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Committee approves LED residential streetlight agreement; city to monitor costs against $250,000 budget and federal materials grant

2253046 · February 7, 2025
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Summary

The Public Works Committee approved an agreement with MG&E to install LED residential streetlights, with staff noting materials are funded in part by an $80,000 Carbon Reduction Program grant and services estimated at $70,000.

The Monona Public Works Committee approved an agreement with MG&E to install residential LED streetlights as part of the city’s conversion project. Staff reported a current budget of $250,000 for the program. The materials bid was about $59,000 and MG&E’s estimated service cost is $70,000.

Brad said the Carbon Reduction Program awarded approximately $80,000 for materials; that grant covers materials only, not services. MG&E declined to include a fixed‑price or “not‑to‑exceed” clause in the services agreement, a point the city attorney and MG&E’s attorney had discussed. Staff said previous MG&E estimates were close to $68,000, and the $70,000 figure accounts for likely inflation.

Committee members asked how the city will control cost overruns. Staff said invoices will show progress and percentages, staff will require MG&E to notify the city as the project expenditures approach the estimate (for example in the $60,000–$65,000 range), and the city will decide whether to expand scope, move budget into future years, or return to committee if necessary. Staff also said materials have been ordered and shipping was underway.

Committee members raised the risk that federal reimbursement could be affected by federal funding freezes; staff said the project could be completed without the grant if needed because current local budget funds are sufficient.

Ending: Committee approved the agreement and directed staff to monitor invoices and notify the administrator and committee as project costs approach the estimate.