7.4 Loan Agreement for South Well Field & Water Treatment Plant CITY OF SALINA
REQUEST FOR CITY COMMISSION ACTION DATE TIME
12/10/2018 4:00 P.M.
AGENDA SECTION ORIGINATING DEPARTMENT: FISCAL APPROVAL:
NO: 7 BY:
UTILITIES DEPARTMENT
ITEM FINAL APPROVAL:
NO: 4
Page 1 BY: Martha Tasker BY:
ITEM: Ordinance No. 18-10970
Authorize the execution of a Loan Agreement (Loan) between the City of Salina, Kansas and the
State of Kansas to finance the South Well Field and Water Treatment Plant.
BACKGROUND:
Salina receives about 60 percent of the raw water supply from the Smoky Hill River and the remaining
40 percent from the downtown well field. In 2006, Salina experienced a historic drought event. Below
average precipitation during the period of 2000 to 2006 resulted in the Smoky Hill River running dry in
July 2006 and resulting in the City declaring a Water Emergency. Based on that experience, the City
wanted to evaluate the water supply system and potential options for developing additional water
supply for use during future droughts. The following action items were taken to ensure short and long-
term water supply requirements are met for a planning period of fifty years:
• April 2007 —Authorized Water Action Plan
• March 2008 — Authorized Raw Water Supply Study
• February 2010 —Approved Raw Water Supply Study
o Phase I — Downtown Well Field Improvements Supply — 3 MGD/Air Strippers — 15 MGD
o Phase II — South Well Field and Water Treatment Plant — 5 MGD
o Phase III — Downtown Well Field Improvements — 0.5 MGD
o Phase IV — Downtown Well Field Improvements — 1.1 MGD
o Phase V — Expand South Well Field and Water Treatment Plant — 2.5 MGD
• August 2010 — Authorized design of Downtown Well Field and Air Stripper Improvements
• December 2012 —Authorized South Well Field and Water Treatment Plant Feasibility Study
• January 2016 — South Water Treatment Plant Feasibility Study— Update
• March 2016 — Study Session on South Well Field and Water Treatment Plant — Design-Build
Delivery Method
• June 2016 — Authorized HDR to provide Owner's Representative Services for South Well Field
and Water Treatment Plant
• December 2016 — Authorized payment for Lower Smoky Hill Water Supply Access District -
$2,477,067.18
• February 2017 — Study Session on South Well Field and Water Treatment Plant — Update
• June 2017 — Study Session on South Well Field and Water Treatment Plant — Project
Approach
• June 2017 — Authorized Burns & McDonnell Engineering and CAS Constructors for Phase I
services for the South Well Field and Water Treatment Plant