Monroe delays wastewater expansion bid to allow cost optimization, staff says

Monroe City staff on May 13 outlined a revised schedule for the wastewater treatment plant expansion, saying a modest delay would allow further cost optimization, provide margin for unresolved permits and improve financing timing.

Water Resources staff member Rob Miller told council the project scope is to expand the plant from 10.4 million gallons per day (MGD) to 13.4 MGD and includes a new influent pump station, screening, filters, biological nutrient removal (BNR) tanks and clarifiers, UV disinfection, site work, stormwater, electrical and instrumentation. Miller said the original schedule aimed for permit approvals and a formal May 2025 bid advertisement and a July 2025 council award so an LGC (Local Government Commission) application could proceed in August 2025.

Miller said multiple variables—permit clarifications, nutrient discussions and the LGC application timeline—make the original schedule difficult to meet. "If we do not meet the August timeline, then there is a delay that shuts down basically through November, December because they require our latest financials," Miller said, citing the LGC application timing and audit cycle. He proposed moving the formal bid documents to December, advertise in January, receive bids in February and bring the project to council in March 2026 with the LGC application in the spring of 2026.

Miller said the city is currently operating at about 65% of plant capacity as of April 2025 (the historic maximum, during a very wet year, reached 77%). He noted thresholds used in project planning: design at 80% capacity and construction at 90% capacity. Miller said the city does not currently anticipate exceeding those thresholds in a way that forces immediate construction despite the schedule change.

Miller added the slower timetable will give staff time from June through October to pursue cost-optimization measures—reviewing building finishes, earthwork and materials—and to reduce sole-source risk in equipment bids. He estimated that changing how on-site dirt would be handled could reduce cost and said a DIRTT-related change could save about $7 million. "This project has become very expensive," Miller said, and the extra time would allow better cost choices and provide additional system development fee revenue for financing.

City Manager Andrew Watson told council he supports the revised schedule and noted the practical constraint that pushing beyond the August LGC timeline would conflict with the city’s ability to close its fiscal year and meet audit deadlines. Miller and councilmembers discussed bid risk—few bidders or need to rebid—and permit uncertainties; staff said the revised timetable provides more margin for those contingencies.

Miller introduced Jay Voyles as the new deputy general manager for energy and water, who will help lead the project. Council did not take formal action on the schedule during the meeting; Miller said staff will proceed with permit work and return with further updates as project milestones are reached.