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La Cygne council rescinds sewer lift station award and directs rebid after USDA delay
Summary
Council voted unanimously to rescind an Oct. 1, 2025 award to Fat Boy Electric after the bidder withdrew and to reject and rebid the sewer lift station project; BG Consultants will reissue bid documents and staff will notify USDA.
The La Cygne City Council voted unanimously on Jan. 21 to rescind its prior award of the sewer lift station improvement project to Fat Boy Electric and to reject all bids, citing a bidder withdrawal and bid-bond expirations after a delay from USDA.
Jarrod Mann of BG Consultants told the council that a government shutdown delayed USDA approval and that Fat Boy Electric rescinded its bid when generator prices rose and their bid bond expired. Mann said BG Consultants will prepare updated project documents and a bidding schedule for re-advertising. "We will review and update the PER prior to advertising for bids," Mann said.
Council Member Jerome Mitzner moved to rescind the Oct. 1 award and to exercise the council’s rights under the bid documents to reject all bids; both motions passed 5-0. The council also authorized BG Consultants to reissue bid documents and directed staff to send a letter to USDA documenting the city's actions and rationale.
The decision follows procurement constraints: bid bonds are only valid 60 days and rising generator costs had altered contractors’ pricing. The council discussion included confirmation that the project engineering report (PER) will be updated to reflect current generator pricing before the next solicitation.
