City Utilities Committee approves $7.5 million stormwater contract amendment after procurement concerns; one abstention

The City Utilities Committee on Jan. 30 approved an amendment authorizing the mayor to execute first amendments to storm/sewer improvement contracts, adding funding not to exceed $7,500,000 to be charged to the watershed reserve. Chair Councilmember Hillis moved approval; Vice Chair Bakhtiari seconded and the measure passed with six yeas and one abstention.

Committee staff said the funding is intended as a money-authority paper to ensure the department can access funds when stormwater projects or emergency repairs arise. The allocation would be split roughly 50/50 between Southeastern Site Development, Precision 2000/Integral Municipal Services/ Rockdale Pipeline joint ventures as specified in the ordinance text.

Councilmember Wang pressed the administration on procurement practices and questioned why the city is returning less than a year after an initial $7.5 million contract award to double the available funding. "We let this out for $7,500,000 and less than a year later we're coming back and doubling that," Wang said, expressing concern that an RFP might have under-forecasted scope or attracted vendors on the basis of a smaller contract. Wang said she would abstain on the motion and requested a fuller explanation from the administration before the next meeting.

Department representatives, including Alex Mahoger of the Office of Watershed Protection and Roland Lane, director of Watershed Management, said the paper provides funding authority for projects as they come online — including emergencies, maintenance and green/gray stormwater structures — rather than guaranteeing immediate expenditure. Mahoger explained the paper is intended to be a companion to upcoming project documents and to ensure contractors have authorized funds when work is ready to be performed.

The committee approved a waiver of portions of Atlanta City Code (article 10, division 4) cited in the ordinance so the mayor may execute the stated amendments. The motion passed as recorded in the transcript: 6 yays, 0 nays, 1 abstention. Committee members said they will follow up with administration on procurement timing and RFP scope to avoid repeat increases.

The ordinance authorizes the chief financial officer to amend the FY2026 water and wastewater renewal and extension fund budget to add the appropriation. Implementation steps and any companion project papers were expected to return in subsequent cycles for committee review.