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<< Back E-mail Update – May 6, 2005 -- Volume 5, Number 4 First Channel Deepening Contract Awarded! Yesterday, the U.S. Army Corps of Engineers (Corps) successfully awarded the first Channel Deepening contract to the lowest bidder: Great Lakes Dredge and Docks (bid estimate: $10.58 million). The first phase of deepening the Columbia River navigation channel from 40 to 43 feet is scheduled to begin on June 1, 2005. After the first bid opening on April 12, the Corps announced that under federal regulations, neither of the two bids submitted were able to be accepted. According to federal regulations, the Corps may not award a contract that is estimated 25% above the independent government cost estimate. Therefore, the Corps re-scoped the first phase of Channel Deepening and re-opened bidding for this year’s contract work. Following the re-bid, the Corps awarded an $8,738,500 contract on May 5, to Great Lakes Dredge and Dock Co. The awarded contract is smaller than the bid because the Corps is delaying its decision to award some of the optional items within the contract package. Those optional items may be awarded later. As part of the re-scope, the Corps reduced the stretch of river miles that will be deepened in the Lower Columbia River by about nine miles (closer to original estimates). Deepening will occur from River Mile 3 to RM 16 (near Astoria) as well as from RM 94 to RM 104 (near Portland/Vancouver). This contract also includes annual maintenance dredging (to maintain a minimum 40-foot deep channel) in the river and at the Mouth of the Columbia River. The total volume of material to be dredged is estimated to be about 1.4 million cubic yards. The Corps advertised for the contract re-bid on April 25. The re-bid opening was held on April 29. The Corps’ Independent Government Estimate was $8.97 million. Three bid estimates were submitted: Great Lakes Dredge & Docks ($10.58 million); Mason Construction ($11.77 million); and Bean Stuyvesant ($16.32 million). As the low bidder, Great Lakes’ bid was accepted. You may review the re-bid results at the following website: http://www.nwp.usace.army.mil/ebs/Solicitations/W9127N-05-B-0010/BidResults.pdf A deeper channel is around the bend, which is great news for Northwest businesses and farmers who need a deeper channel to cost-effectively ship their cargo around the world! Columbia River Presentations Available: If you know a civic organization, business, union, or local government that would like an updated presentation about the importance of maritime trade to our region and the goals, implications, and current status of the Columbia River channel deepening project, we would be delighted to provide an informative and interesting presentation at no cost. Feel free to contact the Coalition office to arrange for a presentation. Did You Know? Port of Portland tenants Kinder Morgan Bulk Terminals and Portland Bulk Terminals exported a combined 591,572 tons of mineral bulks in March 2005; the largest mineral bulk volume ever exported through port terminals in one month. The volume represented a 20% increase over the previous record of 500,000 tons set in June 2000. Portland Bulk Terminals exported their largest monthly volume of potash, a potassium-based fertilizer, ever from their facility at the port’s Terminal 5. Potash exports are up 115% year-to-date over 2004 volumes. Demand for Potash grew 10% in 2004 worldwide, causing the prices to jump 40% over 2003 prices. Strong demand from Brazil, China, India, and other countries is fueling the record volumes. Kinder Morgan, who signed a 6.5-year lease renewal with the port in December, enjoyed one of their best months in the 13 years they have been exporting soda ash through the port’s Terminal 4 facility. Manufacturers use soda ash to make baking soda, glass, ceramics, detergents and soap. Please contact us with any questions, concerns, or information requests. Thanks for your partnership in building a stronger economy through maritime trade. Dave Hunt, Executive Director Theeme Holznagel, Office Manager Columbia River Channel Coalition (503) 285-6343 (voice), (503) 285-6350 (fax) CRCC@ChannelCoalition.com (e-mail)
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