Board authorizes sewer and lead‑line bond issues and approves architect amendment for $154M water project

Oakland County’s board recommended issuing state‑supported bonds to fund major water infrastructure projects in Pontiac and approved an amendment to architectural services for a large water resources building.

Ben Lewis, assistant chief engineer for the Water Resources Commissioner, asked the board to approve a Clean Water SRF financing package totaling $19.4 million to replace roughly 10,000 linear feet of sanitary sewer in the city of Pontiac. Lewis said $2.522 million of the project is expected as principal forgiveness and the remainder financed through the SRF loan program. “We are requesting the board’s approval…We’re going to replace approximately 10,000 lineal feet of sanitary sewer in the city of Pontiac,” Lewis said. Commissioners emphasized the infrastructure need and approved the recommendation to forward to finance.

On a separate but related front, the board authorized use of a $5 million SRF package for lead service line replacement in Pontiac, targeting about 500 service‑line replacements across three priority areas. Project engineers said the state funding includes grant/principal forgiveness components and that the program anticipates follow‑up homeowner outreach and inspections to confirm materials before replacement. “We’ve identified three areas…estimating 500 replacements,” the project engineer said. The authorization passed 7–0.

The board also approved a contract amendment request for Auger Klein Aylor Architects tied to a water resources capital project. Staff said schematic design work grew the project footprint and that the total project budget after value engineering stands at $154 million, with $14 million in contingency and $18 million of savings achieved during the process. Water Resources Commissioner Jim Nash and design staff said the additional funds are necessary to complete schematic design and produce an accurate construction estimate so the agency can present rate‑impact details to customers. Several commissioners pressed for stronger internal budget controls given the size of the amendment; staff said cash exists in the drain equipment fund and pledged process improvements to avoid repeat overages. The amendment was approved 5–2.

Next steps: bond issuances will proceed through SRF and finance processes; staff will begin homeowner outreach and contractor procurement steps for the lead‑line program; design development and subsequent approvals will follow the architect amendment.