The Sioux County Board of Supervisors has awarded a $6.03 million construction contract for a new secondary roads maintenance shop south of Boyden.
Supervisors awarded the contract Tuesday to the Sioux Falls-based company Peska Construction, Inc., the apparent low base bidder, contingent upon final review by Sioux County Engineer Joel Sikkema.
The board previously approved plans and specifications for the shop on June 30, setting the project’s bid letting for July 28.
Bids Show Competitive Field
Twelve contractors submitted base bids for the project, with Peska’s $6.03 million bid coming in $169,911 below the second-lowest offer of $6,199,911 from Graves Construction Company.
L&L Builders submitted the third-lowest bid at $6.364 million. Eleven of the 12 bids were between $6.03 million and $6.564 million, placing them within $534,000 of Peska’s offer.
The highest bid came from Sentry LLC at $7,163,439.55—more than $1.13 million above Peska’s apparent low bid.
“When you have this many bidders, to me, it indicates that there’s quite a competitive environment,” Sikkema said.
The $6.03 million base bid includes three features the county could remove through deduct alternates: a rainwater-harvesting system intended for washing vehicles, a cover for the salt-storage building and concrete work for the salt-storage bunker.
Peska listed deductions of $297,622, $57,380 and $66,562 for those respective items. The board did not select any of the deduct alternates during Tuesday’s meeting.
Completion Expected in Fall 2027
The construction schedule will become clearer after the contract has undergone final review and been signed. Sikkema said the contractor will have some flexibility in determining when work begins, but the project carries a substantial-completion deadline.
“I think substantial completion is the fall of 2027. … The hope would be that, you know, dirt work could start this fall,” Sikkema said.
Sikkema said the construction bids came in substantially below the county’s estimate. However, the $6.03 million bid should not be directly compared with the previously discussed $8.7 million estimate for the overall project.
That larger figure represented an all-in estimate that included the land purchase, professional fees, construction, equipment and furnishings. Sikkema said the county can update its full project estimate now that the construction bid is known.
