Private Lead Service Line Replacement Pilot Program - Phase 2 - Award Construction ContractCity of Dubuque
City Council
ACTION ITEMS # 2.
Copyrighted
July 6, 2026
ITEM TITLE: Private Lead Service Line Replacement Pilot Program -
Phase 2 - Award Construction Contract
SUMMARY: City Manager recommending awarding of the Private Lead
Service Line Replacement Pilot Program - Phase 2 (CIP No.
4281000050) to JQ Construction LLC of Waterloo, Iowa in
the amount of $2,230,773.00, which is 32.8% lower than the
estimate.
RESOLUTION Awarding Contract for the Lead Service Line
Replacement - Phase 2 Project
SUGGUESTED Receive and File; Adopt Resolution(s)
DISPOSITION:
ATTACHMENTS:
1. MVM Memo Private Lead Service Line Replacement Pilot Program - Phase 2 -
Award Construction Contract
2. Staff Memo - Water LSLR P2 Bid Award Memo
3. Water LSLR P2 Engineer's Award Recommendation Letter
4. Resolution - Updated 7.2.26
Page 832 of 853
Dubuque
THE CITY OF
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TO: The Honorable Mayor and City Council Members
FROM: Michael C. Van Milligen, City Manager
SUBJECT: Private Lead Service Line Replacement Pilot Program - Phase 2 - Award
Construction Contract
DATE: June 30, 2026
Water Department Director Christopher Lester is recommending City Council award the
Private Lead Service Line Replacement Pilot Program - Phase 2 (CIP No. 4281000050)
to JQ Construction LLC of Waterloo, Iowa in the amount of $2,230,773.00, which is
32.8% lower than the estimate. Due to timing of the project, the funding for this project
will be subject to the first budget amendment in FY27.
I concur with the recommendation and respectfully request Mayor and City Council
approval.
v
Mic ael C. Van Milligen
MCVM:sv
Attachment
cc: Crenna Brumwell, City Attorney
Cori Burbach, Assistant City Manager
Christopher Lester, Water Department Director
Jennifer Larson, Chief Financial Officer
Laura Bendorf, Budget Manager
Eldon Schneider, Water Project Supervisor
Carl Plumley, Water Distribution Supervisor
Page 833 of 853
THE CITY OF
Dubuque
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Masterpiece on the Mississippi
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TO: Michael C. Van Milligen, City Manager
FROM: Christopher Lester, Water Department Director
DATE: June 26, 2026
SUBJECT: Private Lead Service Line Replacement Pilot Program - Phase 2 - Award
Construction Contract
INTRODUCTION
The purpose of this memorandum is to request the City Council award the Private Lead Service
Line Replacement Pilot Program - Phase 2 (CIP No. 4281000050) to JQ Construction LLC of
Waterloo, Iowa in the amount of $2,230,773.00. Due to timing of the project, the funding for this
project will be subject to the first budget amendment in FY27.
BACKGROUND
The City of Dubuque is taking part in a unique opportunity to assist approximately 575
homes in three phases (owner occupied or rented) within the city with the functional
replacement of private lead water service lines by trenching or pull -through methods to
prevent the potential for drinking water contamination at a house -by -house level. This phase
of the pilot program is 100% voluntary and is open to those residents with a verified drinking
water lead service line meeting the socioeconomic guidelines established by the Bipartisan
Infrastructure Law.
The City has moved forward with this unique opportunity and has secured a level of BIL funding
to conduct the first of its kind in the community, the Lead Service Line Replacement Pilot
Program. The BIL funds are being administered locally through the Iowa Department of Natural
Resources' State Revolving Fund (Iowa SRF) program, with 49% of construction costs being
forgivable.
The first phase of work was completed in the Fall of 2025 and accepted by the council in March
of 2026. It includes the replacement of 133 lead service lines and provided valuable
implementation information that has guided planning, design, and construction requirements for
the next phases of the pilot program.
The scope of work in the second phase includes the replacement of approximately 210 lead
service lines identified throughout the City's water distribution service area. Actual replacement
numbers will be based on Bids from Contractors for unit price items associated with each site.
Page 834 of 853
The scope of work in the third phase includes the replacement of approximately 200 lead
service lines identified throughout the City's water distribution service area. Phase 3 is planned
to go to Bid in late 2026 for construction work in the 2027 construction season.
The nature of the replacements varies from site to site, ranging from full replacements (public
water main to interior plumbing) to partial replacements where the service materials are a
combination of lead and copper (a portion of the service line between the public water main and
the interior plumbing). Work is being conducted within the City's right-of-way and on private
properties with authorization from property owners.
In March 2025, Origin Design was awarded the design for the project, which included final plans
and specifications for Bidding. Origin Design has completed the plans and specifications for the
Private Lead Service Line Replacement Pilot Program - Phase 2 project. The scope of work and
bidding documents have been finalized and are now ready to be advertised for bidding.
The scope of work in this phase includes the replacement of approximately 210 lead service
lines in the City's distribution system. The nature of the replacements varies from site to site,
ranging from full replacements (public water main to interior plumbing) to partial replacements
where the service materials are a combination of lead and copper (a portion of the service line
between the public water main and the interior plumbing), and includes various surface
restorations including curb and pavement replacement and seeding.). Work is being conducted
within the City's right-of-way and on private properties with authorization from property owners.
The project will be funded through both Iowa SRF and Water Construction Fund sources. This is
primarily due to the nature of the work, as certain private portions of the work, required for a
complete project are not eligible for reimbursement through the Iowa SRF program.
The Engineer's Construction Cost Estimate is $3,320,000.00, of which $2,720,000 is SRF-
eligible and loan -forgiveness eligible, and $600,000.00 is not SRF-eligible. The Engineer's
Construction Cost Estimate is based on completing the entire pool of 210 sites included in the
project scope. The Bidding Documents and Contracts prepared for the project include limitations
on project scope based on available budget from the associated sources. The Engineer and
Water Department will monitor construction progress and end all Work under the Contract at or
near the designated maximum funding amount for construction activities, regardless of
completion of Work at all indicated sites. The limits are $1,700,000.00 for SRF-eligible items
and $500,000.00 for not SRF-eligible items.
DISCUSSION
The City Council approved Bid Initiation proceedings at its meeting on May 18, 2026, and the
project was publicly advertised on May 22, 2026.
The public hearing for reviewing the proposed plans and specifications, form of contract, and
estimated project cost was conducted on June 1, 2026. At that meeting, the Council granted
approval of the plans, specifications, form of contract, and estimated cost for the project.
Sealed bids for the Private Lead Service Line Replacement Pilot Program - Phase 2 contract
were received and publicly opened on June 25, 2026. JQ Construction LLC of Waterloo, Iowa
submitted the apparent low bid in the amount of $2,230,773. A summary of the bid proposals
received is as follows:
2
Page 835 of 853
Item No.
Contractor Name
Lump Sum Bid
Amount
1
JQ Construction LLC
$2,230,773.00
2
Midwest Concrete, Inc
$2,971,504.00
3
Portzen Construction
$3,195,810.00
The base bid of $2,230,773.00 is 32,8% lower than the estimate of $3,320,000.00. Origin
Design and Water Department staff have reviewed the bids and determined JQ Construction
LLC meets the bidding requirements and can complete the project as specified.
PROJECT SCHEDULE
The schedule for the project is as follows:
— Council Initiate
— Advertise for Bids and Publish the Public Hearing Notice
— Public Hearing
— Receipt of Bid Proposals
— Award Construction Contract
— Substantial Completion Date
— Final Completion Date
May 18, 2026
May 22, 2026
June 1, 2026
June 25, 2026
July 6, 2026
May 7, 2027
May 28, 2027
BUDGETIMPACT
The original estimate of probable cost for the Private Lead Service Line Replacement Pilot
Program - Phase 2 Project are provided as follows (taken from approved UP Application):
Description
Cost Estimate
Legal Expenses
$16,000.00
Land and Easements
$0.00
Professional Services (Report or Planning)
$15,000.00
Professional Services (Design)
$65,000.00
Professional Services (Construction)
$78,000.00
Construction
$1,552,000.00
Equipment
$0.00
Other: Preconstruction Inspection
$30,000.00
Contingency
$234,000.00
Total Estimated Project Cost
$1,990,000.00
3
Page 836 of 853
FY26 and FY27 Budgeted Expenses for the Private Lead Service Line Replacement Pilot
Program (CIP No. 4281000050) as a whole are provided as follows:
CIP
Fund
Budgeted Expenses
Amount
4281000050
SRF
Other Capital Outlay
$5,433,488.65
FY26 Car -Over
4281000050
Water Construction
Construction
$1,050,000.00
FY27
Total Project Budgeted Expenses
$6,483,488.65
Phases 1, 2, and 3 were set up to share all of the SRF funding, and the approved FY27 Water
Construction Fund money is expected to only be split between Phases 2 and 3. Additionally,
Phase 1 construction contracts are complete at a value of approximately $1,740,000. The
portion of the FY26 and FY27 Budgeted Expenses for the Private Lead Service Line
Replacement Pilot Program — Phase 2 Project construction contract are provided as follows:
CIP
Fund
Budgeted Expenses
Amount
4281000050
SRF FY26 Car -Over
Other Capital Outlay
$1,700,000.00
4281000050
Water Construction
Construction
$500,000.00
FY27
Total Project Budgeted Expenses
$2,220,000.00
The proposed construction project will be pulled from the Other Capital Outlay line item which
has a current available expense value of $3,487,002.77, which will need to be carryover into
FY27. Following start of FY27, an additional $1,050,000.00 in the Construction line item will be
available.
The Engineer's Construction Cost Estimate is $3,320,000.00, of which $2,720,000 is SRF-
eligible and loan -forgiveness eligible, and $600,000.00 is not SRF-eligible. The Engineer's
Construction Cost Estimate is based on completing the entire pool of 210 sites included in the
project scope. The Bidding Documents and Contracts prepared for the project include limitations
on project scope based on available budget from the associated sources. The Engineer and
Water Department will monitor construction progress and end all Work under the Contract at or
near the designated maximum funding amount for construction activities, regardless of
completion of Work at all indicated sites. The limits are $1,700,000.00 for SRF-eligible items
and $500,000.00 for not SRF-eligible items. All items are therefore within anticipated budgeted
amounts attributed to Phase 2.
The base bid amount is $2,230,773.00. The following table details the breakdown of SRF-
eligible and not SRF-eligible items in the construction contract bid items:
0
Page 837 of 853
Item Description
Project Description
Costs
SRF-Eligible
Bid Item Nos.: 1 through 38 and 41-42
$1,771,273.00
Not SRF-Eligible
Bid Item Nos.: 39 and 40
$459,500.00
Base Bid Amount / Contract Amount
$2,230,773.00
Actual installed and paid quantities will differ as work progresses, but at the time of Bid Award,
the overage in the SRF-eligible bid amount compared to loan UP may be made up for though
accessing the contingency in the loan amount. The not SRF-eligible bid amount remains less
than the budgeted amount for Phase 2 WCF funds in FY27 and will therefore not require
additional coverage.
ACTION TO BE TAKEN
I respectfully request the City Council adopt the resolution award the Private Lead Service Line
Replacement Pilot Program - Phase 2 contract to JQ Construction LLC of Waterloo, Iowa in the
amount of $2,230,773.00. Due to timing of the project, the funding for this project will be subject
to the first budget amendment in FY27.
Prepared by Eldon Schneider, Water Project Supervisor
cc: Jennifer Larson, Chief Financial Officer
Eldon Schneider, Water Project Supervisor
Carl Plumley, Water Distribution Supervisor
F:\Users\Water\ENGINEERING\Projects\City\Active\Private LSLR Program - Phases 2 and 3 (2025)\01 - Water Project
Supervisor\Progress Reports and Memos\Water Department\Construction Award - P2\Water LSLR P2 Bid Award Memo.docx
5
Page 838 of 853
origin
des i g
June 26, 2026
Eldon Schneider, Water Project Supervisor
City of Dubuque
Eagle Point Water Treatment Plant
1902 Hawthorne Street
Dubuque, IA 52001
RE: City of Dubuque, Iowa
Lead Service Line Replacement - Phase 2
Bid Results Letter
Project No.: 25086
Dear Honorable Mayor Cavanagh and Council Members:
In accordance with owner instructions, bids for the Lead Service Line -Phase 2
project were opened and read at 10:00 a.m. on June 25, 2026. Three (3) bids
were received for this project. The as -read bid results were as follows:
Contractor
Base Bid
JQ Construction LLC
$2,230,773.00
Midwest Concrete Inc.
$2,971,504.00
Portzen Construction
$3,195,810.00
After reviewing the bids, it was determined the low bid was submitted by JQ
Construction LLC of Waterloo, Iowa, in the amount of $2,230,773.00.
JQ Construction LLC has the experience, workforce, and equipment to
properly complete this contract.
The engineer's estimate for this project was $3,320,000.00. The low bid of $2,230,773.00 is
$1,089,227.00 or 32.80% below the engineer's estimate. Please let us know if the City plans to award
the contract and wants Origin Design to prepare and send contract documents to JQ Construction
LLC.
Sincerely,
Origin Design Co.
Chris Becklin, PE
Civil Engineer
DUBUQUE OFFICE
137 Main Street, Ste. 100
Dubuque, Iowa 52001
origindesign.com
800 556-4491
Page 839 of 853
DO R S EY
DORSEY+WHITNEY LLP
June 29, 2026
VIA EMAIL
Jenny Larson
Chief Financial Officer
Dubuque, Iowa
Re: Lead Service Line Replacement - Phase 2 Project
Our File No. 430411-NEW
Dear Jenny:
We have prepared and attached proceedings related to the consideration of bids and award of a
construction contract for the Lead Service Line Replacement - Phase 2 Project.
The materials attached include the following items:
1. Minutes of the July 6, 2026, City Council meeting reflecting consideration of the construction
bids received for the Project, followed by the resolution awarding the contract and fixing the amount of the
performance and/or payment bonds. This resolution also authorizes the execution of the contract, subject to the
receipt of the performance and payment bonds and a written determination by the Project Engineers that such
bonds and other contract documents are satisfactory.
2. Attestation Certificate with respect to the validity of the transcript.
As these proceedings are completed, please return one fully executed copy to our office.
If you have any questions, please contact Emily Hammond or me.
Best regards,
David D. Grossklaus
John P. Danos
Attachments
cc: Eldon Schneider
Christopher Lester
Crenna Brumwell
Adrienne Breitfelder
Trish Gleason
Origin Design
8oi Grand Avenue I Suite 4i00 I Des Moines, IA 150309-8002 IT 53-5.283.3-000 I dorsey.com
Page 840 of 853
Dubuque / 430411-NEW / Letting (Cons/Award)
MINUTES OF MEETING TO CONSIDER
BIDS AND AWARD CONTRACT
430411-NEW (L)
Dubuque, Iowa
July 6, 2026
The City Council of the City of Dubuque, Iowa, met on July 6, 2026, at 6:30 p.m., at the
Historic Federal Building, 350 W. 6th St, Second Floor Council Chambers, in the City, pursuant to
posted notice. The Mayor presided and the roll was called showing the following members of the
Council present and absent:
Present: 004or 6c\vanaJ1*. Gc'1uricJ Mern4xrs bvenJer1'Qe,-
o en. Wei cki ,
Absent:
• • Other Business- -
MOTION TO APPROVE RESOLUTION
Council Member 5 p roan k introduced the resolution next hereinafter set
out, and oved that the said resolution be adopted; seconded by Council Member
RousseIT
The Mayor announced that bids for the construction of the Lead Service Line Replacement
- Phase 2 Project had been received before 2:00 p.m., on June 25, 2026, in the office of the City
Clerk, City Hall -First Floor, 50 West 13th St, Dubuque, Iowa, and that on the same day, at the same
time, in the City Hall -Conference Room A, 50 West 131h St, in the City, such bids had been opened
and read, and this was the time and place set for the consideration of such bids.
Thereupon, the results of the bidding were reported, and Strand Associates, Inc. (the
"Project Engineers") made their recommendations thereon to the City Council. The bids received
for the construction of the Lead Service Line Replacement - Phase 2 Project are as follows:
Name and Address of Bidder Amount of Bid
(List here or attach a sheet listing proposals received.)
-1-
DORSEY & WHITNEY LLP, ATTORNEYS, DES MOINES, IOWA
origin
des i g
June 26, 2026
Eldon Schneider, Water Project Supervisor
City of Dubuque
Eagle Point Water Treatment Plant
1902 Hawthorne Street
Dubuque, IA 52001
RE: City of Dubuque, Iowa
Lead Service Line Replacement - Phase 2
Bid Results Letter
Project No.: 25086
Dear Honorable Mayor Cavanagh and Council Members:
In accordance with owner instructions, bids for the Lead Service Line -Phase 2
project were opened and read at 10:00 a.m. on June 25, 2026. Three (3) bids
were received for this project. The as -read bid results were as follows:
Contractor
Base Bid
JQ Construction LLC
$2,230,773.00
Midwest Concrete Inc.
$2,971,504.00
Portzen Construction
$3,195,810.00
After reviewing the bids, it was determined the low bid was submitted by JQ
Construction LLC of Waterloo, Iowa, in the amount of $2,230,773.00.
JQ Construction LLC has the experience, workforce, and equipment to
properly complete this contract.
The engineer's estimate for this project was $3,320,000.00. The low bid of $2,230,773.00 is
$1,089,227.00 or 32.80% below the engineer's estimate. Please let us know if the City plans to award
the contract and wants Origin Design to prepare and send contract documents to JQ Construction
LLC.
Sincerely,
Origin Design Co.
Chris Becklin, PE
Civil Engineer
DUBUQUE OFFICE
137 Main Street, Ste. 100
Dubuque, Iowa 52001
origindesign.com
800 556-4491
Page 839 of 853
Dubuque / 430411-NEW / Letting (Cons/Award)
After due consideration thereof by the City Council, the Mayor put the question upon the
motion and the roll being called, the following named Council Members voted:
Ayes: Le ejeCKel S rcv,11 oUsSe j1WsMeJ Resn& S6ye,,,
Nays:
Whereupon, the -Mayor declared the said motion duly carried and the said resolution duly
adopted.
-2-
DORSEY & WHITNEY LLP, ATTORNEYS, DES MOINES, IOWA
Dubuque / 430411-NEW / Letting (Cons/Award)
RESOLUTION NO.271-26
Resolution awarding contract for the Lead Service Line Replacement - Phase 2
Project
WHEREAS, pursuant to notice duly posted in the manner and form prescribed by
resolution of the City Council of the City of Dubuque, Iowa, and as required by law, bids and
proposals were received by this Council for the Lead Service Line Replacement - Phase 2 Project
(the "Project"); and
WHEREAS, all of the said bids and proposals have been carefully considered, and it is
necessary and advisable that provision be made for the award of the contract for the Project;
NOW, THEREFORE, Be It Resolved by the City Council of the City of Dubuque, Iowa,
as follows:
Section 1. The bid for the Project submitted by the following contractor is fully
responsive to the plans and specifications for the Project, is heretofore approved by the City
Council, and is the lowest responsible bid received, such bid being as follows:
Name and Address of Contractor Amount of Bid
JQ Construction LLC $2,230,773.00
4912 S Raymond Rd. Waterloo, IA 50701
Section 2. The contract for the Project is hereby awarded to such contractor at the total
estimated cost set out above, the final settlement to be made on the basis of the unit prices therein
set out and the actual final quantities of each class of materials furnished, the said contract to be
subject to the terms of the aforementioned resolution, the notice of hearing and letting, the plans
and specifications and the terms of the bidder's written proposal.
Section 3. The Mayor and City Clerk are hereby authorized and ordered to enter into
a written contract with said contractor for the Project, but only after the contractor submits the
performance and/or payment bonds which are required by the contract documents, and after the
Project Engineers submit a written determination that such surety bonds and the other contract
documents are satisfactory. No additional City Council action shall be required to approve the
executed contract or surety bonds.
Section 4. The amount of the contractor's performance and/or payment bonds is
hereby fixed and determined to be 100% of the amount of the contract.
-3-
DORSEY & WHrrNEY LLP, ATTORNEYS, DES MOINES, IOWA
Dubuque / 430411-NEW / Letting (Cons/Award)
Section 5. All resolutions or parts of resolutions in conflict herewith are hereby
repealed to the extent of such conflict.
Passed and approved July 6, 2026.
Attest:
, .
City Clerk
• • Other Business- -
On motion and vote, the meeting adjourned.
ayor
Attest:
City Clerk
-4-
DORSEY & WHITNEY LLP, ATTORNEYS, DES MOINES, IOWA
Dubuque / 430411-NEW / Letting (Cons/Award)
ATTESTATION CERTIFICATE:
STATE OF IOWA
DUBUQUE COUNTY SS:
CITY OF DUBUQUE
I, the undersigned, City Clerk of the City of Dubuque, Iowa, hereby certify that the attached
is a true, correct and complete transcript of the proceedings had and action taken by the City
Council up to the present time in connection with the Lead Service Line Replacement - Phase 2
Project, including a true, correct and complete copy of the resolution referred to in such minutes.
+h
)U l
WITNESS MY HAND this 7 day of y , 2026.
#' UPW k
City Clerk
-5-
DORSEY & WHITNEY LLP, ATTORNEYS, DES MOINES, IOWA