The long-awaited sewer system in Terrebonne is moving closer to construction after receiving a $2.4 million state funding boost, marking a major step forward for the small Central Oregon community struggling with outdated septic systems.
The funding, awarded to the Terrebonne Sanitary District, is expected to help kick-start construction following years of planning and stalled efforts. Local officials and business owners say the project is critical to supporting growth and addressing ongoing wastewater challenges.
“It’s not done yet, but it looks like it’s going to get done,” said Guy Vernon, a sanitary district board member and owner of Rustic Ranch Mobile Home Park.
The sewer system project is now approximately 90% through the planning phase, according to district officials. In addition to the $2.4 million state allocation, the project also received a $100,000 grant from Business Oregon to complete final design, permitting and the bid process.
Once those steps are finalized, officials say construction timelines will become clearer.
The total cost of the initial system is estimated at $8 million. Funding sources include $5.6 million from the district, $1.4 million tied to an Oregon Department of Transportation road construction project and approximately $3 million in state grants. The latest funding reduces the district’s remaining obligation to about $3.2 million, with the possibility that a portion could be covered by a forgivable loan.
Infrastructure groundwork has already begun alongside the Highway 97 interchange project, where ODOT crews installed a mainline connection designed to integrate with the future sewer system.
The need for a centralized sewer system in Terrebonne has grown increasingly urgent. Most homes and businesses rely on septic systems, which are difficult to maintain due to the area’s rocky soil conditions.
Local businesses have faced significant financial strain as a result. Oliver Lemon’s, the town’s only grocery store, has spent more than $500,000 repairing its septic and drain field systems. Other establishments have encountered similar issues, with some forced to shut down.
“We have to be incredibly careful,” said Lauren G. D. Redman, CEO and president of Rudy’s Markets Inc., which owns Oliver Lemon’s. “And we’re no different than anybody else that has a septic and drain field, be it at their house or another business.”
Redman noted that another system failure could force the store to close, underscoring the urgency of the project.
Once completed, the system will connect approximately 300 buildings through six miles of pipeline to a wastewater treatment facility in Redmond, which is expected to be operational by fall 2027.
Community leaders say the project will not only reduce the risk of septic failures but also unlock new opportunities for development, including much-needed housing and business expansion.
“The new system will also benefit existing homes and businesses by providing reliable sewer wastewater disposal and will reduce the risk of failures and will support long term future growth, including much needed affordable housing,” said Kristin Yurdin, a board member and treasurer of the sanitary district.
With funding now in place and planning nearing completion, Terrebonne appears poised to finally address a long-standing infrastructure gap that has limited its economic potential for years.
Originally reported by Ian Haupt/Redmond Spokesman in Your Oregon News.
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