Queenstown commissioners authorize award letter naming Lindstrom as preferred contractor for water project with conditions

Queenstown commissioners on Dec. 16 directed the town attorney to draft an award letter naming Lindstrom as the selected contractor for the town's water improvement project, contingent on USDA approval, scope reductions and a lowered contract price.

Town Attorney Lyndsey Ryan told commissioners the formal selection must be made now so the town can submit documents to the U.S. Department of Agriculture (USDA) by Dec. 17 to request an extension of USDA funds that otherwise expire at the end of December. "The award letter states if all stated contingencies are met, the project will be awarded to Lindstrom," Ryan said.

Ryan said the town's engineer, Rauch, Inc., recommended Lindstrom. Lindstrom was the low, responsive bidder at $8,290,530.00; the award letter will include three contingencies: USDA review and approval of Lindstrom as the qualified responsive bidder; Lindstrom's agreement to modify its submittal to reduce the scope of work; and a reduction of the contract price to $6,900,000 to match the reduced scope. Ryan said scope-reduction plans are subject to USDA review, which cannot occur until after the award letter is submitted.

Commissioners asked whether submitting the award letter would obligate the town to proceed. Ryan said the letter would condition any award on the listed contingencies and she agreed to add an additional contingency requiring a mutually agreeable contract be executed by both parties; commissioners agreed to include that contingency.

Commissioners also raised concerns about sewer capacity, potential future fee increases and the additional load on the wastewater treatment plant (WWTP) from users tied to the project; they said they were not concerned about drinking-water capacity. Ryan clarified that the award letter and current bid apply only to the water portions of the project and that sewer-related matters can be discussed later.

Commissioner Bryon Callahan moved that the town attorney draft the award letter naming Lindstrom as the selected bidder, including the additional contingency, and submit it to USDA; President Al Hardee seconded. The motion passed on a recorded vote of 2-0. Later in the meeting, Callahan moved to adjourn at 1:51 p.m.; Hardee seconded and that motion carried 2-0.

Next steps: the town attorney will finalize and send the award letter to USDA ahead of the Dec. 17 submission deadline; any formal contract and scope adjustments will depend on USDA approval and subsequent negotiations with Lindstrom.