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WA0001-PR000128PROPOSAL PROJECT IDENTIFICATION: Repainting of the 1.5 Million Gallon Elevated Storage Tank Interior in Coppell, Texas. BID OF J.R. STELZER C0. (NAME OF FIR,NI) DATE: January 28,2000 THIS BID IS SUBMITTED TO: City ofCoppell (hereinafier called OWNER) c/o Purchasing Agent 255 Parkway Boulevard P.O. Box 478 Coppell, Texas 75019 CITY OF COPPELL BID NO: q01-o0o2 The undersigned BIDDER proposes and agrees, if this Bid is accepted, to enter into an agreement with OWNER in the form included in the Contract Documents to perform and furnish all Work as specified or indicated in the Contract Documents for the Contract Price and within the Contract Time indicated in this Bid and in accordance with the other terms and conditions of the Contract Documents. BIDDER accepts all of the terms and conditions of the Advertisement or Notice to Bidders and Instructions to Bidders. This Bid will remain subject to acceptance for ninety (90) days after the day of Bid opening. BIDDER will sign and submit the Agreement with other documents required by the Bidding Requirements within ten (10) days after the date of OWNER's Notice of Award. 3. In submitting this Bid, BIDDER represents, as more fully set forth in the Agreement, that: (a) BIDDER has examined copies of all the Bidding Doctunents and of the following Addenda (receipt of all which is hereby acknowledged): No: 1 Date: January 20, 2000 Rec'd: January 20, 2000 (b) BIDDER has familiarized itself with the nature and extent of the Contract Documents, Work, site, locality, and all local conditions and Laws and Regulations that in any manner may affect cost, progress, performance or furnishing of the Work. (c) BIDDER has studied carefully all reports and drawings of subsurface conditions contained in the contract documents and which have been used in preparation of the contract documents. (d) (e) (0 (g) (h) (i) CONTRACTOR may rely upon the accuracy of the technical data contained in such reports, but not upon nontechnical data, interpretations or opinions contained therein or for the completeness thereof for CONTRACTOR's purposes. Except as indicated in the immediately preceding sentence, CONTRACTOR shall have full responsibility with respect to subsurface conditions at site. BDDER has studied carefully all drawings of the physical conditions in or relating to existing surface or subsurface structures on the site, which are contained in the contract docments and which have been utilized in preparation of the contract documents. CONTRACTOR may rely upon the accuracy of the technical data contained in such drawings, but not for the completeness thereof for CONTRACTOR's purposes. Except as indicated in the immediately preceding sentence, CONTRACTOR shall have full responsibility with respect to physical conditions in or relating to such structures. BDDER has obtained and carefully studied (or assumes responsibility for obtaining and carefully studying) all such examinations, investigations, explorations, tests and studies (in addition to or to supplement those referred to in (c) above) which pertain to the subsurface or physical conditions at the site or otherwise may affect the cost, progress, performance or fumishing of the Work as BDDER considers necessary for the performance or furnishing of the Work at the Contract Price, within the Contract Time and in accordance with the other terms and conditions of the Contract Documents; and no additional examinations, investigations, explorations, tests reports or similar information or data are or will be required by BIDDER for such purposes. BIDDER has reviewed and checked all information and data shown or indicated on the Contract Documents with respect to existing Underground Facilities at or contiguous to the site and assumes responsibility for the accurate location of said Underground Facilities. No additional examinations, investigations, explorations, tests, reports or similar information or data in respect of said Underground Facilities are or will be required by BDDER in order to perform and furnish the Work at the Contract Price, within the Contract Time and in accordance with the other terms and conditions of the Contract Documents. BIDDER has correlated the results of all such observations, examinations, investigations, explorations, tests, reports and studies with the terms and conditions of the Contract Documents. BIDDER has given ENGINEER written notice of all conflicts, errors or discrepancies that it has discovered in the Contract Documents and the written resolution thereof by ENGINEER is acceptable to BIDDER. This bid is genuine and not made in the interest of or on behaif of any undisclosed person, firm or corporation and is not submitted in conformity with any agreement or rules of any group, association, organization or corporation; BIDDER has not directly or indireetiy induced or solicited any other Bidder to submit a false or sham Bid; BIDDER has not solicited or induced any person, finn or corporation to refrain from bidding; and BIDDER has not sought by collusion to obtain for itself any advantage over any other Bidder or over OWNER. It is understood and agreed that the following quantities of work to be done at unit prices are approximate only, and are intended principally to serve as a guide in evaluating bids. 6) It is undentood and agreed that the quantities of work to be done at unit prices and materials to bc furnished may be increased or diminished as may be considered necessary in the opinion of the OWNER to complete the work fully as planned and contemplated, and that all quantities of work, whether increased or decreased, are to be performed at the unit prices set forth, except as provided for in the Contract Documents. It is understood and agreed that all work under this contract will be completed within the bid calendar days. Completion date will be established in the Notice to Proceed. 5. BIDDER will complete the Work for the following price(s): IItem Estimated No. Quantity 1 L.S. 2 I L.S. "' 3 1 L.S. 4 10 Hrs. 5 I L.S. CITY OF COPPELL, TEXAS Repainting of the 1.S Mfi~on Gallon Elevated Storage Tank Interior BID SCHEDULE BASE BID Price m Unit Description and Price in Words Figures For Abrasive Bhsling the Interior Area of the 1,500,000 Gallon Elevated Storage Tank and Containing all Blast Material and Existing Paint Removed complete in place, the sum of Sixty- nine Thousand Nine Hundred Twenty ..................... Dollars and no / 100 ...................... Cents per Lump Sum $ 69,920.00 ForPainting the hteriorAreaoftheTank complete in place, thesumof Forty-three Thousand Eight Hundred Fifty ..................... -DoBars and no/100 ........................ $ 43,850.00 Cents per Lump Sum For the Proper Disposal of the Interior Paint and Blasting Media Removed from the Elevated Storage Tank complete in place, the sum of SiX Thousand ...................... ........................... "Dollars and no/100 ...................... $ Cents per Lump Sum 6,000.00 For Performing Miscellaneous Remedial Welding by a Certified Welder when requested by the Owner complete in place, the sum of One Hundred ................. ~ ..... ........................... Dollars and no/lO0 ..................... $ Cents per Hour 100.00 For Removing the 24-Inch Double Disk Gate Valve and Replacing with a 24-1nch Motor Operated Butterfly Valve, including all SCADA Connections complete in place, the sum of .Twenty-six Thousand One Hundred ........................... Dollars and no/lO0 ...................... $ 26,100.00 Cents per Lump Sum 1-15 Extended Amount $ 69,920.00 $ 43,850.00 $ 6,000.00 $ 1,000.00 $ 26,100.00 r BA~E BID Item Esnmated No. Quantity Unit Description and Price m Words For Furnishing and Operating an All ElecUic Dehumidification System for the Interior Blast, 6 1 L.S. Paint and Cure complete in place, the sum of Twelve Thousand ................ .......................... -Dollars and no / 100 ...................... Cents per Lump' Sum TOTAL A1VIOUNT: BASE BID (Items 1 Through 6) Price m Figures 12,000.00 Extended Amount $ 12,000.00 $158,870.00 1A 2A Estu'nated Quantity ADDIllV~ ALTERNATE Price in Unit Description and Price in Words Figures For the Cleaning all Metal Surfaces Inside the 1.5 1 L.S. MG Elevated Storage Tank Finted Column complete in place, the sum of Twenty~seven Thousand Four Hundred Eighty-six ........ Dollars and no/O0 ....................... $ 27,486.00 Cents per Lump Sum For Overcoating of the Interior of all Metal Surfaces Inside the 1.5 MG Elevated Storage Tank L.S. Fluted Column complete in place, the sum of Thirty-three Thousand Eight Hundred Seventy .......... Dollars and no/100 ...................... $ 33,870.00 Cents per Lump Sum Extended Amount $ 27,486.00 $ 33,870.00 3A TOTAL TOTAL 131 L.F. For Furnishing and installing Safety Climb Device on Existing Dry and Wet Ladders on the Dry Riser complete in place, the sum of Forty-two ...................... .......................... -Dollars and no/100 ..................... $ Cents per Linear Foot AMOUNT: ADDITIVE ALTERNATE (Items 1A Through 3A) AMOUNT BID (Base Bid + Additive Alternate) 42.00 $ 5,502.00 $ 66,858.00 8225,728.00 1-17 BID SUMMARY TOTAL AMOUNT: BASE BID (Items 1 Through 6): Total Price Bid In Words: Total Price Bid $158,870.00 One Hundred Fifty-eiRh~ ThOusand EiRht Hundred Seventy and no/lO0 .............. TOTAL AMOUNT: ADDITIVE ALTERNATE (Items IA, 2A & 3A): Total Price Bid In Words: Total Price Bid $ 66,858.00 Sixty-six Thouaand Eight Hundred F]fty-e4ght and no/lO0 ......................... BIDDER agrees that all Work awarded will be completed within the dates established in the Contract Documents. Contract time will commence to run as provided in the Contract Documents. Communications concerning this Bid shall be addressed to the address of BIDDER indicated on the applicable signature page. BIDDER understands that the Owner is exempt from State Limited Sales and Use Tax on tangible personal property to be incorporated into the project. Said taxes are not included in the Contract Price (See Instructions to Bidders). The terms used in this Bid which are defined in the General Conditions of the Construction Contract included as part of the Contract Documents have the meanings assigned to them in the General Conditions. The City of Coppell reserves the right to delete any portion of this project as it may deem necessary to stay within the City's available funds. Should the City elect to delete any portion, the contract quantities will be adjusted accordingly. SUBMITlED on January 28 ,2000. TOTAL AMOUNT OF BID (Base Bid + Additive Alternate): Total Price Bid In Words: Total Price Bid $ 225,728.00 Two Hundred Twenty-five Thousand Seven Hundred Twenty-eight and no/lO0 ........... 1-18 QUESTIONNAIRE Each Bidder shall write in the name, where indicated, of the manufacturers of equipment which Bidder proposes to furnish and the subcontractors the Bidder plans to utilize. Not more than onemanufacturer's or subcontractor's name shall be listed for each item of equipment. Upon award of a contract, the named equipment shall be furnished. Substitutions will be permitted only if named equipment or subcontractor does not meet the requirements of the Contract Documents, the manufacturer or subcontractor is unable to meet the requirements of the construction schedule, or the manufacturer or subcontractor is dilatory in complying with the requirements of the Contract Documents. Substitutions shall be subject to concurrence of the Owner and shall be confirmed by Change Order. Preliminary acceptance of equipment listed by manufacturer's name shall not in any way constitute a waiver of the specifications covering such equipment; final acceptance will be based on full conformity with the Contract Documents. Failure to furnish all information required may be cause for rejection of the Bid. Equipment 24" Butterfly Valve Electric Valve Operator Dehumidi~cation Equipment Dresser M & H EIM Munter t s Manufacturer Discipline Electrical Instrumentation H & H Electrical I & C Sales Subcontractor 1-19 T IT BID AFFIDAVIT The undersigned certifies that the bid prices contained in this bid have been carefully reviewed and are submitted as correct and final. Bidder further certifies and agnes to furnish any and/or all commodities upon which prices are extended at the price offered, and upon the conditions contained in the Specifications of the Invitation to Bid. The period of acceptance of this bid will be 30 calendar days from the date of the bid opening. (Period of acceptance will be ninety (90) calendar days unless otherwise indicated by Bidder.) STATE OF NEBRASKA COUNTY OF L~,ICA.qT~R BEFORE ME, the undersigned authority, a Notary Public in and for the State of Nebraska, on this day personally appeared James R. Stelzer who after being by me duly sworn, did depose and say: (Nan,e) "I,James R. Stelzer ~am~) J. R. Stelzer Co. (NarneofFinn) foregoing onbehalfofthesaid J.R. Stelzer Co. am a duly authorized office/agent for and have been duly authorized to execute the (Name of Firm) I hereby certify that the foregoing bid has not been prepared in collusion with any other Bidder or individual(s) engaged in the same line of business prior to the official opening of this bid. Further, I certify that the Bidder is not now, nor has been for the past six (6) months, directly or indirectly concerned in any pool, agreement or combination thereof, to control the price of services/commodities bid on, or to influence any individual(s) to bid or not to bid thereon." Name and Address of Bidder: Telephone: Title: President J. R. Stelzer Co. 5850 Russell Drive, Suite 1, Lincoln, Nebraska 68507-3129 (402 ) 466-0726 by: James R. Stelzer Signature: SUBSCRIBED AND SWORN to before me by the above named on this the 25 day of January James R. Stelzer 2000. Nebraska 1-20 If BIDDER IS: An Individual By doing business as Business address A Partnership By Business address (Individual's Name) (Finn Narr~) (Gen~ml Parmet) Phone No. Phone No. (Se l) (Seal) A Corporation By J.R. STELZER CO. By State of Nebraska (Corporate Seal) Attest Business address (Corporation Name) (State of Incorporation) (Name of person authorized to sign) (Title) 5850 Russell Drive, Suite 1, Lincoln, Nebraska Phone No. A Joint Venture By By (Name) (Address) (Name) (Address) 68507-3129 402-466-0726 (Seal) (Seal) (Seal) (Each joint venture must sign. The manner of signing for each individual, partnership and corporation that is a partner to the joint venture should be in the manner indicated above.) AYFIDAVIT OF SAFETY RECOImd) (I) (We) the undersigned do declare and afturn that (my) (our) firm or corporation (has) (have) received 0 citation from the Occupational Safety and Health Administration (OSHA) within the past two (2) years and (I) (We) do further declare and affirm that (my) (our) firm or corporation (has)(have)experienced 0 worker injuries related to construction safety on projects within the past two (2) years. NAME OF SUBCONTRACTOR OFFICER'S NAME & TITLE SIGNATURE OF OFFICER DATE J. R. STELZER CO. NAME OF FIRM James R. Stelzer, President OFFICER'S NAIVIE & TITLE SI~%~'~gFI~R January 25, 2000 DATE STATE OF IgI/g/I~NEBRASKA} } COUNTY OF LANCASTER } BEFORE ME, the undersigned authority, a Notary Public in and for the State of ~ o thxs day appeared James K, Stelzer President for J.R. Stelzer Co. known to me to be the person whose name is subscribed to the foregoing instrument and acknowledged to me that (he) (she) (they) executed the same for the purposes and considerations therein expressed as the act and deed of said firm or corporation, and in the capacity therein expressed. GIVEN UNDER MY HAND AND SEAL OF OFFICE THIS 25 DAY OF January 2000, A.D. Notary Publie in and for the State of ~ Nebraska 1-22 [ "' .~i"'~'i~._. J,R, STELZER CO, Industrial Painting Service Since 1972 5850 Russell Drive, Suite 1 Lincoln, Nebraska 68507-3129 Telephone (402) 466-0726 Fax (402) 466-7169 CONTRACTOR QUAI,IFICATIONS SUBMITTED TO CITY OF COPPEI ,1 ,, TEXAS REPAINTING THE 1.5 MII ,I ,ION GAI jI ,ON EI~EVATED STORAGE TANK INTERIOR PROJECT NO. WA00-01 COMPANY FACT SHEET COMPANY FACT SHEET J. R. STEI~ZER CO. Official Address 5850 Russell Drive, Suite 1 Lincoln, Nebraska 68507-3129 Office and Shop Located at above address consisting of 20,000 square feet Origination 1972 Date of Incorporation 1983 State of Incorporation State of Nebraska Corporate Officers James R. Stelzer, President Carol E. Stelzer, Secretary/ Treasurer The company specializes in industrial painting, sandblasting and welding repair. Since 1979, 85% of sales involved work on water storage tanks, primarily elevated tanks. REFERENCES City of McPherson, Kansas Project Date Capacity Specifications Contract Amount Contact Repainting Dillon Tank Fall, 1999 500,000 Gallon Elevated Interior: SSPC-SP10 Two-Coat Epoxy Exterior: Pressure Wash Spot Epoxy Primer Acrylic Finish Coat $111,189.00 Mr. Tim Maier Assistant General Manager Board of Public Utilities City of McPherson, Kansas 316-245-2525 J.R. Sq['m~Y 'p'~ CO. City of Mason City, Iowa Project Date Capacity Specifications Contract Amount Contact South Kentucky Water Tower Painting Project Fall, 1999 500,000 Gallon Elevated Interior: SSPC-SP10 Zinc Primer Two-Coat Epoxy Exterior: Full Containment SSPC-SP6 Zinc Primer Epoxy Intermediate Polyurethane Finish $237,400.00 Mr. Gary D. Wilfong Engineer - Public Works Department City of Mason City, Iowa 515-421-3605 J. R, ST~ ~F,~ CO. City of Fairfield, Iowa Project Date Capacity Specifications Contract Amount Contact Grimes Elevated Storage Tank Repair and Coating Summer, 1999 750,000 Gallon Hydropillar Interior: SSPC-SPI0 Two-Coat Epoxy Exterior: Full Containment SSPC-SP6 Two-Coat Epoxy Polyurethane Finish $419,370.00 Mr. Dale Sorensen, P.E. Veenstra & Kimm, Inc. West Des Moines, Iowa 515-225-8000 J.R. STFr 7F~ CO. City of Central City, Nebraska Project Date Capacity Specifications Contract Amount Contact Water Tower Improvements Spring/Summer, 1999 500,000 Gallon Hydropillar Interior: SSPC-SPI0 Zinc Primer Two-Coat Epoxy Exterior: SSPC-SP10 Zinc Primer Epoxy Intermediate Polyurethane Finish $162,848.00 Olsson Associates Grand Island, Nebraska 308-384-8750 &R. ST~L~R CO. City of Knoxville, Iowa Project Date Capacity Specifications Contract Amount Contact Repair and Coating of Water Tower No. 2 Summer, 1998 750,000 Gallon D. E. Interior: SSPC-SPI0 Two-Coat Epoxy Exterior: Full Containment SSPC-SP6 Two-Coat Epoxy Polyurethane Finish With Clear Coat $269,790.00 Mr. Dale Sorensen, P. E. Veenstra & Kimm, Inc. West Des Moines, Iowa 515-225-8000 J.R. ST£r-~ CO. City of Piano, Texas Project Date Capacity Specifications Contract Amount Contact Tennyson Elevated Storage Tank (New Tank) Spring, 1998 2,000,000 Composite Interior: SSPC-SP10 Two-Coat Epoxy Exterior: SSPC-SP6 Two-Coat Epoxy Polyurethane Finish $250,700.00 Mr. John Birkhoff, P. E. Shimek, Jacobs & Finklea Dallas, Texas 214-361-7900 J.R. STFW ZFE~ CO. City of Hays, Kansas Project Date Capacity Specifications Contract Amount Contact Repainting of 1.0 MG Elevated Water Tower Summer, 1997 1,000,000 Gallon Hydropillar Exterior Only: Power Wash and Scrub Two-Coat Epoxy Polyurethane Finish with Clear Coat $103,439.00 Mr. John Youll, P. E. Bucher, Willis&RatliffCorporation HaysKansas 913-628-8712 J.R. STF. LZF. D CO, City of Irving, Texas Project Date Capacity Specifications Contract Amount Contact Repainting of Three (3) Water Storage Tanks Fall and Winter, 1996-1997 4,000,000 Gallon Ground (2) 5,000,000 Gallon Ground Interior Only: SSPC-SP10 Two-Coat Epoxy $673,630.00 Mr. Hugh Card Water Production Supervisor City of lrving, Texas 214-721-2281 J.R. STF-~K~ CO. City of Carrollton, Texas Project Date Capacity Specifications Contract Amount Contact Marsh Lane Elevated Water Storage Tank (New Tank) Fall, 1996 2,000,000 Gallon Composite Interior: SSPC-SPI0 Two-Coat Epoxy Exterior: Full Containment SSPC-SP6 One-Coat Epnxy Polyurethane Finish $345,500.00 Mr. John Birkhoff, P. E. Shimek, Jacobs & Finklea Dallas, Texas 214-361-7900 City of Farmers Branch, Texas Project Date Capacity Specifications Contract Amount Contact Valley View Elevated Tank Repaint Containment and Lead Removal Project) Winter, 1993-1994 1,500,000 Gallon Hydropillar Interior: SSPC-SP10 Two-Coat Epoxy Exterior: SSPC-SP6 One-Coat Epoxy Polyurethane Finish $367,390.00 Mr. Ron Conway, P. E. Shimell, Jacobs & Finklea Dallas, Texas 214-361-7900 J.R. STFr 7F.R City of Haltom City, Texas Project Repair and Repainting of Loop 820 Elevated Storage Tank and North Oaks Pump Station Tank #3 (Containment and Lead Removal Project) Date Winter, 1992 Spring, 1993 Capacity 2,000,000 Gallon Hydropillar 1,500,000 Gallon Ground Storage Specifications Interior: SSPC-SPIO Two-Coat Epoxy Exterior: SSPC-SP6 One-Coat Epoxy Polyurethane Finish Contract Amount $618,128.00 Contact Mr. Greg Saunders, P.E. Rady & Associates, Inc. Fort Worth, Texas 817-335-6511 J.R. ST~t ~rR CO. City of PIano, Texas Project Date Capacity Specifications Contract Amount Contact Repainting of Southeast Industrial Tank Summer, 1992 2,000,000 (;allon Hydropillar Exterior Only: Power Wash and Scrub One-Coat Epoxy Polyurethane Finish $184,000.00 Mr. John Birkhoff, P. E. Shimek, Jacobs & Fin~ea Dallas, Texas 214-361-7900 PERSONNEI~ PERSONNEl, All personnel of J. R. Stelzer Co. involved in the removal of paint have more than one year of experience in paint removal and application. Many of the employees of J. R. SteLzer have been with our company for more than five (5) years. FINANCIAI~ STATEMENT __ LINCOLN, NEBRASKA JUNE 30, 1998~AND 1997 A LIEN P.-A., P.C. ~RT~I~ PUBLIC A~OUNTA~ D.A. LIENEMANN C.RA., RC. /-~.ertified Public Accountants D. A. Lienemann, Jr., CPA Lynn A. Simonsen, CPA D. A. Lienemann, Sr., CPA Board of Directors J. R. Stelzer Co. Lincoln, Nebraska We have reviewed the accompanying balance sheets of J. R. Stelzer Co. as of June 30, 1998 and 1997, and the related statements of income and gross profit computation, retained earnings, and cash flows for the years then ended, in accordance with S[atements on Standards for Accounting and Review Services issued by the American Institute of Certified Public Accountants. All information included in these financial statements is the representation of the management of J. R. Stelzer Co. A review consists principally of inquiries of company personnel and analytical procedures applied to financial data. It is substantially less in scope than an audit in accordance with generally accepted auditing standards, the objective of which is the expression of an opinion regarding the financial statements taken as a whole. Accordingly, we do not F"~express such an opinion. Based on our review, we are not aware of any material modifications that should be made to the accompanying financial statements in order for them to be in conformity with generally accepted accounting principles. D.A. Lienemann C.P.A., P.C. Certified Public Accountants Lincoln, Nebraska September 23, 1998 Member ,, Nebraska Society of Certified Public Accoumalrrts · American Institute of Certified Public Accountants Suite C Lienemann Building · P.O. Box 81407 · Lincoln, Nebraska 68501 * Telephone 402/435-4369 , Fax 402/435-6980 ~iuc~lu, ~Tet~rnsk~t J. R. STEL~.ER CO. June 30 June 30 1998 1997 ASSETS: CURRENT ASSETS: BAigK - UNION BANK & TRUST COMPANY .............. $ 236,407.19 $ 174,066.66 PETTY CASH ......................... 550.00 550.00 LANCASTER MONEY FUNDS .................... 0. 701.14 ALLIANCE CAPITAL RESERVE FUND ................ 5,122.80 0. FIRST AMERICAN PRIME OBLIGATIONS .............. 328.19 310.81 U.S. FEDEPj%TED RESERVE FUND ................. 1,010.26 0. TOTAL CASH ~ CASH EQUIVALENTS ............. $ 243,418.44 $ 175,628.61 MARKETABLE SECURITIES HELD-TO-MATURITY (NOTE 2) ....... MARKETABLE SECURITIES AVAILABLE-FOR-SALE (NOTE 2) ...... ACCOUNTS RECEIVABLE {LESS: ALLOWANCE FOR BAD DEBTS) (NOTE 3) INVENTORY - SUPPLIES .................... PREPAID EXPENSES ...................... CORPORATE INCOME TAX DEPOSITS ................ INTEREST RECEIVABLE ..................... NOTE RECEIVABLE - STOCKHOLDER (NOTE 4) ........... ~COSTS INCURRED AND INCOME RECOGNIZED IN EXCESS OF BILLINGS ON UNCOMPLETED CONTRACTS ................. FEDER/~L & STATE CORP. INCOME TAXES - DEFERRED (NOTE 6) 100,006.00 100,006.00 124,040.90 0. 296,675.98 338,214.35 11,420.88 7,505.13 1,748.40 2,153.88 751.00 0. 2,129.88 2,079.69 150,937.25 169,500.42 20,205.74 0. 285.25 6,668.21 TOTAL CURRENT ASSETS ................... $ 951,619.72 $ 801,756.29 FIXED ASSETS: OFFICE EQUIPMENT, TRUCKS ~ AUTOS, AND EQUIPMENT (LESS: ACCUMUIATED DEPRECIATION) (NOTE 5) ......... 348,344.70 388,497.29 OTHER ASSETS: PREPAID INCOME - BOND PREMIUM (NOTE 2) ........... SMALL TOOLS ......................... TOTAL OTHER ASSETS .................... $ 731.48 954.60 8,104.10 6,593.92 8,835.58 $ 7,548.52 TOTAL ASSETS ..................... $1,3.08 ,_800.00 $1. 197. 802.10 SEE ACCOUNTANT'S REVIEW REPORT SEE NOTES TO FINANCIAL STATEMENTS -2- EX~IEIT A LINCOLN, NEBRASKA BALANCE SHEET June 30 June 30 1998 1997 LIABILITIES: CURRENT LIABILITIES: ACCOUlqTS PAY/UBLE ...................... $ 12,174.40 $ 34,404.26 KANSAS STATE W/H TAXES PAYABLE ............... 0. 1,435.00 FEDERAL & STATE CORP. INCOME TAXES PAYABLE-CURRENT (NOTE 6). 8,603.00 38,341.00 INSI/RANCE PAYABLE ...................... 9,143.35 15,199.00 SALARIES PAYABLE ...................... 9,874.38 17,882.38 SALES TAX PAYABLE ...................... 0. 625.25 NOTE PAYABLE - STOCKHOLDER (NOTE 4) ............. 0. 0. BILLINGS IN EXCESS OF COSTS INCURRED ~ INCOME RECOGNIZED ON UNCOMPLETED CONTRACTS ................. 44,857.92 24,521.80 TOTAL CURRENT LIABILITIES ................ $ 84,653.05 $ 132,408.69 OTHER LIABILITIES: FEDERAL & STATE CORP. INCOME TAXES - DEFERRED (NOTE 6) . TOTAL LIABILITIES .................... $ 72,061.94 156,714.99 $ 71,271.05 203,679.74 CAPITAL: COMMON STOCK - PAR VALUE $1.00 PER SHARE AUTHORIZED STOCK - 10,000 SHARES ISSUED AND OUTSTANDING STOCK - 5,000 SHARES ........ PAID IN CAPITAL ....................... UNREALIZED GAIN (LOSS) ON SECURITIES AVAILABLE-FOR-SALE. . . RETAINED EARNINGS (EXHIBIT B) ................ 1,127,440.14 5,000.00 5,000.00 5,000.00 5,000.00 14,644.87 0. 984,122.36 TOTAL CAPITAL ...................... $1,152,085.01 $ 994,122.36 TOTAL LIABILITIES & CAPITAL .............. $1.3Q8.800.00 $1,197,802.10 SEE ACCOUNTANT'S REVIEW REPORT SEE NOTES TO FINANCIAL STATEMENTS -3- EXHIBIT B J. R. STELZER CO. LINCOLN, NEBRASKA STATEMENT OF INCOME STATEMENT OF RETAINED EA/~NI'NGS Year Ended Year Ended June 30 June 30 1998 1997 TOTAL INCOME (SCHEDIILE B-l) .................. $1,700,134.62 $2,021,049.30 COST OF GOODS SOLD (SCHEDULE B-l) ............... 987,918.58 1,285,967.85 GROSS PROFIT ........................ $ 712,216.04 $ 735,081.45 OPERATING EXPENSES: OFFICE EXPENSES: OFFICERS SALARIES ...................... OFFICE SA/~IES ....................... PAYROLL TAXES ........................ WORK~S COMPENSATION INSUP3%NCE ............... GENERAL LIABILITY INSUP~CE ................. OFFICE RENT ......................... OFFICE UTILITIES ...................... OFFICE MAINTENANCE ..................... ~GABBAGE ........................... ADVERTISING ......................... DUES & SUBSCRIPTIONS ..................... OFFICE EQUIPMENT RENTAL ................... OFFICE EQUIPMENT REPAIR ................... OFFICE SUPPLIES ....................... POSTAGE ........................... TELEPHONE .......................... PLANS & SPECIFICATIONS ................... PUBLIC RELATIONS ...................... INSURAIgCE .......................... · DEPRECIATION ........................ LEGAL & PROFESSIONAL .................... INSUR~CE - EMPLOYEES .................... TRAVEL EXPENSE ....................... CONVENTIONS ......................... BUSINESS MEALS & ENTERTAINMENT ............... DONATIONS .......................... BAD DEBTS .......................... MISCELI~n. NEOUS EXPENSE .................... 133,400.00 172,000.00 55,645.00 31,245.00 10,678.90 8,904.37 1,406.00 6,039.00 2,335.00 1,366.00 63,000.00 52,800.00 4,408.48 4,083.36 21,016.75 4,946.21 1,363.20 1,288.92 1,7S2.12 2,360.51 2,947.06 2,177.15 365.83 281.96 588.95 806.95 3,420.13 3,775.92 1,954.30 1,038.24 10,987.65 11,603.63 490.98 431.63 868.07 325.78 3,570.03 3,962.00 1,357.95 1,331.79 5,076.05 4,354.00 8,992.80 8,489.40 8,556.93 15,215.79 6,642.38 5,081.58 1,110.34 2,929.76 1,295.00 485.00 2,141.65 4,312.79 1,589.22 1,233.46 TOTAL OFFICE EXPENSES .................. $ 356,960.77 $ 352,870.20 SEE ACCOUNTANT'S REVIEW REPORT SEE NOTES TO FINANCIAL STATEMENTS -4- LINCOLN, NEBRASKA STATEMENT OF INCOME STATEMENT OF RETAINED EARNINGS FIELD EXPENSES: DEPRECIATION ........................ $ INSURANCE .......................... TAXES - PERSONAL PROPERTY .................. TAXES - OTHER ........................ EQUIPMENT RENTAL ...................... EQUIPMENT MAINTENANCE & REPAIR ............... VEHICLE MAINTENANCE & REPAIR ................ GAS & OIL ......................... LICENSE & PERMITS ...................... TOOLS & SUPPLIES ...................... FREIGHT ........................... MISCELLANEOUS FIELD EXPENSE ................. TOTAL FIELD EXPENSES ................... $ TOTAL OPERATING EXPENSES ................. $ Year Ended Year Ended June 30 June 30 1998 1997 97,250.21 $ 93,260.38 21,377.22 26,031.00 2,479.26 3,574.64 574.63 1,160.08 597.96 656.46 19,117.62 19,933.21 6,297.40 7,038.10 1,694.25 2,159.75 4,332.81 4,724.61 15,654.49 24,966.06 0. 503.64 5,550.39 3,452.99 174,926.24 $ 187,460.89 531,887.01 $ 540,331.09 ~ NET OPERATING PROFIT ................. $ OTHER INCOME: INTEREST INCOME - TAXABLE .................. INTEREST INCOME - TAX EXEMPT ................ DIVIDENT INCOME ....................... EQUIPMENT RENTAL ...................... GAIN (LOSS) ON SALE OF ASSETS ................ GAIN (LOSS) ON SALE OF INVESTMENTS ............. EMPLOYEE VEHICLE REIMBURSEMENTS ............... TOTAL OTHER INCOME .................... $ 180,329.03 $ 194,750.36 29,255.86 22,298.95 4,189.98 1,250.90 67.50 0. 2,155.68 0.' 10,865.27 4,400.00 3,615.95 0. 1,164.36 1,171.80 47,314.60 $ 29,121.65 NET PROFIT BEFORE TAXES ................ $ 227,643.63 $ 223,872.01 INCOME TAX EXPENSE: FEDERAL & STATE CORPORATE INCOME TAXES - CURRENT {NOTE 6). FEDERAL & STATE CORPORATE INCOME TAXES - DEFERRED (NOTE 6) (77,152.00) (7,173.85) (73,561.00) (6,394.33) NET BUSINESS PROFIT ................... $_ 143,317.78 $ 143~_916.68 RETAINED EARNINGS: BEGINNING RETAINED EARNINGS ................. $ ADJUSTMENT TO 1995 IOWA CORP. TAX RETURN .......... ADJUSTMENT TO 1995 MISSOURI CORP. TAX RETURN ........ NET BUSINESS PROFIT ..................... DIVIDENDS .......................... 984,122.36 $ 840,597.68 0. (353.00) 0. (39.00) 143,317.78 143,916.68 0. 0. ENDING RETAINED EARNINGS ................. $1,127,440.14 $ ~84,122.36 SEE ACCOUNTANT'S REVIEW REPORT SEE NOTES TO FINANCIAL STATEMENTS -5- SCHEDULE B-1 J. R. STELZER CO. LINCOLN, NEBRASKA GROSS PROFIT COMPUTATION INCOME: PAINTING/DECORATING ..................... $ STEEL STRUCTURES ...................... LEAD ABATEMENT ....................... Year Ended Year Ended June 30 June 30 1998 1997 413,005.14 $ 436,611.36 520,020.88 1,350,408.60 767,108.60 234,029.34 TOTAL INCOME ....................... $1,700,134.62 $2,021,049.30 COST OF GOODS SOLD: BEGINNING INVENTORY ..................... MATERIALS - pAINTING/DECORATING ............... MATERIALS - STEEL STRUCTURES ................ SAND & STEEL GRIT ...................... SUPPLIES .......................... SUBCONTRACT La~BOR ...................... JOB EXPENSE ......................... SAllIES - PAINTING/DECORATING ............... ~SALARIES -STEEL STRUCTURES ................. PAYROLL Ta~XES ........................ WORKM~S COMPENSATION INSURANCE ............... GENER3~L LIABILITY INSUR3~NCE ................. $ LESS ENDING INVENTORY .................... COST OF GOODS SOLD .................... $ 7,505.13 7,118.76 27,361.81 59,256.63 113,349.84 227,202.76 32,798.80 51,272.01 11,050.93 8,270.89 0. 94,821.00 341,563.11 333,913.05 158,386.61 181,257.26 210,633.97 192,622.39 29,337.51 29,770.23 48,827.00 101,179.00 18,524.75 6,789.00 999,339.46 $1,293,472.98 11,420.88 7,505.13 987,918.58 $1,285,967.85 GROSS PROFIT ..................... $ 712,21~04 $ 73~,081.45 SEE ACCOUNTANT'S REVIEW REPORT SEE NOTES TO FINANCIAL STATEMENTS -6- PROJECT SUPERINTENDENT PROJECTSUPERINTENDENT Project superintendent, Don SteLzer, has been with the company since 1974 and handles all aspects of contract execution with superior qualifications. EQUIPMENT I,ISTING EQUIPMF. NT LIST Air Compressors - 1982 185 cfm Sullair 1984 750 cfm Joy 1986 825 cfm Ingersoll Rand 1988 900 elm Sullair 1993 1300 elm Sullair 1996 375 elm Sullair 8-Ton Canned Sand Pot Mounted on Freehaul Trailer 8-Ton Canned Sand Pot Mounted on Fontaine Trailer Van Air Turbo-Cooled After Coolers (4) CAB Steel Abrasive Blasting and Recovery Equipment 18,000 cfm Portable Dust Collector, Trailer Mounted 40,000 cfm Portable Dust Collector, Trailer Mounted Decontamination Trailer Clemco Sandblast Machines and Pertinent Accessories Airless Paint Machines (5) with Pertinent Accessories Welders with Pertinent Accessories Power Washers (hot and cold) Hi-Lo Powered ScaFfolding and Pertinent Accessories, Spiders, and Rigging Equipment TePe Containment System Mini-Containment System Trucks (7), Van Trailers (10), Bulk Hoppers (3), and Flatbed Trailers (6) Semi-Tractor - 1990 White GMC 1999 Volvo NOTE: All of the above equipment is in excellent condition. CERTIFICATION CERTIFICATION I, James R. Stelzer, President of J. R. Stelzer Co., hereby certify that all attached information is true and correct. Dated this 251h day of January, 2000. STATE OF NEBRASKA COUNTY OFLANCASTER 2000. Subscribed and sworn to before me this 251h day of January, Notary