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Gregory approves Hansen engineering contract for $614,750 wastewater grant project; engineering fee capped at $85,000
Summary
Council approved a Hansen Engineering contract tied to a $614,750 grant (city match $37,500) for wastewater system improvements; GrantWorks clarified the engineering fee is $85,000 (11.3% of project), grant fee caps and 25% cumulative change-order limits; council emphasized meeting reporting deadlines to preserve future grant eligibility.
Council voted to approve a contract with Hansen Engineering for wastewater system improvements tied to a $614,750 grant, with the city providing a $37,500 match. Jessica Johnstone of GrantWorks explained the engineering fee is set at $85,000 (about 11.3% of the grant-funded budget) and said engineering fees on these grants are capped; any amounts above the cap would have to be paid from local funds.
Council members pressed for clarity on fee caps, change-order limits (GrantWorks noted a 25% cumulative federal limit on change orders), project schedule and reporting deadlines. Staff warned that missed reporting deadlines can jeopardize future grant eligibility; council approved the motion to accept the contract so the city can meet the immediate reporting requirements and allow engineers to begin design and environmental work.
