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Commission tables proposal to hire private firm to manage Mount Clemens utilities after cost and oversight concerns

May 17, 2024 | Mount Clemens, Macomb County, Michigan


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Commission tables proposal to hire private firm to manage Mount Clemens utilities after cost and oversight concerns
Mount Clemens — The commission on May 4 chose to table a proposed one‑year professional services agreement that would have contracted day‑to‑day management of the city’s utilities department to F and B Operations and Resource Management (FVOP).

The proposal: City Manager Steve Brown recommended an initial level of service equivalent to a 40‑hour‑per‑week engagement from FVOP (to be billed as an hourly equivalent under a not‑to‑exceed contract) to oversee the wastewater treatment plant, water treatment plant and collection/distribution. The manager said work from FVOP would include a capital improvement plan, asset inventory, laboratory review, computerized maintenance management improvements, cross‑training and emergency procedure updates.

Why commissioners hesitated: Several commissioners said the cost is substantial and asked whether the city should first explore an in‑house training approach, re‑posting the utilities director with a higher salary, or renewed talks with Clinton Township to share staff. Commissioner comments referenced former utilities director Chuck Bellmore as an available local resource who could mentor or assist the plants while options are explored.

Manager’s response and safeguards: Brown said the vendor offered to convert its monthly proposal into an hourly rate that could be reduced over time; the contract includes a 30‑day out clause. Brown also said the city attorney and the city’s staff experts had vetted the proposal and that the administration has tried to preserve safeguards in contract language to limit add‑on costs.

Outcome: Rather than vote to accept the management contract, the commission voted to table the matter and asked the manager to continue due diligence on alternatives — additional discussions with Clinton Township, an independent review of the proposal, and potential evaluation by Chuck Bellmore or in‑house options — and to bring back comparative cost information before a final decision.

Next steps: The manager said he could continue negotiations and pursue additional information and that the item could return at a later meeting after a workshop or study session to review comparisons.

Attribution note: Quotes and characterizations in this article are drawn from statements on the record at the May 4 commission meeting.

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