Title
Requisition No. REQ-0009339
Boiler Operations and Maintenance
O&M
Body
Agenda of: September 23, 2026
Item No.: 2026-372
Amount: $2,673,000.00
TO: The Honorable
Board of Directors
Great Lakes Water Authority
FROM: Suzanne R. Coffey, P.E.
Chief Executive Officer
Great Lakes Water Authority
DATE: September 1, 2026
RE: Requisition No. REQ-0009339
Boiler Operations and Maintenance
Johnson Controls Inc.
Status: New Contract/PO
MOTION
Upon recommendation of Navid Mehram, Chief Operating Officer - Wastewater Operating Services, the Board of Directors (Board) of the Great Lakes Water Authority (GLWA), authorizes the Chief Executive Officer (CEO) to enter into Requisition No. REQ-0009339, “Boiler Operations and Maintenance” with Johnson Controls, Inc., at a cost not to exceed $2,673,000.00 for a duration of 12 months; and authorizes the CEO to take such other action as may be necessary to accomplish the intent of this vote.
BACKGROUND
GLWA utilizes high and low pressure boilers for heating the Administration Building and for the conveyance of scum within the Water Resource Recovery Facility (WRRF). Operation of these units is critical to maintaining safe working conditions and ensuring continuity of operations. Because the facility is located within the City of Detroit, GLWA is required by ordinance to maintain 24 hours a day, seven days a week staffing of boiler operations and oversight.
GLWA has experienced several retirements among team members holding stationary engineer certifications, and this has proven to be a difficult position to fill in the current labor market. To comply with the City of Detroit’s “Mechanical Code” (Article IV), which regulates boilers and pressure vessels, GLWA must always ensure the presence of certified boiler operations staff to maintain compliance with city ordinances. GLWA initiated a boiler operations contract to support staffing requirements.
JUSTIFICATION
Boiler operations are necessary for the operations of the WRRF to ensure uninterrupted operation and safety through the heating season. The GLWA requires boiler operations staff to comply with the City of Detroit ordinance under the “Mechanical Code” (Article IV), which regulates boilers and pressure vessels for Detroit.
The GLWA, through discussions with the City of Detroit, found opportunities to amend the classification necessary for the operations of the WRRF boilers and the number of individuals required to comply with the city requirements, in order to better manage costs while maintaining compliance and safety.
FINANCIAL PLAN IMPACT
The current FY 2027 budget and five-year financial plan was based on previous experience and work performed. The value of the contract exceeds the current financial plan in total. Therefore, budget amendments are expected for this service. First offsetting other positive variances within other contractual services or repairs and maintenance budgets, then from the unallocated reserve.
Funding Source: Operations and Maintenance Budget (5960)
Cost Center: Wastewater Director (892201)
Expense Type: Contractual Operating Services
Estimated Cost by Year and Related Forecast Variance:
Fiscal Year Amount
FY 2027 Budget (prorated) $372,814.87
FY 2028 Financial Plan (prorated) 135,814.61
Total Financial Plan $508,629.48
Maximum Requisitions $2,673,000.00
Forecast Variance ((Negative)/Positive) ($2,164,370.52)
COMMITTEE REVIEW
This item was presented to the Operations and Resources Committee at its meeting on September 9, 2026.
SHARED SERVICES IMPACT
This item does not impact the shared services agreement between GLWA and DWSD.