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Monte Vista updates wastewater project: $43M estimate, $30M secured, $12M gap remains
Summary
Public works staff told council the wastewater treatment replacement now has a $43 million cost estimate; the city has secured roughly $30 million in funding and has applied for additional grants to cover a roughly $12 million shortfall. Staff said designs are at about 90% and the city plans phased work to reduce near-term rate impacts.
City public works staff told the Monte Vista City Council the estimated cost to replace and upgrade the city’s wastewater treatment system is about $43 million, with roughly $30 million currently secured and approximately $12 million outstanding if the estimate holds.
The issue matters because the project’s financing affects utility rates, capital planning and whether the city moves forward immediately or phases work to reduce near-term costs for ratepayers.
Public works reported the city has advanced design to about 90% and has secured $30 million in funding commitments; staff said the city has applied for a grant that could close the financing gap. Officials described efforts to lower the overall cost by pulling some collection-system work out of the main contract and executing those items in smaller annual projects. The state has given verbal approval to postpone decommissioning two treatment facilities temporarily, which staff said would allow the city to re-sequence work and reduce immediate expenditures.
The project team is coordinating with USDA and state agencies and said they expect to finalize bid documents and temporary easements in time for a fall bid schedule for some components. Staff emphasized a preference not to increase already approved rate burdens for residents and said they will pursue grants and design changes to bring the project within previously budgeted parameters.
No new council action was required at this meeting; staff presented the status, financing gap and next steps and offered to return with updated bids or grant outcomes.
