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Porterville Council Approves $4.78M Budget to Equip Well No. 34 after Single Bid Exceeds Estimate
Summary
Council authorized award of phase‑2 work to equip Well No. 34 despite a low bid about 33.6% above the engineer's estimate; staff will seek additional state funding amendments while using available water‑replacement funds to proceed.
The Porterville City Council voted 5-0 to proceed with phase 2 of Well No. 34 — the equipping and electrical work necessary to put the municipal well into service — after staff recommended accepting a single bid that was substantially higher than the engineer’s estimate.
Director Javier Sanchez told the council the engineers’ probable cost estimate for the equipping package was $2,892,450, while the low bid from HPS Mechanical of Bakersfield totaled $3,863,000 — roughly 33.6% higher than the estimate. With a negotiated monopole purchase for the SCADA system at $147,435.13, and added contingency and construction‑management allowances, staff presented a total project budget of $4,783,035.13.
“That it was likely a combination of the current construction market, the specialty nature of the equipment, and Buy American requirements that led to the bid results,” Sanchez said, and urged that rebidding would likely not yield more favorable bids and would add delays.
Staff told the council an existing funding agreement with the State Water Resources Control Board (originally approved in 2021) will be amended to cover the additional cost. While the board has acknowledged similar bid results in other projects, staff said an updated reimbursement agreement is needed and that $1,651,666.13 in water replacement funds were available in the interim to begin work while negotiating with the State Water Board.
Council members pressed staff on alternatives, timing and the scope of work. City staff and a project manager said phase 1 had already completed drilling and casing; phase 2 equips the well with a 250‑horsepower pump, motor, above‑ground discharge piping, updated SCADA, electrical work and a chlorine generation system for disinfection.
Supporters said the well is the final component needed to complete East Porterville consolidation and to increase local pumping capacity after drought impacts. Council voted 5-0 to award phase 2 and direct staff to finalize the funding agreement amendment.
Staff said equipping the well will take roughly 18 months, and that rebidding now could further delay delivery and risk even higher bids.
Clarifying details provided in staff reports included the engineers’ estimate ($2,892,450), the low bid ($3,863,000), negotiated monopole cost ($147,435.13), and a total recommended project budget of $4,783,035.13 including contingencies and construction management.
