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engineering planning environmental construction 701 Xenia Avenue South Suite 300 Minneapolis, MN 55416 Tel: 763-541-4800 Fax: 763-541-1700 St. Cloud  Minneapolis  St. Paul Equal Opportunity Employer wsbeng.com F:\Council Meetings\2013\06252013\LTR-hmcc-061313.docx June 13, 2013 Honorable Mayor, City Council and Staff c/o Mark Casey City of St. Anthony Village 3301 Silver Lake Road NE St. Anthony Village, MN 55418-1603 Re: Rejection of Bids and Re-Authorize Advertisement for Bids Silver Lake Storm Water Treatment System St. Anthony Village, MN WSB Project No. 1626-76 Dear Honorable Mayor, City Council, and Staff: The City of St. Anthony Village opened bids on June 13, 2013 for the Silver Lake Storm Water Treatment System. The City received a total of four bids with the lowest bid being nearly $430,000 more than engineer's estimate. It is our recommendation that the Council considers rejecting these bids and authorizes the project to be rebid on Wednesday, July 31, 2013. Based on conversations with contractors and a review of the bids, we anticipate that the project can be built for considerably less than the bids currently received. The project plans have been adjusted based on these comments. A pre-bid meeting with contractors to describe the project, discuss building options, and answer their question will be held in July. We have discussed the rebid of the project with our partners at RCWD and MPCA. The RCWD has authorized an extension of their grant through 2014. The MPCA is bound by legislative language that cannot extend our grant beyond June 30, 2013. However, on July 1, 2013 the new grant application will be available, and we will resubmit for 2014 dollars on July 31, 2013. The decision for these grant funds will be made in August and published in September. Money will be immediately available for construction. Based on our conversations with MPCA staff and the amount of funds currently available, this project has a great potential to be funded again. However, there is a chance that this project could rank lower than incoming projects and fall below the fundable rankings. In this instance, we would need to lobby the Public Facilities Authority (PFA) to move this project up on the basis that it has been bid and will be built immediately. The PFA is required to spend the money they have been allocated and the readiness of this project along with the relatively low cost makes it very attractive to meet this obligation.