Atlanta water flows to United

Though a transition team from United Water Services, a subsidiary of the French giant Suez Lyonnaise des Eaux, has been working in the city’s water plants since November, the city’s 479 water department employees officially became United Water employees at midnight Thursday.

Both city and United Water officials expect the day to pass without major glitches.

“I predict that there will be a seamless transition, that our customers won’t notice a difference, and that our former employees will work well with the management (of United Water),” said city Chief Operating Officer Larry Wallace.

While water customers aren’t likely to notice a difference, much of the impact will be felt by employees who will be issued new uniforms next week and answer the telephones using the company name.

And despite a lawsuit filed by 250 employees who claim their benefits and pensions will suffer under the transfer from a public to private payroll, United Water Services’ Doug Reichlin, general manager for the Atlanta project, said about 85 percent to 90 percent of the system’s employees have accepted written job offers from the company.

“Regardless of the politics or what’s happening at the city, I will stay in this job,” said 20-year veteran David Kinsey, as he hovered over the steam-powered turbines at the turn-of-the-century Hemphill Pumping Station Wednesday afternoon. “It doesn’t matter, I’ve still got a job to do. My job is to keep this place going.”

Kinsey said his father retired in 1988 from the water department after 38 years. “This place stays in your blood after a while,” he said. Kinsey said the steam engines that pump water through massive pipes are the same type used on the Titanic. United Water officials said they were impressed with the condition of the turbines, despite their age.

Reichlin said the firm isn’t planning any major changes in the first few weeks, other than issuing uniforms and changing logos.

“When we do make changes, they’ll be well-thought-out, well-documented, and the employees will be thoroughly trained in them before they’re implemented,” Reichlin said.

Employee lawsuit pending

United Water signed a 20-year contract in October to operate and maintain the city’s water system. The firm beat out four other companies with similar international parent companies in a highly competitive bid last summer expected to save the city $20 million per year.

But the employee lawsuit pending in Fulton County Superior Court could threaten the calm of the transition.

Last week, a judge dismissed the employees’ request to block the United Water takeover, but ruled that the employees are still entitled to seek monetary damages.

Representatives for the employees said many are unhappy but downplayed rumors of possible sabotage to the system.

“The employees that are retained by United Water are going to continue to provide excellent service,” said Bill McKenney, a lawyer representing the water department employees. “We’re talking about people who are dedicated employees who wanted to continue serving the city.”

However, McKenney said some city water department employees, including licensed operators, are either threatening to retire or not show up for work today. Mike Gauthier, a supervisor at the Hemphill Water Treatment Plant in Midtown and the lead plaintiff in the lawsuit against the city, said he thinks between 50 and 100 licensed water operators might retire.

Still, the company is braced for a worst-case scenario. United Water has licensed water operators lined up from around the state and country ready to go to work immediately if the need arises. Reichlin also noted that even the firm’s top executives hold water operations licenses.

Wallace and Reichlin continued to repeat the city’s position that United Water’s benefits are comparable or better than the city’s. But there seems to be room for disagreement on that point.

Gauthier said Wednesday he planned to retire from the city prior to today’s United Water takeover so he can take a job with Clayton County earning $28,000 per year.

“If the benefits were comparable, why would I be driving twice as far to work, taking a demotion from supervisor to operator, and a pay cut of $6,000?” said Gauthier, a 20-year department employee.

Gauthier said he’s leaving mostly because United Water will not continue health benefits upon retirement, which the city does.

Defending the benefits

Reichlin conceded some employees may be upset over losing certain benefits, but maintains that taken as a whole, United Water’s benefits package is far better than city benefits.

Reichlin said United Water funds employee pensions at 100 percent, compared with the 6 percent to 7 percent city employees currently contribute to their own retirement funds. He said United Water funds its medical and dental plan at 85 percent, 10 percent higher than the city, and that the company will offer employees a 401(k) retirement savings plan.

Other employees seem to be taking the changes in stride.

The city of Atlanta will retain ownership of the system, while United Water is now responsible for running two treatment plants capable of producing 200 million gallons of water per day, 2,400 miles of water lines and 142,000 customer accounts.

The city provides water to parts of Fairburn, Union City, Hapeville, Sandy Springs, and Clayton and Fayette counties.

Reichlin said while most customers won’t notice an immediate change, he hopes they will eventually notice a change, particularly in customer service.

Meanwhile, only four city employees will not be transferred to the United Water payroll.

They are Remedios del Rosario, commissioner of the water department; Chris New, the department’s deputy commissioner; Walt Elder, executive assistant to del Rosario; and Melinda Langston, who will be assigned to oversee customer relations.

Those employees will be part of a city team that will oversee the 20-year contract with United Water.