7800 Chavenelle Building Remodel Project - Award Public Improvement ContractCity of Dubuque
City Council
ACTION ITEMS # 4.
Copyrighted
March 2, 2026
ITEM TITLE: 7800 Chavenelle Building Remodel Project - Award Public
Improvement Contract
SUMMARY: City Manager recommending City Council award the Public
Improvement Construction Contract for the 7800 Chavenelle
Building Remodel Project to Portzen Construction, Inc. in the
amount of $441,000.00, which is 21.4% below revised
estimate of probable cost, through adoption of the attached
resolution.
RESOLUTION Awarding Public Improvement Contract For
The 7800 Chavenelle Building Remodel Project
SUGGUESTED Receive and File; Adopt Resolution(s)
DISPOSITION:
ATTACHMENTS:
1. MVM Memo 7800 Chavenelle Building Remodel Project Award Public Improvement
Contract
2. 7800 Chavenelle Building Remodel - Staff Award MEMO
3. 7800 Chavenelle Building Remodel - Council Award RESOLUTION
Page 700 of 939
THE CITY OF
DUBE
Masterpiece on the Mississippi
TO: The Honorable Mayor and City Council Members
FROM: Michael C. Van Milligen, City Manager
SUBJECT: 7800 Chavenelle Building Remodel Project
Award Public Improvement Contract
Project No. 7462000003
DATE: February 24, 2026
Dubuque
AI WIN av
2007-2012.2013
2017*2019
Assistant City Engineer Robert Schiesl and Chief Financial Officer Jenny Larson are
recommending City Council award the Public Improvement Construction Contract for
the 7800 Chavenelle Building Remodel Project to Portzen Construction, Inc. in the
amount of $441,000.00, which is 21.4% below revised estimate of probable cost,
through adoption of the attached resolution.
I concur with the recommendation and respectfully request Mayor and City Council
approval.
Mic ael C. Van Milligen
MCVM:sv
Attachment
cc: Crenna Brumwell, City Attorney
Cori Burbach, Assistant City Manager
Gus Psihoyos, City Engineer
Robert Schiesl, Assistant City Engineer
Jenny Larson, Chief Financial Officer
Joe Pregler, Chief Information Officer
Tony Breitbach, Purchasing and Risk Manager
Jim Bousley, Project Manager
Page 701 of 939
THE CITY OF
DUB E
Masterpiece on the Mississippi
TO: Michael C. Van Milligen, City Manager
FROM: Robert Schiesl, Assistant City Engineer
Jenny Larson, Chief Financial Officer
SUBJECT: 7800 Chavenelle Building Remodel Project
Award Public Improvement Contract
Project No. 7462000003
DATE: February 24, 2026
INTRODUCTION
Dubuque
MI -America City
2007-2012.2013
2017*2019
The purpose of this memorandum is to provide the City Council with information related
to the recommendation for awarding the Public Improvement Construction Contract for
the 7800 Chavenelle Building Remodel Project.
BACKGROUND
With the IT Department and E911 recently relocated to 7800 Chavenelle Road,
approximately 5,667 square feet of vacant space is now available in Unit 6. This area
includes 20 cubicles, three offices, a conference room that can be divided into two
offices, a technology closet, and a break room. Its proximity to IT Department makes it
an ideal location to meet current and future space needs for the Finance Department
and boost collaboration with IT staff.
The Accounting, Budget, and Payroll functions of the Finance Department will be
relocated to Unit 6 at 7800 Chavenelle Road. The Utility Billing operations will remain at
City Hall to continue providing assistance to residents with bill payments, new service
requests, and other utility -related needs.
This relocation to the 7800 Chavenelle Road building addresses both immediate and
future space requirements, promotes better collaboration with IT staff on software
development, financial systems integration, and joint projects, frees up space at City
Hall, enhances operational efficiency and staff comfort, and supports growth and
technological advancements.
In the short term, the needs include four offices (for the CFO, Purchasing/Risk Manager,
Finance Manager, and Budget Manager), 15 cubicles (for Budget Analysts,
Accountants, Interns, Payroll Analyst, Finance Project Manager, and Safety
Coordinator), as well as a break room, storage area, shared restrooms, and conference
and training rooms. In the long term, additional office space and cubicles will be
required to accommodate future staffing growth.
Page 1 of 3
Page 702 of 939
The 7800 Chavenelle Road Unit 6 space has 18 existing cubicles and includes five
office spaces. Shared facilities comprise an auditorium, conference room, restrooms,
and a break room.
The lease -to -own agreement covers five years, with Unit 6 added to the existing IT
Department lease that started in January 2024. The IT Dept lease includes a base rent
of $10.00 per square foot plus a portion of operational costs and utilities based on area.
The Finance Department will pay the same base rent rate and $3.78 per square foot per
year for maintenance, insurance, and tax payments, bringing the total annual expense
to roughly $78,091 (including $21,421 for operational costs and utilities) for 5,667
square feet. At the end of the term, the City would buy Unit 6 for $1,000. Dubuque
Childcare Collaborative, LLC has agreed to modify the IT Department (Unit 4) lease to
include the Finance Dept (Unit 6) lease, with the Finance Department portion of the
lease ending in December 2030.
Joe Pregler, Chief Information Officer, has identified additional construction needs. The
carpet in their space is worn and poses tripping hazards. Staff changes, including the
addition of GIS and a data analyst, require more offices and better sound management
in cubicles. The shared conference room is now too small for the number of staff,
necessitating a new conference room for both Finance and IT Departments.
DISCUSSION
Before Accounting, Budget, and Payroll can relocate, the 7800 Chavenelle Road Unit 6
space will need to be remodeled. The scope of the remodel project will include removal
and replacement of carpeting, modifications to the HVAC mechanical system, electrical
work, installing three doors, add hallway storage, dividing the conference room into two
offices, modifying workstation cubicles, and expanding the security access control
system.
As part of the 7800 Chavenelle Building Remodel Project, the IT Department workspace
will also be remodeled, which will include removal and replacement of carpeting,
building four more offices and a larger conference room, modifying workstation cubicles,
and constructing a door to separate the IT Department from the Data Center.
BID RESULTS
The City received sealed bids on February 19, 2026, for the 7800 Chavenelle Building
Remodel Project. Portzen Construction, Inc. submitted the low base bid in the amount
of $441,000.00 which is 21.4% below the revised estimate of probable cost. A summary
of the bid proposals received is as follows:
Contractor Name
Base Bid
Alternate Base +
Alternate
Portzen Construction, Inc.
$425,000
$16,000
$441,000
Sheets Design Build, LLC
$434,400
$14,600
$449,000
Conlon Construction Co.
$469,500
$11,000
$480,500
Page 2of3
Page 703 of 939
ALTERNATE BID NO. 1
As part of the project, the bid documents included Alternate Bid No. 1 to provide an
HVAC mini -split system for the IT Department meeting room with alternate ductwork.
RECOMMENDATION
I recommend that the public improvement contract for the 7800 Chavenelle Building
Remodel Project be awarded to Portzen Construction, Inc. of Dubuque, IA for both the
Base Bid and the Alternate Bid No. 1 (add HVAC mini -split) in the amount of
$441,000.00.
BUDGETIMPACT
The estimate of probable cost for the 7800 Chavenelle Building Remodel Project is
summarized in the following table:
PROJECT COSTS
REVISED
ESTIMATE
AWARD
Construction Contract + Alternate Bid No. 1
$ 540,497
$ 441,000
Contingency
27,000
31,900
Consultant Services Design - 563 Design
35,000
35,000
Engineering Dept Staff Services - Project Management
5,000
5,000
Total Project Cost
$ 607,497
$ 512,900
The proposed funding for the project is summarized in the following table:
PROJECT NO.
FUND DESCRIPTION
FUND
AMOUNT
7462000003
7800 Chavenelle - Finance Relocate
$ 512,900
Total Project Funding
$ 512,900
Funding currently available for this project was budgeted through the reallocation of
sales tax funds through the FY25 budget carry-over process.
ACTION TO BE TAKEN
I respectfully request that the City Council award the Public Improvement Construction
Contract for the 7800 Chavenelle Building Remodel Project to Portzen Construction,
Inc. in the amount of $441,000.00 through adoption of the attached resolution.
Prepared by Robert Schiesl, Assistant City Engineer
cc: Jenny Larson, Chief Financial Officer
Joe Pregler, Info Services Manager
Tony Breitbach, Purchasing and Risk Manager
Jim Bousley, Project Manager
F:\PROJECTS\Facilities - Chavenelle Finance IT Bldg Remodel\Council & Staff Documents
Page 3of3
Page 704 of 939
Prepared by Robert Schiesl, Assistant City Engineer, City of Dubuque, 50 W. 13th St. Dubuque IA 52001 (563)589-4270
Return to Adrienne N. Breitfelder City Clerk City of Dubuque, 50 W. 13th St. Dubuque, IA 52001 (563)589-4100
RESOLUTION NO. 74-26
AWARDING PUBLIC IMPROVEMENT CONTRACT FOR THE 7800 CHAVENELLE
BUILDING REMODEL PROJECT
WHEREAS, sealed proposals have been submitted by contractors for the 7800
Chavenelle Building Remodel Project, (the Project) pursuant to Resolution No. 18-26 and
Notice to Bidders published on the City of Dubuque, Iowa website and plan room service
with statewide circulation on the 23rd day of January 2026; and
WHEREAS, said sealed bid proposals were opened and read on the 19th day of
February 2026 and it has been determined that Portzen Construction, Inc. of Dubuque,
Iowa, in the bid amount of $441,000.00, is the lowest responsive, responsible bidder for
the Project.
NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF DUBUQUE, IOWA:
SECTION 1. That a Public Improvement Contractforthe Project is hereby awarded
to Portzen Construction, Inc. and the City Manager is hereby directed to execute a Public
Improvement Contract on behalf of the City of Dubuque for the Project.
Passed, approved, and adopted this 2nd
Attest:
Adrienne Breitfelder, CIVIC City Clerk
day of March 2026.
.• -..-Igh,Mayor