Well contractor asks to be forgiven $23,100 late charge

During its regular Monday, Oct. 1. meeting the El Dorado Springs City Council heard the well contractor asked be forgiven the $23,100 in late charges because he missed by 33 days the July 20 deadline on completing Well No. 6 at $700 per day.

Members present were Mayor Brad True, Mayor Pro Tem Randy Bland and Council Members Nick Bland and Jim Luster.

Personnel present were Bruce Rogers, City Manager; Lisa Allison, City Clerk and Kandi Baldwin, City Clerk.

Kimball Long was present from the media.

Jeff Ceperley, Anderson Engineering, was present along with Lester Southard and Roger Grimes, Southard Construction, to discuss a change order and potential liquidated damages on the water well No. 6 project. Ceperley explained there had been a “Bit of an issue with time on completing the project.”

Ceperley commented that construction went well and all was on track to complete by the July 20 deadline. When doing the inspection on July 18, it was discovered that the line filters had not been installed.

Ceperley feels this was an accidental oversight on the contractor’s side and would like the Council to take this into consideration before deciding whether to assess liquidated damages.

Ceperley told the Council it took approximately a month to get the filters. Ceperley didn’t realize until later that the well was actually operational on July 20 as the system could have been over ridden.

Ceperley also mentioned alternate items were added to the project including the old pump house torn down and disposed of per DNR specs and that no additional time was added to the project completion date.

If the $700 per day liquidated damages are assessed for the 33 days the project went over, the total that would be charged to Southard would be $23,100. Southard wiped out the original change order for $1,128 and also covered the cost of the missing filters in the amount of $5,000.

Luster asked why there are liquidated damages in the contract if they would not be imposed and Ceperley stated the reason for liquidated damages is to make sure the contractor shows up and does the work and to cover any damages to the City caused by the project not being completed on time.

Southard mentioned they have electronic correspondence with AC Electrical, the company that manufactured the pump, showing that the filters were to be part of the project and asked for forgiveness for their oversight causing the project to go over the deadline. After more discussion, on a motion by True, seconded by Luster, the Council voted to table the decision until the next meeting.

During the public forum, Tate Thoreson, 119 Winner Rd, wanted to discuss the possibility of the City selling 3-8 acres in the southwest corner of the Nine Wonders property. Thoreson would like to purchase the property to build a house.

The potential walking trail that would be around the pond was discussed. R Bland stated he had no problem checking into it and going from there. True commented the City would take it under advisement with Thoreson getting more information.

Kimball Long, Spring City Revitalization Group, announced the chili cook off will be Oct. 20 and requested that Spring St. be blocked off. On a motion by Luster, seconded by R Bland, the Council voted unanimously to approve the request.

Resolution 18-28 extending the land use agreement between the city and the El Dorado Springs Community Garden was presented and read in full. Rogers stated there were representatives at the last meeting explaining how the first year went with the project and requesting an extension to November 2021. Rogers commented some language was cleaned up regarding the City’s right to reclaim the property if it is needed.

On a motion by Luster, seconded by N Bland, the Council voted unanimously to approve the resolution.

Resolution 18-29 awarding the bid for radios, speaker microphones and extra batteries was presented and read in full.

Rogers commented this is for radio equipment for the police department that was approved in last year’s budget in a finance package. On a motion by R Bland, seconded by Luster, the Council voted unanimously to approve the resolution.

Bill No. 18-12, Ordinance 1916, an ordinance adopting a comprehensive budget for fiscal year 2018-19 for the city, was presented and read in full for the first reading and by title only on the second and final reading.

Rogers reminded the Council there is a 11⁄2% cost of living included in the proposed budget. Rogers mentioned the three large ticket items that were requested but not recommended, stating later in the year they could be purchased with another finance package. On a motion by N Bland, seconded by R Bland, the Council voted unanimously to approve the ordinance on the first reading. On a motion by True, seconded by Luster, the Council voted unanimously to approve the ordinance on the second and final reading.

During his City Manager report, Rogers told the Council the oil distributor truck has been repaired, so the street projects can be completed.

Rogers stated the water department is continuing to work on water projects and the other departments are winding down from the summer.

Rogers announced the bid opening for the sidewalk project is scheduled for Oct. 29.

During the Mayor/Council report, R Bland said he had been contacted regarding the weeds and trees in the ditch at Hwy. 54 and First St. across from Woods. Rogers will check into it and stated it is on a highway right-of-way.

Rogers stated he was contacted about the city mowing all of the right-of-ways in town and said the City doesn’t have the time or manpower to do this and that it is the responsibility of the landowner.

N Bland had a citizen comment about the tree at Hwy. 32 and Hospital Rd. that obstructs the view at the intersection. Rogers stated he had turned that over to the police department.

Luster wanted to thank Rogers for the budget preparation and feels he does a good job balancing the City’s funds.

Kimball Long, Sun newspaper, asked when the vacant council seat would be filled and Rogers responded,  “Soon.”

At 6:21 p.m., on a motion by Luster, seconded by N Bland, the Council voted unanimously to adjourn.