City will replace boilers in National Guard armory

By Travis Gulbrandson

The Vermillion City Council approved bids for new boilers for the National Guard building and the construction of a leachate system for the landfill at its regular meeting Monday night.

City Engineer José Dominguez told the council members that the boilers in the National Guard building have been in use since 1986.

“As such, they are experiencing issues, mainly age-related,” he said. “There have been some emergency repairs done to them in the previous years, as well as more than usual maintenance items.”

Replacement of the boilers was budgeted for the amount of $50,000 last year, and bids were opened this year on June 12.

The low bid was from Marty Gilbertson for the amount of $36,195, which the council approved.

The council members also approved a bid to construct a leachate pond and collection system at the Vermillion Landfill.

“The proposed pond and collection system is going to be required for future construction of any cells within the landfill,” Dominguez explained.

The city council filed a grant loan application with the state for funding the construction in 2011, since which time the application has been approved.

“We essentially received a grant worth $522,000 for the improvements, and then the remainder of the project would have to be a … pretty low-interest rate loan (with) a 20-year pay-off,” Dominguez said.

Essentially, the city will pay for the entire cost upfront, and then request the state for reimbursements, he said.

“The way that it would be reimbursed would be that out of the $887,000 roughly, the city would receive $197,000 or 22 percent of that based on grant money, and then the remainder or $690,000 would be the loan amount. So, it’s a pretty big portion that would be a loan,” Dominguez said.
The rest of the grant will be utilized whenever the excavation is performed, he said.

Bids were opened June 6, with the city receiving five.

“The bids that were requested from them included essentially three items: There was a base bid, which was the leachate collection system, the leachate pond, and two alternates,” Dominguez said. “Both of those alternates were for some excavation of cell five. The only difference between the two was where the excavated soil was going to be deposited.”

The reason the alternates were requested was mainly to see how low the excavation prices were, Dominguez said.

Ultimately it was decided to reject the alternates, he said.

“That’s due to the fact that the alternates were more than what was budgeted or estimated, and also that the work contained within the alternates would have been part of the larger cell five excavation, which we think if done at a later time we can get a more advantageous price,” he said.

The project was awarded to RS Halstead Corp. in the amount of $887,200.78.

Both bids passed the city council unanimously.

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