Council authorizes engineering work for OGWS and approves $100,000 for water-rate modeling
March 16, 2026 | Port Townsend, Jefferson County, Washington
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Fort Townsend councilors authorized two utility-related contracts: staff were given authority to negotiate engineering services to support the Olympic Gravity Water System (OGWS), and the council approved contracting FCS Group to update the city’s retail and raw-water rate models for up to $100,000.
City staff said the OGWS work includes hydraulic modeling, condition assessment and design support for capital improvement plan projects — work prompted by recurring emergency events on aging pipeline sections and a need to confirm hydraulic capacity for an upcoming pipeline extension to fill Lords Lake. Staff said design is about 60% complete for that pipeline and noted the system contains pipe dating to 1928.
On the OGWS item staff pointed to a budget estimate of roughly $500,000 that would cover contracted engineering for several items; they said the figure is a ballpark and that significant additional on-call work would require further council approval. A council member moved to authorize the city manager to negotiate and enter into the necessary engineering contracts; the motion was seconded and approved by voice vote in the segment provided.
On the rate-model item, staff recommended contracting FCS Group for two separate rate models — one for the domestic/retail water system and one for the raw water system tied to the city’s water-supply agreement — plus related work such as tax review and bond-issuance assistance. Staff estimated the FCS contract at about $100,000 and outlined a schedule that would aim for rate adoption by November 2026 so rates could be effective Jan. 1, 2027. A council motion to authorize the contract not to exceed $100,000 was made, seconded and approved by voice vote.
Council members pressed for clarity about whether on-call engineering work and potential large extra-contract costs were included in the estimates; staff said minor on-call services could be covered in existing professional-services lines but that larger expenditures would require supplemental budget or separate council approval.
What happens next: staff will negotiate contracts and return to council as needed for any supplemental approvals; staff also plan public workshops on rate-model results in summer/fall 2026 ahead of November adoption.
City staff said the OGWS work includes hydraulic modeling, condition assessment and design support for capital improvement plan projects — work prompted by recurring emergency events on aging pipeline sections and a need to confirm hydraulic capacity for an upcoming pipeline extension to fill Lords Lake. Staff said design is about 60% complete for that pipeline and noted the system contains pipe dating to 1928.
On the OGWS item staff pointed to a budget estimate of roughly $500,000 that would cover contracted engineering for several items; they said the figure is a ballpark and that significant additional on-call work would require further council approval. A council member moved to authorize the city manager to negotiate and enter into the necessary engineering contracts; the motion was seconded and approved by voice vote in the segment provided.
On the rate-model item, staff recommended contracting FCS Group for two separate rate models — one for the domestic/retail water system and one for the raw water system tied to the city’s water-supply agreement — plus related work such as tax review and bond-issuance assistance. Staff estimated the FCS contract at about $100,000 and outlined a schedule that would aim for rate adoption by November 2026 so rates could be effective Jan. 1, 2027. A council motion to authorize the contract not to exceed $100,000 was made, seconded and approved by voice vote.
Council members pressed for clarity about whether on-call engineering work and potential large extra-contract costs were included in the estimates; staff said minor on-call services could be covered in existing professional-services lines but that larger expenditures would require supplemental budget or separate council approval.
What happens next: staff will negotiate contracts and return to council as needed for any supplemental approvals; staff also plan public workshops on rate-model results in summer/fall 2026 ahead of November adoption.
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