EWEB studying cheaper building.

Byline: Jeff Wright The Register-Guard

The Eugene Water & Electric Board may be getting closer to building a new operations complex at a price that the utility's elected commissioners - and, presumably, the ratepaying public - can accept.

Board members on Tuesday reviewed an $84 million proposal that would eliminate some of the features originally proposed for the new complex, which is to be built on 52 acres along Roosevelt Boulevard in west Eugene.

The new figure represents a nearly 17 percent reduction from EWEB's earlier projected cost of $98 million - though it's still far above the $72 million that commissioners previously said they wanted as a ceiling.

EWEB says a new $84 million complex would add about $64 a year in electric and water charges for the owner of a typical single-family home who currently pays around $1,700 annually.

If the move happens, EWEB would sell about 20 acres of its riverfront property and apply the proceeds, placed conservatively at $20 million, toward the project costs. Under that scenario, the annual average utility bill for a single-family homeowner would climb by $45 compared with $64.

EWEB commissioners will vote next week on whether to formally adopt the $84 million budget and go forward with design and financing work. The utility wants to complete earthwork next summer and have the project done by late 2010.

The new complex would house EWEB's electrical, water and engineering staffs, and include a two-story operations building, warehouse, fleet building and yard.

EWEB planners actually got the cost down to $80 million, but then proposed adding back about $4 million to incorporate some conservation and energy efficiency features, including on-site wetlands mitigation and the inclusion of more and higher-grade glass.

But other environmental features, such as a proposed "green roof," would be eliminated.

Commissioners continued to struggle Tuesday to find an agreeable middle ground between those who are most concerned about cost and those who are keen on making sure the new complex is a leader in building sustainability.

"Dollars are important, but the world doesn't completely run on money," said Commissioner John Simpson, who said he supports the $84 million price tag. "It also runs on perception, leadership, example and innovation."

Commissioners said they are hopeful that the project can still earn a Leadership in Energy and Environmental Design rating, but were split on whether they should aspire to the tougher gold or more-modest silver rating.

Cost savings on the project were found by reducing the square footage of the warehouse and fleet buildings, choosing to use asphalt rather than concrete for paving, and opting for economical building materials - concrete and prefabricated metal.

To address some commissioners' cost concerns, EWEB asked a team of local contractors to review its project cost assumptions. The team - consisting of representatives from Roberts Construction, Wildish Construction and Essex Construction - found most of EWEB's assumptions to be reasonable, project manager Ken Beeson said.

However, the review team questioned whether site preparation, mechanical/plumbing and contingency budgets were too high, and made such practical suggestions as using asphalt that's 4 1/2 inches rather than 6 inches thick.

Even if the operations complex is moved, EWEB would retain its administrative buildings and steam plant on the river. Nonetheless, the possible move has stirred keen interest about redevelopment potential along the river.

Recently, EWEB and the city reached initial agreement on how to develop a master plan for the riverfront property, should it become available. The utility proposes creating a citizen advisory team and hiring a consultant to help it develop a master plan. EWEB also plans at least four open houses to hear public ideas.