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Lake Elmo Council accepts $1.57 million low bid for 2026 street and utility project in Lake Elmo Heights
Summary
The Lake Elmo City Council voted to accept low bids and award a $1,570,583.60 construction contract for the 2026 Street and utility improvements in the Lake Elmo Heights neighborhood and separately authorized a materials-testing contract not to exceed $30,000. Council discussed assessment recalculations and stormwater funding.
The Lake Elmo City Council voted Tuesday to accept low bids and award a $1,570,583.60 construction contract for the 2026 Street and utility improvements in the Lake Elmo Heights neighborhood.
City Engineer Mister Stanley told the council the project calls for full-depth reclamation of pavements, new concrete curb and gutter, minor drainage repairs, and limited no-parking restrictions at the ends of cul-de-sacs. He said the project received eight bids and that the apparent low responsive bid came in ‘‘about $1,570,000,’’ below an engineer’s estimate of roughly $1,710,000. Stanley also said the total estimated project cost was revised from about $2,390,000 to $2,150,000 and that preliminary assessments will be recalculated at project completion.
Council approved a resolution to accept bids and award the construction contract to the low bidder and then separately authorized the city administrator to enter a materials-testing contract for the construction phase not to exceed $30,000; both measures passed by voice vote.
Council discussion touched on financing and the allocation of stormwater costs. Council member Dragosic urged that ‘‘the very large amount of stormwater improvements on this project … should be paid for from the stormwater utility’’ rather than through general obligation bonds or property-tax-funded special assessments, and asked staff to address that allocation when the financing details come back to council.
Stanley said the city will perform a full reassessment calculation at the end of the project and that public water mains serving the neighborhood — installed roughly 20 years ago — are in good condition, with no public sanitary-sewer extension proposed for the work.
The council’s action follows staff recommendations and the formal bid-opening process; council recorded the motions and approved both contracts by voice vote. The city will return to the council with project-financing details and final assessment calculations as the schedule and contract administration proceed.
