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City Administrator Ulrich stated he would check with DEED regarding other grant opportunities. 4.02: Review RFQ for Demolition of Buildings Located on 8020 147 Ave NW Management Analyst Brama presented the staff report and advised an RFQ was sent to six vendors with three responses received. He presented the three bids received in response to the RFQ and stated the lowest bid was from Sauter & Sons for $23,500. He indicated the lowest bid came in approximately $10,000 less than the next bid and staff contacted Sauter to make sure there was no discrepancy in their bid but staff has not yet heard from Sauter. Chairperson Riley felt the City should follow up with Sauter to make sure their bid was appropriate and asked about the City's estimate for the project. He also asked if staff feels Sauter is qualified to perform the work. Management Analyst Brama stated the City did not prepare an estimate, explaining this project did not need to go through a formal bid process and instead used a quote process. He added that the City has used Sauter & Sons on its last two projects. Member Wise referenced item #15 of the RFQ which states upon awarding the project, the City reserves the right to remove fixtures and equipment from the property, including buildings, for up to 20 days and felt it was hard to believe someone would bid on this with that language because the scrap material is worth a lot of money to these contractors. Management Analyst Brama advised the purchase agreement with the previous owner included a 20 -day guarantee that allowed the previous owner to purchase items from the property before selling or demolishing the building. He indicated that is not a binding agreement and the City has no obligation to sell anything to the previous owner. He stated the City prepared an addendum to the RFQ and informed the contractors to prepare their quote based on the assumption that everything in the building is available to them if they want it. Management Analyst Brama stated the final date of completion of the project is in November and at that time, the City would market the property for sale. Member McGlone recommended that the City not wait to put the property on the market, stating that any buyer should understand it has to wait for completion of the demolition. Chairperson Riley suggested putting signage on the site saying the property is available and providing contact information for the City. Management Analyst Brama indicated he would put a property profile on the City's website and work on advertising the site. Motion by Member LeTourneau, seconded by Member Steffan, to recommend that the City Council approve Sauter & Sons as the lowest responsible bidder for the demolition of buildings and site clean -up on the property located at 8020 147 Avenue NW. Economic Development Authority /September 13, 2012 Page 3 of 9