Published: May 09, 2008 02:25 pm            

New Albany Sewer Board members concerned over new contract ordinance

The impact of a public/private-agreement-ordinance recently passed on first reading by the New Albany City Council is beginning to trickle down to other city boards.

On Thursday, sewer board members expressed concern over how the measure — which requires competitive bidding for contracts and services — will affect their decisions.

“It sounds to me like a lack of faith on the city council’s part in the sewer board,” said Bill Utz, the only carry-over of the three-person board that was reshaped in January.

Utz added the council might not have the expertise to weigh every sewer contract.

Brian Dixon, project manager for Environmental Management Corp., said he has worries about how to handle an emergency situation, such as a collapse of a sewer line or back-up in the system leading to flooding of someone’s home.

“If I’ve got sewage in someone’s basement, I’m going to have to get it out of there,” Dixon said.

Board Chairman Ron Carroll told Dixon if an emergency arises, he needs to take care of it and they will deal with the consequences later.

But council members are saying the point of the measure is not to regulate emergency situations.

The ordinance — authored by Councilman Pat McLaughlin — was praised by members of the council on first reading Monday.

Councilman Dan Coffey liked it so much he asked for all three required readings to be voted on during the meeting. Though it passed unanimously on the first vote, council members Bob Caesar and Jack Messer said they wanted to stick to protocol and give the body more time to consider all of the language in the ordinance.

Coffey said he understands emergency situations will arise and have to be taken care of, but feels the new restrictions will save taxpayers money and keep everyone on a level playing field.

“We’re going to protect the city’s interest,” Coffey said. “I understand [the sewer board’s] concerns, but they have to understand it’s going to stop. Contracts have to be bided out.”

McLaughlin said with the council trying to watch every cent, it’s common sense to make sure contracts are competitively bided.

“We owe it to the public to keep these type of things competitive and public to seek the best possible financial arrangement with our contractors,” he said.

Coffey acknowledged the ordinance is in response to recent litigation between the council and members of past sewer and stormwater boards, regarding the EMC contracts, which were not bid.

A recent court decision defined the EMC contracts did not have to go through a bidding process since they were for professional services, not a public work.

Coffey said the decision — which still could be appealed by the council — might lead to stricter meanings for agreements, beyond the public/private-agreement ordinance.

“That’s exactly why we’re doing this,” Coffey said. “We might redefine what professional service contracts are. That’s what it’s all about, it will absolutely save the city money.”

McLaughlin agreed, saying the ordinance would “go a long way in eliminating” legal cases like the EMC-contract dispute in the future.

“[The ordinance] is paramount in keeping [contracts] above the board and with public exposure as much as possible,” McLaughlin said.

        

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