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REQUEST FOR COUNCIL ACTION Date: March 23, 2015 Item No.: 8.i Department Approval City Manager Approval Item Description: Reject bids for the Evergreen Stormwater Reuse Project B ACKGROUND 1 The Fairview Avenue storm sewer system is under capacity when compared to the generally 2 accepted storm sewer design standard for a 10-year rain event (4.2" in 24 hours). Storm water 3 runoff reaches the pipe faster than the pipes can convey the water downstream. This causes the 4 system to surcharge, causing arterial street flooding, particularly Fairview Avenue at the TH 36 5 underpass, local (residential) street flooding, inundation of open spaces, as well as private 6 property damage. 7 This storm sewer system is directly connected to several significant regional water bodies. The 8 system drains north through Oasis Pond, Little Lake Johanna, Lake Johanna, and Long Lake to 9 Rice Creek, which ultimately drains to the Mississippi River. 10 In September of 2012, City staff applied for a Clean Water Fund Grant from the Minnesota 11 Board of Water and Soil Resources (BWSR) for improvements to help address this capacity 12 issue. The application was successful and the City received a $359,100 grant for the project 13 development and installation of an underground stormwater storage chamber and a stormwater 14 reuse system, which would provide water for the irrigation of the Evergreen Park baseball fields 15 as well as bioretention basins in the park area. The reuse system, as ultimately designed, would 16 store up to 30,000 cubic feet of stormwater, which would be diverted from the trunk storm sewer 17 system and used for irrigation. 18 The grant specified $300,000 for the construction of the reuse system and $30,000 for the 19 bioretention basins, along with $29,100 in project development and grant reporting assistance. 20 The grant requires a minimum 25% local match. 21 On February 11, 2013, the City Council approved an agreement with BWSR for the use of the 22 grant funds. Staff has been working to develop plans for the construction of the reuse portion of 23 the project since that time in coordination with the Park Renewal Project at Evergreen Park. The 24 final estimated construction cost of the resuse system was $458,973; this represents about $15.30 25 of cost per cubic foot of stormwater handled by the reuse system. 26 Bids were opened for the proposed project on February 27, 2015. We received three bids as 27 follows: 28 BIDDER AMOUNT Frattalone Companies $664,818.08 St Paul Utilities $818,800.00 Northdale Construction Company, Inc. $1,035,704.85 The lowest bid received was approximately 45% above the estimated cost of the project. 29 Page 1 of 2