Kalamazoo approves $6.9 million for water main lining and lead service line replacements

Kalamazoo approves $6.9 million for water main lining and lead service line replacementsThe City Commission authorized major distribution system upgrades, including a $2.8 million pipe lining contract and a $4.1 million service line replacement initiative backed by Michigan’s DWSRF program.

The City Commission approved a $2,792,847 contract with Fer-Pal Construction USA to structurally line 1.5 miles of water main, aiming to mitigate the city's average of 100 annual water main breaks.

SWT Excavating received a tentative $4,135,936 award to replace approximately 600 non-copper service lines.

Commissioners adopted an ordinance to issue up to $2.5 million in Series 2026B Junior Lien Revenue Bonds through the state's Drinking Water State Revolving Fund (DWSRF).

The DWSRF financing package for the service line project includes the $2.5 million bond and an expected $2.5 million in grant forgiveness from the state.

The City of Kalamazoo, Michigan, is moving forward with a pair of major water distribution system upgrades aimed at reducing main breaks and eliminating lead service lines. At its July 6 meeting, the City Commission unanimously approved contracts totaling over $6.9 million, alongside a new revenue bond ordinance to finance the work. To address an ongoing issue of approximately 100 water main breaks per year, the commission approved a $2,792,847 contract with Fer-Pal Construction USA. The 2026 Pipe Lining Project will structurally line roughly 1.5 miles of existing water main. According to city documents, the trenchless lining method was selected to provide a less invasive construction operation while improving the structural integrity of the aging distribution network. The project will also include verifications of existing service line materials. Additionally, the city is accelerating its efforts to comply with the Michigan Department of Environment, Great Lakes, and Energy (EGLE) mandate to replace all existing lead service lines. The commission approved a tentative award of $4,135,936 to SWT Excavating for the city's FY 2026 Non-Copper Service Line Replacements project. The contract will fund the replacement of approximately 600 non-copper service lines. City staff noted that favorable bids allowed the city to execute a post-bid addendum increasing the project scope from 500 to 600 replacements to fully utilize available state funding. To finance the service line replacements, the commission adopted an ordinance authorizing the issuance of up to $2.5 million in Water Supply System Junior Lien Revenue Bonds, Series 2026B. The bonds will be sold to the Michigan Finance Authority through the Drinking Water State Revolving Fund (DWSRF) program. The DWSRF funding package for the $5 million project includes the $2.5 million bond—payable over 20 years at a 2.00% interest rate—alongside $2.5 million in grant forgiveness. In other water-related business, the commission authorized a $250,000 agreement with the neighboring City of Galesburg to install radio readers on water meters in the Fleetwood Plat area to streamline Kalamazoo's sanitary sewer billing.