News Flash

City of Manhattan News

Posted on: July 13, 2021

Construction Begins Soon for the Joint Maintenance Facility

artist rendering of joint maintenance facility plans

At the June 22nd meeting, City Commissioners voted to move forward with the construction phases for the Joint City Maintenance Facility first proposed in 2016. The new facility will be built near the existing Wastewater Treatment Plant off of HWY 24 and is expected to be open for use in February 2023.

The new building will house the Water and Wastewater, Street, Fleet, Forestry, and Park Maintenance crews in a single location with space for both equipment and personnel. Existing facilities for all of these divisions are aging, insufficient for current personnel, and functionally obsolete to perform operations necessary to meet existing and future demands of the community.

The cost of the project has increased since the original design and is now expected to reach a total of $20M to complete. That total includes both design fees and construction costs. A full breakdown of the cost is available in the memo at https://www.cityofmhk.com/DocumentCenter/View/62903/Item-2A-Joint-Maintenance-Facility-SP1601.

The concern from the team since February 2021 has been the steady increase in material prices for nearly every aspect of this project. Price increases in steel and resin products, any gypsum products, wood framing products, and now in the past few months fuel prices. Some sources have warned that steel prices could increase 5% percent per month until late 2021 and then level off. The concern from many suppliers is costs will not return to pre-pandemic values, and that once they are elevated, they will stay there for some time.

The facility will be funded by the sale of existing maintenance and facility properties as well as a 20-year General Obligation Bond. The intent is to utilize any monies received from the sale of these properties to reduce the debt payment for the Joint Maintenance Facility. 

EXPECTED TIMELINE:

  • July/August 2021 Start construction
  • August 2021 RFP for sale of 620 & 621 Juliette Avenue and 3131 Anderson Avenue properties
  • October 2021 City Commission considers proposals for the sale of real estate
  • January 2023 Construction completed
  • February 2023 Move crews into the facility

Additional Info...
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