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Council approves $20,000 final pay request for wastewater treatment project; warranty and reimbursement steps explained
Summary
Council approved final payment of $20,000 (retainage) for the wastewater treatment facility built under Contract 1; staff said two substantial-completion dates exist, the two-year warranty begins at substantial completion, five change orders equated to about 1% of the contract, and final documentation will be submitted to MPCA and PFA for reimbursement.
The Oronoco City Council approved a $20,000 final pay request for the wastewater treatment facility project, finishing work contracted in 2021.
City staff reported that construction achieved substantial and final completion, and that the project effectively has two milestone dates: the date the facility began operation and a later date after a delayed switch-gear installation. The meeting record notes the two‑year warranty starts at the substantial-completion date.
"We've been working with Stop Construction since the fall of 2021 to construct the wastewater treatment facility," a city staff member said. He told the council the contractor completed the work at the bid construction price plus five change orders that total about 1% of the contract. The final pay request covers retainage and will be followed by submission of documentation to the Minnesota Pollution Control Agency (MPCA) and the Public Facilities Authority (PFA) for final project closeout.
A councilmember moved to approve pay request number 35 for a final payment of $20,000; another councilmember seconded and the council approved the motion by voice vote.
Staff also reported strong effluent numbers — phosphorus levels well below typical limits — and noted one committee member resigned, creating an opening on the water and sewer committee.
