W.M. Lyles wins $170.5m contract to build Placer County's Ophir Water Treatment Plant in Auburn, California

Placer County Water Agency (PCWA) awarded a $170.5 million construction contract to W.M. Lyles Co. on 6 August 2026 for the new Ophir Water Treatment Plant (WTP) in Auburn, California - one of the agency's largest water infrastructure investments. Construction is scheduled to begin in October 2026, with the plant expected to be operational by 2030.

How the contract was awarded

The PCWA Board of Directors approved the contract following a competitive procurement process that drew five bids from prequalified contractors. W.M. Lyles, a locally based firm, submitted the lowest responsive and responsible bid. The award follows PCWA's selection of Carollo Engineers in June 2026 to provide construction management and SCADA programming services for the same project.

The total project cost is currently estimated at $206 million, below the board-approved budget of $230 million. Funding comes primarily from Water Connection Charges - developer-paid fees structured so that growth-related infrastructure costs fall on new development rather than existing ratepayers.

What the plant will deliver

The Ophir WTP has been designed with staged expansion in mind:

• Initial capacity: 10 million gallons per day (MGD) of treated water, sufficient to serve approximately 10,000 families
• Master-planned expansion: up to 30 MGD as regional demand grows
• Pipeline infrastructure: underground mains sized to accommodate up to 60 MGD, preserving long-run flexibility

The 18-acre site sits along Ophir Road, adjacent to PCWA's existing Ophir Road Pump Station. Once the plant is online, it will also extend the annual maintenance window at the agency's existing Foothill Water Treatment Plant by approximately two months - a secondary operational benefit for the broader system.

Regional partnerships and financing

The City of Lincoln is a funding partner in the project under a 2023 capacity agreement, under which Lincoln made an upfront investment in the plant's future treatment capacity. PCWA said the arrangement reduced borrowing costs for both agencies and improved regional water network connections with Lincoln and the City of Roseville.

The Ophir plant is one of two major treatment facilities PCWA is advancing simultaneously. The Colfax Water Treatment Plant is currently under construction, and together the two projects represent what the agency describes as its most significant water infrastructure programme in decades. PCWA has spent close to three decades building the enabling infrastructure - pump stations, raw-water pipelines, tunnel outlet modifications, and site grading - needed to make the Ophir plant viable.

"This is a long-term investment that's been planned for decades," PCWA General Manager Andy Fecko said in February 2026. "The project is structured so growth pays for growth."

What to watch

Demand projections indicate the Ophir facility will be needed by 2030 to meet growth anticipated in western Placer County, leaving little margin for construction delays. Equipment procurement is expected to ramp up from late 2026 as W.M. Lyles advances detailed engineering. The broader California water construction market is also active: PCWA's $402.9 million 2026 capital budget - roughly 75% of which is dedicated to capital improvements - signals that large treatment plant programmes are likely to remain a sustained source of work for contractors across the state.