Despite bids that came is at least twice as high as estimates, East Greenville Borough Council on Wednesday approved spending nearly $160,000 to convert the Colonial Village Clubhouse into a police headquarters.
The bid environment, the low number of bidders, a compressed construction period and the relatively small size of the project helped lead to inflated bids, according to professionals representing the municipality's contracted engineering firm.
Following a discussion with two registered engineers, council voted to award the bid to a Hereford contractor. Member Ryan Pugh cast the lone vote in opposition to a motion that will pay John Membrino $159,021 to complete the work. Membrino – one of three bidders – provided low bids for the general contracting and mechanical/electrical work, as well as three separate proposed contacting alternatives. The vote included the installation of a two-way mirror at a cost of $875 and a 3/8-inch thick steel plate for $14,899.
The work is expected to commence in August, according to council President Tracey Hunsinger. She said after the meeting that municipal officials expect the project to be concluded in 45 days. Initially, Sloyer estimated that the construction would cost between $50,000 and $75,000.
"The prices we got were a surprise to us," said Michael R. Smith, a vice president/secretary with Cowan Engineering in Quakertown.
Council member Chrystal Connolly expressed incredulity at the price discrepancy between the cost estimate and the bid prices. "Never in my life have I ever seen anything this far off," she said. "I am blown away."
According to Smith, the borough's aggressive time frame to complete the project and minor proposed changes on a project of this scope significantly inflated the cost.
"Talking to bidders during pre-bid meeting, the time frame was a major concern," he said, explaining that a tight bidding period prevented the contractors from soliciting prices from multiple subcontractors. "Those elevated concerns are part of the price."
According to Scott McMackin, a vice president and director of land development engineering with Cowan Engineering, his firm was directed to complete the entire process in a compressed period of two or three weeks. Also, he said most contractors are currently focused on completing projects.
"This is the construction season, not a bidding season," McMackin said.
On May 18, borough official requested that the engineer submit the bid specifications and cost estimates by March 22. Smith said his firm obliged.
However, Smith and Sloyer disagreed on the whether or not those estimates were preliminary or final.
"It looks like there was a miscommunication," Hunsinger said.
According to the engineer, the municipal officials were still "picking and choosing" design options on May 18.
"That's three working days," Smith said. "We can't design a building in three days and provide you with a total cost estimate in three days."
According to Sloyer, borough officials changed the design several times due to input from Police Chief Drew Skelton.
Uncertainty over the condition of the existing HVAC equipment in the clubhouse created a problem for the bidding contractors, too, according to Smith. He said all three contractors proposed installing a new system.
Issues related to the HVAC accounted for approximately 20 percent of the overall cost, according to McMackin.
Additionally, borough code required the engineers to include special air ventilation for proposed holding and booking areas.