The Fallon City Council had a full agenda for their August 16 meeting that included a new power supply agreement and three construction contracts in addition to their regular business items.
A resolution for the new power supply agreement with the Utah Associated Municipal Power Systems was approved, the city's current power supply provider.
The City Council had previously adopted a power purchase agreement resolution with UAMPS on August 5, 2019, for a cost of $23.15 per megawatt with an escalator of two percent per year. However, UAMPS is now scheduled to get its power from a new 66-megawatt solar photovoltaic generation facility as of next March. The new source will cost $37 per megawatt at a fixed rate for 25 years with no price increases. City Clerk/Treasurer Sean Richardson presented the resolution, saying “The new agreement will also give the City of Fallon an entitlement share of one megawatt.” Councilwoman Kelly Frost asked what the price would be if the city were to go to another provider, to which Richardson replied, “UAMPS and their members have said that $37 per megawatt is pretty much what the market is. If we were to move forward with another project, it would probably be more than that. This is the market now, and it's increasing every day.”
The first construction contract that was approved was with Sierra Nevada Construction to complete the 2022 preventative maintenance of approximately 50 city streets for $774,007. Two bids were received for this project. Public Works Director Brian Byrd said this next phase, to begin this fall, will apply 1,931,293 square feet of crack seal and slurry. He stated that the application of the pavement crack seal and rapid setting slurry will aid in filling voids, create a weather-tight seal, and will provide color and texture to surfaces while prolonging life expectancy.
“This is a continuation of our current maintenance plan. By the end of the calendar year, we will have applied this technique to nearly 3,000,000 square feet of city streets.” Mayor Ken Tedford said, “This is a good project. It's the most streets we've ever done. It should be noted, this is only for streets that really have the ability to be crack sealed and slurried. West A is a major rebuild, North Broadway, Sherman, that whole project is a major rebuild. North Front is a major rebuild, Whitaker, and Rancho are also rebuilds and those are all coming. But this will really prolong the life of some of our streets.” Councilwoman Karla Kent commented, “With all of the street repairs, we are making a lot of progress, I hear a lot less pothole issues.”
The next contract approved was for professional services with J-U-B Engineers, Inc. for engineering design services of taxiway G, runway 3 at the Fallon Municipal Airport. The total amount is $189,200, with the FAA picking up most of the tab. The city's share would be $11,825 (6.25 %). Byrd said, “The city identified the project to reconstruct the taxi lanes and entrance road, relocate taxiway G runway 3, and safety area erosion control improvements as its next airport capital improvement project. If approved, J-U-B would complete the engineering design, and bidding services would then be submitted to the FAA for approval. If approved, the FAA portion would be reimbursable when the grant is received for the construction costs in the summer of 2023.”
Byrd explained further, “Typically, the FAA will fund the design of a project in one fiscal year, and if that design is approved, then we would apply for the actual construction phase of the project in the next cycle. Two years in a row, the FAA funded projects at 100%, unfortunately, they are back to 93.75%.” Councilwoman Frost asked, “Just to confirm, the FAA has already given us approval for the grant to reimburse us when the engineering portion is completed?” and Byrd replied that was correct.
The last contract approved was with Herbeck General Engineering to complete the Sherman Street and North Broadway Street full reconstruction project for $3,300,186.25. Herbeck was the only bidder for this project. Byrd told the council that the city is receiving a Community Development Block Grant award for $885,463, and the City of Fallon Enterprise Fund would be used to pay for the remaining $2,414,723.25. Construction elements will include installing curbs, gutters, sidewalks, paving, sanitary sewers, street lighting, storm drain manholes, on-street parking, and landscaping improvements. “This is another project we're really excited to accomplish. It's a big task, and the impact in that area will be huge. The county has indicated they are evaluating how much they will be able to participate in helping to fund the project.”
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