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Council awards Ammon Road water tank and pump station contract; bids come in above engineer estimate
Summary
The council awarded a construction contract for the Ammon Road ground storage tank and pump station project after bids exceeded the engineer’s estimates. The base bid accepted was about $8.9 million; the engineer’s estimate had been $7.7 million. Funding will come from water impact fees; staff said no debt issuance is required.
The Boerne City Council on June 24 authorized award of the construction contract for the Ammon Road ground storage tank and pump station project to the apparent low bidder and approved a not-to-exceed authority for change orders. The motion passed 5-0.
Utilities Director Mike Mann presented the bid results and project purpose: the project provides a GBRA delivery point on Ammon Road north of Fair Oaks and a high-service pump station (approximately 3,604 gallons per minute capacity) to better serve the eastern portion of the city distribution system for firefighting capacity and redundancy. The engineer’s estimate of probable cost was about $7.7 million; seven bids were received and the low base bid reported on the agenda was $8,907,229. Staff noted bid spreads ranged from $8.9 million to about $10.5 million and identified electrical and site-preparation costs as major drivers for the bids exceeding the estimate.
Andrew Wilkinson, utilities engineer, told council the largest discrepancy from the engineer’s estimate came in electrical improvements and internal distribution associated with high-horsepower pumps; staff also cited heavy statewide demand for electrical contractors that can serve such projects. The project will include a decorative rock exterior on the pump-station building facing Ammon Road and a security fence; staff said design choices could be altered but the incremental savings were estimated to be modest compared with the overall project cost.
Council discussion touched on right-of-way smoothing and coordination with adjacent jurisdictions to adjust intersection radii and on the city’s funding approach. City staff said the project will be funded from accumulated water impact fees and that no debt issuance is necessary to pay the construction costs.
Councilman Scott moved to receive and approve the resolution awarding the contract (resolution 2025-R41); Councilman Willison seconded. The motion passed 5-0.
Why it matters: The project increases firefighting flow capacity and provides redundancy for the city’s water deliveries. The bids arriving above the engineer’s estimate and the identified electrical-contractor cost pressure are relevant for budgeting and may affect future project timelines and specifications.
