Mr. Austgen stated that he drafting an updated Grant of Extension Right and Waiver. There have been some law changes and a bit of statutory tweaking. He suggests the Board grant conditional approval for the Church and its representatives come back with the easement and in the event the easement can be had, then execute the Grant of Right can be had. Discussion ensued.
Mr. Gembala motioned to grant a conditional right to connection contingent on the procurement of the easement and the petitioner sign an agreement not to remonstrate against future annexation. Seconded by Mr. Volk. Motion passed with a vote of 3-0.
ATTEST
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/s/ Sherry P. Sury
Clerk-Treasurer
Mr. Forbes called the meeting to order at 7:09 P.M. Roll call was taken with the following members present: Michael Forbes, President; Ken Gembala, Vice-President; Gregory Volk, Member; David Austgen, Attorney; Steve Kil, Town Manager and Sherry Sury, Clerk-Treasurer.
Mr. Gembala motioned to approve Water District APV’s #3029 - #3032 for $15,308.09 and Water Utility APV’s #4298 - #4355 for $245,865.06 for a total of $261,173.15. Seconded by Mr. Volk. Motion passed with a vote of 3-0.
ATTEST
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/s/ Sherry P. Sury
Clerk-Treasurer
Mr. Forbes called the meeting to order at 7:12 p.m. Roll call was taken with the following members present: Michael Forbes, President; Ken Gembala, Vice-President; Gregory Volk, Member; Steve Kil, Town Manager; David Austgen, Attorney and Sherry Sury, Clerk-Treasurer.
ATTEST
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/s/Sherry P. Sury
Clerk-Treasurer
Michael Forbes, President | Gregory Volk | Sherry Sury, Clerk-Treasurer |
Ken Gembala, Vice President | Attorney David Austgen | Steve Kil, Town Manager |
Mr. Zender appeared before the Waterworks Board to announce the proposed budget for the Waterworks District Operating Fund, a property tax-based fund, for 2013. He stated that the proposed budget for 2013 is $312,509.00 up from $228,000.00 in 2012.
Mr. Zender stated that the reason for the increase in the budget is the factoring in of three positions, one part time employee, one full time employee and a firefighter/paramedic. He stated that the maximum levy for the Waterworks Operating fund is $215,839.00, the same as 2012. He stated that Lake County has a frozen levy and the levy cannot change. He stated this is the only fund available for the Waterworks Operating Fund.
Mr. Zender stated he would be happy to answer any questions.
There were no questions from the Board. Mr. Forbes opened the floor for Public Hearing for the Waterworks Operating Budget for 2013. There was no public comment. Mr. Forbes closed the public hearing and brought the matter back before the Board for their consideration.
Mr. Forbes stated he would entertain a motion to consider Ordinance No. WD 75 on first reading only. Mr. Volk made a motion to approve consideration of Ordinance No. WD 75 on first reading only. Mr. Gembala seconded the motion. The motion was unanimously carried by voice vote (3/0).
Attorney Austgen opened the first sealed bid received from Gough, Inc. He stated there were three items being bid, the lump sum was $413,522.00. He stated that the bid was executed, contained a Form 96 and appended to the form were the non-collusion affidavit and an oath and affirmation, a bid bond was present in the amount of 10%.
Attorney Austgen opened the second sealed bid received from Grimmer Construction, Inc. There were three items being bid, the lump sum was $417,500.00 Also included were an executed and notarized bid form, a bid bond was present in the amount of 10%, an executed and notarized Form 96 was present along with an oath affirmation and non-collusion affidavit.
Attorney Austgen opened the third sealed bid received from Gaskill & Walton Construction Company of South Chicago Heights, Illinois. There were three items being bid, the lump sum was $338,000.00 Also included were an executed bid form; a bid bond surety check in the amount of $34,000 was present, slightly over the amount being bid; an executed Form 96 was present along with an oath affirmation and non-collusion affidavit.
Attorney Austgen opened the fourth sealed bid received from Gariup Construction Company, Incorporated, of Gary, Indiana. There were three items being bid, the lump sum was $267,400.00 Also included were an executed and notarized bid form, a bid bond was present in the amount of 10% of the amount bid, an executed and notarized Form 96 was present along with an oath affirmation and non-collusion affidavit.
Attorney Austgen opened the fifth and final bid received from John Burns Construction of Orland Park, Illinois. There were three items being bid, the lump sum was $380,000.00 Also included were an executed and notarized bid form, a bid bond was present in the amount of 10% of the amount bid, an executed and notarized Form 96 was present along with an oath affirmation and non-collusion affidavit. John Burns Construction also included some supplemental information in the form of compiled financial statements.
Mr. Forbes stated he would entertain a motion on the bids. Mr. Gembala made a motion to take the five bids under consideration for review by the staff and town engineer. Mr. Volk seconded the motion. The motion was unanimously carried by voice vote (3/0.)
(The meeting was adjourned at 7:33 p.m.)
A TRUE COPY
_______________________________________________
SUSAN E. WRIGHT, RECORDING SECRETARY
Michael Forbes, President | Gregory Volk | Sherry Sury, Clerk-Treasurer |
Ken Gembala, Vice President | Attorney David Austgen | Steve Kil, Town Manager |
Mr. Maurer stated he is the engineer for the Well house #3 and Well House #5 improvement project. He informed the Board that the IDEM construction permit has been received via e-mail on this date. Mr.Maurer submitted a memorandum to the Board which summarized two separate e-mails previously sent to the Town.
Mr. Maurer explained that the October 3, 2012, e-mail forwarded to the Town contained a bid tabulation sheet. In addition, the e-mail mentioned that the low bidder, Group Construction, had written themselves into the bid as the well contractor. He explained that Addendum No. 1 to the project included that the qualifications of the well contractor was required in the list of determinants for the successful bidder.
Mr. Maurer stated that this was an important issue and Gariup Construction was contacted. Mr. Maurer stated that Gariup responded by saying they made an error, and their well contractor would be Peerless Midwest.
Mr. Maurer stated that the last e-mail attached to his submission to the Board puts to rest the request for special price consideration that was added to Gariup’s bid. He stated that this request would only apply if they were not low bidder and the low bidder was not local. The request asked for special price consideration to receive the award if they were within so many percentage points of the low bidder. The last e-mail received from Gariup confirmed the aforementioned was not applicable to their bid.
Mr. Maurer stated that Gariup Construction’s work history has been investigated. He stated that Gariup Construction has never constructed a project designed by Haas & Associates. He stated that he inspected a project that Gariup Construction did in Michigan City, Indiana, and it was successful. Mr. Maurer stated that he has found Gariup Construction to have a very good work history.
Mr. Maurer stated that the second low bidder, Gaskill & Walton, has performed satisfactorily in and for the Town of St. John.
Mr. Maurer stated that he contacted both Gariup Construction and Gaskill & Walton for information on which subcontractors would be used for this project. He stated he was informed by Gariup Construction that they did not have enough time left today to make the decisions on subcontractors, other than Peerless Midwest as the well contractor. He stated that as far as the electrical, masonry and excavation contractors Gariup claimed they needed more time to make that decision. Mr. Maurer stated that Gaskill & Walton informed him that their subcontractors would be Sweeny for electrical, Kwiatkowski for masonry and possibly D&M Excavation.
Mr. Maurer opined that the Board has two options. The first option would be to consider waiving the bid error that Gariup made and accept their bid of in the total amount of $267,400 subject to their designation of acceptable subcontractors for the project. He stated Gariup Construction has seven days to provide this information. He stated that the Board could also reject Gariup’s erroneous bid and accept Gaskill & Walton’s bid in the total amount of $338,000.
Mr. Maurer stated that they wanted to present this information to the Board for their consideration. He stated he hoped that one of the bids could be accepted tonight so that Notice of Award can be forwarded to one of the bidders along with a Construction Agreement. He stated that a Notice to Proceed should be forwarded as soon as possible as Derwin has indicated that the water use is declining to the point that he feels confident that the two wells can be taken out of service and there will still be enough water to meet the demand. Mr. Maurer stated he would be happy to answer any questions from the Board.
Mr. Gembala asked if there was anything in the bid proposals that required subcontractors to be listed. Mr. Maurer stated that the bid proposal required that only the well contractor be listed. Mr. Gembala asked if that meant they bid the job without knowing what subcontractors they were using. Mr. Maurer stated Gariup added their own name in and claimed it was an error. He stated that they may not have read what the signature was for.
(General discussion ensued.)
Mr. Volk noted the $71,000 difference in the bids. Mr. Forbes asked Attorney Austgen for his thoughts on the “so called error.” Attorney Austgen stated he did not believe this to be an error. He stated that Gariup has been in business for a long time, have performed thousands of projects, and have tens of millions of dollars in construction projects at the present time. He stated that this does not surprise him at all. He stated that the well is the specialty item on this project.
Attorney Austgen informed the Board that they, as the policy making body, are responsible for awarding the bid to the lowest responsive and responsible bidder. He stated that if the Board finds material errors, as have been identified, they can be considered as to whether or not the bid is responsive, or they can also waive the irregularity. He stated that that this is a significant amount of money in savings for the Town.
Attorney Austen noted that the recommendation of the Board waiving Gariup Construction’s error and awarding the bid seems to be the better alternative. He stated that the bid seems to comply with the law provided the Board is willing to waive the irregularities.
Mr. Volk noted that Gariup Construction is an old company. He asked if it was relevant if the Board knew what subcontractors they used. Attorney Austgen noted that their choice of subcontractors verifies the quality of work.
(General discussion ensued.)
The timeframe of the project was discussed. Mr. Maurer stated there are several milestones with final completion at 210 calendar days. Mr. Forbes asked Mr. Maurer to beef up his recommendation. Mr. Maurer stated, if pressed for his recommendation to the Board it would be Gariup Construction, the low bidder. He stated Derwin’s recommendation would be Gaskill & Walton. He stated that Derwin has worked with Gaskill & Walton before and is comfortable with them. He also stated that Gariup Construction was given a good recommendation by many people.
Mr. Gembala noted that $71,000 was a lot of money to justify spending if it was just a typographical error on a bid form. Mr. Volk stated that he is comfortable with Gariup Construction. Mr. Forbes noted that Gariup Construction is reputable, and he is comfortable with waiving the bid error. Mr. Gembala stated that his company has previously worked with Gariup Construction.
Mr. Forbes stated he would entertain a motion on the improvement project for Well #3 and Well #5. Mr. Volk made a motion to waive the bid error made by Gariup Construction and award the bid in the amount of $267,400 to Gariup Construction. The motion was seconded by Mr. Gembala. The motion was unanimously carried by voice vote (3/0).
Mr. Volk made a motion to authorize signature on the Notice of Award and Contract Agreement subject to Attorney Austgen’s review, and request Gariup Construction provide a list of subcontractors. The motion was seconded by Mr. Gembala. The motion was unanimously carried by voice vote (3/0).
Mr. Gembala thanked Mr. Maurer for keeping the Board updated on the project.
Mr. Gembala remarked that slowly but surely the hydrant painting is getting done and looking very good.
(The meeting was adjourned at 7:25 p.m.)
A TRUE COPY
_______________________________________________
SUSAN E. WRIGHT, RECORDING SECRETARY
Michael Forbes, President | Gregory Volk | Sherry Sury, Clerk-Treasurer |
Ken Gembala, Vice President | Attorney David Austgen | Steve Kil, Town Manager |
Mr. Forbes stated he would entertain a motion on Ordinance WD-75. Mr. Volk made a motion to adopt Ordinance WD-75, the Waterworks District budget for 2013. Mr. Gembala seconded the motion. The motion was unanimously carried by voice vote (3/0).
Mr. Kil stated that prior to the next meeting he would submit a sketch from the Town’s engineer, Kenn Kraus, and some preliminary cost estimates so the Board would know what the project would entail.
Mr. Volk asked Mr. Kil for an update on the Town’s water meter replacement. He stated he saw a letter drafted by Attorney Austgen for those who were not in compliance or refusing compliance with the water meter replacement. Mr. Kil stated that the project is 80 to 90 percent complete, and the Town is moving pretty quickly on this project. He estimated that the project would be complete by summer of 2013.
(General discussion ensued.)
Mr. Gembala brought up the long-range plan of water main replacement. He directed Mr. Kil to provide obtain an update on this program. Mr. Gembala recommended that Mr. Kil talk to Mr. Cender to see what money was available to keep the program going.
(General discussion ensued.)
Mr. Kil stated that next year’s plan entails going down the west side of Olcott, down 95th to the west to Northcutt where there is a stretch of water main in real bad shape which will be replaced.
Mr. Forbes asked if the Town received a security deposit for the water meters. Ms. Sury responded, “Water meter deposit. Right.” Mr. Forbes asked if interest was paid on the security deposit. Ms. Sury stated that the Town does pay interest on the security deposits. Mr. Forbes asked if it was necessary to pay interest on the security deposit. Ms. Sury stated that the ordinance would have to be changed in order to not pay interest.
(General discussion ensued.)
Mr. Forbes asked Mr. Kil and Attorney Austgen to provide the Board with a report on whether or not paying interest on the water meter security deposit was mandatory. Attorney Austgen stated that if the ordinance does not declare that interest accrues (and it is silent) then an amendment could be added to the ordinance declaring it a flat rate deposit.
(General discussion ensued.)
There was no further comment under Reports and Correspondence.
(The meeting was adjourned at 7:08 p.m.)
A TRUE COPY
_______________________________________________
SUSAN E. WRIGHT, RECORDING SECRETARY
Michael Forbes, President | Gregory Volk | Attorney David Austgen |
Ken Gembala, Vice President | Larry Bustamante | Sherry Sury, Clerk-Treasurer |
Mark Barenie | Steve Kil, Town Manager |
Mr. Kil gave the Board some background information. He stated that Mr. Massaro has made arrangements to purchase the parcel of land that Rosebud Antique sits on over a series of years. Mr. Massaro will locate a business on this parcel. Mr. Kil stated that the property needs sanitary sewer. Mr. Kil stated that he has informed both Mr. Massaro and Mr. Sevoich that since the parcel is contiguous with the Town of St. John the requirement is that the property be annexed into the community as a prerequisite to receiving sanitary sewer services.
Mr. Kil stated he has in his possession an annexation agreement signed by Mr. Ken Sevoich, the current property owner. Mr. Kil stated he will start the annexation process shortly. He stated that the parties have voluntarily agreed to annex into Town. He stated that Mr. Massaro is requesting permission to connect to the sewer system. He stated that Mr. Massaro will not be connecting to the water main at the present time, but in the event that he wishes to do so in the future he will already be annexed into the community.
Mr. Kil stated that it will take approximately 90 days to be formally annexed into Town. He stated that Mr. Massaro is seeking permission to tie into the sewer system before the annexation process is complete.
(General discussion ensued.)
Attorney Austgen commented that at any time after the sewer connection is made and before the annexation is complete, the annexation agreement could be withdrawn. Mr. Sevoich stated, for the record, that he is willing to annex his property. Attorney Austgen recommended that an executed Waiver to Remonstrate be placed in the file.
Mr. Forbes stated that he would entertain a motion to approve connection to the main sewer system by Massaro Enterprises with an executed Waiver for Remonstration. Mr. Sevoich stated he would like to place on the record that Mr. Massaro would be responsible for the exterior of the building and the “water situation.” Mr. Gembala made a motion to approve the connection to the main sewer by Massaro Enterprises for the property at 8126 Wicker Avenue with the submittal of an executed Waiver for Remonstrating. Mr. Bustamante seconded the motion. The motion was unanimously carried by voice vote (5/0).
Mr. Forbes stated he would entertain a motion. Mr. Gembala made a motion to approve the connection to the main sewer system by Lake Hills Baptist Church, 9201 West 85th Avenue, with the submittal of a Waiver to Remonstrate. Attorney Austgen recommended that the motion be contingent upon Lake Hills Baptist Church adhering to Town’s engineering and design criteria standards, per Mr. Kraus’s review. Mr. Gembala amended his motion to include that Lake Hills Baptist Church adhere to the Town’s engineering and design criteria standards. Mr. Volk seconded the motion. The motion was unanimously carried by voice vote (5/0).
(The meeting was adjourned at 7:49 p.m.)
A TRUE COPY
____________________________________________
SUSAN E. WRIGHT, RECORDING SECRETARY
Michael Forbes, President | Gregory Volk | Sherry Sury, Clerk-Treasurer |
Ken Gembala, Vice President | Attorney David Austgen | Steve Kil, Town Manager |
Mr. Forbes asked if there was any further discussion on this matter. He stated he would entertain a motion. Mr. Gembala made a motion to approve the request to write-off the bad debt in the amount of Four Hundred Seventy Two Dollars and Thirty Nine Cents ($472.39). Mr. Volk seconded the motion. The motion was unanimously carried by voice vote (3/0).
Mr. Forbes stated he would entertain a motion to adopt Resolution 12-12-20. Mr. Volk, “so moved.” Mr. Gembala seconded the motion. The motion was unanimously carried by voice vote (3/0).
Mr. Gembala requested a schedule for the 2013 water main replacement program. Mr. Kil stated that the Board will be presented with a smaller project sometime in January or February. Mr. Kil explained that a substantial amount of water construction funds were used for the Well House No. 3 and No. 5 project; for that reason, he stated that the Town will not be able to replace as much water main as previously anticipated. Mr. Kil stated there is a small section of water main in the same section where work has been done that is in need of repair.
(General discussion ensued.)
Mr. Volk asked for a report on the status of the Well House project. Mr. Kil stated that the project is progressing well and looks great.
Mr. Volk asked about the status of the project with INDOT. Mr. Kil stated that the project is being reviewed by Mr. Kraus. He stated that INDOT will be replacing a culvert and installing a wing wall and the Town will be required to relocate a water main during this project. Mr. Kil is awaiting information from INDOT.
Mr. Gembala made motion to pay Water District APVs 3054 through 3059 in the amount of $13,406.76, and Water Utility APVs 4577 through 4619 in the amount of $257,798.56. Mr. Volk seconded the motion. The motion was unanimously carried by voice vote (3/0).
(The meeting was adjourned at 7:11 p.m.)
A TRUE COPY
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SUSAN E. WRIGHT, RECORDING SECRETARY