HomeMy WebLinkAboutUtilMinutes_2022_09_12September 12, 2022
Municipal Utilities Board
City of Brookings
The regular meeting of the Municipal Utilities Board was held at 1:00 p.m. on Monday,
August 8, 2022, at the Utility Building with the following members present: Bartels, Carruthers,
Hansen, Hawley, Harvey and Councilman Avery.
ADOPTION OF AGENDA
The agenda was adopted.
MINUTES
Minutes of the regular meeting held August 8, 2022 and August 22, 2022 were read and
approved.
APPROVAL OF BILLS AND CLAIMS
Motion was made by Bartels, seconded by Hawley that the following bills and claims be
approved. All members present voted in favor of the motion.
Advanced Media Technologies Inc, Set Top Boxes, $11556.00; AgFirst Farmers Cooperative
Co, Vehicle Gasoline, $454.00; A-I Computer Solutions Of Brookings Inc, Supplies, $209.96;
Allegra, Printed Supplies, $753.12; AMP Electric Construction Inc, Labor/Supplies, $234.83;
Anderson, DeWayne, Conserve/Demand Incentive, $25.00; Appeara, Supplies, $57.33; AT & T,
Telco Settlement, $709.89; AT & T Mobility, PCS Phone Service, $2115.86; Authorize.Net,
Credit Card Processing Fee, $170.55; Automatic Building Controls Inc., Building Maintenance,
$1123.00; Badger Communications, Systems/Cabling Inv, $2664.21; Bally Sports North,
Contract Fee, $8159.52; Bartels, Keith, Travel, $68.75; Bendix Inc., Copier Maintenance,
$1562.30; Bluefin Payment Systems, Credit Card Processing Fee, $15237.13; Border States Elec
Supply, Supplies, $3069.84; Border States Elec Supply, Systems/Cabling Inv, $366.54; Bowes
Construction Inc, Gravel, $381.57; Bridle Estates, Sewer Charge Reimbursement, $5049.00;
Brookings County Finance Office, Commercial License Plates, $4719.34; Brookings County
Finance Office, License, $24.20; Brookings Credit Bureau & Collection Agency, Delinq.
Account Collection, $30.51; Brookings Dumpster Service, Sanitation Service, $478.52;
Brookings Municipal Utilities, Office Utility Bill, $61810.61; Brookings Municipal Utilities,
Petty Cash, $82.71; Brookings Register, Subscription, $188.00; Bruttys Underground Sprinkler,
Irrigation System Maintenance, $5944.50; Bruttys Underground Sprinkler, Sump Pump
Program, $1335.00; BSG Clearing Solutions, Telco Settlement, $33.04; Buhls Dry Cleaners &
Linen Supply, Rug/Supplies, $339.40; Business Track, Credit Card Processing Fee, $11459.80;
Calix Inc., Inventory, $20198.37; Carquest Auto Supply, Work Equip Maintenance/Supplies,
$169.13; CDW Government Inc, Laptops, $5959.83; Century Business Products, Copier
Maintenance, $2629.89; Century Business Products, Printer, $2562.06; Century Link, Telephone
Expense, $231.48; City of Brookings, Contract Fee, $7422.13; City of Brookings Landfill,
Landfill Fee, $410.35; Climate Systems Inc, HVAC Maintenance, $2107.21; Consortia
Consulting Inc, Consulting Service, $1499.00; Convergint Technologies LLC, Repairs, $305.09;
Core & Main, Supplies, $14216.27; Courtesy Plumbing Inc., Repair/Supplies, $689.10; Creative
Printing Inc., Printed Materials, $4547.92; Credit Collections Bureau, Delinq. Account
Collection, $203.50; Culligan of Brookings, Bottled Water, $121.50; Dakota Pump Inc.,
Pumping Station, $56400.00; Dakota Riggers & Tool Supply, Supplies, $2376.40; Dakota
Service & Repair, Supplies, $17.50; Dakota Supply Group, Supplies, $1298.09; Dave's Window
Cleaning, Inc, Window Service, $70.00; Dept Of The Treasury, Federal Tax, $5989.82; DGR
Engineering Inc, Engineering Service, $710.00; DHE, LLC, Maintenance Fee, $1196.63;
Directory Resources Co LLC, Software Maintenance, $1250.00; Ditch Witch UnderCon, Work
Equip Maintenance, $877.54; Ekern Home Equipment Inc., Repair/Supplies, $434.33; Ekern,
Jeff, Travel, $35.60; Environmental Toxicity Control Inc., Water Analysis, $925.00; Express
Communications, Inc., Telco Settlement, $10795.62; Farmers Implement Irrigation, Work
Equipment Maintenance, $485.25; Ferguson Waterworks #2516, Water Meters, $48680.00;
Fishback Insurance Agency, Notary Bond, $50.00; Foerster Supply Inc, Supplies, $3173.64;
Foerster Testing Limited, Compaction Tests, $675.00; Fox Scientific Inc., Supplies, $468.02;
Golden West Technologies Inc., Tech Support, $6307.66; Goldfield Telecom LC, Supplies,
$595.58; Grainger, Supplies, $176.36; Gray Television Group Inc, Contract Fee, $19488.48;
Graybar Electric Company, Fiber Distribution Cabinet, $6935.50; Graybar Electric Company,
LED Light Fixtures, $20174.38; Graybar Electric Company, Supplies, $780.43; Graybar Electric
Company, Systems/Cabling Inv, $900.05; Halgerson, Russ, Travel, $347.50; Hawkins Inc,
Chemicals, $4982.00; Hawley, Spence, Travel, $68.75; Homestead Do It Center, Supplies,
$6.74; Hometown Service & Tire LLC, Vehicle Maintenance, $143.21; Honkomp, Tom,
Conserve/Demand Incentive, $325.00; Interstate Telecommunications Cooperative, Telephone
Expense, $427.66; Jackrabbit Tire Company, Work Equipment Maintenance, $200.74; Johnson,
Tara, Conserve/Demand Incentive, $300.00; Julius, Laura, Travel, $68.75; L G Everist Inc,
Gravel, $192.02; Lewis Drug Inc, Supplies, $38.41; Localogy, Directory Rates/Data, $58.14;
Locators & Supplies, Sump Pump Program, $384.93; Locators & Supplies, Supplies, $4069.26;
Lumen, Telco Settlement, $272.22; Mack, Brayton, Travel, $53.10; Martin's Inc, Diesel/Oil,
$3732.27; Matheson Tri-Gas Inc, Supplies, $251.51; Meyer, Steve, Meeting Supplies, $72.09;
Meyers Service, Inc, 5th St S Vault & Telluride Water, $137214.00; Midamerican Energy,
Utility Bill, $10.59; Midcontinent Comm., Contract Fee, $592.02; Midwest Glass LLC,
Repair/Supplies, $1053.34; Missouri River Energy Services, Supplemental Power, $1730861.97;
Missouri River Energy Services, WAPA Allocation, $219467.40; MVTL Laboratories Inc.,
Wastewater Analysis, $435.25; Napa Auto Parts, Supplies, $81.63; Nemitz, Doug,
Conserve/Demand Incentive, $200.00; Nexstar Broadcasting, Inc., Contract Fee, $9243.25;
Northwestern Energy, Natural Gas, $56.83; Office Peeps Inc, Supplies, $1154.51; Oil Price
Information Service, LLC, Publication, $459.00; One Source - The Background Check
Company, Employee Verification, $44.00; OneNeck IT Solutions LLC, Software License,
$26035.00; Page, Mike, Travel, $35.40; Pests B Dead LLC, Pest Control, $160.00; Pete Lien &
Sons Inc, Chemicals, $8318.34; Pizza Ranch, Employee Recognition, $172.48; Power &
Telephone Supply, Supplies, $128.15; Power & Telephone Supply, Systems/Cabling Inv,
$25.63; RDO Equipment Co, Work Equipment Maintenance, $20731.05; Resco, Sleeves,
$21875.99; Rients, Shane, Travel, $159.30; Riverside Technologies, Inc., Computer Supplies,
$1184.00; Riverside Technologies, Inc., Laptop, $1625.00; Runnings, Sump Pump Program,
$99.26; Runnings, Supplies, $3023.03; Rykhus-Nelson Siding Windows & Gutters, Gutters,
$3173.48; SD Dept of Environ & Nat, Certification, $60.00; SD Dept of Health Lab Remit
Center, Testing W-WW Samples, $2576.00; SD Dept of Rev, Enhanced 911, $8842.05; SD State
Treasurer, Communication Impaired Fee, $1860.20; SD Treasurer, Sales/Excise Tax,
$202219.58; SDN Communications, Circuit Lease, $2202.97; Secretary of State, Notary Filing
Fee, $30.00; SHI International Corp., Software Maintenance, $1019.55; Sigma-Aldrich Inc.,
Supplies, $202.62; Sioux Valley Environmental, Chemicals, $7282.20; Skinner Striping, Parking
Lot Striping, $2448.98; Society For Human Resource Management, Membership Dues, $229.00;
South Dakota Newspaper Services. Inc, Employment Advertising, $746.70; Springbrook, Credit
Card Processing Fee, $2496.56; Springbrook Holding Company LLC, Software Support,
$5601.75; Sprint PCS, PCS Phone Service, $148.81; State Of South Dakota, Record Retention,
$5.94; Sturdevant's Auto Value, Supplies, $185.06; Sunbelt Rentals, Inc, Generator Rental,
$4587.75; Swiftel Communications, Office Phone Bill, $124571.72; SwipeClock LLC,
Subscription, $175.00; TCT Network, Contract Fee, $173.52; Teledynamics, Systems/Cabling
Inv, $829.76; Terex USA, LLC, Equipment Maintenance, $1742.05; Tessier's Inc, HVAC,
$6350.00; The UPS Store, Freight, $1618.00; Thompson, Ryan, Travel, $68.75; Tires Tires
Tires, Vehicle Maintenance, $804.00; Traffic Control Corp, Supplies, $1338.00; Turfguard Lawn
Service Inc., Weed Spraying, $70.00; United Parcel Service, Freight, $31.20; United States
Postal Service, Postage, $9000.00; University Estates, Water Charge Reimbursement, $3510.00;
USA Bluebook, Supplies, $4192.71; Vantage Point Solutions Inc., Engineering Consulting,
$675.00; Wellmark Blue Cross Blue Shield of SD, Benefit Plan Fee, $180.50; Wholesale
Electronics, Supplies, $2109.50; Winter Contracting, LLC, Western Ave Sewer Lift
Consolidation, $558794.05; WW Tire Service Inc, Work Equipment Maintenance, $89.85; Xcel
Energy/NSP , Utility Bill, $49.16; ZOHO Corporation, Annual Subscription, $133.00;
Alternative Health Centers PC, Telephone Refund, $109.92; Barnes, Paul, Telephone Refund,
$750.00; Berry, Bridgette, Telephone Refund, $54.14; BROOKDAK PROP LLC, Refund
Check, $68.41; Brookings City Park & Rec, Telephone Refund, $45.44; BROOKINGS
PROPERTY MGMT, Refund Check, $106.05; Chandler, Amber, Telephone Refund, $46.02;
Chang, Eunhee, Telephone Refund, $107.61; Dirks, Ethan, Telephone Refund, $79.94; Everding,
Talia, Telephone Refund, $52.59; FAY, MADISON, Refund Check, $115.47; Fernandez,
Manuel Perez, Telephone Refund, $57.76; Gabriella, Elizabeth, Telephone Refund, $16.55;
Garcia Fritz, Jessica, Telephone Refund, $135.38; Glassen, Emily, Telephone Refund, $62.26;
GLASSEN, EMILY, Refund Check, $46.98; HAIAR, KYLE, Refund Check, $3.03;
HILLESTAD, SHAD, Refund Check, $113.87; Jensen, Joanne, Telephone Refund, $193.94;
Jensen, Leroy, Telephone Refund, $132.90; Johnson, Clint, Telephone Refund, $555.92; Konrad,
Alexis, Telephone Refund, $63.06; Larscheid, Stephanie, Telephone Refund, $3.47; Lee, Brian,
Telephone Refund, $21.91; Lucas, Ben, Telephone Refund, $170.25; Mcmacken, William,
Telephone Refund, $178.39; Micro Doughnuts, Telephone Refund, $27.04; Mincheff, Noah,
Telephone Refund, $41.32; Murphy, Jesse, Telephone Refund, $112.01; Pappas, Shannon,
Telephone Refund, $19.59; Reynolds, William, Telephone Refund, $75.95; RINGNECK
INVESTMENT GROUP INC, Refund Check, $60.84; SOBOTKA, GARY, Refund Check,
$58.54; STEINMETZ, CORTEZ, Refund Check, $52.44; STEVENS, TODD, Refund Check,
$307.50; Swedlund, Harriet, Telephone Refund, $26.68; VST LLC DBA MEDGENE LABS,
Refund Check, $35.15; Wiese, Ethan, Telephone Refund, $114.97;
BEDC PRESENTATION
Tim Reed from the Brookings Economic Development Corporation (BEDC) gave a
presentation on what is happening at BEDC and addressed questions from the Utility Board.
PUBLIC HEARING ON THE PROPOSED WATER TREATMENT FACILITY, WELLFIELD
EXPANSION AND DISTRIBUTION PIPING UPGRADES
No one appeared and no written comments were received.
FUNDING APPLICATION FOR WATER TREATMENT FACILITY, WELLFIELD
EXPANSION AND DISTRIBUTION PIPING UPGRADE
Motion was made by Bartels that the following Resolution No. 14-22 be approved.
RESOLUTION NO. 14 – 22
RESOLUTION APPROVING FUNDING APPLICATION FOR CERTAIN IMPROVEMENTS
TO THE CITY’S WATER TREATMENT FACILITY AND DISTRIBUTION SYSTEM
(DW-SRF Funding Application)
WHEREAS, the City of Brookings, South Dakota (the “City”), operating through
the Brookings Municipal Utilities (BMU), currently operates a municipal water utility (the
“Utility”); and
WHEREAS, BMU has determined it is necessary to proceed with improvements
to the Utility, including but not limited to constructing a new Water Treatment Facility, Wellfield
Expansion, and Distribution Piping upgrades, as outlined in the City’s Facilities Plan, dated
March, 2021, as amended September, 2021 (the “Project”); and
WHEREAS, loan assistance is necessary to enable the City of Brookings, South
Dakota (the “City”) to construct the necessary improvements; and
WHEREAS, BMU is requesting authorization on behalf of the City to apply to the
South Dakota Department of Environment and Natural Resources for a loan and/or grant from
the South Dakota State Revolving Loan Fund Program to fund all or part of the cost of these
improvements and intends to repay such loan by a surcharge to be imposed upon the users of the
City’s water system;
NOW BE IT RESOLVED that BMU hereby authorizes its Executive Vice
President/General Manager to file an application, including all understandings and assurances
contained therein, for a loan to the City from the South Dakota State Revolving Loan Fund
program for an amount not to exceed $40,700,000 secured and repaid by revenues from a
surcharge to be imposed upon the users of the City’s water system; and hereby further designates
the Executive Vice President/ General Manager of the BMU to act as the signatory in connection
with the application; and
BE IT FURTHER RESOLVED that all loan documents will be executed by the
Mayor and the City Clerk of the City of Brookings and the President of BMU; and
BE IT FURTHER RESOLVED that the Executive Vice President/General
Manager of the BMU shall be and is hereby authorized to sign payment requests for the
disbursement of proceeds of the loan.
Adopted this 12th day of September, 2022.
ATTEST:
_____________________________ ______________________________
Seth Hansen, Secretary Tim Harvey, President
The motion was seconded by Hansen. All members present voted in favor of the motion.
WATER IMPROVEMENTS TO THE FACILITIES PLEDGING CERTAIN REVENUES AND
COLLATERAL
Motion was made by Hansen that the following Resolution No. 15-22 be approved.
RESOLUTION NO. 15 - 22
RESOLUTION RELATING TO CERTAIN DRINKING WATER
FACILITIES IMPROVEMENTS; GIVING APPROVAL TO THE
ISSUANCE AND SALE OF REVENUE BONDS TO FINANCE,
DIRECTLY OR INDIRECTLY, THE IMPROVEMENTS TO
THE FACILITIES; PLEDGING CERTAIN REVENUES AND
COLLATERAL TO SECURE THE PAYMENT OF THE
REVENUE BOND; AUTHORIZING OFFICERS OF THE
UTILITY BOARD TO APPROVE, EXECUTE AND DELIVER
CERTAIN AGREEMENTS AND DOCUMENTS RELATING
TO THE IMPROVEMENTS AND THE REVENUE BOND
BE IT RESOLVED by the Utility Board (the “Board”) of Brookings Municipal Utilities,
Brookings, South Dakota (“BMU”), as follows:
Section 1. Recitals.
1.01. The City of Brookings (the “City”) is authorized by South Dakota Codified Laws,
Chapter 9-40, as amended (the Act), to acquire land and acquire and construct improvements to
its drinking water collection, treatment and distribution facilities (collectively, the “Utility”).
Pursuant to the Act and the city charter, the City has established BMU to manage and control
such services.
1.02. The City has determined that it is necessary and desirable to construct
improvements to the Utility, consisting of upgrades to the Utility and related improvements (the
“Improvements”). The City is authorized to issue its revenue obligations under SDCL, Chapters
9-40 and 6-8B, in order to finance a portion of the cost of the Improvements, and to make all
pledges, covenants and agreements authorized by law for the protection of the holders of the
obligations, including, without limitation, those covenants set forth in SDCL, Sections 9-40-16
and 9-40-17. The obligations are to be payable from the Net Revenues of the Improvements, as
defined in Section 2.03 hereof.
1.03. The City has applied for one or more loans from the South Dakota State
Revolving Fund, to be evidenced by the execution and delivery of one or more Revenue
Obligation Loan Agreements (whether one or more, the “Loan Agreement”) between the South
Dakota Conservancy District (the “District”) and the City, and the City will pledge the loan
payments thereunder for the security of a State Revolving Fund Revenue Bond of the City
(whether one or more, the “SRF Bonds”) and the interest thereon. The General Manager of
BMU is hereby authorized and directed to execute and deliver the Loan Agreement for and on
behalf of BMU in the form and content submitted to this Board, with such changes that are not
substantive as the Attorney for the City deems appropriate and approves. The General Manager
is hereby further authorized and directed, in cooperation with the City staff, to implement and
perform the covenants and obligations of the City as set forth in or required by the Loan
Agreement and is authorized and directed to execute and deliver such other agreements,
certificates or documents as may be required by the City’s bond counsel or the District in
connection with the issuance of the SRF Bonds.
Section 2. Security Provisions.
2.01. Rates and Charges. The Board will maintain, revise, charge and collect rates and
other charges for all service furnished and made available by the Improvements, according to
schedules such that the gross revenues derived therefrom will be sufficient, when combined with
other available funds, to pay when due all expenses of the operation and maintenance of the
Improvements, and all principal of and interest on the Bond, to provide for the establishment and
maintenance of adequate reserves, to provide an allowance adequate for recurring renewals and
replacements of the Improvements, to satisfy the rate covenant provided in the Loan Agreement
and to fulfill the terms of all other agreements with holders of the Issuer’s bonds. The rates and
charges with respect to the Improvements shall be in the form of a separately stated surcharge on
the municipal utilities rate schedule; in calculating the surcharge the Board shall allocate to the
Improvements its share of the expenses of operation and maintenance and allowances for
renewal and replacement (to be reflected in the O&M Surcharge imposed in Section 2.02 hereof)
as well as the requirements to pay principal of and interest on the Bond and to repay BMU or any
other funds of the City for moneys advanced (to be reflected in the Debt Service Surcharge
imposed in Section 2.02 hereof).
2.02. Surcharge. The Board hereby establishes the following rates and charges, effective
January 1, 2023, as the initial surcharge for the Loan Agreement and SRF Bonds, and agrees that
it will periodically review the adequacy of such rates and charges and increase the same as
necessary so that the surcharge will at all times be sufficient for the purposes set forth in Section
2.01:
2022 SRF Bond Surcharge: The Drinking Water Surcharge will be computed at the following
rates:
Debt Service Surcharge $ 2.23 / 100 cu.ft. of water used
O&M Surcharge $ .22 / 100 cu.ft. of water used
Total Surcharge $ 2.45/ 100 cu.ft. of water used
2.03. Surcharge Net Revenues. All gross revenues derived from the operation of the
Improvements are irrevocably pledged and appropriated and shall be credited to the City’s Water
Fund (the “Water Fund”) as received. From the gross revenues derived from the O&M
Surcharge shall be credited to the Operating Account established within the Water Fund amounts
sufficient to pay the operating expenses of the Improvements, which are the current expenses,
paid or accrued, of operation, maintenance and current repair of the Improvements, calculated in
accordance with generally accepted accounting principles, and shall include, without limitation,
administrative expenses of the City relating solely to the Improvements, premiums for insurance
on the properties thereof, labor and the cost of materials and supplies used for current operation
and for maintenance, and charges for the accumulation of appropriate reserves for current
expenses which are not recurrent monthly but may reasonably be expected to be incurred in
accordance with generally accepted accounting principles. The Net Revenues of the
Improvements, as referred to in this Resolution, are hereby defined to include the entire amount
of such gross revenues remaining after crediting to the Operating Account the amount required to
pay the operating expenses, including sums required to maintain an operating reserve equal to
one month’s estimated operating expenses, plus the gross revenues derived from the Debt
Service Surcharge. The Board reasonably anticipates that the gross revenues to be received from
the operation of the Improvements during the period for which the Loan Agreement will be in
force and the SRF Bond will be outstanding will be more than sufficient to provide Net
Revenues adequate to pay principal of and interest on the SRF Bond when due, and to satisfy the
requirements of the Loan Agreement. The Net Revenues of the Improvements shall be credited
first to the Revenue Bond Account established within the Water Fund and any excess shall be
credited and applied as provided in the City’s resolution authorizing the execution and delivery
of the Loan Agreement and the issuance of the SRF Bond.
Section 3. Additional Utility Obligations. The Board acknowledges that the Loan
Agreement may contain provisions limiting the City’s ability to issue or incur additional
obligations payable from the Net Revenues of the Improvements while the SRF Bond is
outstanding. The Board will not approve or participate in the issuance of any additional
obligations payable from the Net Revenues of the Improvements unless the conditions set forth
in the Loan Agreement for issuance of such additional obligations have been satisfied.
Section 4. Tax and Arbitrage Matters. The Board covenants and agrees that it will not
take, or permit to be taken by any of its officers, employees or agents, any action which would
cause the interest on the SRF Bond, if issued on a tax-exempt basis, to become subject to
taxation under the Internal Revenue Code of 1986, as amended (the “Code”) and any regulations
issued thereunder (the “Treasury Regulations”), in effect at the time of such action, and that it
will take, or it will cause its officers, employees or agents to take, all affirmative actions within
its powers which may be necessary to insure that the SRF Bond, if issued on a tax-exempt basis,
will not become subject to taxation under the Code and the Treasury Regulations, as presently
existing or as hereafter amended and made applicable to the SRF Bond.
Adopted this 12th day of September, 2022.
ATTEST:
_____________________________ ______________________________
Seth Hansen, Secretary Tim Harvey, President
The motion was seconded by Hawley. All members present voted in favor of the motion.
EXECUTIVE SESSION
Motion was made by Hansen, seconded by Bartels to adjourn to an executive session to
discuss competitive service offerings, review communication from legal counsel about pending
litigation or contractual matters. All members present voted in favor of the motion.
The Board reconvened in open session.
APPROVAL OF 2023 CAPITAL IMPROVEMENT PROGRAM
Motion was made by Hansen, that the following Resolution 17-22 be approved.
RESOLUTION NO. 16 – 22
RESOLUTION APPROVING
2023 CAPITAL IMPROVEMENT PROGRAM
WHEREAS a Capital Improvement Program has been reviewed by the Brookings
Municipal Utilities Board which presents revenues, expenditures and capital outlays according to
operating fund; and
WHEREAS after due consideration the Board finds that said program sets forth a
sound financial plan for the operation for the utilities governed.
NOW, THEREFORE, BE IT RESOLVED by the Brookings Municipal Utilities
Board that the Capital Improvement Program dated September 12, 2022, now on file in the office
of the Executive Vice President/General Manager is hereby approved.
Adopted this 12th day of September, 2022.
ATTEST:
________________________________ _________________________________
Seth Hansen, Secretary Tim Harvey, President
The motion was seconded by Hawley. All members present voted in favor of the motion.
SET DATE FOR PUBLIC HEARING ON 2022 BUDGET AND RATES
Motion was made by Hawley, seconded by Bartels that a public hearing be held on the
2023 budget and utility rates at the Board Meeting to be held on Tuesday, October 11, 2022, at
1:00 p.m. All members present voted in favor of the motion.
BIDS
AWARDING OF BIDS
2023 PICKUPS (ELECTRIC & TELEPHONE DEPTS.)
No bids were received for the 2023 Pickups. Following SDCL 5-18A-5 (9), if no firm
bids are received, the purchasing agency may negotiate a contract for the purchase of the
supplies if the specifications are met. The staff will consult legal counsel and will work with
local dealerships to purchase vehicles through a competitive quote process.
2023 DIRECTIONAL DRILL WITH TRAILER
Ditch Witch $302,800.00
Less Trade In $ 40,000.00
$262,800.00
Vermeer Equipment $331,467.00
Less Trade In $ 45,000.00
$286,467.37
Motion was made by Hansen, seconded by Hawley that the 2023 Directional Drill with
Trailer (with trade-in) be awarded to Ditch Witch for $262,800.00 for the Electric Department;
and, that, after reviewing the contract for the above bid, that the President of the Board and/or
Executive Vice President/General Manager be authorized to execute the approved contract
documents. All members present voted in favor of the motion.
BMU NEW WATER TREATMENT PLANT
Gridor Construction Stanek Contractors
Item 1 $60,409,000 $63,355,200
Item 2 $ 3,000,000 $ 3,000,000
Item 3 $ 98,400 $ 155,000
Item 4 $ 850,000 $ 790,000
Item 5 $ 75,000 $ 75,000
Item 6 $ 150,000 $ 150,000
Motion was made by Bartels, seconded by Hawley that the new BMU Water Treatment
Plant – Items 1, 2, 5 and 6 in the amount of $63,634,000 be awarded to Gridor Construction
contingent upon SD DANR approval; and, that, after reviewing the contract for the above bid,
that the President of the Board and/or Executive Vice President/General Manager be authorized
to execute the approved contract documents. All members present voted in favor of the motion.
A detailed bid tab is available at the BMU Office.
SANITARY SEWER INTERCEPTOR REPLACEMENT
Base Bid Alternate No. 1
H & W Contracting $6,126,835.42 $345,114.00
Winter Contracting $6,900,000.00 $294,653.00
Prunty Construction $6,648,429.00 $265,010.00
Motion was made by Hawley, seconded by Hansen that the base bid for the Sanitary
Sewer Interceptor Replacement Project be awarded to H & W Contracting in the amount of
$6,126,835.42; and, that, after reviewing the contract for the above bid, that the President of the
Board and/or Executive Vice President/General Manager be authorized to execute the approved
contract documents. All members present voted in favor of the motion.
AUTHORIZATION TO SOLICIT BIDS
FIRE HYDRANTS, VALVES & RELATED SUPPLIES
Motion was made by Hawley, seconded by Bartels that authorization be given to
advertise for Fire Hydrants, Valves & Related Supplies. All members present voted in favor of
the motion.
EXECUTIVE SESSION
Motion was made by Hawley, seconded by Bartels to adjourn to executive session for the
purpose of discussing personnel. All members present voted in favor of the motion.
The Board reconvened in open session.
Motion was made by Bartels, seconded by Hawley that the following salary changes be
made. All members present voted in favor of the motion.
I. Cost of Living Adjustments:
Increase the following salaried positions by 3% effective October 1, 2022:
Executive Vice President/General Manager
Electric Department Manager
Water/Wastewater and Engineering Manager
Swiftel Operations Manager
Financial & IT Manager
Relationship & Communications Manager
Managing Director of Information & Operations Technology
Administrative Assistant – Sales and Marketing
Communications Coordinator
Inside Sales Director
Billing & Collection Supervisor
Accounting Supervisor
Water/Wastewater Plant & Engineering Supervisor
Electric Construction Supervisor
Electric Maintenance Supervisor
Swiftel Technical Systems Supervisor
Swiftel Engineering & Installation Supervisor
Increase the following salaried positions by 5% effective October 1, 2022:
Human Resources Coordinator
Swiftel Sales & Marketing Supervisor
Wastewater Collection & Water Distribution Supervisor
All members present voted in favor of the motion.
ADJOURNMENT
The meeting adjourned.
ATTEST:
______________________________ _____________________________
Seth Hansen, Secretary Tim Harvey, President