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August 8, 2024 M4 <br />Elk River Municipal Utilities <br />Attn: Mike Tietz <br />13069 Orono Parkway, PO Box 430 ENGINEERING <br />Elk River, MN 55330 <br />RE: Award Recommendation <br />Furnishing an Electric Power Transformer — East Substation <br />DGR Project No. 429902 <br />Dear Mike: <br />We have reviewed the bids received on August 1, 2024 for the above -referenced project. A bid <br />summary form of the bid results is enclosed. We have checked the bids for mathematical accuracy <br />and compliance with the bid specifications. We are hereby prepared to offer the following <br />recommendation. <br />There was one (1) responsive bid received with a total purchase price of $1,535,200.00. This bid <br />was submitted by WEG Transformers USA, LLC (WEG). WEG has successfully completed similar <br />projects for us in the past, and we know of no reasons why they would not perform well on this <br />project. WEG's price was comparable to low bidder pricing on recent DGR projects for similar <br />sized transformers. We are therefore recommending that WEG be awarded the contract for <br />Furnishing an Electric Power Transformer for a total purchase price of $1,535,200.00, contingent <br />on the successful negotiation of proposal clarifications, payment terms, and terms and conditions. <br />There was one (1) non -responsive bid received by Niagara Power Transformer Corporation <br />(Niagara). The specifications require that the power transformer be delivered by September 1, <br />2026, and Niagara quoted a delivery date in February 2027. Niagara failed to meet the required <br />delivery date listed in the specifications and thus their bid was determined to be non -responsive. <br />Please review our recommendation and feel free to contact us with any questions you or the <br />Board may have. Please let us know when an award has been made. We will be sending a copy <br />of the bid summary to all bidders and plan holders. <br />Best Regards, <br />DGR Engineering <br />Brenton Thompson, P.E. <br />Enclosure: Bid Summary <br />DGR Engineering — 1302 South Union Street — P.O. Box 511— Rock Rapids, IA 51246 <br />phone: 712.472.2531 — fax: 712.472.2710 — dgr.com <br />q',, H7W ;M a up\ 1vx71nan, Y I" ws\l h Rcconii Con Imand Vo Ovvn m 4 °T`02.6x'x <br />7iWaW Vy ', <br />95 <br />