Staff recommends that the City Council approve and award the low bid of $442,350 provided by K2 Civil for the Billings Airport Pond E drainage construction project. 

The airport is adding infrastructure and pavement, which increases the need for storm water runoff. Pond E is designed to hold storm water and allow it to drain at measurable rates to avoid property damage. This project will increase the storm water holding capacity of Pond E, which is necessary due to increased airport infrastructure improvements. The project has been designed, the environmental conditions met, and obstruction data has been approved by the FAA. The project will be financed at 89.5% through the FAA's Airport Improvement Program (AIP) discretionary funding with the remaining being paid by airport funds. 

The Pond E Expansion Project is included in the Airport's Capital Improvement Plan (CIP). The airport maintains a Storm Water Drain Master Plan, which requires the holding of certain volumes of storm water retention to allow it to release back to nature at measurable rates. Doing so prevents property damage to the airport, other City infrastructure, and damage to other property owners. Standing water is also cited as a wildlife attractant as documented in FAA Advisory Circular (AC) 150/5200-33C, Hazardous Wildlife Attractants on or near Airports. Wildlife strikes to aircraft present a serious safety and property damage risk. This project will be designed in compliance with AC 150/5320-5D, Airport Drainage Design. 

The project was advertised in the Yellowstone County News on March 20, 27, April 3, and posted on the City and Airport's websites. On April 7, 2026, the following bids were received:
 

Name of Bidder	K2 Civil	Donnes, Inc.	Knife River — Billings	Site Pro Construction	EMX	Askin Construction, LLC	Holden Excavation	Hample Excavation	Engineer's Estimate
Proposed Price	$442,350.00	$474,756.00	$477,047.00	480,854.00	502,000.00	585,977.50	608,938.00	990,686.05	$875,619.00

K2 Civil was the lowest bidder by just under 7%. K2 has been checked and there is no record of debarment on the Excluded Parties List System (SAM site). The contractor also acknowledged that the project will meet 100% Buy American requirements. 

This project had an engineer's estimate of $865,619 and the low bid was for $442,350. Because 5.5% of the land in the drainage is not eligible for FAA AIP grants, the FAA grant will pay for 89.5% of the costs with the 10.5% match paid using the budgeted Airport Capital Account. The FAA's AIP discretionary grant funding will be $395,903.25 and the local match will be $46,446.75.
Because the project is funded with discretionary funds, work cannot begin until the FAA provides notice of funding availability. 

City Council may:

• Approve the award for the Drainage Pond E Expansion Project to K2 Civil for $442,350; or,
• Decline to approve the award, reject all bids, and provide further direction.