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Mayor: water-plant bids exceed estimate; $1.7M added, project to continue with value engineering
Summary
Mayor reported bids for the water-plant project came in higher than budgeted; the city obtained an additional $1.7 million from WaterSector, bringing the project total to $10.4 million while the city pursues value engineering and additional phases.
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Mayor provided an update that bids for the city's water-plant project exceeded the initial funding plan. The city had expected about $8.7 million in funding but received bids near $12.1 million. After value‑engineering efforts and removing noncritical items, the city secured $1.7 million in additional funding from WaterSector, bringing the current project total to $10.4 million, the mayor said.
The mayor told council that $5.9 million of project funding is currently structured as a loan and is expected to be an LDH revolving loan fund that the city believes may be mostly forgiven once awards and terms are finalized. Additional work and phases — including water-tower repairs and smart-meter installation — remain planned and may require further funding requests.
City engineers and the mayor said they will continue negotiating scope and funding, may pursue further WaterSector support, and will phase or defer some work to bring the immediate contract within budget. Council was not asked to vote on additional funding at the meeting; the mayor said staff would return with specific contract actions before construction begins.

