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2. Award Bid - WWTP Primary Digester Repair Project2011 s` Avenue East PO Box 1997 Kalispell, MT 59903 Phone: 406-758-7720 Fax: 406-758-7831 www.kalispell.com /public —works MEMORANDUM TO: Doug Russell, City Manager / FROM: Susie Turner, Public Works Director/City Engineer 1�-4 CC: Rick Wills, Finance Director SUBJECT: Award Bid — Digester Lid Repair Project MEETING: February 19, 2013 BACKGROUND: The Digester Lid Project involves replacement of the existing deteriorated lid and mixing equipment with a new concrete lid, top mixer unit, and inside coating. Bids for the Digester Lid Repair Project were opened on Thursday, February 7, 2013. Two responsive bids were received, and reviewed for completeness by HDR Engineering. The bid results are as follows: Contractor Bid Item 1 Cover Bid Item 2 Total and Mixer Foam Separator Swank Enterprises $ 793,188 $70,000 $863,188 Sletten $ 1,190,100 $55,400 $1,245,500 The contractor's cost to construct Bid Items 1 exceeds the preliminary cost estimate of $677,000 presented to the City in the Engineer's Alternative Evaluation. Bid Item 2, is a foam separator component constructed inside the tank, and is a necessary addition for the operations of the primary digester. The contractor's bid includes some uncertainty (costs) in removing the cover of the existing structure which will require planning and coordination to ensure a safe removal. Additional cost may also be attributed to a slightly different design of the digester cover that increases the concrete quantity and the specification of the robust coating system for the interior which will increase the longevity of the digester. STAFF RECOMMENDATION: Award Bid Item 1 and 2 to Swank Enterprises. ACTION REQUESTED: At the City Council meeting, motion to award the Digester Lid Repair Project Bid Items 1 and 2 to Swank Enterprises. FISCAL EFFECTS: The Digester Lid Repair Project is funded through a State Revolving Fund (SRF) Loan. The current FY 12/13 budget for this project is $865,000, which included the costs associated with the construction, construction engineering, and the SRF loan. The SRF loan amount will need to be adjusted to reflect the construction bid cost and the City's budget will need to be amended at a future Council meeting to reflect the construction and associated SRF loan costs. ALTERNATIVES: As suggested and approved by the City Council.