City Council Meeting Date: March 18, 2025
To: Mayor and City Council
City Administrator
From: Justin Wagner, Utilities Manager
David Bennett, P.E., Public Works Director/City Engineer
Title
Consider Motion to redirect federal funds from Water Treatment Plant to Water Tower in Northwest Area and Authorize staff to seek design services for Water Tower.
Body
Action Requested:
The Northfield City Council considers a Motion to redirect use of federal funds from Water Treatment Plant to Water Tower in Northwest Area and to Authorize staff to seek design services for the water tower.
Summary Report:
On January 21, 2025, the City Council approved a motion to reject bids for the water treatment plant project. Staff brought the project back to the City Council for a path to move forward with the water treatment plant on February 11, 2025, and did not receive a majority of Council support for the construction of a water treatment plant to provide safe drinking water to all residents and visitors of Northfield by lowering the level of manganese in the water. Attached is a letter from the low bid contractor, Magney Construction Inc., extending their bid for 30 days that will expire on March 20, 2025.
In 2023, the City of Northfield was successful in obtaining $3.945 million in federal funding for the construction of a water treatment plant through a Section 219 grant. The funds were allocated for water or wastewater uses but were applied for to be used to construct the water treatment plant. Staff has been communicating with the Army Corps of Engineers (ACOE), who administers the Section 219 grant, to discuss using the funds for a water tower in the Northwest Area. Staff received verbal communication that funds would be able to be used for this purpose so long as the total project is under $5.26 million where the ACOE is 75% cost share, and the City is 25% cost share or $1.315 million. Staff is recommending the construction of a 750,000 gallon water tower in the Northwest Area based on the water system study and evaluation of the Northwest Area. The original plan was for a 1,000,000-gallon water tower; however, the cost would be too large and there would not be a major difference in the operation of the water system.
Based on the above information, staff is recommending the approval of a motion to direct staff to redirect the use of the federal funds to a 750,000-gallon water tower in the northwest area as well as direct staff to seek design services for the water tower. Staff will solicit a request for proposals from multiple-qualified professional engineers. The water tower project will require two separate plan sets, one for the construction of the water tower and one for the connection of the water distribution system piping and driveway access. The ACOE will bid out the water tower and the City would pay the ACOE its 25% of the project. The City would bid out the water distribution system piping and driveway access for the water tower.
Alternative Options:
The City Council could direct staff to award the water treatment plant project through Magney’s project extension pending review from the City Attorney.
Financial Impacts:
The total water tower project cost is estimated to be $5.5 million for construction of the tower. There will be additional costs for design as well as water distribution connections. The original conceptual cost for a 1-million-gallon water tower was estimated to be $8,394,000. City funds will be required to be sent to the ACOE when the project is awarded.
Tentative Timelines:
Spring 2025 - City Council Approve Contract with Design Engineer
Spring/Summer 2025 - Approval of Project Partnership Agreement with Army Corps of
Engineers
Spring through Fall 2025 - Design of the Water Tower
Summer through Winter 2025 - Army Corps Designing Process
Construction - 2026 to 2028 (Current expectation is around 855 days to construct the water tower)