Director Sarah briefed the council on a proposed amendment to RH2’s design contract to support Phase 4 of the process water reuse facility, which operates in Franklin County and land‑applies treated industrial wash water to city‑owned leased farm fields.

Staff said Phase 4 will add two new irrigation circles (plus associated equipment), but design changes are required because available power to serve the new northern fields is insufficient. The amendment — described as 'just under $65,000' — would fund design modifications and RH2 support during construction, including work to locate and address unmarked utilities. With the amendment, RH2’s total contract value for the project would be about $900,000.

Councilmember Peralez raised questions about the overall project financing: the presentation listed an adopted project budget of $17 million for the 2025–2026 timeframe, $4.5 million in bonds, an anticipated $12.5 million SRF (State Revolving Fund) loan that was not received, and a potential $2.5 million interfund loan. Staff said the project was rescoped to meet minimum needs after the anticipated loan did not come through and that the Phase 4 amendment is intended to complete the most urgent expansion.