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Ishpeming council authorizes Waterworth rate-management pilot, approves major water payments and change orders
Summary
Council approved contracting with Waterworth for continuous utility rate management and authorized several water project payments and change orders, while agreeing to fund initial implementation from the water and sewer funds pending manager and attorney review.
Ishpeming's City Council voted to authorize a partnership with Waterworth, a continuous utility rate-management service, and approved a series of water-project payments and change orders during its regular meeting.
The council approved a motion authorizing the city manager and city attorney to move forward with Waterworth—s implementation, with funding to come from the water and sewer funds and a waiver of competitive bidding included. Paul of Waterworth demonstrated the platform—s cash-flow modeling, long-term forecasting and cost-of-service analysis, showing scenario options that could avoid sudden, large rate spikes by phasing in smaller adjustments. Council members and staff emphasized that the session used demo data and that any concrete rate changes would be developed from the city—s actual billing and CIP data.
The council also approved several capital and payment resolutions related to current water projects. Those votes included a CWSRF-related payment to Payne & Dolan for $140,428.43 and a combined drinking-water payment request totaling approximately $2,036,713.52 (items presented as part of the DWSRF package). Council authorized multiple change orders to align construction contract prices with on-site adjustments and accepted staff—s request to approve a not-to-exceed ceiling of $300,000 for a forthcoming change order on streets D and E to avoid re-digging and schedule delays.
Finance director Grant explained the water and sewer funds— current positions and noted the anticipated inflow of CWSRF proceeds that will bolster fund balances in coming months. Council members stressed the need for clear cost transparency and affordability for residents before any permanent rate changes are adopted.
The council approved the Waterworth authorization and the payments and change orders by voice vote. Council added the condition that the final agreement be subject to manager and attorney review before execution.
