Also known as Mills River Water Treatment Plant Improvements, Phase 2
← All projectsMills River water plant upgrades, Phase 2
Rebuilding and upgrading the Mills River water plant, under a $26.9 million construction contract.
- Address
- Mills River Water Treatment Plant, Henderson County
- Program
- Water Resources capital project
In plain English
Rehabilitation and upgrades at the City's water plant in Henderson County: a new 1 million gallon clearwell, a new 8 million gallon offstream raw water reservoir, a backwash lagoon, more raw water pumping, and new emergency generator switchgear. The goal is a more resilient plant, ready for a future Phase 3 that would double its capacity.
Where it stands
Construction is underway. Spending reached about $11 million by April 2026, and 2026 water revenue bonds closed on June 3, 2026 to cover it and other water work.
Next
Finish Phase 2 build-out. The City gives about three years from May 2025 and has not set a public completion date. Phase 3 is tentatively set to start in 2029.
Last on the public record May 23, 2025 (17 months ago). No public update in 12+ months.
Where it is
Mills River Water Treatment Plant, Henderson County
Stage by stage
Why it matters: Each stage is checked against a public record. A stage with no record yet is shown as not verified.
- ApprovedConfirmed, May 14, 2024Construction contract awarded
- FundedConfirmed, May 14, 2024Budget amendment and a $5 million state grant
- ConstructionConfirmed, May 23, 2025Groundbreaking
- FinishedNot verifiedThe City gives a build-out term of about three years
The cost over time
Why it matters: Big projects often get new cost estimates as plans firm up. Each one is shown with the date it was published.
- May 14, 2024 Construction contract, including 15% contingency$26.9 million
Timeline
Jan 9, 2024
Consent agenda awarded CDM Smith construction administration and observation services for Phase II ($2,086,060). Vote: unanimous.
May 14, 2024
Consent agenda accepted the $5,000,000 ARPA/SRF grant. Vote: unanimous.
May 14, 2024
Consent agenda awarded the Wharton-Smith construction contract ($26,888,196 with contingency) and a $16,888,196 budget amendment. Vote: unanimous.
Sep 2024
Helene flooding inundated the plant's intake structure. Minor repairs were mostly completed within weeks, and FEMA reimbursement is being sought.
May 23, 2025
Groundbreaking for Phase 2.
Apr 14, 2026
Consent agenda authorized an LGC application for Water System Revenue Bonds, including refinancing of the 2015 bonds. Vote: unanimous.
May 12, 2026
Consent agenda adopted a bond order for up to $51,000,000 in Water System Revenue Bonds, partly for Mills River Phase 2. Vote: unanimous.
Jun 3, 2026
City closed on the 2026 Water Revenue Bonds.
About 2028, planned
Phase 2 build-out (about three years from the May 2025 groundbreaking, per City).
2029, planned
Phase 3 (capacity expansion) construction tentatively scheduled to begin.
Contracts
CDM Smith
Construction administration and observation services
- Amount
- $2.1 million
- Date
- Jan 9, 2024
Wharton-Smith, Inc.
Construction, Phase II ($23,381,040 plus 15% contingency of $3,507,156)
- Amount
- $26.9 million
- Date
- May 14, 2024
Money, by stage
Why it matters: Money is listed at its own step, such as set aside, committed or spent. The steps are never added together.
- Obligated: NC DEQ ARPA (State Revolving Fund) grant: $5,000,000 (May 14, 2024)
- Allocated: City Water Resources budget amendment to fund the Wharton-Smith contract: $16,888,196 (May 14, 2024)
- Obligated: 2026 Water System Revenue Bonds (shared with NEP Area 8 and refunding of the 2015 bonds): not to exceed $51,000,000 (amount actually issued not stated) (Jun 3, 2026)
- Spent: Project expenses to date (all sources): approximately $11 million (Apr 14, 2026)
Decisions about it
Not verified yet
- The City has not set a public completion date.
- The Mills River share of the 2026 water revenue bonds is not stated.