The City of Sioux City received three competitive bids for Phase 1 of the Wastewater Treatment Plant Facility Plan Improvements Project, with the lowest base bid totaling $292.4 million, approximately 10% below the engineer’s construction estimate of $325 million.
PKG Contracting, Inc., of Fargo, North Dakota, submitted the lowest base bid of $292,376,900. Rice Lake Construction Group submitted a bid of $308,649,600, and Hawkins Construction Company submitted a bid of $322,722,493.
Phase 1 of the project will replace and rehabilitate aging wastewater treatment infrastructure, improve plant reliability, and support the City’s ability to meet treatment requirements while continuing to serve residents and businesses.
After declining to accept the Guaranteed Maximum Price submitted through the Construction Manager at Risk process in July, the City chose to move forward with a traditional competitive bidding process. The project was advertised on September 15, and bids were publicly opened on October 29.
Following a review of the bids and contractor qualifications, the City’s engineering consultant, Hazen and Sawyer, recommended awarding the base construction contract to PKG Contracting and rejecting all bid alternates. The contract award remains subject to City Council consideration, as well as required City reviews and approvals.
The low bid is $32.6 million below the engineer’s construction estimate. The final project budget will also include engineering services, construction oversight, contingency funding, and other project costs.
Additional information will be provided as the City advances through the contract award process.
