The Town Council has given its unanimous approval to a $6.7 million bid from Nesbitt Contracting for reconstruction of Saguaro Boulevard.

The Nov. 20 council vote accepted the Nesbitt proposal as the project’s low bid. It includes $6,420,657 for the Saguaro work and $350,000 for replacement of the traffic signal at Saguaro and Palisades boulevards.

The town received 11 bids for the project ranging up to $8.5 million.

Voters approved an $8.2 million bond for the project, and that will also include project management and costs associated with utility relocation.

The project will remove and replace asphalt and base material over the roughly four miles of Saguaro between Shea and Fountain Hills Boulevard.

The base and asphalt thickness will be improved to newer standards. There is also drainage improvement work at Palisades and Saguaro and along the Desert Canyon Golf Course.

Development Services Director Paul Mood said the plan is to have work begin in January with a 270-day schedule, bringing completion to September 2015.

Mood said Nesbitt would like to begin the work at the intersection of Saguaro and Palisades where there are significant drainage upgrades.

However, there are also SRP utilities that need relocated in that same intersection and Nesbitt will need to wait for SRP to complete its work, potentially causing a delay to the start of construction, Mood said.

Councilman Tait Elkie asked for additional information about Nesbitt, noting the company’s significantly lower bid, nearly $300,000 less than the next bidder.

Mood said Nesbitt has worked on other projects in Fountain Hills including asphalt maintenance, mill and overlay on Shea Boulevard in 2013 and is currently working on Shea Boulevard upgrades between the Beeline and Technology Drive.

“One reason for the lower bid is the reduced mobilization costs because they are already here,” Mood said.

Councilwoman Cassie Hansen asked about lighting at the intersection with Avenue of the Fountains and Saguaro.

Mood noted there are no plans for lighting, but that an earlier design included lighting, which was removed by the council.

Councilman Henry Leger told Hansen that with the Avenue plaza project nearing completion funding from the downtown improvement fund may be available for a lighting project in the future.

At its next meeting on Dec. 4, the council will be considering bids for the issuance of the bonds for the project as well as the contract for the sale of bonds.