Aztec commission tables $2.4 million South Aztec water tank bid pending steel vs. concrete cost review

The Aztec City Commission on March 10 tabled a $2.408 million bid award for the South Aztec water tank replacement project after commissioners asked staff to provide a cost comparison showing the trade-offs between the concrete tank included in the bid and a steel tank alternative.

During discussion, a commissioner asked why the design specified a concrete tank rather than steel and requested the project timeline and longevity figures. A staff member explained that concrete was selected for perceived longevity and that the city already has a nearby concrete tank at the airport that has performed well. The staff member said the design in the current bid is an “off the shelf” concrete tank and that the engineer can produce a probable-cost estimate for a steel alternative so the commission can compare options.

Commissioners raised fiscal concerns about grant timing and contingencies. The staff summary and public comments said the project is tied to a $2,500,000 grant; the bid shown in the meeting packet was roughly $2,408,000, leaving a small contractual gap before change orders. A commissioner asked how change orders exceeding the grant would be covered; staff said the city would be responsible for costs beyond grant funding and that typical contingency planning might be in the 5% range but no firm percentage was provided in the packet.

After questions about schedule, funding reversion dates, and vendor lead times, a commissioner moved to amend the award motion and table the bid until staff can provide a steel-tank estimate from the city engineer and confirm timelines related to the grant reversion. The motion to table carried by voice vote.

Next steps: staff said they will ask the engineer for a steel-tank estimate, confirm the grant reversion date cited in the packet (discussed as 2028), and return with updated cost and schedule information at an upcoming meeting.