W.O. 10-19; Shiloh Conservation Area, is a project that will transform a city-owned parcel of land at the confluence of the Shiloh Drain and Hogan's Slough into a facility that will balance the objectives of water quality improvements, flood control, and recreational benefits to the community.  

At the August 26th Council meeting, Council delayed action on the bid opening due to the fact that bids were opened on August 20th and there was not enough time to evaluate bids before the Council meeting.  Three bids were received and Oftedal Construction, Inc. submitted the lowest responsive bid.  However, that bid exceeded the City's funding limit.  As a result, this project will need to be rebid this fall once an appropriate course of action has been determined to construct a project within the funding limits.              

The City Council may accept the low bid and award a contract or reject all bids.  Since there are insufficient funds to pay the low bid amount, rejecting all bids is the preferred option.  

The following bids were received and evaluated:

Contractor	Bid Amount
Oftedal Construction, Inc.	$6,531,349.40
CMG Construction, Inc.	$7,124,776.80
Knife River - Billings	$9,678,602.24

The funding for this project is being provided from the sale of $4,200,000 in Storm Drain Bonds and Storm Drain Funds budgeted in FY14.  

Staff recommends that Council reject all bids to allow for development of an alternate course of action that will construct this project within the funding limits.