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Council approves SEH pay‑as‑you‑go maintenance program for two water towers

Pine City Council · July 16, 2026
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Summary

After presentations from USG and SEH, Pine City council accepted staff’s recommendation and approved SEH’s pay‑as‑you‑go, 10‑year maintenance program for the city’s two water towers, awarding the contract at $1,787,100. Council discussed costs, contractor familiarity and operational risks before voting.

Pine City council approved a $1,787,100 pay‑as‑you‑go maintenance program with SEH for the city’s two water storage towers after hearing competing proposals from SEH and USG.

The presentations examined exterior and interior coating options, inspection regimes, and long‑term maintenance plans. Melinda Kurtz, who identified herself as a water‑system consultant for USG, said USG’s approach included targeted tests and overcoating for the exterior with abrasive blasting and recoating for interiors where needed. She summarized the site tests: dry‑film thickness averages around 9.5 mils, adhesive testing indicated a strong bond, and lab sampling showed no heavy metals — findings she said supported an overcoat option for the exterior and blast‑and‑recoat for interiors.

City staff and SEH stressed longevity and contractor familiarity as deciding factors. Jason Spray, who said he oversees water‑tank maintenance for SEH, urged a conservative approach: “I don’t want to get in engineering on that, but it’s going to present some problems down the line if it’s not done right the first time,” he told council, arguing that a full maintenance contract and careful inspection program reduce the risk of early failures.

A city staff member who led procurement told council SEH presented the lower‑risk package based on local references and a consistent contractor record; staff recommended SEH’s pay‑as‑you‑go option. SEH’s pay‑as‑you‑go price presented to council was $1,787,100; SEH also offered an amortized equal‑payment option with a higher total cost.

Council members raised cost and budget timing concerns but agreed that the water fund could carry the payments. After questions about possible impacts to emergency services during any in‑tank work, and discussion of internal footing and structural inspections, council moved to approve SEH’s pay‑as‑you‑go program. A roll‑call vote was recorded in favor of the contract and staff will finalize contracting steps.

Next steps: staff will complete contract paperwork with SEH and coordinate scheduling and contingency steps to preserve emergency services and communications equipment during any work that requires temporary interruption or containment.