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Board of Public Works approves low bid for Yellowstone Drive watermain extension pending budget resolution
Summary
The Board approved Earth, Inc.'s low bid of $135,992.25 to extend about 200 feet of water main to serve a new facility on Yellowstone Drive, with execution of the contract contingent on a forthcoming budget resolution to cover a shortfall in TID 12.
The Board of Public Works on June 17 approved the low bid from Earth, Inc., of Arpin, Wisconsin, for a water main extension on Yellowstone Drive and authorized execution of a contract pending approval of a budget resolution to cover a funding shortfall.
Acting public works official Josh Marwitz told the board the city is required by a development agreement to extend a water main roughly 200 feet to the east and install a sanitary sewer lateral to serve a new facility on Yellowstone Drive. "Bids were open last week, Wednesday. One bid was received from Earth Incorporated out of Arpin in the amount of $135,992.25," Marwitz said. "I'm asking for approval of the low bid from Earth, Inc. of Arpin, Wisconsin in the amount of $135,992.25 and to authorize execution of a contract pending approval of the necessary budget resolution."
The project sits in Tax Increment District 12 (TID 12); Marwitz said most funding will come from that TID. He provided a project budget breakdown and said that if engineering and contingency are each added at a general 10 percent, the project estimate rises to about $163,000. An earlier engineer's estimate completed before bidding was "just under $120,000," Marwitz said.
Board member Mr. Reggo asked about the roughly $98,000 difference between the project estimate and the amount previously planned. Marwitz said the shortfall "stems from a few things when TID 12 was created" and described the original budgeting as forecasting infrastructure costs. He also said he had spoken with the finance director, who is preparing a memo to present to council next Tuesday identifying the funding source for the shortfall. Marwitz said Marshfield Utilities has a program that will pay the difference if the main is upsized to larger than 8 inches; in this case that contribution would be about $5,000.
The board approved the motion; the contract execution is conditioned on council approval of the budget resolution to address the shortfall. The motion carried on an affirmative voice vote.
The finance director's memo expected at next Tuesday's council meeting is to specify which fund will cover the remaining cost; the board did not identify a final funding source at the meeting. No specific vote tally was recorded in the meeting transcript.
