Six companys submitted bids ranging from $192,447 to $243,120. The engineer's estimate was $230,000.
Ron Mergen, public works director, said work will probably start on the new well within a month.
The council also approved a purchase agreement for the Ampe property on the eastern edge of Paynesville by Morning-side Addition. One of the new wells will be located on this site.
The awarding of the well bid was contingent upon the signing of the Ampe agreement. The city purchased 12.3 acres at a cost of $5,500 per acre for the new well site. The other new well will be located behind Precision Electric south of Highway 55.
The council named Gayla Orbeck and Mergen as interim co-city administrators to sign checks and make decisions while Dennis Wilde, city administrator, is on medical leave. Wilde underwent heart by-pass surgery recently and is recuperating at his daughter's home. He is expected to be out for more than a month.
Monte Eastvold, financial consultant for the city, presented the bids for the city's bonds for the 2000 street project.
"I feel we received good bids which were relatively close together," Eastvold told the council. The city received three bids with Bernardi Securities being the low bidder with a purchase price of $1,261,068 and an interest rate of 5.576 percent. The bonds will be paid for over a 10-year period.
Pete Carlson, city engineer, informed the council they would not be able to do the frontage road from Hudson Street to Maple Street as a change over with the 2000 street project. "We need a signed cooperative with the Minnesota Department of Transportation which will take three months to receive," he said.
Carlson told the council that if they want to proceed with the project, while the equipment is in town, it could be combined with the WilGlo Acres project. Another option would be to bid the project out separately. MnDOT is committed to paying $50,000 toward the project.
The council discussed how they would cover the difference, the cost over the $50,000. Would they assess the neighboring property owners or cover the expense themselves since it addresses a safety issue. No decision was made.
The council set 6:30 p.m. on Wednesday, May 24, for a public hearing for WilGlo Acres, a development being proposed by Willie Scheel. The project is located on an undeveloped section of town on the western edge of Paynesville, north of the North Fork Crow River.
Scheel has discussed annexation of the property into the city with Paynesville Township. Mergen has received a letter from the township acknowledging the request for annexation into the city.
Bill Spooner, city attorney, said there is a 30-day process for the state to review the annexation request before it is official.
The council advised Mergen to take the annexation request to Paynesville Township in draft form for their legal approval.
Carlson said he would have the final plans for the project ready for the council's approval by the first June meeting.
The council approved hiring Haegele Underground Inc., Clearwater, to do directional boring on Minnie Street to extend the water and sewer lines to a homeowner. The cost of the boring is expected to be about $4,600.
The council approved hiring DuDonne Andrie as the new motor vehicle clerk.
The council approved a beer license to Koronis Lanes and refuse licenses to West Central Sanitation, Willmar, and Superior Services-Central Minnesota.
The council approved hiring Jamie Soine and Len Gilmore as firefighters.
The council appointed Keith Hemmesch to replace Kevin Rausch on the public works committee.
The council approved the parade permit for the Town and Country Days grand parade on June 21. The parade route will remain the same as last year, starting at the Industrial Park loop, heading west down Minnie Street to Washburne Avenue. The parade will then proceed south to Mill Street where it will turn west and proceed to Maple Street. At the corner of Maple Street the parade will turn south and end at the St. Louis Catholic Church parking lot.
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