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Committee forwards $90M wastewater program management contract to full Board after oversight concerns
Summary
The Budget & Finance Committee voted to forward a proposed 10‑year professional services agreement with AECOM (not to exceed $90 million) to manage the wastewater capital program, while BLA and supervisors pressed PUC to add annual contractor performance evaluations and stronger contract management language.
The committee on May 24 moved to forward a resolution approving a professional services agreement (PRO 0179) with AECOM Technical Services to provide program management consulting for San Francisco Public Utilities Commission wastewater capital projects. Steven Robinson, SFPUC assistant general manager for infrastructure, said the contract would replace an existing program contract nearing capacity and support an integrated, rolling 10‑year capital improvement plan. The initial 10‑year term has an option to extend five years and a not‑to‑exceed amount of $90,000,000; the proposer committed to 20.25% LBE subcontract participation and a $900,000 social impact partnership commitment.
Nick Menard of the Budget and Legislative Analyst—s office recommended approval but flagged a recurring oversight issue: the wastewater enterprise has not consistently completed annual contractor performance evaluations as required by departmental policy. Menard noted controller audits that found weak contract management and recommended specifying annual performance evaluations in the contract. PUC representatives agreed the existing contract language was ambiguous and said they would amend to require annual evaluations and improve internal procedures.
Public commenters urged more in‑house staffing and questioned past contract performance on large wastewater projects. Committee members stressed the need for clear evaluation metrics and asked PUC to implement the BLA suggestions. The committee forwarded the resolution to the full Board with a positive recommendation.
Next steps:The Board will consider awarding the contract; PUC has signaled willingness to clarify contract language to require annual performance evaluations and to adopt updated internal procedures before the next contract period.
