6. Reject Bids - WWTP Storage BuildingCity of Kalispell Public Works Department
Post Office Box 1997, Kalispell; Montana 599 3-1997 - Telepi ore (406)75 _77210, Fax (406)75 w7 31
REPORT TO: Mayor and City Council
FROM: James C. Hansz, P.E., Director of Public Works
SUBJECT: Reject Bill — Wastewater Treatment Plant Storage Building
MEETING DATE: March 7, 2005
BACKGROUND: The current budget includes an appropriation of $90,000.00 for construction of a new
building at the wastewater treatment plant for weather -protected storage of high -value plant equipment.
Two bids were received by the 25 February due date. The bids of Davidson Construction ($175,800.00)
and Bob Schweigert Construction ($169,597.00) were both far in excess of the budget available for this
project. Upon evaluation of the bids we believe neither bid reflects good value for the City and
recommend rejection of all bids. Staff continues to believe this project has great merit and recommends
re -advertisement for bids at an unspecified future date when we believe market conditions may be more
favorable. This project was designed in-house so future efforts to re -advertise the project will not involve
significant additional engineering expense.
ACTION REQUESTED: AT CITY COUNCIL MEETING OF MARCH 7, MOTION TO REJECT
ALL BIDS FOR CONSTRUCTION OFA STORAGE BUILDING AT THE KALISPELL
WASTEWATER TREATMENT PLANT.
FISCAL EFFECTS: None, current budget amount of $90,000.00 will be conserved for potential future
capital expenditures.
ALTERNATIVES: As suggested by the City Council
Attachment: Bid Recommendation
March 7, 2005 Reject Bids Wastewater Storage Bni[ding.doc
To: Jim Hansz, Public Works Director
From: Andrew D. Sorensen, Associate Civil Engineer
Date: 3III2005
Re: Wastewater Treatment Plant Storage Building
The fiscal year 2004/2005 Wastewater Treatment Plant budget includes
appropriations of $90,000.00 for the construction of an equipment
storage building.
Two bids were received by the due date and opened February 25, ZOOS.
Davidson Construction, Inc. $175,800.00
Bob Schweigert Construction $169,597.00
Both bids far exceed the budgeted amount for this project. The costs
associated with the building appear to be high when compared to past
projects and estimates provided by the Building Evaluation Data that the
Building Department uses to valuate projects. Therefore, I recommend
that both bids be rejected at this time, and that the project be re -bid when
the market conditions improve. It is also possible that this project may
also be included as part of a larger project which should also lower the
cost.