Council awards Frontier Heights Park Phase II contract to low bidder despite experience questions

The Lake Stevens City Council on Sept. 9 approved awarding the Frontier Heights Park Phase II construction contract to the lowest responsive bidder, Sunset Contracting, after staff review of references and bonding. Public‑works staff said the low bid was substantially below other bids and roughly $600,000 under the city’s engineer’s estimate. Staff reported they had not previously worked with the company but contacted references and the firm’s bonding agent. Staff said they verified the contractor was performing a parks project for another nearby city and that bonding confirmed support for the award. The city’s project manager for this contract said all required paperwork, federal and state checks, and submittals were provided and verified. Eric Mangold, addressing the council, noted the bid range spanned about $1.38 million to $4.79 million and that Sunset’s lower bid prompted extra diligence. He said the difference in one line item — the storm detention tank system — was a particular point of concern; staff described the tank system as a relatively new “milk‑crate” style detention approach and said the contractor assured staff it would stand by its numbers and perform the work. Staff explained the project schedule is 40 working days (approximately two months) under WSDOT standard specifications; staff said weather days or change orders could be granted if warranted, and the city would manage any additional time requirements. The project is primarily grant‑funded: staff said the city has three Recreation and Conservation Office grants totaling $1,159,000 and expects the city share to be about $200,000. Council members pressed staff on quality control, schedule risk and where a low bidder would “take the hit.” Staff answered they control materials and specifications via submittals and that the contractor’s profit margin or means and methods are where cost savings would occur. The project manager on the record for the city said he would serve as the project manager and that staff would pursue due diligence and contract enforcement. The council made a motion to award and to have Mayor Mary Gailey sign the contract with Sunset Contracting; the motion passed on a voice vote with no recorded opposition.