4.5. SR 06-16-2014 - Laserfiche WebLink

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City of Elk - Request for Action River O. To Item Number Mayor and City Council 4.5 Agenda Section Meeting Date Prepared by Consent June 16, 2014 Justin Femrite, P.E., City Engineer Item Description Reviewed by Award Contract for Wastewater Treatment Facility Tim Simon, Finance Director Improvements Reviewed by Cal Portner, City Administrator Action Requested Adopt,by resolution, awarding of the Wastewater Treatment Facility Improvement project to Rice Lake Construction Group in the amount of$16,525,200 and authorize the execution of the contract. Background/Discussion As detailed in Resolution 14-17, staff advertised the Wastewater Treatment Facility Improvement project. Construction bids were received on Thursday June 5, 2014. The three bids received were as follows: Rice Lake Construction Group $16,525,200 Municipal Builders, Inc. $16,915,700 Gridor Construction,Inc. $17,243,800 The low bid was 9.8% higher than the last estimate reviewed in January. Contractors indicated the limited size of the site and complexity for making control and piping tie overs while keeping the plant operational contributed to the increase over the estimates. Slight scope modifications including added F VAC filters in the existing digester building, reroofing existing buildings, replacing corroded steps at the Evans lift station, and final building permit costs also contributed to the higher cost. To take advantage of the $2.8 million in grant funds we qualify to receive from the state,the contract needs to be awarded so the bid results can be forwarded and certified by the Minnesota Pollution Control Agency before June 30, 2014. If awarded, construction is expected to begin in late July. Financial Impact The revised project budget including construction, engineering, testing,utility relocations, and bond issuance is $18,037,050. The funding package consists of revenue from bond sales, state grant,reserves, and trunk utility fund. Specific amounts from each source are detailed in the project funding summary. Bonds will be repaid from users of the sewer system via the sewer enterprise fund. Attachments • Resolution • Bid Analysis Memo • Project Funding Summary P a w E A E U s r NaA f RE]