Dallas advances $90m Elm Fork water treatment upgrades despite contractor performance debate

Dallas advances $90m Elm Fork water treatment upgrades despite contractor performance debateThe Dallas City Council ultimately approved a $90 million construction contract with Archer Western for the Elm Fork Water Treatment Plant, though the item initially failed following pushback over the firm’s track record on local transit and street projects.

The $90 million guaranteed maximum price proposal is part of a broader $533 million capital improvement program to bring the Elm Fork facility up to current regulatory standards.

Several council members initially voted against the award, citing Archer Western's poor traffic control and substandard concrete work on the DART Silver Line transit project.

Dallas Water Utilities staff defended the selection, noting the firm's water division has a strong track record and that rebidding the work could delay the project by up to six months.

After an initial 6-8 vote defeated the measure, the council reconsidered the item later in the meeting and passed it 10-5.

The Dallas City Council has authorized a $90 million guaranteed maximum price (GMP) contract with Archer Western Construction for the first phase of water quality improvements at the Elm Fork Water Treatment Plant, surviving a contentious debate over the contractor's historical performance. The contract is a critical component of a broader $533 million capital program designed to keep the Elm Fork facility up to date with current regulatory standards and forward-facing water quality needs. Archer Western was previously selected as the Construction Manager at Risk (CMAR) for the multi-year program, which extends through 2031 to allow for appropriate budgeting and phased project delivery. Despite the project's importance, the $90 million GMP approval faced steep opposition from several council members who criticized Archer Western's execution of previous city and regional transit contracts. Council Member Mendelson, who pulled the item for individual consideration, explicitly cited the firm's work as the lead contractor on the Dallas Area Rapid Transit (DART) Silver Line. Mendelson pointed to poor traffic control, safety violations, and substandard concrete work that required complete replacement. "We have to hold people to a standard of quality, of respect, of how we expect our assets to be treated," Mendelson said, arguing that the city should not reward poor performers with a $90 million water contract regardless of the specific corporate division handling the work. The pushback resonated with the council, leading to an initial 6-8 vote that defeated the contract award. Following the vote, Dallas Water Utilities (DWU) Director Sarah Standifer and Deputy Director Matthew Pink warned that rejecting the supplemental agreement would force the city to off-ramp this component of the CMAR contract and pursue a traditional bid. Pink estimated that repackaging and rebidding the work would cause a minimum delay of four to six months and negate the coordination and cost-saving benefits of having a single CMAR manage the facility's planned work packages. City staff also emphasized that the division of Archer Western handling the water treatment plant is separate from the group that managed the street and transit projects. Pink noted that Archer Western was "far and away the highest and best value proposer" during the initial CMAR procurement and has a long, successful history working directly with DWU. Furthermore, the contract includes a 32% small business participation component, which staff confirmed the contractor is actively meeting through local outreach. The City Manager acknowledged the council's frustration with repeat municipal contractors who fail to meet compliance and quality visions on certain projects, but reiterated that DWU's contract compliance team has verified Archer Western's strong track record specifically within the water system. Following the initial defeat, the council voted to reconsider the item later in the meeting. While critics like Council Member Gracie maintained that the city needs stronger overarching policies to evaluate historical contractor performance across all municipal departments before awarding massive contracts, the looming project delays and DWU's assurances prompted a reversal. The council ultimately approved the $90 million contract in a 10-5 vote, allowing the critical Elm Fork upgrades to proceed.