Owens Cross Roads approves contract for new wastewater plant, cites $2.7 million funding gap

The Owens Cross Roads City Council voted to authorize a construction contract with Mark Johnson Construction for a new wastewater treatment plant, adopting Resolution 24-026 after staff said the selected bid totaled just over $10 million.

"The bid amount for the construction project is just over $10 million," Jake, a city staff member presenting the item, told the council. He said the city has an ARPA grant award of roughly $7.3 million "so we have a delta of about $2.7 million" and recommended moving forward now so site work can proceed before winter. "Their advice at this point has been to move forward as quickly as possible to execute the existing funding," he said.

Christie introduced the resolution and Scott moved to adopt it; Claude seconded. The chair called the question and the resolution was adopted by voice vote.

Why it matters: The contract launches the largest project discussed at the meeting, committing construction resources and triggering a local funding shortfall the city must close. Staff told the council starting site work this fall could allow continuation of construction into the following spring and reduce weather-related delays.

What happens next: Staff said they are working to close the remaining financing gap. The resolution authorizes execution of the contract so construction can begin under the existing funding package; the council did not adopt a specific plan in this meeting to cover the $2.7 million shortfall.

Council action: Resolution 24-026 was moved by Scott and seconded by Claude and adopted in the meeting. The agenda packet and bid documents were referenced by staff but were not read into the record during discussion.