Palm Bay targets June startup for delayed South Regional WRF, pursues surety for $1.3M in deficiencies
City of Palm Bay Utilities Department, Florida · Meeting date: May 21, 2026 · Published: May 26, 2026
The Florida city is nearing the finish line on its South Regional Water Reclamation Facility after terminating its previous contractor, with staff now working to resolve dozens of construction deficiencies ahead of receiving flows in late June.
Key points
- The city terminated its contract with RJ Sullivan on February 5 and has since completely addressed 32 of 86 identified project deficiencies.
- Major ongoing remediation includes rebuilding the Kubota membrane headworks and correcting improperly installed valves and VFD communication issues.
- The total estimated cost to complete the project and fix deficiencies is $2.4 million, against $1.6 million in remaining contract funds and retainage.
- Palm Bay plans to recover $1.3 million from the project's surety to prevent any additional expense to the city.
Full report
The City of Palm Bay, Florida, is preparing to receive initial wastewater flows at its South Regional Water Reclamation Facility (SRWRF) the week of June 22, capping a turbulent period following the termination of its primary contractor earlier this year.
During a May 21 presentation to the city council, staff outlined the extensive remediation work undertaken since ending the contract with RJ Sullivan on February 5. The city inherited a troubled site with 86 documented construction deficiencies. According to the project update, 32 high-priority items have been completely resolved, 20 are in progress, and six are pending facility startup.
Significant remaining work includes a complete rebuild of the facility's Kubota membrane headworks, which is being handled by Ganeer and is expected to take two to three weeks. Staff noted multiple instances of improper installation by the previous contractor, including valves and check valves placed in the incorrect order. The city has also added components to Variable Frequency Drives (VFDs) to resolve communication issues and completed the lining of a deep sanitary sewer line and approximately 300 feet of storm drain.
The financial toll of the remediation effort places the estimated cost to complete the facility at $2.4 million. This includes $1.3 million to address site deficiencies, over $600,000 for site work, and another $1 million for subcontracted and other work.
Palm Bay holds $1.6 million in available funds, comprising $832,000 in remaining contract value and $828,000 in retainage, leaving a shortfall of $707,000. However, the city is actively pursuing the project's surety to recover the $1.3 million spent on deficiencies. If successful, staff indicated there would be no additional expense to the city to complete the facility.
With physical site conditions significantly improved and major structural corrections underway, the city is targeting June 15 for IO and wet checks, followed by seeding and receiving flows the week of June 22. Other project partners assisting in the completion include Cathcart Construction, Wade Trim, Chinshore, and Wharton Smith.
This summary was generated by AI based on the source document and may contain errors.
Source: Regular Council Meeting, City of Palm Bay Utilities Department