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Carter Lake council awards $492,000 water valve-replacement contract to Backland Plumbing

Carter Lake City Council · July 15, 2024
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Summary

The council voted to award a $492,000 contract for a water valve- and hydrant-replacement project to Backland Plumbing, citing the contractor’s local experience and crew capacity despite not being the lowest bidder; the city attorney cited Iowa Code §26.9 and asked for written justification for choosing a higher-priced but ‘responsible’ bidder.

Carter Lake City Council voted to award the contract for the city’s water valve-replacement and hydrant-replacement project to Backland Plumbing at a quoted price of $492,000.

City staff briefed the council on four bids and recommended Backland based on their local experience and multiple crews, which staff said would reduce shutdowns and respond quickly to issues. “Backland price was $492,000,” Elizabeth, a city staff member, told the council. The contract’s completion date in the bid documents was October 31. Councilmembers said they expected to negotiate scope and materials with the winning contractor after selection.

The city attorney told the council that procurement statutes apply: “Iowa Code section 26.9 applies here,” he said, noting the law requires awarding public-improvement contracts to the lowest responsive, responsible bidder unless the council documents why a higher-priced bidder is considered more responsible. Councilmembers discussed the need to state the reasons on the record and in the motion if they depart from the lowest price.

Councilmember Aaron moved to award the contract to Backland Plumbing, with Victor seconding; the motion passed on roll call. Council discussion emphasized Backland’s familiarity with the city’s system and the advantage of multiple crews for keeping planned shutdowns short. Staff said portions of the project could be negotiated after award if the council wanted to add or remove hot-tap valves or materials.

On project funding, staff said the city will use a mix of American Rescue Plan Act (ARPA) funds (a federal allocation to the city of about $540,000 and a county ARPA portion of roughly $200,000) and city reserves or water-savings accounts for remaining costs. Staff committed to providing a full project-cost breakdown and to documenting why Backland was judged the lowest responsible option under state law.

The council’s next steps: staff will finalize contract language and document the council’s findings under Iowa Code §26.9; construction work is scheduled per the bid timeline with the October 31 completion target.