W.O. 15-18 will re-coat the interior of Clearwell No. 2 located at the Water Treatment Plant.  Clearwell No. 2 was constructed in 1999. Typical design life of the interior coating system is around 15 years. Clearwell interiors are inspected yearly for corrosion. In 2013, it was noted that the coating system was beginning to fail and the clearwell re-coating was subsequently budgeted in the CIP. If the clearwell is not re-coated, critical structural components within the clearwell will begin to corrode and weaken.

The project was advertised on January 26, February 2 and 9 in The Billings Times and on the City's website. Bids were opened on February 14, 2017, and Coblaco Services, Inc. submitted the lowest responsible bid.

City Council may:

• Approve the construction contract with Coblaco Services, Inc. in the amount of $549,410.50, or;
• Disapprove the construction contract with Coblaco Services, Inc.  If the project is not approved then Clearwell No. 2 will continue to corrode.

The following bids were received and evaluated:

Contractor	Bid Amount
Coblaco Services, Inc.	$549,410.50
Maguire Iron, Inc.	$590,550.00
TMI Coating	$1,026,000.00
Great Basin Industrial	$547,520.00*

*Bid considered non-responsive due to not being a pre-qualified bidder and significant errors on the bid form.

Funding for this project will be from Water Funds.

Budget	$735,000.00
Previously Encumbered	$100,763.00
This Contract	$549,410.50
Remaining Budget	$84,826.50

Staff recommends that Council approve a contract with Coblaco Services, Inc. for W.O. 15-18, Clearwell No. 2 interior re-coat in the amount of $549,410.50.