Any savings will be passed on to Hollister residents in the form
of lower sewer bills.
Hollister – Despite recent delays and confusion, the second phase of construction in Hollister’s wastewater treatment project is set to begin by the end of August, and it should cost less than expected.

The City Council recently awarded the contract for building the plant’s seasonal storage ponds, which will hold treated wastewater during the rainy season, to national firm Phillips and Jordan.

The city actually went out to bid on the project twice.

After receiving the first round of bids, city engineers discovered several misunderstandings between the city and the bidding companies, so they advised councilmembers to reject the bids.

Before rejecting the first bids, some councilmembers said they were worried about the wastewater project’s budget and timeline. But Phillips and Jordan estimated that construction will cost $8.6 million, well under the $13.5 million engineering estimate – and also $50,000 less than previous low bidder C. Overaa and Company.

“I think it’s excellent news, especially for residents,” Councilwoman Monica Johnson said Thursday.

Any savings will be passed on to Hollister residents in the form of lower sewer bills, Johnson said. Councilmembers drew fierce criticism from many locals when after they raised those rates in 2006 to fund construction of the new treatment plant. The city needs to complete the plant to end its state-imposed building moratorium, which began in 2002 after the sewage spill into the San Benito River bed.

Johnson also noted that the $50,000 savings outweighed the $5,000 cost of going out to bid a second time.

“What was important to me was that it didn’t cost us anything,” she said.

City Engineering Manager Steve Wittry admitted he was “relieved” when he saw Phillips and Johnson’s bid. Two extra companies submitted proposals in the second round of bidding, including Phillips and Johnson.

“I was kind of surprised because it was a very short bid period,” Wittry said.

The second round of bidding delayed the construction contract by four weeks, but Wittry has said the firm shouldn’t have any problems meeting the Dec. 2008 deadline. C. Overaa and Company began construction on the first phase of the project – the treatment plant itself – in December 2006. And the city hopes to have a site finalized for the third phase, the sprayfields to dispose of treated wastewater, by the end of the year.

Overaa has filed a protest questioning Phillips and Johnson’s bid, Wittry said. But such protests are standard for projects of this size, and all of Phillips and Johnson’s reference checked out, he said.

Anthony Ha covers local government for the Free Lance. Reach him at 831-637-5566 ext. 330 or

ah*@fr***********.com











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