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Vermillion awards $6.1 million contract for water treatment plant improvements

5963970 ยท October 21, 2025
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Summary

City council awarded the water treatment plant base bid to RP Constructors LLC for $6,103,940 and rejected the bid alternate; project will be funded largely by a $7 million SRF loan with additional funding sources to be identified.

Vermillion City Council on Oct. 20 awarded the base bid for the city's water treatment plant improvement project to RP Constructors LLC of North Sioux City, Iowa, in the amount of $6,103,940, and rejected the bid alternate.

The award follows a competitive process: the project was advertised twice and four bids were opened on Sept. 30, 2025. Banner Associates prepared the engineering plans and recommended award to RP Constructors as the lowest responsive bidder for the base scope.

The city previously secured a $7 million State Revolving Fund (SRF) loan for the combined treatment and distribution project. About $1.3 million of that loan already paid for distribution improvements completed in 2024, leaving additional funding to be identified to cover the total treatment-plant cost. Banner Associates' review and the SRF loan information were included in the council packet.

Administration recommended awarding the base bid and rejecting the alternate; Councilor Werner moved approval, Councilor Genoa seconded, and the council approved by voice vote.

Project background: a 2022 facility plan identified aging treatment-plant infrastructure and nearly a mile of distribution mains for replacement. Engineering services were contracted with Banner Associates in August 2023 for $673,500. The base bid presented covers the treatment-plant work; the rejected alternate would have added additional optional items.

Next steps: the council's action authorizes contract award to RP Constructors LLC; staff will return with contract documents and financing details for the remaining gap between the SRF loan and the total project cost.