HANCOCK - Two new councilors took their oaths Wednesday during a special organizational meeting of the Hancock City Council.
Jeremie Moore of Ward II and John Haeussler, at large, were sworn in along with reelected incumbents Ted Belej, James Hainault and Lisa McKenzie.
Council members also re-elected William Laitila as mayor and Hainault as mayor pro tem for one year terms.
After the organizational meeting, members considered bids opened Oct. 27 for the planned sewer project to start next construction season.
City Manager Glenn Anderson welcomed the new council members by letting them know exactly what is involved with the first issue they vote on.
"You're going to be asked to vote on the largest infrastructure project in the city's history," he said.
Anderson said the tentative closing date for the project funding is Dec. 8, so councilors need to make a timely decision about a contractor.
"We're under a little pressure," he said.
Of the three bids submitted, councilors chose MJO Contracting of Hancock at $3,092,249.60.
Anderson said the project involves relining 7.25 miles of sewer pipe with an epoxy material. The project involves one third mile of storm sewer, also.
"It's a major undertaking, one we've talked about for 10 years," he said.
The project will be funded by money received from the American Recovery and Reinvestment Act, and includes a $1.9 million grant and $2.1 million loan at 2.625 percent interest for 40 years. The interest rate will drop to below 2.3 percent when the project closes in December.
"It's very economical," he said.
Lou Meyette of project engineers OHM, Architects, Engineers and Planners said four bids were actually received for the project, but one was improperly sent so it had to be returned unopened.
Meyette said the epoxy-like material used to realign the pipes is forced into the pipes and eventually the material hardens.
"The bulk of the project is to eliminate infiltration," he said.
The project should take about five months, Meyette said.
"During that time, there's going to be significant lane closures," he said.
Meyette said the Michigan Department of Transportation will also be resurfacing Hancock Street in June.
Anderson said he hopes to be able to take bids in the next couple months on the planned $8.2 million city water project also planned for next year.
Council members also considered bids for professional services for the planned Environmental Protection Agency Great Lakes Initiative grant-funded $244,000 storm water mitigation project at Hancock Beach.
Anderson said he contacted eight firms about the project with "requests for qualifications" since it's an EPA-funded project.
The project requires the contractor to do public education and water quality testing, and Anderson some of the proposals need not allow enough time for those two aspects.
Council members unanimously chose the OHM bid of $42,839 for the project, expected to start next spring.
Kurt Hauglie can be reached at khauglie@ mininggazette.com.
