Consent 1.A.2.
City Council Regular Business Meeting
- Meeting Date:
- 07/13/2026
- TITLE
- W.O. 22-44: Zone 1 Water Storage Improvements, Schedule 2 Water Tank- Construction Contract
- PRESENTED BY:
- Mac Fogelsong
- Department:
- Public Works
Presentation:
No
Legal Review:
Yes
Project Number:
N/A
RECOMMENDATION
Staff recommends the City Council award a contract for W.O. 22-44 Zone 1 Water Storage Improvements, Schedule 2 to COP Construction in the amount of $5,106,222 related to the base bid (D 110 tank).
EXECUTIVE SUMMARY
The 2023 Water Master Plan identified a need for additional water storage in Pressure Zone 1 to improve system reliability and emergency water reserves. W.O. 22-44 will address this need by constructing a new 3 million gallon water storage tank and associated transmission water main. This action awards the Schedule 2 storage tank contract to COP Construction, the lowest responsive and responsible bidder, in the amount of $5,106,222. Sufficient funding is available within the FY27 Water Fund budget.
BACKGROUND (Consistency with Adopted Plans and Policies, if applicable)
Within the City of Billings' water distribution system, Pressure Zone 1 serves the central part of the city, generally encompassing areas north of I-90 and east of Virginia Lane/5th Street West. The 2023 Water Master Plan identified Pressure Zone 1 as lacking sufficient storage capacity to meet current system demands and recommended additional storage to improve system reliability and emergency water reserves.
W.O. 22-44, Zone 1 Water Storage Improvements, will address this deficiency by constructing a new 3 million gallon water storage tank in Swords Park and a new water main connecting the reservoir to the existing system at the 6th Avenue Bypass. To facilitate construction, the project was divided into two bid schedules. Schedule 1 includes construction of the 20-inch transmission water main, while Schedule 2 includes construction of the new storage reservoir. This memorandum requests Council approval of the construction contract for Schedule 2.
Schedule 2 was advertised on May 8, 15, 22, and 29 and June 5 and 12, 2026 in the Yellowstone County News and on the City's website. Bids were received on June 16, 2026. Four (4) bids were received. COP Construction submitted the lowest responsible bid.
W.O. 22-44, Zone 1 Water Storage Improvements, will address this deficiency by constructing a new 3 million gallon water storage tank in Swords Park and a new water main connecting the reservoir to the existing system at the 6th Avenue Bypass. To facilitate construction, the project was divided into two bid schedules. Schedule 1 includes construction of the 20-inch transmission water main, while Schedule 2 includes construction of the new storage reservoir. This memorandum requests Council approval of the construction contract for Schedule 2.
Schedule 2 was advertised on May 8, 15, 22, and 29 and June 5 and 12, 2026 in the Yellowstone County News and on the City's website. Bids were received on June 16, 2026. Four (4) bids were received. COP Construction submitted the lowest responsible bid.
FISCAL EFFECTS
The following bids were received:
The project was budgeted in FY27 using Water Funds in the amount of $7,200,000. Considering this tank construction contract ($5,106,222) and the associated construction contract for the Schedule 1 pipeline ($949,940), there remains $1,143,838 for the subsequent contract amendment with DOWL for construction contract administration and inspection, materials testing, and any change orders. There are sufficient funds available to award this contract.
| CONTRACTOR | TOTAL BID (BASE BID - D110 TANK) | TOTAL BID (ALT 1 - D115 TANK) |
| COP Construction | $5,106,222.00 | $7,359,075.00 |
| Askin Construction | $5,345,050.00 | NO BID SUBMITTED |
| Western Municipal Construction | $5,450,140.00 | $7,527,140.00 |
| JTL Group dba Knife River | $5,775,250.00 | NO BID SUBMITTED |
The project was budgeted in FY27 using Water Funds in the amount of $7,200,000. Considering this tank construction contract ($5,106,222) and the associated construction contract for the Schedule 1 pipeline ($949,940), there remains $1,143,838 for the subsequent contract amendment with DOWL for construction contract administration and inspection, materials testing, and any change orders. There are sufficient funds available to award this contract.
STAKEHOLDERS
ALTERNATIVES
City Council may:
- Award W.O. 22-44 Zone 1 Water Storage Improvements, Schedule 2 to COP Construction in the amount of $5,106,222; or
- Not award a contract and reject all bids. If no contract is awarded, the storage deficiency within Zone 1 will likely increase, creating a greater burden on the City's water distribution system to meet demands for regular and emergency needs.