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Council awards $657,200 contract for rehab of Water Plant No. 1 storage tanks, notes budget shortfall
Summary
Lufkin City Council awarded a contract to O and J Coatings (recorded in the motion as 'Owen J. Coatings') to rehabilitate two 1,000,000-gallon ground storage tanks at Water Plant No. 1 for $657,200, exceeding the originally budgeted $400,000; staff said funds in Fund 380 will cover the difference.
The Lufkin City Council approved awarding a contract for rehabilitation of two ground storage tanks at Water Plant No. 1 after staff reported bids exceeded the original budget.
Kevin told the council the project includes sandblasting, structural steel repairs and replacement of appurtenances, plus recoating interior and exterior surfaces of each tank. "Each of the tanks is 1,000,000 gallons," Kevin said. He said the original budget was $200,000 apiece (a total of $400,000). The low bid was recorded in the bid tabulation as O and J Coatings out of Hearst, Texas, with an amount of $657,200. Staff recommended awarding the contract to the low bidder; Kevin said funds in Fund 380 will cover the difference between the low bid and the originally budgeted amount.
Kevin moved approval of the award; a council member seconded and the motion carried by voice vote. Later in the record a council member asked for the name to be placed in the record, and Kevin restated the motion as an award to "Owen J. Coatings." The transcript contains both forms of the contractor name; council did not record detailed roll-call votes.
The item passed with the council noting the project is over the originally planned budget and that staff has the cash in Fund 380 to cover the increase. The transcript does not show a contract execution date or timeline for completion.
