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Council awards $877,950 HVAC replacement at water treatment plant; city to amend CIP by $350,000
Summary
The Common Council approved a $877,950 contract for a water treatment plant HVAC replacement, increased the 2025 capital improvement budget by $350,000 after PSC approval of total funding, and staff said long lead times require ordering now.
The Oak Creek Common Council on May 20 awarded a contract to Southport Engineered Systems LLC for $877,950 to replace the HVAC system at the municipal water treatment plant and approved a $350,000 increase to the 2025 capital improvement program to fund the work.
Ryan (presenting) told the council the project’s original engineer estimate was about $630,000 but bids rose. The project was bid in November and again after redesign; staff sought and received Public Service Commission (PSC) approval for a total project funding level that now supports the contract award. The city will order equipment immediately because of a five‑month lead time; construction is expected to take approximately six months once materials arrive.
Ryan summarized that the existing HVAC equipment dates from the original plant and is showing age, that some building areas lack adequate airflow and the lab does not have negative air pressure, and that the new system will address code issues and create better HVAC separation for a future high‑lift pump station and associated electrical/utility needs. Ryan said construction sequencing is designed to minimize plant impacts and to complete significant work in cooler months when heating is easier than cooling.
The council approved awarding the contract and the budget amendment after the city received PSC approval for the funding package. City staff said there are sufficient funds in sanitary budgets to cover the additional appropriation and that timely procurement is necessary to meet seasonal construction schedules.
Why this matters: replacing a near‑50‑year‑old HVAC system is a substantial infrastructure investment that addresses code compliance, operational reliability and worker safety at a critical water utility facility. The project required PSC review because its total cost exceeded the PSC construction limit for utility projects.
