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Council authorizes $4.96M contract for third Auger Water Treatment Plant storage tank

Midlothian City Council · March 24, 2026

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Summary

Midlothian approved a $4.96 million base-bid contract (plus a $143,000 alternate) with Preload LLC to build a third 3‑million‑gallon ground storage tank at the Auger Water Treatment Plant, to be funded from the utility fund balance rather than a revenue bond.

The Midlothian City Council voted March 24 to authorize the city manager to enter into an agreement with Preload LLC for construction of a third ground storage tank at the Auger Water Treatment Plant. The base bid is $4,960,000 with an alternate of $143,000 to recoating two existing tanks; council noted a total project of roughly $5.1 million.

Public works staff explained the tank adds another 3 million gallons for a total of 9 million gallons of ground storage, roughly nine hours of storage based on a 24‑MGD facility; this falls within industry guidance of 8–12 hours. Staff said bids were opened February 26 and Preload was the lowest qualified bidder.

City staff said the project can be funded from the utility fund balance, avoiding issuance of a revenue bond. The Utilities Advisory Board was briefed. Council approved the contract; the vote was recorded with one member stepped out (item passed 5–0 as recorded in the meeting).

The city will proceed with the contract execution and schedule construction activities coordinated with the utility’s strategic plan.