The Austin Energy Commission voted to approve a multi‑year fencing contract on Nov. 10, authorizing up to $38 million for security fencing at generating stations and future substations.

Commissioner Alvarez raised concerns about the size of the authorization, asking, “Well, obviously, this is a pretty large expenditure… $38,000,000 and it's for fencing,” and whether the work would be concentrated with a single contractor and how the remainder of the funding beyond the $12 million in the capital budget would be covered. John Davis, Austin Energy’s director of finance, told commissioners the authorization would cover awards to three separate contractors — Viking Fence, Recustom Fence and Allied Fence — spread over a three‑year period and that the program is intended to bring sites “in compliance with NERC requirements.” He said the structure was to “allow us the ability to secure contractors to construct that fencing over 3 years” and described the annualized approach as roughly $12 million a year.

The commission approved the item after motions to move and second the item.

Officials described the contract as addressing security and regulatory compliance at named generation sites (Decker, Sand Hill and the Decker steel yard were cited by staff) and noted that the authorization also creates capacity to respond to future substation security requirements. No amendments were offered during the discussion, and staff did not provide a facility‑by‑facility line‑item estimate in the briefing.

Next steps: staff will execute the procurement consistent with the contract authorization and return to reporting channels as required by commission procedures.