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Item No. 9C Meeting Date: November 22, 2004 Type of Business: CA WK: Work Session; PH: Public Hearing; CA: Consent Agenda; CB: Council Business City Administrator Review _______ City of Mounds View Staff Report To: Honorable Mayor and City Council From: Greg Lee, Director of Public Works Item Title/Subject: Resolution 6398 Approving a Contract Award for the 2004 Well Rehabilitation Project Background: The City of Mounds View has a total of six wells, with one of the wells (well number 4) out of commission since 1992 due to poor water quality. To properly maintain the wells, the pumps and other equipment must be periodically evaluated, inspected, and repaired or replaced. The City established a maintenance program whereby the wells would be evaluated and rehabilitated on a seven-year cycle. A longer period of eleven years was tried; however, it was discovered that this period was too long to identify minor problems and correct them before they became major replacements. Discussion: Wells Number 3 and 5 were last rehabilitated in 1997. Based on the seven-year evaluation schedule, they are therefore due for rehabilitation this year. Well Number 6 was last done in 1999 and is scheduled for rehabilitation in 2006. The 2004 adopted budget has a total of $60,000 for well inspection and preventative maintenance. Typically, the amount needed to rehabilitate each well is $30,000. Past practice has been to rehabilitate two wells per contract. Economy of scale is realized due to the reduced cost of administrating two separate projects. A larger project also improves the possibility of receiving favorable bids. Given this, Staff recommends that two wells be rehabilitated in 2004. To fund this well rehabilitation project, the adopted 2004 Budget has $60,000 allotted in the Enterprise Fund, under the water infrastructure and equipment department, system maintenance account (account 700-4823-5160).