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From reviewing the bid packages, only one sand supplier provided sand cost estimates to the truck <br />haul contractors for this project, although the project was permitted and bid with several sources. As <br />described above, over 2.5M cubic yards of sand from upland mines is expected to be needed for other <br />projects south of the County that utilize the same sand mines as Indian River County's Sector 3 Project. <br />As a sand supplier could be strained via production capacity to provide those quantities within one <br />construction season, the sand mines may have decided to reserve their sand for the larger USACE <br />projects; therefore, not supplying cost estimates to bidders for the County's project. <br />As there are hardbottom resources directly offshore of the County, the Federal resource agencies are <br />anticipated to impose strict transit corridors within their permit for potential dredgers bidding the project. <br />During the pre-bid conference, the dredgers noted that this condition would cause increased bid costs <br />because it would restrict their transit to and from the borrow area, and they could not select their routes <br />to make them more economical for sailing. As these conditions were imposed during permitting, this <br />restriction could not be changed during the bid process due to required consultation with the Federal <br />agencies for any deviations from the permits. As such, the dredge contractor included this inefficiency <br />within the unit price of sand within their bid. Additionally, the mobilization cost included within the sole <br />dredge bidder's package was $7.5M. These high mobilization costs have been a recent trend around <br />the state, with local governments paying high costs to get a dredge onsite. <br />Competitive construction costs are typically acquired with a bid put on the market with extra leeway and <br />a flexible construction window. As permitting delays by the resource agencies attributed to deferred <br />issuance of permits, the project was not able to be bid several months in advance of planned <br />construction. Due to the compressed bidding timeframe required to start the project on November 1, <br />potential contractors may not have had this project on their radar and committed to other projects this <br />winter. Higher pricing, .at a premium to the County, may have been provided to arrange schedules to <br />include this project. <br />The status of the USACE permit was also concern to contractors bidding the project. Due to delays by <br />National Marine Fisheries Service (NMFS) in issuing the South Atlantic Regional Biological Opinion <br />(SARBO), the USACE's permitting process was delayed. As the contractors are planning to mobilize <br />and restrict equipment for sole use on this project starting on November 1, 2020, any delays in <br />issuance of the permit, and subsequently the notice to proceed, would cause the contractor to have idle <br />equipment for an unknown amount of time. Due to these unknowns, the bidders may include this risk <br />into their bid prices for the project. <br />233 <br />