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Gatlinburg commission authorizes bond measures to fund expanded water treatment project
Summary
The commission approved initial and bond resolutions to permit up to $3 million in general obligation borrowing for a water treatment plant expansion, citing increased project scope and contractor pricing that raise capacity from about 2 million to over 3 million gallons per day.
The Gatlinburg Board of Mayor and Aldermen voted to advance bond measures that allow the city to borrow up to $3,000,000 to supplement the water treatment plant expansion budget.
City staff and project consultants reported the city has a construction manager at risk (CMAR) on board and that more detailed design and contractor pricing have increased project costs during the construction-phase estimates. "So just to update you guys, we have a CMAR contractor on board... construction will begin commencing relatively short on the project and begin that expansion and start starting getting more water in the distribution system," said Corey, who provided the project update.
Staff said the existing plant treats roughly 2,000,000 gallons per day and the expansion is designed to increase capacity to a little over 3,000,000 gallons per day. Officials also said additional high-service pumps are required to meet distribution demands. The initial bond resolution (resolution 10-36) and the subsequent resolution defining terms (resolution 10-37) were discussed together; commissioners were told approving the bond resolution starts a 20-day public comment period.
A speaker asked whether the bond would be for $3 million or an $8 million figure referenced earlier; staff clarified the bond in this action was a single issue "not to exceed $3,000,000" and did not include the earlier $5,000,000 figure the project had previously contemplated.
The board moved and seconded the resolutions and approved them by voice vote, beginning the statutory comment period required for the bond issuance.
