Item Coversheet

*5.D.6.


Shakopee City Council
March 15, 2022


FROM:Darin Manning, Project Coordinator
TO:Mayor and Council Members
Subject:
Lift Station 16 Rehabilitation Project Bid Award
Policy/Action Requested:
Adopt Resolution R2022-038 accepting bids and awarding a contract in the amount of $1,661,800.00 to Rice Lake Construction for the Lift Station 16 Rehabilitation Project Sewer-19-001 and the SCADA System Improvement Project Sewer-19-005.
Recommendation:
Adopt Resolution R2022-038.
Discussion:

The city's 2021 Capital Improvement Plan (CIP) contains the Lift Station 16 (L16) Rehabilitation Project Sewer-19-001, and SCADA System Improvement Project Sewer-19-005. These projects were combined due to the rejection of bids for the SCADA System Improvement Project by City Council on May 18, 2021. On January 18, 2022, the City Council approved  the plans and specifications and authorized bidding of the project.

 

In accordance with Minnesota Statute Section 471.345 Uniform Municipal Contracting Law, bids were solicited and opened on March 1, 2022. Four bids were received and Rice Lake Construction, from Deerwood, Minnesota, is the lowest bidder in the amount of $1,661,800.00 (see the attached resolution for the bid tabulation summary).

 

Rice Lake Construction, has the capacity and experience for the project and is deemed a responsible bidder.

Budget Impact:

The 2021 CIP total project budget for the SCADA System Improvement Project and L16 Rehabilitation Project is $3,100,706 (see attached CIP summary sheet). The updated total project cost based on the bid award amount is $2,512,800.00. The project is to be funded out of the Sanitary Sewer Fund. The below project cost and funding summary compares the estimated amount to the bid amount. 

 

 

CIP Budget

Estimate Based

 

Estimate

On Bid Award

COSTS

 

 

Construction Cost (Rice Lake)

$ 2,068,706.00

$ 1,661,800.00

Construction Cost (Miscellaneous) $ 350,000.00  $ 319,000.00

Contingency

$ 234,000.00

$ 84,000.00

Subtotal

$ 2,652,706.00

$ 2,064,800.00

 

 

 

Eng/Admin/Legal

$ 448,000.00

$ 448,000.00

Total Estimated Project Cost

$ 3,100,706.00

$ 2,512,800.00

 

 

 

FUNDING

 

 

Sanitary Sewer Fund

$ 3,100,706.00

$ 2,512,800.00

Total Funding

$ 3,100,706.00

$ 2,512,800.00 

 

It should also be noted that the city purchased all three pumps and the sewage grinder for the L16 Rehabilitation Project separately and in advance of the project. The purchase of this equipment is included in the miscellaneous construction cost shown above. The miscellaneous construction cost also includes work outside of the Rice Lake contract that will be needed, notably for the SCADA System that includes programming, electrical supply, and software expenses.

ATTACHMENTS:
Description
Resolution R2022-038
CIP Sheets
Email questions