Committee recommends new MMSD wastewater operator, protest outside meeting on $700M contract
MILWAUKEE (CBS 58) – A special committee within the Milwaukee Metropolitan Sewerage District (MMSD) recommended a new private company to operate and maintain wastewater facilities in a 10-year, $700 million contract.
The announcement came during a meeting Monday, Aug. 17. Jacobs Solutions was recommended over Veolia North America, a company that had been with MMSD since 2008.
“Effective wastewater management is an essential service for people in our region, and we thank both Veolia and Jacobs for their detailed and thoughtful proposals,” said Dennis Grzezinksi, Chair of the Ad Hoc Committee and former MMSD commissioner. “While our fact-based scoring system ultimately led to our recommendation in favor of the bid submitted by Jacobs, it also should be noted that Veolia has delivered strong results for residents of the Milwaukee area since 2008. Our recommendation and supporting documentation have been shared with the MMSD Commission to inform their final decision to award the next operating contract.”
The Ad Hoc Committee followed a defined scoring matrix to evaluate the proposals submitted by each provider. That scoring matrix was:
- Price: 60% of total score
- Approach: 25% of total score
- Staffing, training, corporate culture, and workforce development: 10% of total score
- Regional partnership: 5% of total score
The committee noted that Jacobs Solutions’ proposal was $54 million lower over the life of the new contract with Veolia.
“We are surprised and disappointed by the recommendation,” Adam Lisberg, a spokesperson for Veolia said. “Veolia is very proud of the work that we’ve done over the last 18 years both as a partner to the district and as the first line of defense against stormwater and wastewater for 1.1 million people throughout the region.”
“We appreciate the confidence MMSD placed in us and we look forward to next steps,” a member of the Jacobs Solutions media team replied in an email to CBS 58.
The company did not comment on their connection to Palantir, though those connected to the project noted Jacobs agreed to end its partnership with Palantir as part of its final bid. On Monday, a protest was held outside of MMSD’s headquarters regarding Jacobs Solutions’ partnership with Palantir Technologies.
The company did not comment on their connection to Palantir, whose software has been used in support of U.S. Immigration and Customs Enforcement (ICE) operations, though those connected to the project noted Jacobs agreed to end its partnership with Palantir as part of its final bid. On Monday, a protest was held outside of MMSD’s headquarters regarding Jacobs Solutions’ partnership with Palantir Technologies.
“We cannot leave our public infrastructure in the hands of corporations that have relationships with agencies that are actively harming our neighbors,” said Nick Ramos, the Wisconsin Democracy Campaign's executive director.
You can review the proposal documents here.
Veolia faces mismanagement allegations, audit expected in the fall
Separately from the bid evaluation process, the MMSD Commission recently authorized an independent, third-party audit of recent claims regarding the performance of wastewater management in Milwaukee with Veolia.
Leaders from Common Ground's Water Team attended the meeting on Monday, August 18. The nonpartisan organization launched a public campaign calling for an audit of Veolia, alleging mismanagement of the Jones Island and South Shore wastewater treatment facilities.
“We’re not surprised,” said Bob Connolly with Common Ground. “We’ve had 6 months of our own investigation from 21 whistleblowers that indicated that there were major problems here at the facility.”
Connolly went on to say that Common Ground did not take a position on which company should get the contract.
“We have said consistently that the allegations that have been brought forward by this group are anywhere from misleading to grossly misrepresenting the facts, to outright false,” Lisberg said.
The findings from the audit are expected to be released in the fall. That will inform the final contract between MMSD and the company the Commission ultimately selects as its next operator.