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2.3 ERMUSR 04-13-2021ELK RIVER MUNICIPAL UTILITIES SPECIAL MEETING OF THE UTILITIES COMMISSION HELD AT UTILITIES CONFERENCE ROOM March 31, 2021 Members Present: Chair John Dietz, Commissioners Paul Bell, Mary Stewart, and Matt Westgaard Members Absent: Commissioner Al Nadeau ERMU Staff Present: Theresa Slominski, General Manager Chris Kerzman, Engineering Manager Michelle Canterbury, Executive Administrative Manager Others Present: Brad Barickman, Vice President of Community Construction at RJM Construction; and Justin Rice, Senior Project Manager at RJM Construction 1.0 GOVERNANCE 1.1 Call Meeting to Order The special meeting of the Utilities Commission was called to order at 10:30 a.m. by Chair Dietz. 1.2 Pledge of Allegiance The Pledge of Allegiance was recited. 1.3 Consider the Agenda There were no additions or corrections to the agenda. Moved by Commissioner Stewartand seconded by Commissioner Bellto approve the March 31, 2021, agenda. Motion carried 4-0. 2.0 BUSINESS ACTION 2.1 Field Services Facility Expansion Project – Award Contract for Bid Category 5A Structural Steel Material and Assignment of Contract to RJM Construction Mr. Kerzman provided the following background as outlined in his memo. Thebid opening for the Field Services Facility Expansion Project took place on March 24, 2021. Based on current lead times and market conditions for structural steel, RJM Construction is recommending an early approval to award a contract to the apparent low steel bidder for Elk River Municipal Utilities Commission Meeting Minutes March 31, 2021 Page 1 44 bid category 5A, and the assignment of contract to RJM Construction at this special meeting. The balance of bid and quote categories with award recommendations will be presented at the April 13, 2021 commission meeting. Mr. Kerzman introduced Mr. Brad Barickman and Justin Rice, with RJM Construction. Based on low cumulative total bid received, with no alternatives for category 5A, RJM recommended the Utilities Commission approve the award of the contract for category 5A to Thornberg Steel for the bid amount of $829,000.00. The commission had questions on how the structural steel delay and other unknowns may impact the project timeline and budget. Mr. Barickman responded. Mr. Kerzman spoke to the guaranteed maximum price which includes construction contingency and contractor allowances to cover unforeseen costs that may arise. There was discussion. There was discussion on the contractual obligation of delivering materials on the date specified, and the measures in place to help ensure accountability. Chair Dietz had a question on the bonding for the project and when the first payment would be due. Ms. Slominski responded. Moved by Commissioner Westgaard and seconded by Commissioner Bell to approve the award of the contract for bid category 5A for the Field Services Facility Expansion project to Thornberg Steel for the bid amount of $829,000.00. Motion carried 4-0. Moved by Commissioner Stewart and seconded by Commissioner Westgaard to adopt Resolution No. 21-3 approving the assignment of construction contract to RJM Construction for the ERMU Field Services Facility Expansion Project. Motion carried 4-0. 3.0 ADJOURN SPECIAL MEETING There being no further business, Chair Dietz adjourned the special meeting of the Utilities Commission at 10:39 a.m. Minutes prepared by Michelle Canterbury. ___________________________________ John J. Dietz, ERMU Commission Chair ___________________________________ Tina Allard, City Clerk Elk River Municipal Utilities Commission Meeting Minutes March 31, 2021 Page 2 45