Low Bids Save Village $700K

Economic climate, competition for work yield low bids

 

By Matthew Rice

 

 

The water treatment plant project just got smaller for the village of Granville in the best possible way – the bottom line.

Officials unveiled bids for construction of the new village water treatment plant Monday afternoon and found their estimates for the $4.7 million project new treatment plant were high.

The new estimated cost of the project based on the low bids received from contracting firms submitting proposals combined to total $4 million.

The village already has approval for a $4.7 million loan, but will only take on what debt it has to Mayor Jay Niles said. “This is not a village that’s going to spend $4.7 million (just because we can),” Niles said.

Construction costs totaled $3.28 million, combined with the contingency and other expenses pushed the total to the $4 million mark, officials said.

“This news will have a positive impact on the water rates certainly,” Niles said after the project had been unanimously approved by the village board.

Under the earlier estimate water rates were projected to top $200, the rates should remain under that level, Niles said.

The $4 million mark includes all of the infrastructure work recommended by the hydrological study and the cost of expenses related to the mandated project the village has already paid for from the general fund as well as a $300,000 contingency fund.

Lamont Engineer’s Francois Vedier said the economy and construction firms looking for work created a climate producing bids about 10 percent lower than expected. “I haven’t seen anything like this in many, many years. This is quite unbelievable,” Vedier told the board.

The bid for general construction at $1.32 million went to the Florida headquartered Riznick Construction Inc. The bid for electrical work in the project came in at $149,200 awarded to Harold R. Clune Inc. Work on the heating and plumbing went to a Troy based firm T. McElligott Inc. at $158,400 and $69,000, respectively. The final bid, for the water main infrastructure work went to the Gansevoort-based Tom Kubricky Co. Inc. for $1.023 million.  

“They were good, they were really good,” Department of Public Works Superintendent Dan Williams said after seeing the bids.

Williams said the village has had an excellent track record with the contingency funds and he anticipates the $300,000 contingency set aside will not be used up completely; the fund exists to pay for emergency redesigns within the project due to any unforeseen hurdles.

Vedier said the number of bids received for the work, 36, was further evidence contractors were looking far and wide for work. The bids were also closely matched, he said. “None of them left any money on the table,” he said.

Officials expect both parts of the project, the water plant and the water main work, to finish by the end of the year. Water main work including replacing lines along Mettowee Street and installing a line under the Mettowee River should finish in October while the plant is expected to come online in December. 

Further good news for the village was the ability to include infrastructure improvements in the system that carries the water throughout the village and the ability to reclaim previously expended funds.

In the past the village funded a hydrologic study needed to determine what water mains should be replaced due to age or added to improve the water system as well as archeological study and the creation of the village’s four new wells.

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