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Contractor issues left 15% of Onalaska sidewalk project unfinished; replacement work completed this year
Summary
The board reviewed the status of a 2024 miscellaneous-concrete contract after BMD Concrete Innovations failed to finish the job. City staff solicited local contractors to complete most remaining work; about 85% of the project was completed and roughly 15% will be carried forward to 2025.
City staff told the Board of Public Works and Utilities that BMD Concrete Innovations, the prime contractor for the 2024 miscellaneous-concrete project, did not complete the contract by its October 2024 completion date and failed to return to finish scheduled work.
Kevin Schubert, city public-works staff, said the city received three local quotes and split the remaining work among local firms Madera Concrete, Chippewa Concrete Service and Feller & Hammer. Staff said those firms completed roughly 85% of the remaining scope and about 15% of the work will be carried into the 2025 bid cycle.
Schubert described BMD as a startup contractor that initially showed bonding capacity and equipment. He said staff contacted references at other municipalities listed by the contractor and had approved the firm on that basis; in practice, Schubert said, the contractor “overbid what they could produce” and then lost personnel, which left them unable to finish. “They kept thinking they were gonna make it back here, but they just never did,” Schubert said.
Board members asked whether the city had paid BMD only for work completed and whether the city would pursue the original contractor for the cost difference the city paid replacement contractors. Schubert said the city paid only for work completed and that retainage was withheld; the city had paid the concrete supplier for materials. He said the additional cost to finish the work was higher but not exorbitant and remained within the overall budget. On whether to pursue legal or bonding claims, staff said the likely recovery could be smaller than the cost of pursuing claims and that they are unlikely to rehire the contractor for future city work.
Alder Diane (first name used in the transcript) told the board she had constituents on Troy Street who had expected work to be finished in 2024 and were disappointed by the delay; she said staff’s prompt re-bidding and use of local contractors was appreciated. The board confirmed that the report was informational and that no formal action was required to approve the replacement work because payments were within budget and had been processed through the estimate sheet.
No formal motion or vote was required; the item was presented as a project-status update.
