Council approves $1.51 million water‑meter replacement contract after local plumber raises subcontracting concerns

The Decorah City Council approved the project plans and awarded the contract to Metering and Technology Solutions Inc. of Burnsville, Minnesota, to replace city water meters for $1,508,899.04 after a public hearing and limited public comment.

Kyle Marachek, owner of Marachek Plumbing, Heating and Electric in Decorah, told the council he had been asked by a meter manufacturer to submit pricing but was told the prime bidder would not accept additional subcontractor pricing. "I was informed that their bid would not be accepted if they submitted, due to the fact of what Travis had mentioned about the integrated valve," Marachek said, adding he had reached out to the prime and asked to be considered as a subcontractor.

Travis, the city manager, and other staff explained the project specifications call for Badger brand meters with cellular reading and integrated shutoff valves; that requirement narrowed potential suppliers; and Iowa Code chapter 26 requires the city to award the contract to the lowest responsive prime bidder, not to pick or reject a prime's subcontractors. Staff said the engineer's estimate was approximately $1,600,000 and the single bid was $1,508,899.04 — about 5.7% below the estimate.

The project specifications included integrated shutoff features for a limited subset of meters (30 units were specified for integrated shutoff in the bid) to allow remote shutoff on units that currently lack separate internal shutoffs. Staff described the integrated valve as a substantial reason for specifying the Badger equipment.

City staff advised council that while the city can request that the prime consider a local subcontractor, the municipal contract is with the prime bidder only and the city cannot require a prime to change its subcontractors. The council approved the plans and specifications and later voted to award the contract to Metering and Technology Solutions. Councilmembers indicated they would ask the prime to consider local subcontractors where feasible.

Why it matters: Replacing the city's meters with cellular read and integrated‑valve meters will change how utility service is managed (including remote shutoff capability), affect local plumbing work opportunities, and represents a multi‑hundred‑thousand dollar capital outlay covered by the city.

Votes and details: The council approved the plans and specifications and then awarded the contract. The engineer's estimate: $1,600,000 (approx.). Received bid: $1,508,899.04. The council instructed staff to request but cannot require the prime contractor to use local subcontractors.