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Sterling awards $1.24 million water contract for KMW expansion
Summary
The Sterling City Commission voted unanimously April 6 to award a $1,244,801 construction contract to Kansas Concrete for water improvements tied to the KMW expansion, using temporary note proceeds and a $750,000 CDBG economic development grant toward the work.
The Sterling City Commission on April 6 awarded a $1,244,801 contract to Kansas Concrete to build water improvements required for the KMW expansion project.
City Manager Ian Hutcheson told commissioners that BG Consultants prepared the design, solicited bids and recommended Kansas Concrete as the lowest responsible bidder after four proposals were opened March 12, 2026. The engineer's estimate of probable construction cost was $1,754,770; the winning bid was $1,244,801, $281,299 below the City's budgeted construction cost.
Hutcheson said financing for the KMW-related infrastructure will come from proceeds of the Series 2025 Temporary Improvement Note and that the City plans to issue a permanent general-obligation bond in 2028 aligned to final project costs. The City also received a $750,000 Community Development Block Grant (CDBG) Economic Development award from the Kansas Department of Commerce for the project, he said.
"BG recommends the contract be awarded to the lowest responsible bidder, Kansas Concrete," Hutcheson said, and the City's staff and BG had spoken with recent clients and company representatives to vet the firm.
Commissioner Richard Jones moved and Commissioner Todd Rowland seconded to award the contract; the motion carried 5-0. In a separate, subsequent motion the Commission authorized staff to process all contract documents and proceed with construction; that motion also passed 5-0.
The development agreement signed March 28, 2024, among the City, KMW Ltd. and Rice County assigns certain onsite costs (Part B) to KMW; Hutcheson noted the contract prices for both the water and wastewater projects are divided into Part A and Part B, with KMW responsible for Part B work that extends onto the site.
The Commission discussed bidder experience, bonding and change-order procedures before voting. Hutcheson warned that rebidding would likely delay the schedule and could result in higher bids because of materials-cost increases.
Next steps include final contract execution, preconstruction coordination with BG Consultants and the contractor, and scheduling of construction; the Commission provided authorization for staff to move forward.
