04-18-2000 CCM
MINUTES
SPECIAL MEETING - HUTCHINSON CITY COUNCIL
TUESDAY, APRIL 18,2000
Mayor Torgerson called the special meeting to order at 7:30 a.m. The following
members were present: Mayor Marlin Torgerson, Council Members Jim Haugen, John
Mlinar and Duane Hoversten. Also present were City Administrator Gary D. Plotz,
Finance Director Kenneth B. Merrill, Administrative Secretary Marilyn 1. Swanson, and
Ed Nevers of Donohue & Associates.
It was reported that three bids were received and opened on April 11, 2000 for the
biosolids drying addition general construction. The apparent low bidder was Rice Lake
Contracting Corp. with a bid of$1,432,000.
Nevers stated that all bidders were higher than the estimated facility cost. After a review
of their estimate, Donohue determined that the major differences were in the three areas
of electrical, mechanical and masonry work. Nevers stated that the bid from Rice Lake
was reflective of the present bid environment. Since he did not believe it was a good
idea to reject the bids and delay the project, Nevers suggested the City hire a private
hauler to haul the sludge during a bad winter and move forward to award the bid.
Haugen inquired about using sub-contractors from the local area. He also questioned if a
pre-cast concrete panel had been considered.
Nevers informed the Council that the City could re-bid with a different structure and save
$100,000. Since the funds would not be in place for the equipment, it would require a
change order.
Finance Director Kenneth B. Merrill stated that the City had $500,000 available at the
present time that could be utilized for the project. The cash could be used to fund the
drying facility, compost facility, the lift station and pipe on the south side of town. Then
the City would go out for bonding.
Director Randy DeVries commented that a $400,000 bonding bill was before the
Legislature. It had passed through two committees and had favorable possibilities of
being granted. He reported that other communities have shown an interest in hauling
sludge to Hutchinson's proposed facility.
Motion by Hoversten, second by Haugen to award the bid to Rice Lake Contracting Corp.
in the amount of$1,432,000. Motion unanimously carried.
The meeting adjourned at 8:10 a.m.