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Board tentatively awards Ward 4 lead service replacement to low bidder KLS Underground
Summary
The Coldwater Board of Public Utilities adopted resolution 26‑01 to tentatively award a Ward 4 lead service line replacement project to low bidder KLS Underground for $1,767,000, contingent on anticipated DWSRF financing that would reimburse roughly 50% of the cost under current award terms.
The Cola Board of Public Utilities voted to adopt resolution 26‑01 to tentatively award its Ward 4 lead service line replacement project to low bidder KLS Underground for $1,767,000, contingent on successful financing arrangements with the state drinking water revolving fund.
Board staff said the program began under a 2022 DWSRF award that reimbursed 100% of earlier replacements; staff identified about 1,200 services that once connected to lead and galvanized lines and has replaced roughly 620 to date. “We identified roughly 1,200 service lines meeting that criteria,” Brian said during the presentation and described the remaining work as roughly 580 services across the city.
Fishbeck, the board’s consultant engineer, solicited bids on March 26, 2026; bid results included KLS Underground at $1,767,000, SWT Excavating at just over $2.1 million, Parish Excavating at just over $3 million and Concord Excavating at $3.2 million. Staff recommended KLS as the low bidder for the Ward 4 contract and sought the resolution to meet state paperwork requirements for the DWSRF process. Staff explained the 2025 DWSRF application did not secure a 100% award and that the current award would require the BPU to repay about 50% of the project cost, with the BPU expecting reimbursement of roughly $900,000 after completion under the anticipated terms.
A board member asked why the utility did not receive 100% reimbursement; staff responded that awarding of full funds is ranked statewide and Coldwater fell lower on that list as many communities sought funding. The board approved resolution 26‑01 by voice vote.
Next steps: staff will complete the DWSRF paperwork and finalize financial arrangements before executing the contract; the project start date was described as likely August 1, pending state completion of the loan/grant process.
