Council awards $90.1 million bid for Intermediate Zone water treatment plant

The Cottage Grove City Council voted to award the Intermediate Zone Water Treatment Plant contract to Rice Lake Construction Group for $90,135,600.

The project, which council and staff described at the June 18 meeting as the culmination of nearly eight years of planning and design in response to local PFAS concerns, will build a treatment facility to serve the city’s intermediate pressure zone. Public Works Director Ryan Burfein told the council the city began concept planning in 2017 and worked with state partners and designers through 2021 before moving into final design and bidding.

Burfein said three bids were received and that the low bidder, Rice Lake Construction Group, has a track record with Cottage Grove on prior treatment projects and temporary plants. “They did the low zone treatment plant. They also did several of our temporary treatment plants,” Burfein said. He noted market volatility and design differences made cost estimating challenging but that competitive bidding and an additional late bidder reduced prices.

Council Member Olson moved to adopt the resolution awarding the base bid and Alternate 1 to Rice Lake Construction Group for $90,135,600; Council Member Garza seconded. The motion carried on a voice vote.

The council did not provide a project schedule or financing breakdown in the public remarks, although Burfein referenced prior settlement funding the city has used for water projects. The city did not discuss permit milestones or a construction start date during the meeting.

Council members thanked staff for the long-term work on water-supply planning and for the competitive bid results. The city will publish contract documents and the formal contract award once executed by staff.