Shundahai Tank Purchase Questioned

Bobbie Bicknell Coray, Reporter
Rich Civic Times

GARDEN CITY, Utah.  January 8, 2015.  City Councilman Bruce Warner requested that Zan Murry, JUB engineering, talk to the council about the Shudahai  water tank.  The city  is planning to buy the tank from Norm Mecham if all of the parameters are met.  Warner wants to vet the transaction.  The purchase price $941,433 over 30 years at an interest rate of 3% to 4%.

Impact fees will reflect the cost of purchasing the tank. With projected impact fees, the yearly cost would be about $33,000.  The City has also increased the base water rate.  Water facility additions will be paid for out of these funds as well.

Warner said, “If Garden City built the lower tank we would not have to pump up to the tank.  So what is the difference in pumping cost vs buying Shundahai’s tank for the next 12 years when a new tank will be needed.  Isn’t the  alternative tank is cheaper to build and the city avoids the pumping costs?  Murray corrected him saying that the mobilization costs make it about the same and the Shundahai tank has more storage. 

“The existing tanks are used for equalization of surge.  We are getting by with a lot of luck , if we had a fire on a weekend in the summer or a water line break we would be in bad shape because we do not have enough storage.  We are using the treatment plant as a storage tank.  Garden City does not meet the minimum storage requirements of the state,” said Murray. 

Warner asked why more had not been done on this issue.  Mayor John Spuhler said that the city has had many meetings and received an $80,000 grant as well as certifying the Shundahai tank.  Warner said that the city was not on the timeline and the council needs to agree on what is needed to get the job done.

“Should we move forward?    Should we build our own tank the way we want it?  Which is the most cost effective?  We have a fiduciary responsibility to make the best deal for the citizens.” Warner said. Murray and Warner will work on this for next month’s meeting.

Riley Argyle said that the city might want to look at a piece of property which would co locate a well and a tank .  Spuhler said we need to move forward with more data.  Finding a well spot will need more studies, finding a well on the west side of the lake is somewhat difficult.