Lebanon Utilities approves $63.9M GMP for major wastewater plant expansion

Lebanon Utilities approves $63.9M GMP for major wastewater plant expansionThe utility board has greenlit the third and final guaranteed maximum price report for a build-operate-transfer project that will increase the plant's capacity by 50%.

The board approved GMP Report No. 3 for $63.9 million, awarded to Bowen Engineering Corporation.

Combined with the first two reports, the total cost for the wastewater treatment plant expansion reaches $141.3 million.

The project will increase treatment capacity from 10 million gallons per day (MGD) to 15 MGD.

The scope includes new clarifiers, disinfection systems, and a relocated administration building.

The Lebanon Utility Service Board has approved the third guaranteed maximum price (GMP) report for Phases 1 and 2 of its wastewater treatment plant expansion, cementing a $141.3 million investment in the city's infrastructure. Approved unanimously during the board's August 5, 2026 meeting, GMP Report No. 3 authorizes $63.9 million for the project. The work is being delivered on a build-operate-transfer (BOT) basis by Bowen Engineering Corporation, which was originally selected by a scoring committee in May 2025. The expansion will increase the plant's treatment capacity from 10 million gallons per day (MGD) to 15 MGD. According to utility staff, the scope of the newly approved phase includes the addition of new clarifiers and enhanced disinfection systems. Because the plant expansion will reduce the available footprint at the current wastewater site, the project also funds the construction of a new administration and water distribution building to be relocated to the Chicago Street water plant. During the meeting, a board member highlighted the sheer scale of the investment, noting that large projects have changed dramatically in cost over the last five years. The board member also detailed the expected useful life of the new infrastructure, emphasizing that the structures, site piping, valves, and gates are designed for a 50-year lifecycle, while the equipment and SCADA electrical systems have a 20-year lifecycle. The resolution approving the 70-page scope of construction will become effective upon execution by the general manager.