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Crown Point board approves nearly $59 million award for Southeast wastewater treatment plant
Summary
The Board of Public Works and Safety voted March 4 to award the base bid for the Southeast wastewater treatment plant to the apparent low bidder at $58,994,000, pending legal review and financing from the State Revolving Fund and the Indiana Finance Authority.
The Board of Public Works and Safety voted to award the base bid for the Southeast wastewater treatment plant to the apparent low bidder at $58,994,000, with the award conditioned on final legal review and successful financing through the State Revolving Fund (SRF) and the Indiana Finance Authority.
Engineering staff presented two responsive bids for the project — the low bid at approximately $58.9 million and a second bid at about $62.6 million — and described discussions with both contractors to explain differences from the engineer’s pre-bid estimate of roughly $51 million. ‘‘We vetted those construction bids with each contractor, discussed the differential from the engineer’s estimate with the contractor’s bid. We’re comfortable with the contractor’s explanation,’’ engineering staff said.
Why it matters: the plant is a central element of Crown Point City’s multi-phase wastewater improvement plan. Staff told the board the authority to borrow through SRF and the Indiana Finance Authority is in place and the city’s bond ordinance provides sufficient capacity to complete the final phase of work.
The board debated whether to allow the low bidder to order equipment before loan closing. Staff recommended issuing a tentative notice of award that permits the contractor, at its own risk, to pre-order long-lead items that may have expiration dates on quotes; the board approved that practice as part of the motion.
Engineering said material price volatility — particularly for large-diameter piping subject to American iron and steel requirements — and local labor costs contributed to the bid-estimate difference. Board members asked about the contractor’s prior experience; staff noted the contractor completed recent local treatment plant improvements and is installing a sequencing batch reactor at a project in Palestine, Indiana.
The award was made by voice vote after a motion to approve the recommendation as presented. The board recorded no opposition. The city will proceed with final legal review and SRF financing steps before issuing a formal notice of award and notice to proceed.
Action taken: board approved awarding the base bid and authorized issuance of a tentative notice of award pending legal and financing confirmation.
