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City staff outline $120 million FM 1978 Water Reclamation project, recommend 'FM 1978' name and July contract actions
Summary
Staff updated council on the FM 1978 regional water reclamation facility: a progressive design‑build delivery, $120 million overall budget, developer contributions of roughly $49 million over 10 years, a phased 2 MGD initial plant with expansion potential, and staff recommended naming the new plant 'FM 1978 Water Reclamation Facility' and the existing plant 'River Road Water Reclamation Facility.'
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City staff gave a detailed project update to the San Marcos City Council on June 16 for the planned FM 1978 regional water reclamation facility that will serve developments south of FM 110 and provide a second reclaimed‑water source for the city.
Joe Pantalion, Assistant City Manager, said the project responds to a cost‑sharing agreement with developers and is intended to prevent proliferation of smaller package plants across the area. Marcus Naiser, Assistant Director of Capital Improvements, reviewed the delivery approach and budget: the city is using a progressive design‑build contract with Burns & McDonnell (original contract scope already approved), developers have committed approximately $49 million over 10 years and deeded 25 acres for the site, and the overall city plan anticipates a $120 million buildout delivered in phases. The initial, committed phase is a 2 MGD treatment capacity with a possible 2 MGD expansion around 2032 and long‑term expansion up to 8 MGD on the 25‑acre footprint.
Naiser said staff will bring a first contract amendment to council on July 7 to cover early work (pump and haul improvements, key structures and long‑lead equipment) and a second amendment in October for the balance of the plant. He also described the progressive design‑build approach as a method to speed delivery and provide greater price certainty as the design advances.
On naming, staff recommended using 'water reclamation facility' rather than 'wastewater treatment plant' to emphasize reuse and proposed the names 'FM 1978 Water Reclamation Facility' for the new plant and 'River Road Water Reclamation Facility' for the existing plant; resolutions to finalize facility names and a July 7 contract amendment were placed on the July 7 council agenda.
Staff emphasized environmental and conservation benefits: the reclaimed water will be permitted under TCEQ as type‑1 reuse and can offset potable water use and support conservation goals. Construction is targeted to begin in September (pending council authorization) with a schedule that could place construction completion near the end of 2028 if the contract amendments proceed as planned.

