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Regular City Council Meeting Monday,April 16,2012 Page 8 12. Business Items (Action Items) 13. Business Items- Presentations/Discussions a. Discuss Bids and Timing for Fire Station Project Bid Package#1 Chief O'Neill and other members of project team were present to discuss results of Bid Package #1 (site/earth work, utilities, building foundation, and paving); and to provide an update on the timing of the project as it relates to pending liti- gation. The team presented an overview summary of the base bid and alternates, with final bids coming in at 20%under budget, and twenty-one (21) bids received for the three (3) contracts. The team advised that they would make recommenda- tions to the City Council at their meeting next Monday, following their review of the apparent low bids; with Bid Package #2 anticipated to come out within the next week or so. Discussion included the sunset date on bids ninety (90) days from the bid date of April 10, 2012; timing of contracts related to pending litigation resolution; preference for two (2) alternates (training plaza behind the building and con- crete in back of the station off Woodhill versus blacktop); bid review process and meetings with low bid contractors to ensure they have completely repre- sented the work flow; and the favorable number of bids received. Schedule with Appeals Court Scenario Chief O'Neill provided a bench handout, attached hereto and made a part here- of, outlining a revised schedule adjusted for the litigation issues into August of 2012. If the litigation resulted in appeal to the Minnesota Supreme Court, Chief O'Neill advised that "Plan B" scenario would need to be implemented, with the schedule adjusted in the future accordingly. Chief O'Neill addressed the project timing based on legal ramifications of the litigation as well as how long the bids were viable, with timing of the litigation already having affected mobilization of the site, since the building was antici- pated for enclosure by November 30, 2012, but now there would be potential cost increases for heating and other temporary issues to be consideration. The team noted that delays could also impact the realization of material costs increasing as the market and economy improved, with increases already found for aluminum and glass at over 20% in the last two (2) years, and 14% increase in steel; and emphasized the benefits of keeping the process moving forward. The team noted that a delay of several months this year was minimal compared to delaying into 2013, with that having a much more significant impact on over- all costs.