PUC approves final payment and change order for Mindview waterline; contractor identity inconsistent in record

The Hibbing Public Utilities Commission on Aug. 12 approved a final pay application and change order for the Mindview water-main extension totaling $184,074. Staff said the project installed a new 12-inch water main to supply the city’s pump house and enable future development. Bolton & Menk’s representative explained crews encountered large boulders during construction, which required wider excavations, additional pavement removal and pavement restoration that accounted for most of the cost increase; the presentation also identified about $11,000 in rock removal costs. "The boulders required them to widen their excavation from what was originally anticipated… the bulk of the cost increase… is associated or attributed to that additional pavement restoration," Bolton & Menk’s representative said. The meeting packet identified the contractor and final-pay recipient as Pagalas Incorporated (contract awardee referenced in staff presentation). However, at the motion to approve the pay application the audio record says the motion was to approve payment to "McGolis and Sons." The record therefore contains an inconsistency between the packet and the spoken motion; the commission approved the pay application and change order by voice vote. Why this matters: The project extends distribution capacity and supports future development; unexpected subsurface conditions increased restoration costs. The commission approved the additional payment to complete the work and close the contract. Next steps: Staff will reconcile contract documentation and ensure the correct contractor name appears in the official minutes and payment records.