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Council awards wastewater UV and clarifier replacement contract; budget gap to be handled across fiscal years
Summary
Council awarded a $2,063,000 base contract to GSE Construction to replace a clarifier and ultraviolet disinfection equipment at the wastewater treatment plant. Total project cost is estimated at about $2.87 million against a $2.60 million grant; staff proposed options to cover the roughly $273k gap, including deferring smaller projects or encumbering funds to next fiscal year.
Riverton’s City Council approved awarding the base bid for the wastewater treatment plant ultraviolet (UV) disinfection and clarifier replacement project to GSE Construction, the low bidder at $2,063,000.
Engineering and procurement work produced a total project estimate of approximately $2,873,766 when factoring preprocurement clarifier costs and consultant fees. The city received a Wyoming Community Development Authority grant of about $2,601,000; after the grant the project showed an estimated shortfall of about $272,766.
Public Works Director Mick Toman and staff reviewed options: (a) defer lower-priority capital items this year (for example a digester air-grid project), (b) use available capital reserves, or (c) encumber part of the shortfall into next fiscal year’s capital budget. Staff recommended proceeding with the award to secure the low bid and either reallocate smaller capital items or carry the remainder into next fiscal year, noting the contractor’s schedule means much of the final invoicing will occur in the next budget year.
Council discussed the trade-offs; members noted urgency of replacing aging equipment, the potential for market-driven cost savings in the construction contract, and the feasibility of splitting payments across fiscal years. The council approved the bid award and directed staff to finalize a funding plan that minimizes reserve draws and preserves other critical capital projects where possible.
