Benton Harbor City Commissioners have approved a contract with a private firm to manage the city’s water plant.

At their regular meeting Monday, commissioners were told with F&V Operations and Resource Management running the water plant, the city could see millions of dollars in savings per year.

F&V has had a supervisory presence at the plant since 2019, but later started managing day to day operations, exceeding the terms of its original contract. City commissioners Monday considered the new contract that will account for all of the additional work the firm’s been doing.

Commissioner Juanita Henry wanted the contract to require the firm to hire city residents.

“I would like to make sure that there is some strict understanding that Benton Harbor residents are to be trained for these managerial positions, and whenever they decide to stop getting paid $1.3 million a year, our people will be there in control,” Henry said. 

Interim City Manager Alex Little said the company does have two locals working at the plant, but requiring it to help local workers to get state certified would be difficult. They tried that before.

“We’ve had employees that for a period of five, six, seven years, have taken the test over and over and over, and not passed,” Little said. “Ultimately, in order to be employed there, you’ve got to have those state certifications.”

Mayor Pro Tem Duane Seats said he’s supporting the contract because of the cost savings it will bring to the city.

Mayor Marcus Muhammad said with more than $50 million being invested in the city’s water system — either already, or in the coming years — the investment has to be protected by having the appropriate staff on hand.

Commissioners then voted unanimously to approve the contract.