Alaska firm proposes to design and build pipeline for Fort Peck

August 2002

U.S. Water News Online

FORT PECK, Mont. -- An Alaska Native engineering company wants to design and build the Fort Peck tribes' new water pipeline as part of a joint venture project.

Arctic Slope Regional Corp. is proposing a profit-sharing plan with the tribes and promises that participation from Indian contractors will be maximized.

A design-and-build plan is the quickest way to get the project off the ground, said Terry Kenyon, one of three company officials who visited Fort Peck recently.

A design-and-build plan calls for a conceptual design at the outset. The company that lands the contract refines the project as it develops, making necessary changes along the way.

Groundwater in the area surrounding the reservation in northeastern Montana is contaminated with iron and sulfates and is so bitter many residents rely on bottled drinking water. The federal government has approved building a huge pipeline to serve the area, transporting water from nearby Fort Peck Lake.

Kenyon stressed that Arctic Slope is looking for a partnership that will lean heavily on local resources.

``So many times a company comes to town and the lion's share of the profits end up leaving the local community,'' Kenyon said. However, Arctic Slope is offering a nearly 50-50 deal to the tribes in a joint-venture effort.

In a recent executive session, the Tribal Executive Board approved hiring Mike Watson of Helena-based Watson Engineering to complete the design portion of the $192 million project. Watson, a non-Indian, has been working with the tribes' water resources office for the past several years.

Arctic Slope officials said they still would like to be involved in the project, even if it means forgoing the design stage. The primary concern expressed by local contractors is that the tribes stick with Indian-owned firms and contractors in the design and construction of the 3,000-mile distribution system, something Arctic Slope has said it will do.

The company has drafted a memorandum of understanding that allows the tribes to take full advantage of Arctic Slope's resources and available mechanisms to complete the project. Company officials have been visiting Fort Peck over the past seven months learning about the tribes and its resources, as well as the project.

``Traditionally, things happen a year later when an agreement is made. But if we joint-ventured with the tribes, we would expect to be on the ground starting construction as early as November,'' said Arctic Slope president and CEO Charles Brower.

Arctic Slope is an engineering, architectural and technical services consulting firm based in Barrow and owned by the Inupiat of the North Slope. The company recently was named by Forbes magazine as one of the top 500 design firms in the country and has earned more than $1 billion in non-gaming revenues.


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