Laurel staff recommend $2.5 million downtown sidewalk and lighting project after low bid

City staff recommended that the Laurel City Council accept a $2.22 million low bid from Knife River and authorize a contingency to fund a downtown sidewalk and lighting improvement project.

Forest Sanderson, the city’s TIF district coordinator, told the council the LURA engineer (Triple Tree Engineering) recommended Knife River’s base bid, reported at roughly $2.22 million, while the highest bid received was about $3.55 million. Sanderson said the packet includes a contingency figure (listed in the packet as “$280,93.50”) that would raise the project budget to $2.5 million. He said the contingency is intended to cover expected change orders and allow flexibility to add an alternate valued at roughly $34,000 if the council later authorizes it.

The project, as described to the council, focuses on the core of downtown along Main Street near First Avenue and includes new sidewalks, replacement sidewalks and vegetation in front of city hall, new light poles, curb and gutter work, two alleys to be poured in concrete to fix chronic drainage problems, and installation of additional storm drains at known problem locations. Sanderson said issuance of a notice of award is targeted for the June 10 council meeting and a notice to proceed is being targeted for July 6, after the Independence Day holiday.

Sanderson told council members the lower bid gives the TIF district flexibility to move funds to other priorities within the district in future fiscal years. In response to a question from Council member McKay, Sanderson outlined the drainage work planned behind the Laurel Trading Post and at the corner near Chris Place and said the alley work should alleviate water intrusion onto sidewalks during heavy rainfall.

Staff noted the contingency amount is shown in the meeting packet with unclear formatting; the council packet and contract documents (owner contract following EJCDC guidelines) were available for council review and for the city attorney to vet before next week's meeting. Sanderson also said contract documents in the packet include the engineer’s references and a proposed notice to proceed and that awarding the alternate would return to council for a separate authorization.

If the council moves forward the project would be a roughly $2.5 million downtown investment funded through the Laurel Urban Renewal/TIF district and managed under standard EJCDC owner‑contract terms. Staff said they will return to council with the formal notice of award at the June 10 meeting.