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Council authorizes $459,277.50 for preconstruction and engineering on gas‑system upgrades
Summary
The council approved a purchase order to USDI for preconstruction and construction engineering services totaling $459,277.50 for gas system upgrades, splitting work between USDI engineering and civil engineering tasks for surveys, wetland delineation and easement work.
The council authorized staff to issue a purchase order to USDI for preconstruction and construction engineering services related to planned gas‑system upgrades, with a total authorization of $459,277.50. Utility Manager Jeff Shanahan said USDI developed a system model that identified transmission and pressure limitations; staff proposes replacing a north transmission line segment and adding a regulator station to increase deliverable pressure and ensure supply to the gas turbine during high‑load days.
The $459,277.50 figure includes approximately $248,000 to USDI for engineering and a remaining $211,194 for civil‑type services (boundary surveys, wetland delineation, easement acquisition) contracted through USDI. Shanahan said the larger construction project is estimated at roughly $8 million and that the $459,277.50 engineering authorization supports the design and permitting phase.
Council members asked whether the engineering authorization is included in next year’s budget. Staff replied the engineering authorization is part of the FY26 budget request but that the city pays only for work received; if the full construction authorization is not approved later, the city would pause follow‑on work and retain the completed engineering package.
The resolution passed with a six‑to‑zero vote.
