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Decatur Utilities seeks council pre‑approval of FY26 capital projects to speed procurement

October 14, 2025 | Decatur City, Morgan County, Alabama


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Decatur Utilities seeks council pre‑approval of FY26 capital projects to speed procurement
Decatur Utilities asked the City Council to authorize a wholesale submittal and preliminary approval of multiple Fiscal Year 2026 capital projects so the utility board can proceed with procurement and construction more quickly, provided project costs remain within the approved budgets.

Ray Harden of Decatur Utilities summarized the request and said Local Act 889 (the local legislative act establishing the utilities board) requires council approval for capital expenditures above a threshold. Under the proposed process, the utilities board will approve projects internally; if bids remain within the amounts the council saw in the budget packet, Decatur Utilities will proceed. If bids come in higher than the council‑approved amounts, the utilities board will return to council for additional approval.

Electric projects described included annual substation equipment replacements (budget example $150,000), replacement of a substation transformer, conductor upsizing on Country Club Road and feeder extensions to provide redundancy and additional capacity. Staff also discussed vehicle replacements and specialized equipment such as bucket trucks and a right‑of‑way tree‑trimming bucket.

Gas projects included industrial area reinforcement in the Valley Park drive area, main encasement work under Sixth Avenue and the Burning Tree reinforcement project. Water and wastewater projects included replacement of sludge actuators and filter process equipment, a SCADA communication/security upgrade ($125,000), cast‑iron water main replacements (approximately $900,000 budgeted for ~3,000 feet), manhole rehabilitation (approx. $1,260,000 for ~140 manholes), and a Country Club force main replacement budgeted at about $4.5 million to replace ~4,100 feet of 14‑inch main (upsized to 16‑inch).

Wastewater projects also included biosolids storage cover (open‑frame prefabricated building), drying bed replacement and lift station generator evaluations. Staff said the Country Club force main is likely more than 70 years old and needs replacement; relocation of that main is tied to the Southbrook development area.

Decatur Utilities staff told council the utility board approved its FY26 budgets and that the wholesale submittal would allow projects to move forward more quickly while preserving council oversight if actual costs exceed the budgeted amounts. Council discussion included questions about project schedules, cybersecurity for utility SCADA systems and progress on the wastewater treatment plant rehabilitation, which staff said is on schedule after one year of work.

No final vote to amend the underlying Local Act was discussed; the council reviewed and the utilities requested preliminary approval to proceed under the described process.

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