City Council Approves $421K Alliance Electrical Bid for Wastewater Facility Upgrade

The McGregor City Council convened on July 14, 2025, to discuss several key agenda items, primarily focused on the approval of a Community Development Block Grant (CDBG) project aimed at upgrading the city's wastewater treatment facility.

The meeting commenced with a review of bids received for the electrical work associated with the project. Alliance Electrical Roof LLC submitted the lowest bid of $421,360, with an additional alternate bid of $156,189.60. City officials noted that while the bid was slightly above the engineer's estimate of $525,000, Alliance's availability to start the project soon was a significant factor in their selection. The council discussed the disparity between the bids, attributing it to the other contractor's existing commitments, which limited their availability.

Before proceeding with the vote, city officials highlighted the financial implications of awarding the contract. The project is supported by a $400,000 grant, with an additional $50,000 match from the city. However, the council would need to allocate an extra $127,449.60 from utility funds to cover increased construction costs, bringing the total project cost to approximately $577,549.60.

After clarifying the financial details, the council voted unanimously to approve the base bid and the additive alternate from Alliance Electrical. Following this, they also approved the allocation of the additional local funds necessary to complete the project.

The meeting continued with a presentation by Shawna Kinolli from GrantWorks regarding Section 3 goals related to the CDBG program. This presentation emphasized the importance of providing business opportunities to low-income individuals and ensuring that Section 3 businesses are informed about potential contracting opportunities. Kinolli explained that the city would track employment data related to the project to comply with federal regulations.

In conclusion, the council's decisions during this meeting reflect a commitment to improving local infrastructure while ensuring compliance with federal grant requirements. The next steps will involve the execution of the approved contracts and the ongoing management of the project to meet the outlined goals.