Water Treatment Plant Updates

Background:
The City of Mound and the Minnesota Department of Health (MDH) routinely conduct water analysis testing to monitor water quality.  Recent testing indicated the city’s drinking water supply complies with the Safe Drinking Water Act primary drinking water standards.  However, the testing indicated elevated levels of manganese greater than the MDH recommended health advisory guideline levels. 

Manganese occurs naturally in rocks and soil across Minnesota and is often found in Minnesota ground and surface water. Your body needs some manganese to stay healthy, but too much can be harmful. You can find more information on the MDH webpage about Manganese in Drinking Water.

Long-term Solution: Consider a Mound Water Treatment Plant
As an advocate for the residents of Mound, the City is working on developing a solution that will serve the community today and long into the future while stewarding taxpayer dollars. Construction of a water treatment facility would be the largest capital project the City of Mound has undertaken, and it stretches across the whole community. Careful and thoughtful design work has been completed to deliver this important project while also taking fiscal impacts into consideration. The City has secured $12.3 million in State and Federal funds towards project costs. Project Timeline:
The City of Mound has worked for several years to solicit funding from State and Federal sources, as well as review existing utility rates and develop a financial management plan for the City to ensure that construction of the plant has a minimal impact as possible on water users and tax payers.
The City has the following timeline for this project in 2026: 
  • Winter 2020: The City was notified about elevated levels of manganese and was required to notify residents. A copy of this letter is available here. 
  • City Council Meeting on June 22, 2021: The City Engineer presented options for water treatment to address manganese and other contaminants in the City's water. The presentation can be viewed here. At this meeting, the Council's feedback was to move forward with the consideration of a Water Treatment Plant. 
  • City Council Meeting on September 28, 2021: An update based on the City Council's feedback at the June 22, 2021 meeting was presented. The presentation can be viewed here. 
  • July 2023:  The City of Mound received $10.3M through state funding at the end of the State's legislative session. 
  • March 12, 2024: The United States Senate Committee on Appropriations accepted requests for Congressionally Directed Spending (CDS) allocated $959,752 to the City of Mound for water infrastructure. 
  • State of the Water on March 26, 2024: The City's first State of the Water occurred, which provided an update on the water quality and the consideration of a Water Treatment Plant. The presentation can be viewed here. 
  • State of the Water on March 11, 2025: The 2nd Annual State of the Water was held, and provided an update on water quality, funding and the consideration of a Water Treatment Plant. The presentation can be viewed here. 
  • City Council Meeting July 22, 2025: An update on financing and construction of a Water Treatment Plant was provided to the City Council. The presentation can be viewed here, and a video of the meeting is available here. 
  • January - May 2026: The City Council requested $30 million in support from the Minnesota Legislature to help construct the facility. 
  • February 23, 2026: The Commerce, Justice, Science; Energy and Water Development; and Interior and Environment Appropriations Act, 2026 (H.R. 6938) allocated $1,092,000 to the City for Water Infrastructure. 
  • City Council Meeting April 28, 2026: A Utility Rate Study Update was provided to the City Council which showed a scenario where the City did not receive funding from the legislature. A video of this City Council meeting can be viewed here. 
  • May 2026: The 2026 legislative session closed, and the City of Mound was not awarded any additional funding towards the project. 
  • Spring 2026: Water Treatment Infrastructure Project Phase 2 construction began. This $12 million dollar infrastructure project readies the City's watermain and site area for eventual construction of a water treatment plant. Funding for the project comes from previously secured State and Federal Funds. 
  • August 2026: An updated Engineers Estimate based on new information such as construction materials, design completion and recently bid projects in other communities has brought the total estimated plant cost to $28.5 million. Down from the previously estimated $30 million. 
  • City Council Meeting on August 25, 2026: The City Council will review the final design and construction documents for the water treatment plant, and vote if it should be sent out for construction bids. This is similar to getting an estimate from a contractor, and does not guarantee the plant will be constructed. If sent for bids, the City Council can choose to accept and award a contract at a future City Council meeting. Awarding a bid to a contractor is the final step needed to authorize construction. 
  • City Council Meeting on October 13, 2026: If sending the construction documents out for bids is approved, the City Council will review bids. State statute requires the City accept the lowest bid for the project. Preliminary utility rate numbers will be presented based on the lowest bid. 
  • City Council Meeting on October 27, 2026: Staff will present an updated Utility Rate Study which will determine utility rates based on if the City Council has chosen to move forward with a water treatment plant.
  • December 2026: The City Council will approve Utility Rates for 2027 which reflect changes related to Water Treatment Plant costs.
Project Cost:
Total costs for this project are currently estimated and are subject to change until the City Council accepts a bid for construction. A current engineer's estimate for this project is based on estimated materials cost and similar projects built by other cities. This page will be updated with more information if the project is sent out to bide. 
Estimated Project Costs
All Construction Design, Well Construction and Water Treatment Infrastructure Phases 1 and 2   $10.3 million (funding secured) 
Plant Construction (Engineers Estimate)  $28.5 million
Total Cost   $38.8 million 

What You Should Know:  Page last updated 8/20/2026