A. Immediately after the effective date of the establishment resolution the city engineer shall cause necessary rights-of-way and easements to be acquired and the improvement to be made in accordance with the terms of the establishment resolution if the work is to be performed by the City or another governmental agency. If any part of the work of the improvement is to be done under contract bids, the city engineer shall cause detailed plans and specifications to be prepared and filed and notice calling for bids to be published in a newspaper of general circulation within the City not less than five days prior to the opening of bids.

B. Except as otherwise exempted by state law, charter, City ordinance, code provisions or rule, contracts for all or part of the work of the local improvement may be let by the council to the lowest responsible bidder whose bid is in the best interests of the City as determined by the council. The council may reject any or all bids when they are deemed unreasonable or unsatisfactory. If the council rejects all bids, it may direct the city engineer to readvertise for bids or direct the work to be performed by City forces. The City shall provide for security on all contracts for the faithful performance of any contract let under its authority, and the provisions of the security in case of default shall be enforced by an action in the name of the City.

C. If the council finds on opening bids for the work of the improvement, that the bid in the best interest of the City is substantially in excess of the city engineer’s estimate, it may, provide for holding a special hearing to consider objections to proceeding with the improvement on the basis of the bid.