The commission that oversees the Milwaukee Metropolitan Sewerage District voted early Monday on a 10-year contract to manage its two wastewater treatment plants.
It chose Jacobs Engineering over Veolia, the company that’s been running the plants for nearly 20 years.
Last spring, whistleblowers, backed up by local advocacy group Common Ground, accused Veolia of mismanagement.
That led to an independent audit of both Veolia and MMSD, which is still underway.
As for the wastewater management contract, commission chair Corey Zetts says the process – which started two years ago – has been thorough and fair.
“This really is the largest decision that any of us will make while we sit on the this commission — really the largest decision we have on behalf of the District and 1.1 million people we serve. We want to ensure that everyone has an opportunity to ask questions before they vote,” Zetts says.
Commissioners did have questions for Jacobs.
They asked why its bid is $54 million lower than Veolia's. Will Jacobs employ local, union workers who are currently employed at the two plants?
In the end, the commission voted unanimously for Jacobs — although several with hesitation — including Kalan Haywood, who voted with, “A skeptical aye,” he says.
The commission's vote followed the recommendation of an ad hoc committee that reviewed the two contracts.
Jacobs Engineering CEO Bob Pragada said his company is committed to doing things right at the South Shore and Jones Island plants.
"We absolutely want to make sure every commissioner is an advocate for what we’re doing for the community. Now, we also know the burden of that is on us and our actions will definitely speak louder than our words,” Pragada says.
In the meantime, Veolia is fighting back.
It filed a lawsuit earlier this month, challenging MMSD’s process for awarding the wastewater contract.
Spokesperson Adam Lisberg says Veolia just wants a fair shot.
“Our contention is that, in several cases, when there has been a unexplained large discrepancy, the benefit of the doubt has gone to Jacobs and not to Veolia,” Lisberg says.
MMSD says the District is now entering negotiations with Jacobs, but will not sign the contract until the legal challenge from Veolia has been resolved.
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