HomeMy WebLinkAbout#08 - Test Well 5 Award Contract STAFF REPORT
DATE: July 2, 2019
CONSENT
AGENDA ITEM: Accept Quotes and Award Contract for Test Well #5
SUBMITTED BY: Chad Isakson, Assistant City Engineer
REVIEWED BY: Kristina Handt, City Administrator Marty Powers, Public Works Director
Jack Griffin, City Engineer
ISSUE BEFORE COUNCIL: Should the City Council accept quotes and award a construction contract
for Test Well No. 5?
BACKGROUND: The City of Lake Elmo has been working with the MN-DNR and MPCA to replace the
lost capacity for Well #1 by pursing the development and construction of Production Well #5 to be located
in Tana Ridge Park. Authorization of engineering services for the preliminary design was approved at the
May 7, 2019 Council Meeting. Construction and monitoring of a test well is required to determine the
suitability of the proposed site.
PROPOSAL DETAILS/ANALYSIS: A quote package for drilling a test well and determining water
quality was prepared by Bolton and Menk and sent out to three well drillers to provide pricing to complete
the work. The quote package included two different construction techniques to drill the well with pricing
requested for each. The methods are a Mud/Air Rotary and a Dual Rotary. The Dual Rotary method is more
expensive but provides higher quality control, the ability to sample water quality at various locations in the
aquifer and avoids the potential risk associated with having to abandon partial work and restarting the well
in the event certain geological conditions prevent the completion of the initial well.
Three quotes were received from qualified contractors on June 19, 2019 with the price breakdown included
in the Engineer’s Letter of Recommendation and Quote Summary attachment. Staff is recommending Traut
Companies be awarded a contract to complete the test well and water quality testing using the Dual Rotary
drilling method for $52,168.00.
FISCAL IMPACT: Construction cost for the Test Well is $52,168.00. The project costs will be funded
90% through the MPCA grant agreement and 10% through the Water Core Fund.
RECOMMENDATION: Staff is recommending that the City Council consider, as part of the Consent
Agenda, accepting the quotes and awarding a construction contract to Traut Companies in the amount of
$52,168.00 for Test Well No. 5. If removed from the consent agenda, the recommended motion for this
action is as follows:
“Move to accept the quotes and award a Construction Contract to Traut Companies in the amount of
$52,168.00 for Test Well No. 5.”
ATTACHMENTS:
1. Engineer’s Letter of Recommendation and Quote Summary.
\\Ramsey4\h\LKELMN\N17118885\6_Plans-Specs\B_Bid Tabulation\118885 Quote Evaluation Letter.docx
June 20, 2019
Jack Griffin
City Engineer
3880 Laverne Ave N
Lake Elmo, MN 55042
RE: Lake Elmo Test Well No. 5
Lake Elmo, MN
Quote Evaluation
BMI Project Number: N17.118885
Dear Jack:
Quotes were received from all 3 contractors via email by 5:00 p.m. on Wednesday June 19, 2019 and are
summarized below:
BIDDER
DRILLING METHOD
C: TEST PUMPING
AND WATER
QUALITY TESTING
BID TOTALS
1.A:
MUD/AIR
ROTARY
1.B:
DUAL
ROTARY
MUD/AIR
ROTARY
(1.A + C)
DUAL
ROTARY
(1.B + C)
1
Traut
Companies $28,852.50 $42,065.00
$10,103.00
$38,955.50
$52,168.00
2
Bergerson
Caswell Inc. $43,325.00 No Bid
$14, 050.00
$57,375.00
No Bid
3
E.H. Renner &
Sons $60,755.00 No Bid
$23,500.00
$84,255.00
No Bid
The quote package did not contain any wording or ambiguities so as to force the Contractor to build in
additional contingencies. We feel that the quotes received were competitive and responsive and requoting
of the project would not provide any cost savings.
Traut Companies sent the lowest responsive and responsible quote for both drilling methods. It is
recommended to use the dual rotary method over the mud/air rotary method despite the cost difference
due to issues that arose with the mud/air rotary method on a similar project in nearby Lino Lakes. The
dual rotary method provides two advantages:
1. It more easily addresses difficult geology, eliminating the risk of having to restart the test well.
2. It affords an opportunity to sample the water quality at multiple levels in the aquifer.
We recommend that the contract be awarded to Traut Companies with the dual rotary method for the total
amount of $52,168.00.
Sincerely,
BOLTON & MENK, INC.
Steve Nelson, P.E.
Project Manager