Water plant bids come in higher than expected

Four Texas-based general contractors submitted bids to build Olney’s new water treatment plant at base bids ranging from $21.36 million to $15.35 million – above the $14.4 million the City forecast for the project.

The sealed bids were opened on Tuesday, Oct. 24 at City Hall by the City’s engineering firm, Corlett Probst & Boyd.

Each contractor submitted a base bid for building the new plant, plus options for Alternative A – installing new concrete clear wells, Alternative B - upgrading the raw water pump station, and Alternative C - changing the plastic liner at the Lake Kickapoo reservoir for a concrete liner.

The bidders were:

•Amarillo-based M.H. Civil Constructors, which submitted the highest base bid at $21.361 million, an Alternative A bid of $700,000, an Alternative B bid of $650,000, and an Alternative C bid of $1.25 million.

• Gracon Construction of Mesquite, Texas, which made a $17.5 million base bid with a $400,000 add on for Alternative A, $1.1 million for Alternative B and $2.1 million for Alternative C.

•Horton Excavating of Pollock, Texas, whose base bid was $15.35 million, with an Alternative A bid of $1.3 million, an Alternative B bid of $1.24 million, and an Alternative C bid of $1.5 million.

• J.M. Pipeline of Burnett, Texas submitted a base bid of $16.32 million, an Alternative A bid of $770,410, an Alternative B bid of $940,000, and an Alternative C bid of $1.2 million.

Corlett, Probst & Boyd will now vet the firms and will submit a recommendation to the Olney City Council at a Nov. 1 meeting at noon at City Hall, Devin Smith, president of Corlett, Probst & Boyd said.

Mr. Smith said he expected work to begin on the new water treatment plant within six to eight weeks.

The Council voted in August to approve plans to replace the City’s 101-year-old water treatment plant that will cost $14.4 million -- nearly $1 million more than called for in the original budget. The overage stems from a delay of several months in getting approval for the plant from the Texas Commission on Environmental Quality. However, that delay allowed the City’s $13.5 million revenue bonds now drawing nearly 5 percent interest - to accrue nearly the entire cost of the overage.

the alternative plans, which were aimed at improving water quality.