Upper Reservoir Water Tank Repair & Rehabilitation

The City is beginning a project to repair a leak in the Upper Reservoir and rehabilitate the 50-year old water storage tank.


  • In the fall of 2023, City staff identified a leak in the Upper Reservoir water tank.
  • The City was able to find and place a temporary patch to plug the leak at the end of December.
  • In January 2024, City Council directed staff to apply for financing to repair the leak and rehabilitate the tank, a project that was identified as a priority in the 2022 Water System Master Plan. Staff and engineers are recommending repairing the tank quickly, and the project will be funded with loan financing from the Business Oregon Special Public Works Fund.
  • In March 2024, City Council authorized the pledge of user rates for Special Public Works Fund loan repayment (Resolution 3242024) and staff submitted the Special Public Works Fund loan application to Business Oregon.

Project Scope

  • The 1,000,000 gallon reservoir will be rehabilitated by repairing the existing tank floor and other areas needing repair and removing the existing coating and re-coating the entire structure with a new paint systems.
  • For further protection, an impressed cathodic protection system will be installed in the tank to help control and minimize further corrosion of the steel structure.

Cost and Financing

  • Engineers estimate the cost of repair and rehabilitation will total $1,243,000
  • The City has some funds in its Water System Fund to contribute to the repair, but the majority will need to be financed through a loan
  • The City is applying for a loan through the Business Oregon Special Public Works Fund
  • The loan will be paid back through user rates. Residential user rates are currently $33.50 per month and will need to be raised to about $46.00 per month in order for the city to finance the loan. The rates will need to be adjusted by the time construction on the project is complete (estimated June 2025). The City will provide more information as it becomes available.


The Upper Reservoir, constructed in 1970, is located on a ridge near the western edge of the City. The Upper Reservoir is a welded steel tank that holds about 1,000,000 gallons of water. The water supply is pumped from the Lower Reservoir. The Upper Reservoir can provide water to the entire distribution system of the City. The tank also has observable corrosion issues on the steel and is identified in the City’s 2022 Water System Master Plan as a priority improvement.