Glenwood Springs wastewater plant bids come in lower than expected
Post Independent Staff
Glenwood Springs, CO Colorado
GLENWOOD SPRINGS, Colorado – Some positive news came out of the second round of bids for the Glenwood Springs Wastewater Treatment Plant on Thursday, despite City Council’s decision to postpone the award of the contract for a second time.
The city received five competitive bids from prequalified contractors for the project. The low bid, from Salida-based Moltz Construction, came in at $22.3 million. That is nearly $1.2 million less than the first-round low bidder Arizona-based Archer-Western Construction, at $23.5 million.
Archer-Western was the lone contractor that did not resubmit a bid for the project.
The other remaining bids came in close the original bids with three slightly increasing, and two, including Moltz’s bid, which came in at $1.5 million lower than its original bid.
The lower bids were a welcomed surprise for City Manager Jeff Hecksel considering that previous estimates including Davis-Bacon wage requirements could increase the price of the project by as much as $1.5 million.
“We were surprised that the bids came in lower,” said City Manager Jeff Hecksel. “I think we expected them to come back the same or a bit more. I think we were very surprised to have them come back as low as they did.”
Council rejected the first round of bids in December after being notified by the Colorado Water Resources and Power Development Authority that recent federal legislation passed in October retroactively required all projects using federal funds were to include Davis-Bacon prevailing wage requirements in the contracts.
The Water and Power Authority finance director Mike Brod said that the authority has guaranteed Glenwood Springs a 2.5 percent interest rate on the loan, which is scheduled to close in May.
Council decided to postpone awarding the contract until March 18 after an Aurora-based company alleged that the city excluded a competitive process for the equipment portion of the project. City Council decided to hold off on awarding the bid to allow city staff to review the allegations before moving forward.
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