News
June 16, 2025

Central Arkansas Water OKs $230M for Plant Upgrade

Caroline Raffetto

Central Arkansas Water is moving forward with one of its most ambitious infrastructure investments to date. On Thursday, the utility’s board of commissioners approved a bond issue of up to $230 million to overhaul the Jack H. Wilson Water Treatment Plant in west Little Rock — a project aimed at securing the region’s water supply for future generations.

The bond funds will be allocated as follows: $216.59 million for construction, $13.315 million in capitalized interest, and $95,000 for issuance-related costs, according to documentation presented during the board’s latest meeting. Officials said they anticipate closing the transaction in July, with repayment scheduled over a 20-year term.

The plant renovation is not just a routine upgrade. Central Arkansas Water said the improvements are necessary to comply with updated regulatory standards, respond to changes in water sources, and address the risks posed by emerging contaminants. The project will also increase daily treatment capacity from 133 million gallons to 150 million gallons, helping the utility keep pace with population growth and rising demand across its service area.

The Jack H. Wilson plant, along with the Ozark Point Water Treatment Plant, supplies potable water to hundreds of thousands of Arkansans. Both plants draw water from the Lake Maumelle reservoir, a pristine source critical to the region’s drinking water supply.

The board had already taken an important step earlier this year when it approved a guaranteed maximum construction cost of $219.2 million in March. The Max Foote Construction Co. will act as the construction manager at risk, assuming responsibility for delivering the project on time and within budget.

The Wilson plant upgrade is part of a broader infrastructure strategy tied to a 10-year water rate increase plan approved in January 2023. As part of that package, Central Arkansas Water implemented a new infrastructure fee, which went into effect in 2024. The fee is designed to gradually scale up over time, starting at 50 cents per month and rising to $4.25 by 2032 for customers with a standard five-eighths-inch meter.

“This is a transformational moment for the utility and for our customers,” said a utility official. “These investments are about planning for growth, protecting public health, and strengthening our infrastructure for decades to come.”

The bond approval follows recent board action to begin a separate but related capital improvement: a $13.5 million bond aimed at financing preliminary work on a new raw water pipeline from Lake Maumelle to the Wilson plant. That pipeline will improve the resilience of the water delivery system and help Central Arkansas Water maintain supply during high-demand or emergency periods.

In addition to treatment and transmission infrastructure, the utility is also working to upgrade its administrative facilities. On Thursday, the board voted to authorize an application for a $1.5 million grant from the Arkansas Economic Development Commission. If approved, the funds will support the redevelopment of the James T. Harvey Administration Building on East Capitol Avenue in downtown Little Rock.

That building, which has served as the utility’s headquarters for years, was vacated earlier in 2025. Central Arkansas Water employees are currently working out of temporary offices in the Simmons Bank Tower while the redevelopment effort gets underway. The administration building project is expected to cost around $15 million, based on the most recent estimates.

Collectively, these efforts represent a forward-looking approach to infrastructure stewardship, one that balances regulatory compliance, system modernization, and fiscal responsibility. With the bond funding now authorized, utility leaders say the Wilson plant overhaul is ready to transition from planning to execution.

Originally reported by Joseph Flaherty in NWA Online.

News
June 16, 2025

Central Arkansas Water OKs $230M for Plant Upgrade

Caroline Raffetto
Construction Industry
Arkansas

Central Arkansas Water is moving forward with one of its most ambitious infrastructure investments to date. On Thursday, the utility’s board of commissioners approved a bond issue of up to $230 million to overhaul the Jack H. Wilson Water Treatment Plant in west Little Rock — a project aimed at securing the region’s water supply for future generations.

The bond funds will be allocated as follows: $216.59 million for construction, $13.315 million in capitalized interest, and $95,000 for issuance-related costs, according to documentation presented during the board’s latest meeting. Officials said they anticipate closing the transaction in July, with repayment scheduled over a 20-year term.

The plant renovation is not just a routine upgrade. Central Arkansas Water said the improvements are necessary to comply with updated regulatory standards, respond to changes in water sources, and address the risks posed by emerging contaminants. The project will also increase daily treatment capacity from 133 million gallons to 150 million gallons, helping the utility keep pace with population growth and rising demand across its service area.

The Jack H. Wilson plant, along with the Ozark Point Water Treatment Plant, supplies potable water to hundreds of thousands of Arkansans. Both plants draw water from the Lake Maumelle reservoir, a pristine source critical to the region’s drinking water supply.

The board had already taken an important step earlier this year when it approved a guaranteed maximum construction cost of $219.2 million in March. The Max Foote Construction Co. will act as the construction manager at risk, assuming responsibility for delivering the project on time and within budget.

The Wilson plant upgrade is part of a broader infrastructure strategy tied to a 10-year water rate increase plan approved in January 2023. As part of that package, Central Arkansas Water implemented a new infrastructure fee, which went into effect in 2024. The fee is designed to gradually scale up over time, starting at 50 cents per month and rising to $4.25 by 2032 for customers with a standard five-eighths-inch meter.

“This is a transformational moment for the utility and for our customers,” said a utility official. “These investments are about planning for growth, protecting public health, and strengthening our infrastructure for decades to come.”

The bond approval follows recent board action to begin a separate but related capital improvement: a $13.5 million bond aimed at financing preliminary work on a new raw water pipeline from Lake Maumelle to the Wilson plant. That pipeline will improve the resilience of the water delivery system and help Central Arkansas Water maintain supply during high-demand or emergency periods.

In addition to treatment and transmission infrastructure, the utility is also working to upgrade its administrative facilities. On Thursday, the board voted to authorize an application for a $1.5 million grant from the Arkansas Economic Development Commission. If approved, the funds will support the redevelopment of the James T. Harvey Administration Building on East Capitol Avenue in downtown Little Rock.

That building, which has served as the utility’s headquarters for years, was vacated earlier in 2025. Central Arkansas Water employees are currently working out of temporary offices in the Simmons Bank Tower while the redevelopment effort gets underway. The administration building project is expected to cost around $15 million, based on the most recent estimates.

Collectively, these efforts represent a forward-looking approach to infrastructure stewardship, one that balances regulatory compliance, system modernization, and fiscal responsibility. With the bond funding now authorized, utility leaders say the Wilson plant overhaul is ready to transition from planning to execution.

Originally reported by Joseph Flaherty in NWA Online.