DELAWARE

Rehoboth Beach awards $37 million to ocean outfall contracts

Gray Hughes
The Daily Times
A large offshore drilling rig and survey boat have arrived off Rehoboth Beach in the Atlantic Ocean to start test borings and surveys for the city's proposed sewage outfall pipe to be placed underwater.

The contracts for the Rehoboth Beach outfall project and other connected projects have been officially awarded.

At a special Rehoboth Beach commissioners meeting Monday, the board approved all four of the lowest bids unanimously.

BACKGROUND: Rehoboth, Sussex County approve wastewater agreement

BACKGROUND: Rehoboth Beach samples stormwater as part of outfall project

The commissioners awarded roughly $37.36 million for the four projects. With change orders, it is expected the total could reach $43.2 million taking into account change order contingency — 5 percent of the total budget. The city has budgeted $52.5 million.

"This is a very unique project, and it's not like there are 50 contractors out there who can do this type of work," said Kelvin George, a representative from GHD — the engineering firm in charge of the project. "We wanted to make sure we found contractors who were qualified enough to do this project, and so the packet was centered around the level of experience necessary to perform this type of project."

The following companies were awarded contracts for the project.

  • Wastewater treatment plant capital improvement project phase 1: Allan Myers MD, Inc., $2.25 million.
  • Ocean outfall project: Manson Construction Co., $27.65 million.
  • Force main project: A-Del Construction, $5.7 million
  • Wastewater treatment plant effluent pumping station project: Allan Myers MD, Inc., $1.76 million.

There was little discussion surrounding the votes with the exception of awarding the contract for the ocean outfall project.

Commissioner Kathy McGuniess raised concerns over Manson Construction Co. and its history with environmental and safety violations, including an OSHA violation and an environmental protection agency violation in the late 1990s.

View of the stormwater outfall near Maryland Avenue in Rehoboth Beach.

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"I'm not here to hold up the project, but there is information easily out there on the internet of different things that should be presented." McGuiness said. "And my concern is there are not a lot of companies that perform this and it's slim pickings. I am really concerned about the contract, how it's drafted and what the penalties are because this is very crucial not only to the coastline and our economics, our tourism and our marine life but the for the state because we generate dollars for them."

However, members of the commission were assured by representatives from GHD that all companies involved, including Manson Construction, were properly vetted.

Sussex County Engineer Hans Medlarz also spoke in favor of Manson Construction company.

"These were issues that can happen to any contractor," he said.

In the end, he said, he wants to see the contract awarded to somebody with the experience to do the project.

When it came time to vote, McGuiness's name was the last one called. She was hesitant in her decision but ultimately sided with her fellow commissioners.

"With faith in partnering with the county, I'll vote 'aye,' " she said.

On Twitter @hughesg19