Gilbert council approves water projects, authorizes reimbursement resolution for future bonds

The Gilbert Town Council on Sept. 9 approved capital contracts and a reimbursement resolution to advance multiple water infrastructure projects and to preserve the town’s ability to repay those costs with future bond proceeds.

The items matter because the projects — including work to eliminate four automatic flushers in the potable system, preconstruction services for new wells and components of the Aquifer Storage and Recovery program — are intended to improve water circulation, conserve potable water and increase drought resilience across Gilbert’s distribution system.

Town Manager Patrick Banger summarized the related consent items and said the projects are paid from a mix of water funds and a grant from the Water Infrastructure Finance Authority. “We have portions of our town where we’ve got pipes that are kind of at the end of a distribution line, and the water can grow stale on those pipes,” he said, describing why flushing elimination and additional looped connections are being built to improve circulation.

A staff member identified only as Kelly described the reimbursement resolution approved in a separate public hearing. Kelly said the resolution anticipates issuing WRMPC bonds — a water resources financing vehicle — and that reimbursement would draw on a combination of water funds, water replacement funds and wastewater system development fee funds for portions of a greenfield wastewater expansion that may be bonded in the future. “It is anticipating WRMPC bonds,” Kelly said, adding the resolution would allow Gilbert to reimburse itself for eligible project expenditures already made once bonds are issued.

Council action: the consent agenda (which included the construction contract for elimination of four auto‑flushers and other water projects) was approved on a motion by Vice Mayor Bobby Buckley, seconded by Council member Chuck Bongiovanni; the motion passed 6–0 with Council member Buckland absent. The reimbursement resolution (agenda item 21) was moved by Council member Koprowski, seconded by Vice Mayor Bobby Buckley, and approved 6–0 with Council member Buckland absent.

The contracts and preconstruction worklisted in staff materials included: a construction contract with Stacy and Whitbeck for the auto‑flusher elimination project (just under $2.3 million, funded partially from the water fund and partially from a Water Infrastructure Finance Authority grant); task orders and engineering services for Aquifer Storage and Recovery wells; and preconstruction services for seven wells (contract with Keywood Infrastructure West for roughly $38,000, rate‑supported from the water fund and a WIFA grant). Staff explained the overall program also supports resiliency when repairs require shutting off service to neighborhoods.

Discussion vs. decision: staff presentations described project scope, funding sources and technical reasons for each item; council approved the consent items and passed the reimbursement resolution but did not change project scopes during the meeting. Kelly answered council questions about which funds would be used for reimbursement; council did not adopt additional policy changes on the financing approach.

The council’s approvals allow staff to proceed with contracting and to retain the option to reimburse eligible expenditures from future bond proceeds, a step commonly taken to preserve tax‑exempt financing for capital projects.