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Bid issue with Phase II

Garling Construction owner disputes Roundhouse Phase II bidding process

A second round of public bids has come in on Phase II of the Marshalltown High School Roundhouse project, and one construction company took issue with the district’s bidding process at Monday’s Marshalltown School Board meeting.

“We’re here because Garling (Construction Inc.) and Mr. (Doug) DeMeulenaere take issue with the plans and specifications that were put in place for the gym and wrestling room addition at the high school,” said attorney Bob Hatala of Cedar Rapids law firm Simmons, Perrine, Moyer, Bergman P.L.C. at a public hearing on the Phase II Monday. “It’s not so much the plans and specs as designed, but it’s the use of the voluntary alternate; it’s Garling’s position, and I think it’s well-supported in Iowa state law, that voluntary alternates are not allowed.”

A voluntary alternate allows for changes to be made to construction plans and specs after that project contract is awarded to a construction company through public bidding. Hatala said the district’s bid documents allowed for voluntary alternates to be used on the foundation of Phase II.

“The reason voluntary alternates are not allowed in the bidding process is because it defeats the purpose of competitive bidding,” Hatala said. “The voluntary alternate for the foundation is something, in this case, where it’s left the contractor to do the design.”

He also argued that, without voluntary alternates taken into consideration, the Cedar Rapids-based Garling would have had the low bid on Phase II.

DeMeulenaere, the owner and CFO of Garling, said he was concerned that changes could be made to the foundation system for Phase II compared to the existing foundation.

The existing structure sits on a deep-lying caisson foundation, and it’s that kind of foundation the district’s hired design firm, FEH Design Inc., used in its plans and specs. However, DeMeulenaere said the voluntary alternates used in the bidding process could allow for the awarded contractor to use a different deep-drilled material than the recommended system.

“I think the amount of risk that one may assume in taking a voluntary alternate is extremely high, and as a taxpayer, it’s troubling to me that we would take that risk on a project that came within 3 percent of your desired budget,” he said. “The Roundhouse that we have now — I know for a fact because I’ve looked at previous work on that building — it’s crumbling, it’s very fragile.”

DeMeulenaere said the Roundhouse’s structure has not settled since it was built in 1964, and all of the six additions made to it since have used the same caisson foundation as the original structure.

“You introduce a different deep-foundation design on this building, I can guarantee you there’s going to be an inch, minimum, settlement,” he said, adding such a difference in settlement between two connected parts of the building would cause serious issues.

Another argument was that voluntary alternates can cause construction companies to do design work, which is supposed to be done by a separate entity before bids are sent out.

“You have an allowance in your bid of $12,000 to do soil remedies,” DeMeulenaere said. “I have not a clue what kind of soil remedies, or adds or subtractions to that voluntary alternate you’re going to get into once you have the final design done, nobody in this room does.”

Later in the meeting, the board decided to table the item that called for the awarding of contract of Ball Team Construction LLC of Urbandale. That company’s bid came in at $6,686,000 for the project.

“What we believe should happen here is that the bids should be considered without consideration of the voluntary alternates, which, of course, makes Garling the low bid,” Hatala said.

The board members had no further comment on the issue, and spoke with legal counsel in a closed session after the regular board meeting.

DeMeulenaere said the discussion brought up at Monday’s meeting “has absolutely nothing to do with Ball (Team) Construction,” but with, in his opinion, “what’s right.”

In other business

The board approved the installment of a new chiller unit at Miller Middle School to replace an older, defunct unit at the price of $110,683. The unit is to be installed by B & G HVAC.

District Director of Special Services Matt Cretsinger requested permission to purchase special education literacy materials from Really Great Reading and Houghton Mifflin Harcourt, which the board approved.

The total purchase price for the materials is $63,748.59, with $24,151.59 to Houghton Mifflin Harcourt and $39,597 to Really Great Reading. Houghton Mifflin’s portion is to be paid over three years.

Also passed Monday were the final 2017-18 board and superintendent goals. The district’s state legislative priorities were also passed and will go to the Iowa Association of School Boards for consideration in their list of priorities.

Among the district’s priorities is the repeal of the 2029 sunset date on the Secure an Advanced Vision for Education (SAVE) statewide penny sales tax. Also included is support for early literacy, English language learners and at-risk students. More localized control of the district’s school calendar is another priority.

The next Marshalltown School Board meeting is set for 5 p.m. Sept. 5 at the Central Administration Office, 1002 S. 3rd Ave.

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Contact Adam Sodders at (641) 753-6611 or asodders@timesrepublican.com

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