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Adams County sewer district wins $5 million SRF grant; three projects go to bid, rate increase planned

5837522 · September 24, 2025
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Summary

The Adams County sewer district received a $5 million State Revolving Fund grant and has three projects out to bid; the district is also proposing a first-ever rate increase after a Baker Tilly rate study.

The Adams County sewer district announced it received the maximum $5 million in State Revolving Fund (SRF) grant funding for sewer project No. 6 and moved three sewer projects toward construction while preparing a proposed rate increase. The district told county commissioners that engineers have put the three projects out to bid and that bids for the Monmouth project were due Oct. 2.

The SRF award covers part of a project estimated at about $6.1 million and includes authority for an additional loan (the bid package allows a loan up to about $1.8 million) if needed to complete planned work. The district said the Monmouth project will upsize an existing 4-inch sewer line to a 6-inch line back to the treatment plant and will connect roughly 10 homes and reconnect some properties tied to project 1.

District staff also said two other funded projects are moving toward construction: a line along 100–200 East and 400 North, and a larger work identified as the Winneken project, which runs from Sunnybrook on 200 West to County Line Road into Winneken. Engineering for the projects was completed using leftover funding from a prior project so the work was “shovel ready,” the district reported.

District representatives told commissioners they included an alternate bid to cross County Road 33 near the transfer station to preserve the option of extending service across the bypass; the decision to exercise that alternate will depend on later policy and whether future developments make an extension practical. The district noted state code could exempt structures more than 300 feet from a main line from mandatory hookup, which affects feasibility and cost-effectiveness when only a handful of homes would connect.

District officials said seven contractors purchased bid packets; that does not guarantee seven bid submissions, but it showed market interest. Staff also said the district is amending its rate ordinance after a Baker Tilly rate study and will hold a first-reading of a proposed rate change at the district board meeting Oct. 9, followed by public notices and a public hearing. The district is proposing a uniform rate change that would apply to about 1,100 customers; it said rising treatment and maintenance costs — including recent treatment-rate increases from Decatur — and higher equipment and parts costs were drivers of the proposed increase.

District staff emphasized maintenance demands are increasing as the system ages: pumps and mechanical components are failing with normal use, and methane gases in collection systems accelerate wear. Staff said they have an active preventive-maintenance program and that faster response and system standardization are ongoing district priorities.

No formal vote by the board of county commissioners was required for the SRF award announcement. The sewer district said it will return with formal rate and project hearings per statutory notice requirements.

Details from the district’s presentation, including engineering limits and bid alternates, remain subject to change as bids are evaluated and as the district finalizes the rate ordinance for public hearing.