Council approves bid for new Waukesha Water Utility operations center despite resident objections

The Waukesha Common Council unanimously approved a construction bid for a new Waukesha Water Utility operations center on Tuesday, May 20, clearing the way for a replacement facility officials say is needed because the current building is outdated and undersized.

Alderperson Dean Matthews moved to approve the winning bid; Alderperson Heaven Slaven seconded the motion. The motion passed unanimously.

The utility and city officials who spoke on the proposal said the new facility responds to long-standing space and safety issues at the existing site. Kelly, a Waukesha Water Utility representative, told the council the current garage dates to 1972, trucks are tightly stored and roof leaks impact administrative areas. She said a needs study completed two years ago supported building a new facility and that site selection and design followed council approvals and a public bidding process. "We had nine bidders," Kelly said, calling the turnout "a great turnout" and noting the low bids arrived with alternatives so the project could be adjusted if funding fell short.

Dan, identified in the meeting as a water-utility finance representative, said the project will be covered from the utility's WIFIA funds and from other previously planned sources, and will not change the water-rate projections already presented to customers. "We are able to pay for this project without having any impact on rates that we had already projected to the public for our project," Dan said, adding the utility is borrowing at 1.16% over 38 years and received a $4,000,000 federal grant to offset demolition costs of excess sites.

Not everyone supported the project. During public comment, resident Lisa Sald said she opposed what she described as another $25,000,000 building at a time the city's finances may face pressure. "The fact that we're willing to spend another 25,000,000 on another building that many feel is unnecessary, I feel is not only irresponsible, but it's also ridiculous," Sald said.

Council members asked for and received clarification on project cost and funding. Kelly said the Public Service Commission had approved $25,300,000 for the project; she and Dan estimated the total, after adding furniture and moving expenses, would be closer to $23,000,000 because bids came in under the PSC-approved amount. Dan also said the utility expects to recover some demolition costs through property redevelopment proceeds.

The motion approved the bid and authorized moving forward with construction. Council records show the motion passed unanimously.

Next steps include finalizing contract details, purchasing furniture and equipment not included in the initial construction contract, and coordinating demolition or redevelopment of surplus sites.