Developer- Led Public-Private Partnership (P3) Brackish Groundwater Desalination Plant
| Location: | Texas |
|---|---|
| Posted: | May 21, 2026 |
| Due: | Jul 9, 2026 |
| Agency: | City of Portland |
| Type of Government: | State & Local |
| Category: |
|
| Solicitation No: | 6941 |
| Publication URL: | To access bid details, please log in. |
| Bid Number: |
6941
|
| Bid Title: |
Developer- Led Public-Private Partnership (P3) Brackish Groundwater Desalination Plant
|
| Category: | Request for Proposal or Bid Opportunities |
| Status: | Open |
| Additional Status Information: | N/A |
| Bid Recipient: | N/A |
|
Attachment Preview
REQUEST FOR PROPOSALS
For
Developer-Led
Public-Private Partnership (P3) –
Brackish Groundwater Desalination Plant
Due Date/Time:
July 9, 2026
2:00 p.m. CDT
CITY OF PORTLAND, TEXAS
1900 Billy G. Webb Drive
Portland, Texas 78374
(361) 777-4500
www.portlandtx.gov
INTRODUCTION
General Information
The City of Portland, Texas (“City”) hereby issues this Request for Proposals (“RFP”) to solicit
Competitive Sealed Proposals (CSP) from qualified and experienced firms (“Proposers”) to develop,
finance, design, construct, operate, and maintain a brackish groundwater desalination facility under a
long-term public-private partnership (P3).
The City is seeking a single, fully integrated provider (“Developer”) to deliver a complete water supply
solution under a Design-Build-Finance-Operate-Maintain (DBFOM) structure, which will be contracted
under a long-term Water Purchase Agreement (“WPA”) structured as a take-or-pay contract.
The selected Developer will be responsible for all aspects of the Project, including:
1. Exploration and drilling of all required test well(s)
2. Hydrogeologic evaluation and wellfield development
3. Design and construction of a reverse osmosis (RO) treatment facility, including obtaining all
regulatory approvals for the proposed treatment facility, including, but not limited to Step 1 /
2 RO exception approvals, other required exception approvals, plan approvals, concentration-
time (CT) disinfection study approvals, and final Texas Commission on Environmental Quality
(TCEQ) approvals to allow transmission of production water to distribution.
4. Procure power supply from AEP and Electric Retailer
a. (see https://www.aeptexas.com/business/builders/)
5. Concentrate (brine) management and disposal
6. Obtain all permits related to groundwater production and disposal of the treatment facility
waste stream (if routing of treatment facility waste to the City’s existing wastewater system is
not feasible)
7. Integration with the City’s existing water system including the evaluation of corrosivity and
blending (corrosion study required by TCEQ)
8. Long-term operations and maintenance (25 years)
At the conclusion of the contract term, ownership of the facility will either transfer to the City, or an
option to extend the WPA with the selected Developer will be considered.
A copy of this RFP can be obtained upon request from the office of the City Secretary or by emailing a
request to elisa.silva@portlandtx.gov. All documents and any subsequent addenda can also be
downloaded from the City of Portland’s website at http://portlandtx.gov/bids.aspx by selecting the
link(s) under “Related Documents.”
City of Portland, Texas, Request for Proposals for
Brackish Groundwater Desalination Plant
Page 2 of 26
Respondents must submit four (4) copies and one electronic version (in pdf format) on a flash drive of
their submittal by 2:00 p.m. on Thursday, July 9, 2026. Any submittals received after this time and date
will not be considered. The full address for proposal delivery is as follows:
“RFP—Brackish Groundwater Desal P3”
City Secretary City of Portland
1900 Billy G. Webb Drive Portland, Texas 78374
(361) 777-4513
Submittals will be opened publicly on the date and time specified herein.
Any Respondent requiring further clarification should submit questions or inquiries in writing to Brian
DeLatte, P.E., Deputy City Manager, at (361) 777-4516 or brian.delatte@portlandtx.gov before 5:00
p.m. (CT) on June 16, 2026.
Respondent’s questions or requests for clarifications and the City’s responses can be found on the
City’s website in the form of an addenda on the specified date referenced in the Schedule of RFP Dates.
SCHEDULE OF RFP DATES
The following is the schedule of important dates:
Request for Proposals Release Date
Deadline for Requests for Clarification (Questions)
Responses to Requests for Clarification (Addenda)
Submittals Due Date
Finalists Interviews (as necessary) and Selection
Contract Negotiations
Recommendation/Selection (Tentative)
Earliest Projected Date of Award of Contract
May 21, 2026
June 16, 2026
June 19, 2026
July 9, 2026
July 2026
August 2026
August 2026
August 2026
The City reserves the right to change the schedule of dates above as deemed necessary.
City of Portland, Texas, Request for Proposals for
Brackish Groundwater Desalination Plant
Page 3 of 26
SCOPE OF WORK
BACKGROUND AND PROJECT PURPOSE
The City currently purchases its potable water from the San Patricio Municipal Water District
(SPMWD), who obtains its water from the City of Corpus Christi. Under current drought conditions,
the SPMWD delivers approximately 2.4 MGD (currently 2.05 MGD due to ongoing drought
restrictions) to the City at its two ground storage tanks. The City then distributes the water through
its municipal water system to its approximately 6,600 customers.
While this supply has historically been reliable, the City recognizes several long-term risks:
• Dependence on a single wholesale supplier
• Regional drought vulnerability
• Potential cost escalation outside City control
• Limited operational flexibility
To address these risks, the City is pursuing development of alternative local water supply sources,
with brackish groundwater desalination identified as a viable and scalable option. While the City
recognizes that this project is not a “quick-fix” or short-term solution to the pending water supply
shortage, time is of the essence and the City would has targeted a 2-year timeline (June 2029 or
earlier) for the brackish supply to be permitting, online and available to its customers.
The City’s objectives include:
• Water Supply Reliability: Establish a locally controlled, drought-resilient supply
• Cost Stability: Reduce exposure to wholesale rate volatility
• Operational Flexibility: Enable blending and optimization of multiple sources
• Risk Transfer: Shift development, performance, and operational risks to a qualified private
partner
The City’s preliminary analysis indicates that a 3.0 MGD brackish groundwater desalination plant,
operated as a take-or-pay contract and scalable for future growth, could best serve the City. Final
sizing and capacity of the facility will be determined during the preliminary design phase of the
project and in collaboration with the City.
The City has engaged Ardurra Group as its Authorized Owner’s Agent and technical advisor to assist
in reviewing RFP submittals and in serving as the City’s representative during the preliminary and
final design stages, permitting and regulatory approval stages, equipment and material procurement
phase, construction and commissioning phase, performance testing validation phase, and initial
operation of the proposed wells and desalination treatment facility.
Project Site
The proposed desalination treatment facility will be located as shown in the attached exhibit at:
City of Portland, Texas, Request for Proposals for
Brackish Groundwater Desalination Plant
Page 4 of 26
City of Portland Sports Complex and Ground Storage Tank Facility
721 Buddy Ganem Drive
Portland, Texas
The site (the “City Site”) currently includes 1 MGD ground storage tank and associated pumping
infrastructure and is strategically positioned for integration into the City’s distribution system. The
proposer may utilize the City’s existing 25.0-acre property to install a well and a desalination
treatment plant in accordance with all applicable laws and regulations, including well spacing,
property line offset, City lighting / noise / visual construction ordinances, etc. Any proposed facility
shall be 100 feet minimum away from existing City assets. Any costs for additional necessary acreage
for additional wells (to minimize drawdown and subsidence) or any additional requirements
necessary to adhere to San Patricio County Groundwater Conservation District (SPCGCD) and/or City
of Portland construction ordinance requirements shall be included and identified in the proposed
project costs. SPCGCD rules currently only allow 1.25 AFY per acre owned and the District has agreed
that the City’s CCN can be considered owned for the purposes of this rule. Pumping impacts
associated with reasonable allowances for drawdown and subsidence should be evaluated during
preliminary design.
Public-Private Partner Developer Approach
The City intends to implement this Project using a Developer-led, P3 delivery model under which:
• The Developer will finance, design, construct, own, operate, and maintain the facility on the
City Site and any additional Developer owned or leased property. In the event that the
Developer owns or leases property for the project, the Developer shall grant a utility access
agreement to the City during the term of the WPA. At the end of the initial term of the WPA,
the City may elect to extend the term of the WPA or the assets will transfer to City.
• The City will purchase treated water under a long-term take-or-pay Water Purchase
Agreement (WPA)
• The Developer will bear key risks, including:
o Property acquisition (for any property required above and beyond that already
offered for use in this RFP)
o Pre-development cost and timing (see below description)
o Development and construction cost and timing
o Hydrogeologic uncertainty (quantity & quality)
o Treatment process configuration and performance
o Treatment Facility waste and waste residuals disposal
o All necessary permitting and regulatory approvals required for the proposed wells,
treatment facility, and offsite infrastructure needed for a complete, in-place, and
operational water supply system
o Operational performance
o Power supply for the facility
o Labor, materials, spare parts, and other necessary operating costs
This structure is intended to ensure value for money, risk transfer, and long-term performance
City of Portland, Texas, Request for Proposals for
Brackish Groundwater Desalination Plant
Page 5 of 26
This is the opportunity summary page. It provides an overview of this opportunity and a preview of the attached documentation.
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