Initial plans to construct the facility estimated that construction would begin in the fall/winter of 2014 with the ground storage facility in operation by the summer of 2016. In December 2013, trustees approved the design of the facility, which will be approximately 120 feet in diameter and approximately 30 feet tall. The 2-million gallon tank will control pressure, saving the Commerce Township water system “an estimated $1.3 million by reducing the peak usage and therefore reducing the Township’s wholesale cost of water by 30 percent.” Additionally, he said the Township rate consultant estimated future savings to consumers between 19 and 24 percent. Mayer continued to say that the benefits of water storage are cost savings to the user, system reliability, eliminating peak usage and cost savings to the Commerce Township water system. “One way that the ‘peak’ water usage rate from DWSD can be controlled is by the installation of a water storage facility.” “Commerce Township currently pays one of the highest rates of any Detroit Water and Sewerage customer,” Jason Mayer, Township engineer with Giffels Webster, said during a meeting in 2013. The water storage facility has an anticipated savings of $1.3 million per year, which would offer payback in less than five years. Officials proposed the project has a way to offset the wholesale water rate cost from the Detroit Water and Sewerage Department (DWSD) by reducing peak usage from DWSD supply points.Īccording to documents from the Township, Commerce currently pays one of the highest rates of any DWSD customer. Plans to construct the water storage facility have been discussed since 2012. The project will be paid for by the water system capital improvement fund. Sorenson Gross submitted the second lowest bid at $5,370,209. A total of five bids were received ranging from $5,345,400 to $6,240,000, with the lowest bid submitted by RCL Construction of Stanford, MI. 1 during their meeting on Tuesday, May 12.īids for the project were received on April 2. The Commerce Township Board of Trustees unanimously approved a $5.3 million contract with RCL Construction for the construction of a 2-million gallon water storage tank near Commerce Township Fire Station No.
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