Wichita City Council members are demanding transparency after reports emerged that the city quietly waived millions of dollars in late penalties for the contractor building the city's new water treatment plant.
Contract Changes Raise Questions
According to a Wichita Eagle investigation, the city waived up to $5 million in late fees owed by Wichita Water Partners through a September 2024 contract modification. The change came just one week after officials announced another year-long delay in the project due to a design flaw.
The original 2019 contract required Wichita Water Partners to pay a minimum penalty of $5,000 for each day the project exceeded its completion deadline. The facility was initially scheduled to become operational in spring 2025.
The half-billion-dollar water plant represents the largest public works project in Wichita's history.
Mayor Pledges Investigation
Mayor Lily Wu said she first learned about the waived fees when contacted by the newspaper and promised to investigate the matter.
"I will be speaking more with staff regarding this revelation that we received from the Wichita Eagle, and I will be working with staff and the city council regarding that omission," Wu stated.
Federal Report Adds Confusion
The situation became more puzzling when a 2024 annual report from an Environmental Protection Agency federal loan program declared the water plant project had "reached completion." The report included comments from Wichita Public Works Director Gary Janzen stating that Wichita Water Works had "reached substantial completion."
Council Member Seeks Clarity
City Council member Mike Hoheisel, who was quoted in the original report, said he was unaware he had voted to eliminate the late fees and is now seeking additional information from the public works department.
Other council members either declined to comment or did not respond to inquiries.
Contractor's Response
Wichita Water Partners issued a statement explaining that the contract modifications were made at the city's discretion and in response to regional drought conditions that impacted the project timeline. The company emphasized it maintains close communication with city officials.