Council approves preliminary bond determinations for fire station, DPW campus and sewer improvements

The Zionsville Town Council on Dec. 15 voted to adopt preliminary determinations to pursue three separate financings and procurement processes: a West Side Fire Station, a new Department of Public Works (DPW) campus and a sewage improvement program.

Fire station: Bond counsel Chris Bridal (Barnes & Thornburg) described the proposed West Side Fire Station: a site at 3302 E. 550 S., an approximately 21,000-square-foot facility with five apparatus drive-through bays, a commercial-grade kitchen and living/administrative spaces. The town proposed issuing general obligation bonds not to exceed $8,650,000 to fund the project; the RFP/RFQ issued for the project earlier returned nine responses. Bridal explained the controlled-project threshold under Indiana law and outlined the public hearing and guaranteed maximum price (GMP)/scoping process that would follow. Councilors questioned the $8.65 million cap, potential BOT (build-operate-transfer) risks and quality-control mechanisms; Bridal and town staff said the scoping/GMP process is designed to align scope and cost and limit change orders. The council adopted the preliminary bond resolution (7'0).

DPW campus: Counsel Chris Grice presented plans for a DPW campus near 4140 S. 875 E., including a ~4,300-square-foot office and a ~30,000-square-foot heated vehicle garage plus storage and salt barns. The town proposed general obligation bonds with aggregate principal not to exceed $14,745,000. The RFP/RFQ returned 11 responses. Counsel noted that, under the town's reorganization, the adjusted tax to support the DPW financing would apply to urban districts only. The council approved the preliminary determination (7'0).

Sewer improvements: For wastewater upgrades, counsel presented a project budget up to $9.6 million and requested authority for sewage works revenue bonds up to $7,030,000; the remainder would be funded from cash on hand and availability fees. Components include new headworks, lift-station pump replacements, belt filter press replacement, process instrumentation and SCADA/electrical upgrades. Town staff cited prior capacity studies by American Structure Point and Commonwealth Engineering showing the treatment plant operating at about 55% of dry-weather hydraulic capacity and projected that, after the phase-1 process improvements included in this project, the plant would have another 10—2 years of useful operation at a 2.0 MGD level before a planned phase 2 capacity expansion. Council approved the preliminary resolution (7'0).

All three approvals are preliminary steps that trigger required public hearings and further scoping; the council and counsel outlined a timeline for public hearings in January/February and subsequent bond ordinance actions in February—. The council noted the town's remaining debt capacity and that these projects will materially use a substantial portion of that capacity, with future financing options available if additional projects are required.