Sioux City Council to vote Monday on well replacement contract

SuBSurfco, LLC, a South Sioux City general contractor, was the sole bidder for the well project when it went out for bid early this month. Their estimate, $1,756,205.35, was 53 percent higher than the engineer’s estimate of $1,144,807, according to the city council’s agenda. 

The project would replace Well No. 2, which was built in 1971. 

“During the last well rehabilitation effort, some major deficiencies were found in the well casing rendering the well inoperable. The decision was then made to offset and redrill a new well to regain the lost capacity,” the city council agenda item says. 

The project should be complete by June 30, 2024. It will be paid for with federal American Rescue Plan funds. 

The Council will also vote Monday on a resolution to authorize city staff to negotiate with U.S. Bank to provide banking and ancillary services to the city for a period of five years, with three possible one-year extensions. 

The city has banked with Wells Fargo fore more than 50 years, according to the council agenda. A Request for Qualifications (RFQ) for Banking and Ancillary Services was issued in February and proposals were submitted in March. 

Proposals were received from Central Bank, First Interstate Bank, U.S. Bank, and Wells Fargo. Interviews were held in April with Wells Fargo and the Minneapolis-based U.S. Bank. 

The city is expected to see savings of around $2,000 per month on general banking services with U.S. Bank, and will save another $800 or so per month on processing services for card transactions, according to the agenda item. 

YMCA demolition contractor 

The Council will be asked Monday to approve a contract with Sioux City-based Hebert Construction to tear down the deserted YMCA at 722 Nebraska St. 

Four bids were received when the demolition project went out to bid last month. Herbert Construction’s bid, $390,500, was by far the lowest; the bid came in at 48 percent under the engineer’s estimate. 

The old YMCA was built in 1956 and has sat vacant since 2009, when the Siouxland YMCA sold it and moved across the river to the Norm Waitt Sr. YMCA building on the South Sioux City riverfront. The building has changed hands twice since then and its condition has gone downhill. The council first issued a demolition order on the property in April 2018. 

The Council will also be asked Monday to award a $2.2 million contract to Sioux City-based Nelson Commercial Construction to construct an aircraft hangar at the Sioux Gateway Airport/Brigadier General Bud Day Field.

Bids for the project were due last month. Nelson submitted the lower of two bids received, though it was still still 10.8 percent more than the engineer’s estimate. 

Construction on the 10-unit T-hangar is expected to begin in October and should be completed within 70 working days, according to the council agenda item.