Title
Approval of Washington State Public Works Loan Agreement in an Amount Not to Exceed $11,983,650 for Design and Construction of SE Olympia Reservoir
Recommended Action
Committee Recommendation:
Not referred to a committee.
City Manager Recommendation:
Move to approve and authorize the City Manager to sign the Washington State Public Works Loan Agreement in an amount not to exceed $11,983,650 for design and construction of the SE Olympia reservoir.
Report
Issue:
Whether to accept a low-interest Washington Drinking Water State Revolving Fund Loan for construction of the Southeast Olympia reservoir.
[Note: The Public Works Board requests loan signature by May 18, 2014.]
Staff Contact:
Andy Haub, P.E., Water Resources Director, 360.753.8475
Presenter(s):
None - Consent Item
Background and Analysis:
The City has the opportunity to enter into a low-interest loan agreement through the Drinking Water State Revolving Fund Loan Program and the U.S. Environmental Protection Agency for construction of the $11.9 million Southeast Olympia Water Supply Reservoir (Attachment 1). The new water reservoir will meet requirements of the Washington State Department of Health and our obligations in the City's 2009-2014 Water System Plan. The project and its funding are identified in the City's 2013-2018 Capital Facilities Plan.
Currently, additional water storage is needed in this area to provide adequate water flow in case of fire emergency and during peak use periods. Chapter 10 of the City's 2009-2014 Water System Plan documents the need for additional fire flow and storage capacity in southeast Olympia. Additionally, the existing Hoffman Road reservoir that serves a portion of southeast Olympia needs maintenance work that will require it being taken temporarily offline. The new reservoir will provide the needed water storage duplicity in this portion of the City. In the longer-term, the new reservoir, along with the Hoffman Road reservoir,...
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