Chimney Rock, the granite outcrop above the village, with the park's overlook and walkway visible on top

Chimney Rock Awards a $1.32 Million Sewer Contract and Accepts Millions in Recovery Funding

Village Council Recap — Chimney Rock, NC — October 21, 2026

CHIMNEY ROCK, N.C. — At its Tuesday, Oct. 20 meeting, Chimney Rock's council awarded a roughly $1.32 million sewer contract for Terrace and Crystal drives and accepted state resilience funding of about $2.7 million for water and $6 million for sewer. Staff are aiming to finish the sewer work and the downtown plaza repairs by Memorial Day 2027.

What the council voted on

Every motion below passed.

  1. Conflict-of-interest procedure. Council adopted a recusal process to be used at every meeting. Members with a possible conflict step back from discussion and the vote, and a question about how far a conflict reaches goes to legal counsel or the council.
  2. Consent agenda. Approved without discussion.
  3. Riverwatch sewer pump reimbursement, $8,762.87. The village will repay the business for a commercial-grade pump after the first residential-style system burned out. Staff will try to recover the cost from another grant.
  4. Broad River Inn easement. Council granted a roughly seven-foot easement along the riverbed so the property can reinforce its retaining wall. The owner pays for the survey and legal work and must restore any village riverwalk features he disturbs. Two council members sat out the discussion and vote.
  5. Terrace and Crystal drives sewer contract. A tentative award to Payne, McGinn & Cummins of South Carolina, pending state review.
  6. Water and sewer resilience funding. Council accepted both state funding offers (details below).

Water and sewer: the biggest news

Terrace and Crystal drives sewer. Payne, McGinn & Cummins submitted the low bid at about $1.32 million. The next bidder, Huntley Construction, came in at about $1.39 million, and the budget was $2.1 to $2.2 million. The money comes from a state earmark the village received before Helene. After state review, staff hope to hold a pre-construction conference around Thanksgiving or early December, with construction likely starting after the first of the year.

Sewer hookups for homeowners. The project budgets about 35 connections, with a cleanout placed beside every property along the route. Residents who want to leave their septic tanks behind can be connected during construction at essentially no cost. Hooking up later means a tap fee of roughly $2,500 to $3,500 plus your own plumbing.

Resilience funding accepted. Council accepted two state offers, both identical except for the names:

  • Water, about $2.7 million (all grant). Up to two new wells to replace an inactive one, a rebuilt Terrace well, pump station repairs, new meters, and generators at each well.
  • Sewer, about $6 million (mostly principal-forgiveness grant, with a loan portion). Generators at the new lift stations plus either a force main to reconnect to Lake Lure or a new treatment plant. Staff do not expect to use the loan portion, and said that reconnecting to Lake Lure would use far less than the full amount.

The Lake Lure connection is the item most relevant to our readers. Staff described it as still undecided and said the final direction affects how much of the sewer money gets spent.

NCDOT work. The state is expected to start permanent water and sewer lines in November, running west from Terrace Drive and Main Street toward the Best View area. Staff said the sequencing could shift to avoid leaf season. NCDOT will act as contractor and handle the FEMA paperwork and reimbursement.

Water tank. A contractor starts replacing the Cliffside tank roof on Wednesday, Oct. 21. A temporary tank keeps service running for about a week.

Downtown: plaza, streetscape and utilities

  • Plaza repairs. Bids open Thursday, Oct. 22. The work is about $275,000 of Helene damage covered by FEMA, including structural fixes and surface work. Upgrades and any expansion come later through a Department of Commerce grant, as a separate project. Council hopes work can start between December and January.
  • Streetscape grant. The village has met with two of eight property owners (Riverside Lodge and Hickory Nut) about the design, and both meetings went well. Six more are scheduled, and staff hope to put the project out to bid in January.
  • Poles and wires. Duke Energy has replaced a pole on Main Street, but old poles still carry wires. Duke's goal is to clear them by year-end, and staff are pressing cable and communications companies to attend utility meetings. Everything needs to be gone before streetscape construction.
  • Public art. UNC Charlotte installed an art piece behind the plaza on Sept. 27, which village leaders expect to complement the riverwalk when it opens, hopefully this coming summer.
  • Target date. Staff hope the plaza repairs and the Terrace Drive sewer are both finished by May 31, 2027, Memorial Day, to kick off next season.

Money: grants, loans and a key funder

  • Dogwood Health Trust. The funder has given about $470,000 to $477,000 over two years and has promised a $2 million match tied to either the EDA or CDBG grant. The village asked for $50,000 more for administration. Dogwood reportedly answered that it should ask for $500,000 over two more years, and signaled it will keep supporting recovery. Village officials said that money covers the studies and consultants needed before big projects can get funded.
  • $4 million revolving loan. The village asked the state for a revolving loan to front costs for reimbursement-based grants, such as Commerce projects like the Biz Hub. It works dollar in, dollar out, and would stay available through at least 2030. Before council votes, officials want the contract corrected because it describes the funds as FEMA reimbursements, which they are not. The village now faces separate audits of its federal and state money, so the paperwork needs to match.
  • Early loan payoff. Once the water and sewer project closes out and the state pays the final 10 percent, the village plans to pay off its DEQ revolving loan. It is not technically due until 2030.
  • Water bills. Some residents have not received bills because of a QuickBooks problem. Anyone missing a bill should contact village hall. A grant-funded billing system, a roughly $30,000 investment, is awaiting approval.

Buyouts and the river

  • FEMA and NCDOT buyouts. Appraisers are in town, and FEMA may contact about 23 of 36 potentially eligible properties about buyouts. Some properties fall between FEMA and NCDOT, whose offers differ widely, which has slowed appraisals. A resident meeting for affected owners is expected within the next month, coordinated through Rutherford County and Foothills Regional Commission. Officials noted that, two years in, nobody has received an offer yet.
  • Emergency Watershed Protection. Blue Ridge Environmental Consultants will help with river restoration and mitigation. Its contract is on hold. The village attorney flagged conflicts between federal and company templates, Texas law governing the agreement, and arbitration in Houston. Staff want it fixed before signing so it holds up in an audit.
  • Recognition. Foothills Regional Commission is being honored by a national association of councils of government, and a village official planned to thank its staff on an online call. Separately, a village official gave state emergency management commissioners a roughly 40-minute photo presentation, and the state's emergency management director is following up.

Security and the temporary road

Council heard that FEMA has not yet approved funding to restore security, which would cost just under $400,000 for six months. The village says paid security is needed because the temporary road floods in at least two spots, and rising water has crossed the road. Without it, firefighters and emergency crews get pulled into traffic duty. Visitors also park along private roadsides and head to unstable riverbanks.

A resident asked whether the village could request a Highway Patrol presence to catch speeding, passing and reckless driving on the temporary road. Officials said they ask the Highway Patrol and the Sheriff's Office regularly. Private security guards can hold an emergency scene until sworn officers arrive, but cannot enforce traffic laws. The village had a local agreement with the Sheriff's Office and the Town of Lake Lure before the flood, and expects to revisit it next summer. The sheriff has also put in a word with state public safety contacts about how much security meant to the village.

Zoning and what's next

Village staff are converting the zoning maps to color-coded digital versions that will go on the village website and into county tax records, with a layer showing the municipal service districts. Council expects to finish the maps in November and hold a public hearing in December. No zoning is changing in this step. A later review, running through roughly April or May, will check every parcel. Staff have already found errors, and corrections will need their own public hearings and owner notices. Officials are also considering a special "Helene-FEMA" zoning for bought-out properties that will be deeded to the village and restricted permanently. The sign ordinance and setbacks are next on the planning board's list.

Outside visibility: the governor visited several weeks ago with the chair of Grow NC, who plans an infrastructure funding Zoom that will include the village. The Great Trails State regional gathering will be held in Rutherfordton.

DateThu, Oct. 22
What to watchPlaza repair bid opening
DateEarly Nov.
What to watchNCDOT water and sewer work expected to begin
DateNov. to Dec.
What to watchDigital zoning maps finalized, public hearing in December
DateAfter Thanksgiving to mid-Dec.
What to watchPre-construction conference for the Terrace and Crystal sewer
DateYear-end
What to watchTarget for Duke and cable companies to clear old poles
DateJanuary
What to watchStreetscape project targeted for bid
DateMay 31, 2027
What to watchGoal for plaza repairs and Terrace Drive sewer

A lighter note

A wandering pot-bellied pig has become something of a village fixture around the parking lot and downtown. A livestock rescue group from the Fairview area asked to try catching it on village property, and officials said they would let the group know it may come. Nobody has named the pig yet, and a second loose animal has reportedly vanished.

Last updated: 2026-10-21