MEMORANDUM 03-154

To: Walt Wrede, City Manager

From: Carey Meyer, Public Works Director

Date: September 3, 2003

Subject: 1.0 MG Tank Project - Design and Construction Services

CH2MHill was awarded the design for the above referenced project. Typically, the design engineering firm completes bidding assistance and construction inspections tasks associated with the construction of the improvements. Below are the costs associated with this work:

Bidding Assistance $8702

Construction Management/Inspection $48,060

Total $56,762

All design, bidding assistance, and construction management/inspection costs are eligible for reimbursement by the ADEC grant obtained to pay for this project (grant receipt approved by Council). The grant pays for 70% of the cost of the project. This project is within budget. City's share will come from Water Reserve fund (previously approved by the Council).

Current Total Construction Contract Cost - $1,275,369.75

Current Total Design Construction Services Cost - $181,663.87

$1,457,033.62

Project Budget - $2,200,000.00

Recommendation: The City Council approve the award of the above described work to CH2Mhill on the amount of $56,762 and authorize the City Manager to execute all appropriate documents.