The City of Gustavus wishes to adopt a new maintenance model to make City road maintenance more efficient and cost effective by transferring road maintenance decision making to the contractor and achieving more favorable road maintenance pricing through a longer-term contract. The contractor would be delegated authority to make decisions about maintenance needs and priorities while working within a function budget. Transferring authority to the contractor is intended to reduce the need for city staff to plan, direct and oversee routine road maintenance activities, freeing these resources for other City priorities. A longer-term contract is intended to improve the contractor’s operational efficiency, enabling the City to realize more value for its maintenance budget. This model provides the contractor with a longer commitment of consistent work, allows the contractor longer-term planning of its operations, and allows the contractor to amortize fixed costs over a longer period.