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Severance withdraws from regional water treatment project as costs balloon; staff outlines local projects

Citizen Advisory Board (CAB) and Town Council, Town of Severance · April 1, 2026
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Summary

Town staff explained the decision to exit a regional water treatment project after partners pulled out and cost estimates rose from about $800 million to as high as $3.2 billion; staff said the town will pursue alternative water acquisitions and outlined local construction projects including a community park, downtown waterline work and the Great Western Trail kickoff.

Town staff told the Citizen Advisory Board that Severance withdrew from a proposed regional water treatment project after partners left the consortium and inflation and other factors drove the project’s price much higher than originally estimated.

A staff speaker summarized the escalating cost trajectory during the meeting: "When the project started, it was about 800,000,000. Since then, it went all the way to 3,200,000,000 and then dropped down to 2.5, but it still is gonna be somewhere probably around the 3,000,000,000 mark," and said those increases and falling participation made the town’s continued participation financially impractical. Staff said the town will instead pursue other opportunities to purchase and treat water and will continue reliance on neighboring districts for some treatment services.

Staff also provided an update on local public-works work: a community park under construction expected to open later this year, a large downtown waterline project, multiple sidewalk-connection projects, the Great Western Trail paving and crossing-beacon work starting next week, and phased crack-seal and chip-seal work on specified streets. No vote was taken; these were staff updates and scheduling announcements.