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Washington City Council on Monday approved the tentative construction contract for the new Washington Police headquarters.

The city is awarding a $7,836,900 contract to Hudson Brothers Construction Company. Hudson Brothers was the low bidder out of nine applicants.

Council also authorized City manager Jonathan Russell to execute a $167,000 agreement with Rivers & Associates for construction administration and resident observation services. Additionally, Council awarded a $6,500,000 financing bid for the police station to First Bank. The Local Government Commission needs to approve the project financing, which is why the construction contract is tentative at this point.

The financing contract includes a 20-year term with a fixed rate of 1.95%.

“This is the next step to move the project forward,” Russell said. “The interest rates are very favorable as far as borrowing money. We’re working on how to structure that, but again, I think this is probably the most favorable rate we will receive.”

First Bank was the only entity that submitted a bid for the financing contract.

Design plans for the new police station have already been completed by Moseley Architects. The station will consist of a 17,000 square foot, one-story brick building, as well as parking areas. Drainage improvements, surface restoration and some demolition will be involved in the project.

The new building will overlook Bridge Street and will be surrounded by Second Street, Third Street and Van Norden Street on the sides and back.

The police department’s previous home on West Third Street was flooded during Hurricane Florence.