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Redmond moves ahead with $83 million wetlands wastewater treatment project; financing and capacity discussed
Summary
City staff described the Redmond Wetlands Complex, a new wastewater treatment plant estimated at $83 million, its financing plan, schedule, capacity benefits and contingencies tied to DEQ limits and outside partners.
City of Redmond public works staff outlined the Redmond Wetlands Complex, a new wastewater treatment facility the city is preparing to construct in the northwest part of town.
Public works Director Jessica McClanahan described the project as a new treatment approach that would nearly double current wastewater capacity by moving from a mechanical treatment plant to a wetland lagoon system. The project includes the treatment facility, public access amenities such as trails and viewing areas, and a multi‑mile interceptor pipeline from the existing plant.
Staff estimated the project cost at $83,000,000 with $35,000,000 budgeted next fiscal year. Funding sources identified in the presentation include wastewater funds, a Department of Environmental Quality (DEQ) clean water grant, system development charges (SDCs), a contribution from Deschutes County for Terrebonne Sewer District, and city wastewater contributions. Staff said about $5 million of SDCs, an estimated $7.5 million in wastewater fund contribution and other partner amounts were in their financing assumptions; the largest portion remains to be financed via debt.
City staff warned that the existing wastewater plant is at capacity; project timelines and budgeting account for future debt service and the need to avoid potential penalties tied to permit limits. Staff said some operational savings are expected once the new facility is online, and the wastewater fund forecasts show the fund building enough balance to cover the future debt service as current debt retires.
Staff also discussed coordination with Terrebonne Sewer District under an intergovernmental agreement (IGA) that would have Terrebonne contribute when connections occur; county contributions were noted as part of that arrangement. City staff said DEQ permitting and potential penalty exposure remain material risks and that continued monitoring and conservative financial planning are in place.
City council and committee members asked clarification questions about the IGA, timing of contributions, and operational interoperability; staff said they intend to open price proposals for construction and move to contract selection soon.
The committee’s approval of the overall budget included allocations that support moving the Redmond Wetlands Complex toward construction.
