Item 3.6 Wellhouse 4 Treatment Improvements Project Change Order 35 and 36
Request for
City Council Action
DEPARTMENT INFORMATION
ORIGINATING DEPARTMENT REQUESTOR: MEETING DATE:
Utilities Utility Manager Neidermeier August 10, 2026
PRESENTER(s) REVIEWED BY: ITEM #:
Consent AE2S Engineer Hanson
City Administrator/Finance Director Flaherty
3.6 – Wellhouse No. 4 WTP –
Change Orders
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 are recommending that the Council approve Change Order Request (COR) 035 & 036 from Market & Johnson
for the Wellhouse No. 4 Water Treatment Improvements project.
ARE YOU SEEKING APPROVAL OF A CONTRACT? IS A PUBLIC HEARING REQUIRED?
No No
BACKGROUND/JUSTIFICATION:
The Wellhouse No. 4 Water Treatment Improvements Project began successfully producing filtered water earlier this
year. Since startup, the Contractor has continued working diligently to address outstanding punch list items and
complete the remaining project components. AE2S will continue to closely monitor progress and work with the
Contractor to achieve substantial completion and final project closeout.
The table below summarizes all approved change orders to date for the project. Total approved change orders result in a
net increase of $165,343.55 to the Contractor's original contract amount of $6,840,000.00, representing a 2.4% increase
in the construction cost.
COR # Status Amount COR # Status Amount COR # Status Amount
001 Approved $40,872.65 011 Approved $26,783.27 025 Approved ($937.85)
002 Approved $6,090.13 012 Approved ($917.68) 026 Approved $4,978.72
003 Approved $6,546.03 013 Approved $3,982.69 027 Approved $2,721.29
005 Approved ($4,802.27) 014 Approved ($9,788.08) 029 Approved $6,175.72
006 Approved $2,235.18 015 Approved $18,914.39 033 Approved $7,554.56
007 Approved $2,312.56 016 Approved ($5,266.14) 034 Approved $1,975.82
008 Approved ($5,086.14) 021 Approved $3,817.67 037 Approved $6,609.00
009 Approved $41,262.85 023 Approved $3,432.64 038 Approved $1,333.41
010 Approved $2,359.56 024 Approved $2,183.57
Total Approved Change Orders $165,343.55
The following change orders are being submitted for City Council consideration. Preliminary pricing for these items was
reviewed by the Public Works Subcommittee on June 17, 2026, and recommended for Council review upon receipt of
final pricing from the Contractor.
Change Order
Request # Description Amount
035 AWHP Equipment Pad Replacement $24,396.19
036 Northwest Corner Exterior Waterproofing $19,689.14
Total Pending Change Orders: $44,085.33
COR 035 – AWHP Equipment Pad Replacement
It was discovered that the air-to-water heat pump (AWHP) equipment pad on the north side of the building was installed
too low relative to the surrounding site grading to allow positive drainage away from the wellhouse. The drawings did not
identify a specific pad elevation, and the pad was installed at the same elevation as the building finished floor as directed.
However, the adjacent site grading was not adequately considered, resulting in the need to raise the pad approximately
12 inches.
This change order includes demolition and removal of the existing pad, excavation, and construction of a new pad at the
appropriate elevation to facilitate proper drainage away from the building. The Contractor is requesting a contract
increase of $24,396.19 with no change in contract time.
COR 036 – Northwest Corner Exterior Waterproofing
Similarly, it was discovered that the split-face masonry siding along the north side of the building did not adequately
account for the final site grading elevations. As a result, a portion of the northwest exterior wall will be below grade and
should be waterproofed to prevent moisture infiltration into the building.
This change order includes electrical obstruction removal and reconnection, excavation, waterproofing installation, and
flashing necessary to protect the below-grade wall section. Had this condition been identified earlier in design, the
waterproofing & flashing would have been included in the original contract documents. The Contractor is requesting a
contract increase of $19,689.14 with no change in contract time.
The total of the proposed change orders reflects a net increase of $44,085.33 to the Contractor’s bid amount,
representing a 0.6% increase in construction cost. If approved, the cumulative value of all change orders would increase
to $209,428.88, representing an overall 3.1% increase to the original contract amount.
A project contingency of 5.0% was included in the project budget and financing package. The proposed change orders
remain within the available contingency budget and will not require additional project funding.
SUPPORTING DOCUMENTS ATTACHED:
• Change Order Request 035 & 036
POSSIBLE MOTION
PLEASE WORD MOTION AS YOU WOULD LIKE IT TO APPEAR IN THE MINUTES:
Motion to approve Change Order Proposals as indicated in the table above in the amount of $44,085.33 to Market &
Johnson.
BUDGET INFORMATION
FUNDING: BUDGETED:
Fund 601 – Drinking Water Utility Yes
TO: DATE:
RE:Change Order Request (COR) #35R2
ATTN:
REQUESTED BY WHOM:
COST OF WORK:
Changes to Market & Johnson's Scope of Work (see attached breakdown)…………...$24,396.19
OVERALL CHANGE TO PROJECT $24,396.19
The Contract Time will be unchanged by zero days for this change.
This proposal may be withdrawn by us if not accepted within 30 calendar days.
Assistant Project Manager
Enclosures
cc:
Joey Koller
COMMENTS /
ADD'L NOTES
TBD at a later date and agreed upon based on 05/28/2026 substantial completion meeting
Sincerely,
MARKET & JOHNSON, INC.
M&J Project #3416
Market & Johnson, Inc. 2350 Galloway Street PO Box 630 Eau Claire, WI 54702-0630 Ph. 715.834.1213 Fax. 715.834.2331
CHANGE ORDER REQUEST (COR)
Advanced Engineering and Environmental
Services, LLC
6901 E Fish Lake Road Suite 184
Maple Grove, MN 55369
August 5, 2026
Otsego Wellhouse No. 4 Water Treatment
Improvements
Otsego, MN
Ryan Hanson
DESCRIPTION
OF CHANGE:
RFP No. 22 AWHP Equipment Pad Replacement
TIME:
If you would like us to proceed with this work prior to a
formal change order being processed, please check the
accepted box, sign and return. If accepted, this will be
included on a future change order.
□Accepted □Not Accepted
_____________________________ ______________
Signature Date
Breakdown for Change Order Request (COR) #35R2 by Market & Johnson
Dated: 08/05/2026
M&J
Contract
Tax Exempt
Purchases
Owner Direct
Purchases
SUBCONTRACTED WORK SCOPE OF WORK
$939.53
$4,050.00
$0.00
$13,026.36
$18,015.89 $0.00 $0.00
SELF PERFORMED QTY U/M UNIT COST
$4,380.23
$0.00
$4,380.23
0.71% $159.01
$225.55
15.00% $714.72
5.00% $900.79
Net Change $24,396.19 $0.00 $0.00
TOTAL OVERALL CHANGE TO PROJECT $24,396.19
Mark-up on Self Performed Work
Additional G/L Insurance Required
Additional Payment/Performance Bond
Mark-up on Subcontracted Work
Subtotal of Self Performed Work
Subtotal of Subcontracted Work
Market & Johnson
Killmer Electric Electrical
Quad E Sitework
Bury Companies Concrete Reinforcing
DK Mechanical HVAC & Process
M&J Project #3416
Otsego Wellhouse No. 4 Water Treatment Improvements
Otsego, MN
9901 73rd Street NE
Otsego, MN 55362
DATE:5/28/2026 JOB NAME:Otsego WTP Wellhouse No 4
ATTENTION: Cory Fedder JOB ADDRESS:Otsego, MN Cust. PO:3416-100
COMPANY NAME:Market & Johnson JOB NUMBER:240519 DETAILER:Eric
CO#240519-04:Added rebar per COR #35
500 lbs $350.00
Detailing $150.00
Delivery $375.00
Tax 7.375% $64.53
$939.53
ORIGINAL CONTRACT AMOUNT:93,398.50$
CHANGE ORDER #1 $402.66 Additional delivery needed
CHANGE ORDER #2 $ -declined
CHANGE ORDER #3 $214.75 additional rings requested 2/23/26
CHANGE ORDER #4 $939.53 Added rebar per COR #35
CHANGE ORDER #5
CHANGE ORDER #6
CHANGE ORDER #7
CHANGE ORDER #8
CHANGE ORDER #9
CHANGE ORDER #10
ADJUSTED CONTRACT AMOUNT TO DATE:94,955.44$
CHANGE ACCEPTED BY:
Market & Johnson Bury Companies, Inc.
COMPANY NAME
SIGNED SIGNED
5/28/2026
DATE DATE
9901 73rd St NE, Otsego, MN 55362 (763) 428-4540 www.burycompanies.com
THIS CHANGE ORDER MUST BE SIGNED, DATED, AND RETURNED BEFORE WE WILL BEGIN FABRICATION
Attn: Market & Johnson
Date: 10-14-2025
Proposed Price Change: COR #35 RFP #22 Rev 1
Otsego Wellhouse No. 4 COR #16 RFP #13
DK Mechanical Contractors LLC is pleased to provide a proposal for the piping changes for Otsego Wellhouse No.
4 COR #35 RFP #22.
Scope
• Labor and equipment to remove ASHP-1 from current pad and place on new pad after revised dirt work and
pad work is completed.
• Associated piping.
• (1) week telehandler (anything over will be billed $460.00 per day or weekly at $1,150.00)
Excludes
• Concrete
• Dirt Work
• Electrical
Proposal
The proposed HVAC changes for Otsego Wellhouse No. 4 COR#35 RFP #22 is an add of $4,050.00.
Equipment $2,600.00
Labor $1,080.00
Margin $370.00
Quad E Companies, Inc.
Lakeville, MN
612-462-0629
info@QuadECompanies.com
QuadECompanies.com
Quad E Companies, Inc is an affirmative action, equal opportunity employer.
Quad E Companies Inc is a certified DBE/WBE Business, MN Targeted Group Wmn Owned Business (0000950860)
& Central Cert Wmn Owned Business (2016-20436449)
6.16.26
RCO 11 COR 25
Please see the following Change Order for work completed for the Well House Project in, Otsego MN by Quad
E Companies, Inc. following review from owner.
Total - $13,026.36
COR 25
Mob $1500
Foreman – 16hr x $104.50 = $1672
Labor – 16hr x $88.22 = $1411.52
Operator – 16hr x $93.36 = $1493.76
Skid – 16hr x $125 = $2000
Hoe – 16hr x $173.75 = $2780
Trucking – 2hr x $150 = $300
Material –
Disposal - $170
Total Cost = $11327.28
OH – 10% = $1132.72
Profit - 5% = $566.36
Company Name:DATE:10.19.2025
Completed By:(Name)PROJECT:3416 - Otsego Wellhouse #4
(Phone)M&J's COR #:35
(Email)Vendor's #
Agreement #:
DESCRIPTION OF WORK:
LABOR
Trade ST/OT/DT RATE # OF HOURS TOTAL
ST 107.49$ 4.00 429.96$
ST 110.57$ 6.00 663.42$
ST 98.08$ 6.00 588.48$
ST 112.75$ 2.00 225.50$
ST 107.49$ 4.00 429.96$
ST 110.57$ 5.00 552.85$
ST 98.08$ 5.00 490.40$
ST 98.08$ 1.00 98.08$
Subtotal Hours & Labor Cost 33.00 3,478.65$
MATERIALS & EQUIPMENT
Items UM UNIT PRICE QUANTITY TOTAL
LF 1.16$ 24.00 27.84$
CY 207.00$ 0.75 155.25$
LS 250.00$ 1.00 250.00$
LF 1.86$ 34.00 63.24$
CY 207.00$ 0.75 155.25$
LS 250.00$ 1.00 250.00$
LS -$ 1.00 -$
Subtotal Materials & Equipment 901.58$
SUBCONTRACTORS (attached their breakdown)
Company TOTAL
Subtotal Subcontractors -$
ADDITIONAL COSTS
Overhead & Profit Labor, Materials, Equipment Mark-up % =-$
Overhead & Profit Subcontractors Mark-up % =-$
Subtotal Additional Costs -$
4,380.23$
Does this request require additional working days?No If Yes, # of working days?
Does this change have lead-time dependent materials associated? No # of days?
Vendor to complete this form or submit similar breakdown on your letterhead
Itemize adds and deducts for the proposed change.
Attach all subcontractor quotes and their breakdowns.
Cement Finisher - Curbs
Market & Johnson
Joey Koller
N/A
VENDOR BREAKDOWN
Pour ASHP pad per new detail sent by Riley Fitzpatrick on 05/28/2026
2x4 Lumber
Carpenter - Forming Pad
Cement Finisher Leader - Kure n Seal
Laborer - Curbs
Laborer - Curb Rebar
Cement Finisher - Pour Pad
Laborer - Pour Pad
Carpenter - Rebar Pad
N/A
Concrete - Pad
Concrete - Pad Small Load Charge
Concrete - Curbs
Concrete - Small Load Charge
Fuel
TOTAL COST
2x10 Lumber
Sub's Scope of Work
I. Request For Proposal No. 22
Date of Issuance: 4/22/2026
Project Manager: Ryan Hanson, P.E.
AE2S
Water Tower Place Ste 184
6901 E. Fish Lake Road
Maple Grove, MN 55369
Contractor: Market & Johnson, Inc.
Project: Wellhouse No. 4 Treatment Improvements
Owner: City of Otsego, Minnesota
Re: Request for Proposal No. 22 – AWHP Equipment Pad Replacement
Please submit a cost proposal for changes to the Contract Documents for the following
proposed modifications. THIS IS NOT A WORK CHANGE DIRECTIVE, CHANGE ORDER, OR
A DIRECTION TO PROCEED WITH THE WORK DESCRIBED IN THE PROPOSED
MODIFICATIONS.
Description:
AE2S requests pricing from Market & Johnson for the cost to remove the AWHP-1 equipment
pad, install engineered fill and pour a new 4” equipment pad to achieve new pad FFE of 940.48’.
Reinforce the equipment pad w/ #5's@12" o/c (each way) centered in slab. Contractor to field
grade around equipment pad to drain water away from wellhouse corner and equipment pad.
These changes are not considered required to be completed for the Project to be considered
substantially complete. Therefore, no time extension will be granted as it relates to Substantial
Completion, and any extension of time will apply only to the time required for the Contractor to
complete the Work prior to final payment.
TO: DATE:
RE:Change Order Request (COR) #36R1
ATTN:
REQUESTED BY WHOM:
COST OF WORK:
Changes to Market & Johnson's Scope of Work (see attached breakdown)…………...$19,689.14
OVERALL CHANGE TO PROJECT $19,689.14
The Contract Time will be unchanged by zero days for this change.
This proposal may be withdrawn by us if not accepted within 30 calendar days.
Assistant Project Manager
Enclosures
cc:
M&J Project #3416
Market & Johnson, Inc. 2350 Galloway Street PO Box 630 Eau Claire, WI 54702-0630 Ph. 715.834.1213 Fax. 715.834.2331
CHANGE ORDER REQUEST (COR)
Advanced Engineering and Environmental
Services, LLC
6901 E Fish Lake Road Suite 184
Maple Grove, MN 55369
July 20, 2026
Otsego Wellhouse No. 4 Water Treatment
Improvements
Otsego, MN
Ryan Hanson
DESCRIPTION
OF CHANGE:
FRP No. 23 Northwest Corner Exterior Waterproofing
TIME:
COMMENTS /
ADD'L NOTES
Sincerely,
MARKET & JOHNSON, INC.
Joey Koller
If you would like us to proceed with this work prior to a
formal change order being processed, please check the
accepted box, sign and return. If accepted, this will be
included on a future change order.
□Accepted □Not Accepted
_____________________________ ______________
Signature Date
Breakdown for Change Order Request (COR) #36R1 by Market & Johnson
Dated: 07/20/2026
M&J
Contract
Tax Exempt
Purchases
Owner Direct
Purchases
SUBCONTRACTED WORK SCOPE OF WORK
$3,775.00
$9,250.00
$5,380.42
$18,405.42 $0.00 $0.00
SELF PERFORMED QTY U/M UNIT COST
$0.00
$0.00
$0.00
0.71% $130.68
$185.36
15.00% $47.41
5.00% $920.27
Net Change $19,689.14 $0.00 $0.00
TOTAL OVERALL CHANGE TO PROJECT
M&J Project #3416
Otsego Wellhouse No. 4 Water Treatment Improvements
Otsego, MN
C & S Management Co.
Roof Tech
Quad E
Subtotal of Subcontracted Work
$19,689.14
Mark-up on Self Performed Work
Additional G/L Insurance Required
Additional Payment/Performance Bond
Mark-up on Subcontracted Work
Subtotal of Self Performed Work
WE’RE ON TOP OF
July 20,2026
Mr. Patrick Johnson
Mr. Joey Koller
Market & Johnson
2350 Galloway St
Eau Claire, WI 54703
Re: Otsego Wellhouse #4 - RFP #23 - COR # 36
Otsego, MN
Mr. Johnson and/or Mr. Koller,
Below you will find pricing for us to install a 10” Wide piecesheet metal counter flashing to cover the
waterproofing installed By Others. This will be on the West and South walls of the Well House building. This
also includes tieing in the sheet metal counter flashing to our existing sheet metal counterflashing at both
locations and cutting the bottom off of the three existing shingle downspouts to a correct elevation after the
grade is set.
Materials:
Sheet Metal CF – 90 Lft x $9.30/Lft = $837.00
Sheet Metal S-Clips – 10 Lft x $5.20/Lft = $ 52.00
Caulking – 15 Tubes x $9.75/Tube = $146.25
Total Mateirals: $1,035.25
Labor:
52 Man Hours x 125.10/Hr = $6,817.95
Total Labor: $6,817.95
Subtotal Material and Labor: $7,853.20
Truck Charge: $ 190.00
15% Overhead and Profit: $1,206.48
Total Add Amount: $9,250.00
Please feel free to contact us with any questions that you may have.
Sincerely,
Brian D. Brezinka
Quad E Companies, Inc.
Lakeville, MN
612-462-0629
info@QuadECompanies.com
QuadECompanies.com
Quad E Companies, Inc is an affirmative action, equal opportunity employer.
Quad E Companies Inc is a certified DBE/WBE Business, MN Targeted Group Wmn Owned Business (0000950860)
& Central Cert Wmn Owned Business (2016-20436449)
6.16.26
RCO 12 COR 26
Please see the following Change Order for work completed for the Well House Project in, Otsego MN by Quad
E Companies, Inc. following review from owner.
Total -
COR 26
Foreman – 8hr x $104.50 = $836
Labor – 8hr x $88.22 = $705.76
Operator – 8hr x $93.36 = $746.88
Skid – 8hr x $125 = $1000
Hoe – 8hr x $173.75 = $1390
Total Cost = $4678.64
OH – 10% = $467.86
Profit - 5% = $233.92
$5,380.42