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Mesa staff outline utility capital projects: water, energy and smart-metering work highlighted
Summary
City staff described completed, current and upcoming utility capital projects including water reclamation emergency repairs, LG battery plant gas-line work, Signal Butte water plant phase 2, smart metering phase 2 and reuse and transmission pipelines.
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At an April 17 study session, Mesa City Council and staff reviewed utility-side capital improvement projects included in the proposed FY2026'FY2030 Capital Improvement Program.
Brian Richel and Chris Lynch of the Office of Management and Budget reviewed recent completions and projects under way. Lynch highlighted completed emergency repairs at the Northwest Water Reclamation Plant, including pipe replacements and a reclaimed-water main emergency replacement. "These are kind of things that, plans change, plans change, and we have to re-prioritize funding and be able to do some of these emergencies," Lynch said.
Current and near-term projects noted by staff included work by Energy Resources on gas infrastructure (Ganzell Road and Arizona Farms gas-line replacements, and the LG gas line under construction supporting the LG battery/power project in southeast Mesa), ongoing Signal Butte Water Plant phase 2 work, the Central Mesa reuse pipeline, several new ground wells, and continued phase 2 of the smart-metering program.
Projects expected to begin construction in fiscal year 2025'26 include quarter-section replacements for Energy Resources, new services at Mesa General Hospital, water transmission main rehabilitation, chemical tank improvements at the Greenfield plant (a jointly owned facility with Queen Creek and Gilbert), and Southeast Water Reclamation Plant improvements. Staff also outlined longer-range projects that currently lack funding, such as additional phases of water-transmission improvements, Brown Road Water Treatment Plant work, and potential Bartlett Dam reservoir expansion participation.
Staff cautioned that cost escalation and material/labor delays remain primary risks and that the CIP will be reprioritized as costs and emergencies require. Councilmembers asked about coordination between street projects and utility work; staff confirmed departments coordinate to perform utility upgrades during roadway work where feasible to avoid rework and additional disruption. Councilmembers also requested lists of unfunded projects and clarification of what "allocated" means in the bond-authorizations slides; staff said they will provide more detailed lists showing financial allocations, design status and percent complete.

