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Council approves winter frost charge for water tower electrical hookup; contractor reimbursement expected

2376629 · February 18, 2025
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Summary

Council approved consent agenda item 6e, a change order to cover a roughly $9,000 frost‑charge payment required by the utility (Xcel) to energize electricity to a new water tower; city staff said the contractor is expected to reimburse the charge and the change order is effectively net neutral.

The Corcoran City Council approved a consent‑agenda change order to cover a winter “frost charge” required by the utility to provide power to a new water tower. Staff said the utility required upfront payment for winter work markup and that the city, as the project owner, must pay Xcel Energy and will seek reimbursement from the contractor.

Council member Dean asked whether Xcel requires payment up front and why the city must pay; Kevin (staff member) explained the utility’s winter work policy allows a markup for freeze conditions and that the city’s contract terms made the city responsible to ensure power is available for the installation. Staff identified Phoenix as the group coordinating the power tie‑in and said Rice Lake and the contractor have acknowledged the frost‑charge timing issue.

Council member Nichols moved to approve item 6e and Council member Friedrich seconded; the council approved the item by voice vote. Staff described the change order as essentially net‑neutral because the contractor will reimburse the frost charge to the city.