Evansville utility board approves 2025 water budget and multiple contracts, OKs large contract adjustments

The Evansville Water and Sewer Utility board approved the utility's 2025 water budget and a slate of contract awards, amendments and change orders after reviewing bids, engineering updates and staff recommendations.

The board voted to adopt the water budget after a presentation from Keith Penny, who said the utility's consolidated water and sewer revenue is budgeted at $167,000,000 (a 1.48% increase) and expenses at $165,000,000 (a 1.54% increase). Penny said the 2025 water revenue budget is $74,630,000 and water expenses are budgeted at $73,080,000; he noted breakouts of formerly combined accounts (for example, a new water-quality-services account) to improve transparency.

Staff presented several procurement and contracting items during the meeting. Benjamin Barnes introduced bids for annual 2025 concrete and asphalt patching for water and sewer repairs; the record shows a single listed bid from Jerry David Enterprises Inc. for $2,157,470. Barnes asked to take the bid under advisement for in-house review with city compliance and purchasing; the board approved that motion to take the bid under advisement.

Speaker 13 presented recommended low bids for 10 water and wastewater chemicals, reporting that six of the chemicals received multiple bids and that some prices came in lower than last year. The board approved the recommended chemical awards by voice vote.

Jennifer Kane recommended awarding the Destin Street (east of First Avenue) main replacement project (U-1181) to Sam Trucking and Excavating for $406,882; the board approved the award. Kane also sought approval of a construction-escrow agreement for the East Mill Road and Weaver Road water main replacement project (U-1191) that would place contract retainage in an escrow account with Old National Bank; the board approved the escrow arrangement.

Kane explained a highway utility agreement with INDOT for the US 41 reconstruction (R41410) that will relocate an existing 6-inch water main; EWSU provided an estimated cost of $372,205 and said INDOT will include the relocation as a change order in their contract and EWSU will reimburse that cost. The board approved the agreement and directed staff to report back with final cost information once INDOT's contractor provides a price.

On the sewer side, the board approved the apparent low bid of $487,035 for the Burkhart Crossing lift station and force-main improvements after staff and purchasing recommended the award.

The board approved several contract amendments and change orders: Amendment 1 to the Salus O'Brien engineering services agreement (CHP study phase 2) for $65,800, bringing the contract total to $80,678, was approved to fund a detailed field investigation and final reporting. The board approved a first amendment to an interlocal agreement with the Vandenberg County Building Authority (for the Waynesford Yard lift station project S1315) that extends the termination date to May 31, 2026, and preserves a reimbursement cap to the authority of up to $200,000.

Staff presented final adjustments on several construction contracts. A change order to Miller Pipeline LLC for the Southeast Side neighborhood water-main replacement reduced the contract price by $92,482.34 to reflect final quantities and liquidated-damage adjustments. The board also approved Change Order No. 6 to Blankenberger Brothers Inc. for the Toyota Trinity Stormwater Park, a net decrease of $947,130.41 reflecting termination-related quantity reconciliations and material repurchase terms. The Beasley River floodgate project received a final increase of $133,091.71 to Dyke Brothers Lumber & Construction for added scope and a 74-day time extension; the board approved that change order.

Daniel Klazdell requested approval of a statement-of-work with Element 3 for customer outreach and communications support with a not-to-exceed amount of $125,000 for 2025; he said the utility plans to bring more communications work in-house over time. The board approved the Element 3 agreement.

All of the above motions were approved by voice vote. Several board members and staff asked for follow-up details on specific items (for example, a final INDOT price and a breakdown of the asphalt/concrete bid between water and sewer). The board scheduled follow-up reporting as needed.

The meeting concluded with the announcement that the next scheduled meeting will be Dec. 17, 2024, at 3 p.m. at the Sunrise pump station and then adjourned.