High Springs approves using emergency reserves to pay nearly $900,000 wastewater invoice as officials probe funding gaps

Mayor Andrew Miller and the High Springs City Commission voted on Nov. 13 to pay a late invoice tied to the city nk wastewater treatment plant project using the city —mergency reserves, after staff warned the bill would otherwise drain available cash.

City Manager Jeremy Marshall told the commission that an invoice linked to owner-direct purchases for the wastewater project was recently received and required immediate payment. Finance Director Diane Wilson said the bill and other project costs have left the wastewater system with a roughly $1.5 million deficit and that the city does not have the cash on hand to pay the vendor without dipping into emergency reserves.

The action comes after staff traced the invoice to a purchase order for Evoqua Water Technologies originally issued in early 2023. Engineer Jared Petrovich of CPH told the commission the overall project combined approximately $10 million in grant funding with about $2 million in city pledges; owner-direct purchases were used during construction to reduce sales tax, which shifted some equipment invoices to city-level purchase orders.

Why it matters: Staff said the late invoice and the sewer deficit create a short-term cash emergency that could affect other infrastructure spending. Commissioners and several speakers from the public described the discovery as evidence of previous administration spending and communication problems and urged an immediate review to establish accountability.

What staff reported: Wilson said the city received a residual invoice after project completion that totaled several hundred thousand dollars (staff cited an invoice figure in the range of $896,861 and other smaller amounts tied to the PO). She said the city paid the required 10% deposit when equipment was delivered and recently paid additional smaller payments but that the late invoice would deplete the city's readily available cash without an authorized transfer.

Engineer Jared Petrovich explained that when project bids and subsequent owner-direct purchases were reconciled, the city had pledged $3 million originally and later $2 million in local funds to complement roughly $10 million in grant monies. He confirmed owner-direct purchases moved certain equipment costs to city-issued purchase orders and said the vendor invoiced the city when the vendor completed its work, producing the late invoice.

Public response and accountability: During public comment, residents called for transparency and accountability, noting that project change orders and invoices should have been visible in year-end reporting. Council members directed the city manager and the finance director to comb email records and procurement files and to report back on a timeline, who approved the PO, and whether outside auditors or internal controls failed to flag the liability.

The vote and next steps: Commissioner [motion maker] moved to pay the invoice from emergency reserves and to prioritize restoring those reserves; motion was seconded and approved by the commission. Marshall and Wilson said they will continue working with the vendor to negotiate charges (including a late fee) and will return with a fuller accounting and any recommended policy or procedural changes to prevent recurrence.

The commission also asked staff to report whether grant reimbursements, property tax receipts or anticipated cash inflows will restore reserves in the coming weeks and to provide a public timeline of the internal review. The city did not indicate firings or formal disciplinary actions at the meeting; the manager said an internal document-and-email review would begin immediately.