Council tentatively awards nearly $9 million water-treatment contract pending outside funding approvals

The Washington City Council on April 13 tentatively awarded the Water Treatment Plant Rehabilitation Project to State Utility Contractors, which submitted the low bid of $8,996,000. Staff said the low bid exceeded the original estimate by $3,814,910 and that the project will require additional funding approvals before a final award.

CFO Tammy Swindell briefed Council that two bids were received on March 5, 2026, ranging from $8,996,000 to $13,815,400, and the city has requested additional funding through the North Carolina Division of Water Infrastructure. Swindell said the loan request totals $9,968,910 at 1.76% interest and would be structured over 20 years, roughly $596,000 per year; she also said Beaufort County will contribute part of the repayment.

Council approved a tentative award and the subsequent purchase order but stressed the award remains subject to the funding agency’s review and approval of the additional loan request and to the Division of Water Infrastructure’s review of bid-award actions and bidder safety information.

Council members asked questions about the city’s overall debt and the appropriate floor for debate; procedural points were raised during discussion and resolved before the tentative award was recorded.

Next steps: the city will continue pursuing the additional funding request from the Division of Water Infrastructure and the Local Government Commission review necessary for final award and loan issuance.