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Item No: 7F Meeting Date: March 12, 2012 Type of Business: Council Business Administrator Review: ____ City of Mounds View Staff Report To: Honorable Mayor and City Council From: Nick DeBar, Public Works Director Item Title/Subject: Resolution 7915, Awarding a Construction Contract to Odland Protective Coatings, Inc. for 2012 Water Tower Reconditioning Project Background: The City’s 500,000-gallon elevated, fluted-column water tower was constructed in 1992, and was later inspected and had spot repairs performed in 2003. Properly installed paint coatings should provide 15 to 20 years of service life. The tower is now 20 years old and in need of a refurbishing. In 2009, the City hired KLM Engineering, Inc. of Lake Elmo, Minnesota, to inspect the entire water tower and prepare an inspection report. Based on the inspection data, the structural repairs and coating replacement was recommended to be completed within one to three years (2010-2012). The estimated project cost was $523,500 at that time. Additional costs may be incurred with antenna work. In February 2011, the City hired KLM to prepare technical specifications and drawings for bidding and construction documents for a 2011 construction schedule. The scope of work involved collaborating with the City’s engineering staff to prepare the plans and specifications jointly. However, due to unfavorable weather and an unusually large amount of other municipal water tower reconditioning projects last summer, coupled with potential conflicts with Festival in the Park, the project was postponed and rescheduled for a 2012 construction schedule. The City Council approved the bidding documents and authorized advertisement for bids for the project on January 23, 2012. An ad for bid was published in the February 2 and 9, 2012 editions of the Sun Focus, and in the February 2, 2012 edition of Finance and Commerce. Discussion: A mandatory pre-bid meeting was held on February 28, 2012 in which three qualified contractors attended. A public bid opening was held on March 1, 2012 for the project, and bids were received from all three contractors who attended the mandatory pre-bid meeting. The bid proposals contained two bid schedules; one for an early season project (May 28- July 30) and one for a late season project (August 13-October 15). These schedules were included since there are very few contractors qualified to perform this work, and to not exclude bidders who may already have work scheduled during one of these timeframes. There were two bids received for the early season schedule (Schedule A) for $559,400 and $683,500, and three bids for the late season schedule (Schedule B) ranging from $449,800 to $561,500 (see attached bid tabulation). The lowest bid of $449,800 was submitted by Odland Protective Coatings, Inc. of Rockford, Minnesota (Schedule B), and the second lowest bid of $559,400 was submitted by TMI Coatings, Inc. of St. Paul (Schedule A). Odland did not bid the early season project due to current workload commitments.