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Low bid for RL demo recommended

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Town council will vote Monday night to approve an agreement with JMX Contracting Inc. for the demolition of the Rainy Lake Hotel.

The Gormley, Ont. contractor had submitted a bid of $597,432.96 to take down the vacant building.

This amount includes a $100,000 contingency allowance, a $25,000 structural engineering allowance, a $30,000 contaminated soil allowance, a $30,000 remedial repairs to adjacent buildings allowance, and the town’s portion of HST.

The two other bidders included Rakowski Cartage & Wrecking of Winnipeg ($992,602.66) and George Armstrong Co. Ltd. of Fort Frances ($1,683,924.48).

The bid amounts reported in Wednesday’s Times—$663,423, $1,102,241.50, and $1,869,924, respectively—included the full HST (13 percent).

The adjusted numbers above reflect the fact the town only pays 1.76 percent HST.

Also at Monday’s meeting, council will vote to approve a recommendation to engage Pinchin Environmental to complete quality assurance and air quality monitoring during the demolition.

The cost is pegged at $5,135.

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