MOORHEAD — An Indiana company has been hired to build a new southside water tower in Moorhead after entering the low bid of $2.64 million.

The 750,000-gallon tower at 4255 28th St. S. south of the Village Green Golf Course will serve residences in the growing part of the city and offer better fire protection, said Moorhead Public Service General Manager Bill Schwandt in an interview on Tuesday.

The city council approved the low bid from Phoenix Fabricators and Erectors LLC of Avon, Ind., at its meeting Monday night, Aug. 12. There were two other bids.

Schwandt said it will be the fourth overhead tower in the city, along with those at Oakport, Woodlawn Park and along Interstate 94.

Schwandt and Water Division Manager Kristofer Knutson said they didn't know if work will start yet this year, but that the completion date was extended to the summer of 2021 to get a more favorable bid.

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When bids were rejected in May, Schwandt said the bidders told them that the tight timeframe to get it done by next summer was a drawback.

MPS has been working on the project for years. In addition to extending the timeframe for work, the new water tower project was separated from a connected water main extension project, which will cost about $528,000, bringing the total project costs to $3.17 million.

That is much lower than the combined project bid of $4 million in May.

The new tower will be painted with artwork similar to the one at Woodlawn Park. It will feature elements from the neighborhood including a drawing of the Bluestem Amphitheater and a golfer reflecting the nearby Village Green course.

Once the new southside tower is done, the I-94 tower will be repainted, likely in 2021.