Item 3.14 Lift Station No 4 Improvements Accepting Bids and Awarding Contract
Request for
City Council Action
DEPARTMENT INFORMATION
ORIGINATING DEPARTMENT REQUESTOR: MEETING DATE:
Utilities Utility Manager Neidermeier September 22, 2025
PRESENTER(s) REVIEWED BY: ITEM #:
Consent AE2S Engineer Hanson
City Administrator/Finance Director Flaherty
3.14 – Martin Farm Lift Station
Improvements
STRATEGIC VISION
MEETS: THE CITY OF OTSEGO:
Is a strong organization that is committed to leading the community through innovative communication.
X Has proactively expanded infrastructure to responsibly provide core services.
Is committed to delivery of quality emergency service responsive to community needs and expectations in a
cost-effective manner.
Is a social community with diverse housing, service options, and employment opportunities.
Is a distinctive, connected community known for its beauty and natural surroundings.
AGENDA ITEM DETAILS
RECOMMENDATION:
City Staff recommend the City Council adopt a resolution accepting bids and awarding a contract.
ARE YOU SEEKING APPROVAL OF A CONTRACT? IS A PUBLIC HEARING REQUIRED?
Yes No
BACKGROUND/JUSTIFICATION:
The bidding process for the Martin Farms Lift Station (No. 4) Improvements project was authorized on August 25,
2025, and bids were received electronically at 2:00 p.m. on Tuesday, September 16, 2025. A total of five bids were
submitted as outlined in the attached bid tabulation.
The project scope includes the construction and installation of a new prefabricated building to house electrical
equipment for the Martin Farms Lift Station and a future public water supply well. Additional work includes
installation of a concrete pad, generator, fencing, modifications to the access driveway, and other civil improvements.
Due to the long lead times associated with the prefabricated building and electrical equipment, a majority of the work
is anticipated to be completed closer to the Substantial Completion date of October 30, 2026.
Pember Companies, based in Menomonie, WI, was the lowest responsive and responsible bid with a combined lump
sum base bid of $838,425.00. They have extensive experience with lift station projects across Minnesota. AE2S has
previously worked with them on several lift station and stormwater projects without issue. References from multiple
cities around the metro reported positive experiences and high-quality workmanship.
Staff and Engineering recommend awarding the contract to Pember Companies for completion of this project. The
Public Works Subcommittee reviewed this information at their September 17, 2025, meeting and provided a
recommendation for consideration of approval by the City Council.
SUPPORTING DOCUMENTS ATTACHED:
• AE2S Bid Award Recommendation & Bid Tabulation
• Resolution 2025-45
POSSIBLE MOTION
PLEASE WORD MOTION AS YOU WOULD LIKE IT TO APPEAR IN THE MINUTES:
Motion to adopt Resolution 2025-45 Accepting Bids and Awarding Contract to Pember Companies, Inc. in the amount
of $838,425.00 for the Martin Farms Lift Station (No. 4) Improvements project.
BUDGET INFORMATION
FUNDING: BUDGETED:
Fund 601- Water Utility (10-12%)
Fund 602 – Sanitary Sewer Utility (88-90%)
Yes
September 17, 2025
City of Otsego
Adam Flaherty
City Administrator
13400 90th St NE
Otsego, MN 55330
Re: Martin Farms Lift Station Improvements – Bid Award Recommendation
AE2S Project No.: P05409-2023-010
Dear Mr. Flaherty:
Bids were received at 2:00 p.m. on Tuesday, September 16, 2025 electronically for the above
referenced project. A total of five (5) bids were received, all of which were opened via the virtual
bidding platform and read aloud. Pursuant to our review of the bid received, it appears that it was
completed in accordance with the bidding requirements. A bid tabulation is enclosed with this
letter for your review.
A summary of the Bid Tabulation is below for your reference.
Contractor Name Lump Sum Price Base Bid
Pember Companies, Inc. $838,425.00
Municipal Builders, Inc. $870,000.00
Magney Construction, Inc. $928,000.00
Minger Construction Co. Inc. $973,500.00
New Look Contracting, Inc. $973,895.00
Engineer's Opinion of Construction Cost $958,000.00
AE2S has reviewed the bid results, conferred with City staff, and recommends that the City of
Otsego award the construction contract for the Martin Farms Lift Station Improvements project
to Pember Companies as they were the lowest responsive and responsible bidder.
AE2S truly appreciates the opportunity to assist the City of Otsego with this important project.
you have any comments or questions regarding the bid results or the project in general, please
do not hesitate to contact me at 763-463-5036.
Sincerely,
Ryan Hanson, PE
Project Manager (AE2S)
Otsego Martin Farms Lift Station Improvements
City of Otsego
Otsego, MN
AE2S Project No. P05409-2023-010
Bid Opening Time 2:00 PM CDT Date Tuesday, September 16, 2025
Contractor Download Addenda 1-200 43 13 Bid Bond00 43 29 Responsible Contractor Verification00 45 19 Non-Collusion Affidavit00 45 36 MN Affirmative Action Certification00 45 46 Governmental CertificationsContractor's License or Renewal in MN00 41 00 (Add#1) Completed Bid FormCompleted vBid WorksheetContract No. 1
Base Bid Total Lump Sum Price
1 Pember Companies, Inc.P P P P P P P P P $838,425.00
2 Municipal Builders, Inc.P P P P P P P P P $870,000.00
3 Magney Construction, Inc.P P P P P P P P P $928,000.00
4 Minger Construction Co. Inc.P P P P P P P P P $973,500.00
5 New Look Contracting, Inc.P P P P P P P P P $973,895.00
Engineer's Estimate $958,000.00
Advanced Engineering and Environmental Services, LLC
Water Tower Place Business Center
6901 E Fish Lake Rd, Suite 184
Maple Grove, MN 55369
Tel: 763-763-5036
Ryan Hanson, PE
1
CITY OF OTSEGO
COUNTY OF WRIGHT
STATE OF MINNESOTA
RESOLUTION NO: 2025-45
ACCEPTING BIDS AND AWARDING CONTRACT
WHEREAS, pursuant to an advertisement for bids for the construction of Martin Farms Lift Station Improvements Project, bids
were received, opened on September 16, 2025, and tabulated according to law, and the following bids were received
complying with the advertisement; and
Contractor Lump Sum Price Base Bid
Pember Companies, Inc. $838,425.00
Municipal Builders, Inc. $870,000.00
Magney Construction, Inc. $928,000.00
Minger Construction Co. Inc. $973,500.00
New Look Contracting, Inc. $973,895.00
WHEREAS, it appears that Pember Companies, Inc. of Menomonie, WI is the lowest responsible, responsive bidder.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF OTSEGO, MINNESOTA:
1. The Mayor and City Clerk are hereby authorized and directed to enter into a contract with Pember Companies, Inc. of
Menomonie, WI in the name of the City of Otsego for the Martin Farms Lift Station Improvements Project according
to the plans and specifications therefore approved by the City Council and on file in the office of the City Clerk.
2. The City Clerk is hereby authorized and directed to return forthwith to all bidders the bid bond made with their bids,
except that the bid bond of the successful bidder and the next lowest bidder shall be retained until a contract has
been signed.
2
ADOPTED by the Otsego City Council this 22nd day of September, 2025.
MOTION BY:
SECONDED BY:
IN FAVOR:
OPPOSED:
CITY OF OTSEGO
__________________________________
Jessica Stockamp, Mayor
ATTEST:
__________________________________
Audra Etzel, City Clerk