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South Ellerbe wetland-stream restoration: $41M project advances; construction bids face market challenges

5796887 · September 19, 2025
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Summary

Staff updated council on the South Ellerbe Wetland and Stream Restoration project, a multi-phase stormwater retrofit funded partly by state and ARPA grants. Bidding for excavation and utility relocation drew high quotes; staff split later phases to attract competitive bids and expects construction to proceed in sequenced phases.

City environmental staff on Sept. 18 provided a progress update on the South Ellerbe Wetland and Stream Restoration project, a multi-phase effort to restore urban wetlands and stream channels, improve downstream flood risk and reduce nutrient loads entering Falls Lake.

Sandy Wilbur of the Environmental and Street Services Department reviewed the project’s scope: roughly 9 acres acquired by the city, with an engineered 4.3-acre wetland, about 200 linear feet of restored stream channel and a half-mile loop trail that will connect to the nearby rail trail and include educational demonstration features. Wilbur summarized grant funding for the project (about $5 million in grants including an ARPA Stormwater grant, state land-and-water funds and a local contribution), and a total project budget reported at roughly $41 million from the stormwater utility fund.

Wilbur described a multi-stage construction plan and explained that initial demolition and remediation work uncovered an unanticipated 10,000-gallon underground storage tank and other hazardous materials, which required corrective action. When staff solicited bids for a construction package, the first round produced a single bid and a later round returned prices approximately twice staff estimates. To respond, staff split the work into two subphases (3a and 3b) to attract the appropriate specialty contractors for utility relocation and for stream/wetland construction. Staff said 3a went back out to bid and returned two bids; staff is seeking additional bidders and expects to rebid as needed to secure a competitive price.

Wilbur said the project will reduce flood elevations for dozens of structures downstream and remove several buildings from the regulatory floodplain. Planned amenities include a demonstration rain garden, interpretive signage, artwork created with local schools and improved public access via the loop trail.

Council members asked whether the project timeline could be accelerated and whether more pieces of the project could be bid in parallel. Staff said they will pursue all practical efficiencies but noted that construction sequencing and the nature of specialized trades constrain how much faster the work can be completed. Council asked staff to continue pursuing cost-effective bidding strategies and to keep council informed as construction contracts are finalized.