Business Agenda Item 5b
STAFF REPORT
Business Agenda Item
DATE: June 1, 2026
TO: Honorable Mayor and Council Members
FROM: Ryan Fraga, Engineering Department
THROUGH: Amy Nilsen, City Manager
SUBJECT: Authorize the City Manager to Award the Annual Water Valve Replacement Project (CIP 9990) to Wendt Construction and Establish a Maximum Contract amount of $297,000 & Approve Supplementary Budget Request for $202,399
STAFF RECOMMENDATION:
Authorize the City Manager to award the Annual Water Valve Replacement Project (CIP 9990) to Wendt Construction and establish a maximum contract amount of $297,000. Approve supplementary budget request for $202,399 from City Water Capital Reserve Funds (Fund 510) remaining from Fiscal Year 2025-2026 to be applied to fiscal year 2026-2027.
EXECUTIVE SUMMARY:
Periodically, the City’s utilities staff are required to make repairs or add services to the City’s domestic water distribution network. When doing so, staff utilize shut-off valves to isolate the portion of the network where work needs to be performed in such a way that as few people as possible are impacted. In some areas of the City however, some older valves do not fully shut off, and staff are forced to move to the next valve back in order to accomplish a full shut-off so pipes can be depressurized and work can be performed; often affecting many more water customers.
Another impact is that such situations create more work and result in longer shut down times. In an effort to address these issues, staff have identified various locations around the City where valves have failed and organized them by priority.
The first area selected for this long-term project was located on Newburg Road spanning from Sunnybrook Drive to South 15th Street and was completed in 2025. This first phase replaced 11 valves at 5 locations and was completed under budget. This is the second phase of the project and will replace 27 valves in 10 locations. Some of the inoperable valves are also undersized for modern standards and this project will bring these valves into compliance. This project will also replace valves at critical junctions, such as the main pumping station on Kenmar Road and the storage facility above Campton Heights.
The Annual Water Valve Replacement Project bid package was released and publicly advertised on May 4
th, 2026. The bid period ended on May 27th, 2026, at 2:00 p.m. at which time the City received five responsive bids shown in the table below:
Business Agenda Item 5b
Bidder Base Bid Total
Wendt Construction $247,572
Mercer-Fraser $410,750
Mobley Construction $417,887.50
Wahlund Construction $533,400
GR Sundberg $577,826
The apparent low bid was submitted by Wendt Constructionwith a total bid price of $247,572. City staff have confirmed that the bid received from Wendt Construction was fully responsive and that they have active licenses and registrations
If the project is awarded, staff anticipate being under contract by mid-June. Mobilization and construction are anticipated to begin in early July. The draft Notice of Potential Award is included as Attachment A.
FINANCIAL IMPACT:
The project is funded through the City Water Capital Reserve Funds (Fund 510) with remaining fiscal year funding of $202,399 combined with 2026-2027 fiscal year funding of $300,000. The total anticipated costs to complete this project are shown in the table below and the remaining budgeted funds will be utilized for the next prioritized valve replacement project:
Item Cost
Contract Wendt Const. $247,572
Construction Contingency (20%) $49,515
Total $297,000
RECOMMENDED COUNCIL ACTION:
1. Receive staff presentation and review Council questions with staff
2. Open Public Comment
3. Close Public Comment
4. Motion to Authorize the City Manager to award the Annual Water Valve Replacement Project (CIP 9990) to Wendt Construction and establish a maximum contract amount of $297,000, and;
5. Authorize a supplementary Budget Request for $202,399 remaining from Fiscal Year 2025-2026 to be applied to Fiscal Year 2026-2027 from City Water Capital Reserve Funds (Fund 510)
Business Agenda Item 5b
ATTACHMENTS:
• Attachment A – Supplementary Budget Request
• Attachment B – Draft Notice of Potential Award