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A HigherGov procurement listing reports that the U.S. Section of the International Boundary and Water Commission (USIBWC) awarded PCL Construction Services a progressive design-build contract valued at $552,372,021 for rehabilitation and expansion of the South Bay International Wastewater Treatment Plant (SBIWTP). The listing gives October 13, 2026, as the award date. The amount and date should be understood as reported procurement information; USIBWC’s project page currently describes pre-design work and says public project documents will be posted as they become available.
What the reported $552 million award covers
The contract is for rehabilitation and expansion of the federally operated SBIWTP in San Diego County. The HigherGov listing identifies PCL Construction Services as the progressive design-build contractor and gives a revised total value of $552,372,021.
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| Item | Reported detail |
|---|---|
| Agency | U.S. Section of the International Boundary and Water Commission |
| Facility | South Bay International Wastewater Treatment Plant |
| Contractor | PCL Construction Services |
| Delivery method | Progressive design-build |
| Revised contract value | $552,372,021, according to the HigherGov procurement listing |
| Award date | October 13, 2026, according to the listing |
USIBWC’s official project page says the agency is conducting pre-design activities needed for design and construction of the SBIWTP Expansion Project. It also says the agency will post public documents, presentations and related information. That means the listing establishes the reported contractor, value and date, but it does not by itself provide a complete public construction schedule, final design or detailed package-by-package scope.
How much treatment capacity has been added
The fast-tracked 2025 expansion
The U.S. Environmental Protection Agency reported that a 10-million-gallon-per-day expansion was completed on August 28, 2025. SBIWTP’s rated capacity rose from 25 million gallons per day (MGD) to 35 MGD, a 40% increase.
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The California Water Boards described the related 2025 order as allowing the federally operated plant to increase treatment from 25 MGD to 35 MGD. That increase addresses an immediate U.S.-side treatment bottleneck, but it is separate from the larger work now being advanced through the reported 2026 contract.
The larger capacity being explored
EPA said in 2025 that the agency was exploring an expansion to 50 MGD or more by December 31, 2027. This is an exploration and planning objective, not a statement that the 50-MGD level has already been funded, designed or placed into service. The 35-MGD figure is the capacity reported after the August 2025 completion.
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Why the project matters to the Tijuana River crisis
Cross-border flows from the Tijuana River watershed have repeatedly carried untreated or inadequately treated sewage into the United States. The resulting pollution affects San Diego County waterways, beaches, coastal ecosystems and nearby communities. SBIWTP is the principal U.S.-side treatment point in the response, so additional reliable capacity can reduce the amount of flow that exceeds available treatment during high-volume events.
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The crisis is not confined to the plant. A broader U.S.-Mexico response also requires Mexican infrastructure, conveyance improvements, monitoring and long-term planning. Increasing capacity at South Bay can relieve a downstream constraint, but it cannot by itself eliminate sewage entering the watershed upstream or correct failures in collection, pumping, maintenance and cross-border conveyance.
Regulatory controls remain in place
The 2025 capacity order did not remove environmental oversight. The California Water Boards said the federally operated plant remains subject to its National Pollutant Discharge Elimination System (NPDES) requirements, including:
- Interim effluent limits governing discharges;
- Remedial schedules for correcting deficiencies;
- Preventive schedules intended to reduce the risk of future failures; and
- Required operating and maintenance documentation.
Those conditions matter because a higher design capacity is not the same as consistently compliant treatment. Operators must still demonstrate that equipment, processes, sampling and reporting meet the applicable permit and order requirements.
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What progressive design-build means for the next phase
In a progressive design-build arrangement, the owner and design-build team develop the design and construction plan through successive phases rather than fixing every detail before the team is selected. For SBIWTP, USIBWC’s statement that pre-design activities are underway indicates that important technical and sequencing decisions remain to be documented publicly.
For contractors, subcontractors and suppliers, the practical issues to watch are:
- Existing-equipment reliability: rehabilitation work must keep an operating treatment plant available while new or repaired systems are integrated.
- Capacity and phasing: the project must show how additional MGD will be delivered and when each system can enter service.
- Regulatory compliance: construction sequencing, temporary operations and commissioning must support NPDES limits and required records.
- Monitoring and sampling: laboratory, instrumentation and reporting systems must verify performance, not merely add physical treatment equipment.
- Cost and funding: the $552,372,021 figure is the revised value reported in the procurement listing; publicly available project materials will need to clarify the funding breakdown and any later modifications.
Will the expansion stop Tijuana River pollution?
No. It is a significant part of the response, but not a standalone solution. The 2025 expansion raised treatment capacity to 35 MGD, and EPA has discussed 50 MGD or more by the end of 2027. Those gains can reduce untreated or inadequately treated flows reaching the United States when the plant and conveyance systems are functioning as intended.
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They do not resolve every upstream source, storm-driven surge, conveyance restriction, equipment failure or monitoring gap. The binational response therefore has to progress on both sides of the border: treatment and rehabilitation at South Bay, plus Mexican collection and conveyance infrastructure, maintenance, monitoring and longer-term watershed planning.
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- USIBWC’s release of design documents, presentations and a more detailed implementation schedule.
- Confirmation of the final scope of rehabilitation work and how existing units will remain operational during construction.
- Milestones showing whether the project is moving from pre-design into design, procurement, construction and commissioning.
- Updated capacity and compliance data under NPDES oversight, including effluent results and operating documentation.
- Progress on the Mexican infrastructure and conveyance measures needed to keep additional South Bay capacity from becoming the sole line of defense.
The reported award is therefore best read as a major procurement step in a multi-year, binational wastewater program. Its immediate significance is the selection and reported contract value; its pollution-reduction impact will depend on design execution, reliable operation, regulatory performance and parallel upstream work.
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