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City Council Regular Meeting Minutes September 13, 2016 Page 5 I Settlement Agreement with the United States Army to Resolve Claims for 1,4 Dioxane Dioxane 2 Contamination Emanating from the Twin Cities Army Ammunition Plant. Councilmember Jenson noted this action was identified in February /March of last year. Since that time a team of the City Manager, City Engineer, City Attorney and the Army came up with a solution. 8 Councilmember Stille commended the City Manager and City Engineer for negotiating with the 9 Army, noting residents have been very understanding and should also be commended. 10 11 Motion carried 4 -0 12 13 B. Resolution 16 -067 a Resolution Awarding a Bid for the Advanced Oxidation Process 14 Water Treatment Plant and Appurtenant Work including the Rehabilitation of the Ground 15 Storage Reservoir. 16 17 City Engineer Todd Hubmer also commended Finance Director Rueckert for pulling together all 18 the numbers for the negotiations. 19 20 City Engineer Hubmer reviewed bids were received on August 17, 2016 and were opened and 21 read aloud. Three bids were received. The base bid amounts ranged from $6,267,000 to 22 $6,385,900 and the Engineer's Construction Cost Estimate was $7,060,000 without a 23 contingency and $8,472,000 with a 20% contingency included. Included in the Bid Form were 24 seven bid options as follows: 25 IA Rehabilitate the 2 MG ground storage reservoir with a green roof 26 1B Rehabilitate the 2MG ground storage reservoir with a painted roof in lieu of a green roof 27 2 Provide a pressure transducer inside existing ground storage reservoir valve vault 28 3 Provide a pressure transducer /manhole for the water tower 29 4 Provide fire hydrant on the south side of the existing GAC building 30 5 Provide canopies on existing WTP buildings to match canopies on AOP building 31 6 Investigate, seal, and abandon Well No. 2 inside the booster station per MDH 32 requirements 33 34 City Engineer Hubmer summarized what 1,4 Dioxane is. He indicated the City well locations on 35 a map and provided a graph of the dioxane sampling results. The options to address Dioxane 36 include: Option 1 — Blend City wells; Option 2 — Construct deeper Mount -Simon Hinckley wells; 37 Option 3 — Purchase water from Minneapolis; Option 4 — Purchase water from St. Paul Regional 38 Water Services; or, Option 5 — Implement treatment for Dioxane. Mr. Hubmer stated Option 5 39 was selected by Council and recommended by City Staff. He reviewed the results of utilizing 40 Option 5 and provided a drawing of the treatment plant expansion. 41 42 City Engineer Hubmer summarized the staff recommendation to accept Bid Options 1 B, 2, 3, 43 and 6. If these options are selected the low bidder is Gridor Construction, Inc. who meets the 44 Minimum Contractor Qualifications that were specified for this project. Gridor Construction's 45 primary business focus is the construction of water and wastewater treatment facilities and staff 46 has previous experience working with Gridor Construction. Gridor Construction's base bid plus