development can provide by virtue of its position as a land owner along the alignment;

    WHEREAS, the staff report on this project associated with the exemption to the public bidding process explains more fully the cost savings the city stands to realize and how awarding the design and construction contract to Key Development will not encourage favoritism or substantially diminish competition for public contracts.  The staff report is hereby adopted and incorporated herein by this reference as findings in support of this bid exemption.

    NOW THEREFORE, based on the foregoing Findings and the attached staff report, the Hood River City Council, acting as the Contract Review Board, hereby resolves that the contract for the design and construction of Country Club Road and Mt. Adams Avenue shall be exempt from the competitive procurement requirements of HRMC chapter 2.32.

    Passed, Adopted and Effective this 8th day of August 2011 by a majority of the Hood River City Council acting as the Contract Review Board.

                        Arthur Babitz, Mayor


Jennifer Gray, City Recorder    Approved as to form:

Daniel Kearns, City Attorney