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Hibbing PUC approves financials, contracts, hydrant replacements and AMI RFP in Oct. 28 meeting
Summary
After a special MDH presentation about lead in drinking water, the Hibbing Public Utilities Commission on Oct. 28 approved minutes, financials and multiple contracts and procurements.
After a special presentation by the Minnesota Department of Health about a lead action-level exceedance in Hibbing's drinking water, the Hibbing Public Utilities Commission completed its regular agenda on Oct. 28 and approved a series of motions and procurements.
The commission approved the Sept. 23, 2025 meeting minutes (motion by Commissioner Stokes; support by Commissioner Hart) and carried the consent agenda, which included approval of invoices greater than $10,000, payroll reports, a liability-coverage waiver and several contribution requests. The commission also approved the September 2025 financial statements; GM Luke Peterson and Baker Tilly representative Russ Hissom reported the utility is in a stable position with operating income and grant and interest revenues cited in the packet.
Key procurements and authorizations approved by the commission included:
- Authorization of professional services from Iron Range Engineering and Consulting Services LLC for project management of the BeltLine substation and related distribution work in an amount of $200,000 (motion by Commissioner Hart; support by Commissioner Stokes).
- Approval of a warehouse underground-cable stock purchase from Stuart Irby in the amount of $32,661.75 (motion by Commissioner Hart; support by Commissioner Stokes).
- Award of the 2025 fire-hydrant replacement contract to the low bidder Hekovich Mechanical Contracting in the amount of $1,040,326 for 48 prioritized hydrants around the city (motion by Commissioner Stokes; support by Commissioner Hart). Utility staff said the city maintains roughly 780 hydrants and expects prioritized replacement work to continue for multiple years.
- Authorization to solicit public bids for Phase 2 of the BeltLine substation modernization (civil, electrical and line work) to complete the three-phase project begun in 2023 (motion by Commissioner Babbage).
- Authorization of RFP 25-09 for advanced metering infrastructure (AMI) meter installation under the best-value procurement method (motion by Commissioner Stokes; support by Commissioner Babich). Staff said the customer-service and meter teams will assemble bid documents and GM Peterson will provide final review.
On personnel and benefits, the commission approved the proposed 2025 utility organizational chart and authorized an internal posting to fill a chief operator position. The commission voted to administer Minnesota Paid Family Leave through the state for 2026 and adopt a 50/50 cost-share (a 0.88% payroll tax split 0.44% employer / 0.44% employee). The commission also approved 2026 employee benefits through the Minnesota Public Employers Insurance Plan (PEAP) on a four-year contract term subject to a 20% premium increase clause.
All motions were approved by voice vote with no recorded opposition in the meeting transcript. Several items will advance to formal contract documents and bidding processes; staff said bid specifications for the BeltLine substation are expected to be available in November and that budget review for 2026 will continue at a Nov. 6 work session.

