City Concerned About Deal with Dallas-Based Energy Company - KiiiTV.com South Texas, Corpus Christi, Coastal Bend

City Concerned About Deal with Dallas-Based Energy Company

Posted: Updated:
CORPUS CHRISTI (Kiii News) -

Some troubling questions have been raised about a $7.3 million city project.

It was back in January that City Council members signed off on a deal with a Dallas-based company called McKinstry aimed at saving the City big bucks on its energy usage.

The understanding at the time was that the City would recoup the $7.3 million in energy savings and then some; but now, some documents have surfaced showing there were problems with the project right from the start. The City's own consultant on the project said that McKinstry had overstated the energy consumption reduction it had promised.

Assistant City Manager Oscar Martinez said he had never seen the peer review done by Stridde, Callins & Associates, Inc., the company that was hired by the City as consultants on the project.

The project is still moving ahead.

Behind City Hall, McKinstry workers were looking at the new air conditioning system being installed.

A high-placed source within the City said that the company put in the AC system but it has apparently started to shift because the concrete supports in the ground weren't built long enough.

There are also problems that have been discovered at the police department, where there is supposedly a dispute over whether McKinstry or the City is going to have to pay for more extensive air conditioning work. The cost is $300,000 and McKinstry will not continue the work, and the City hasn't decided whether to pay or not.

"There has been some communication regarding the scope of the project, but what we do have is a contract with McKinstry that assures us that we're going to realize a savings to pay for the capitol investment," Martinez said. "Otherwise, they have to make up the difference, and that's all I can really speak to right now."

Martinez said that the City plans to hold firm on this deal, and will continue to challenge points of contention.

  • Training Aimed At Building Stronger Cases Against Suspected Child Abusers

    Training Aimed At Building Stronger Cases Against Suspected Child Abusers

    Friday, July 25 2014 12:10 AM EDT2014-07-25 04:10:34 GMT
    Several dozen professionals are taking part in a two day training seminar put on by the Department Of Family Protective Services. The professionals are learning techniques that will help them make better cases against those suspected of child abuse.More >>
    Several dozen professionals are taking part in a two day training seminar put on by the Department Of Family Protective Services. The professionals are learning techniques that will help them make better cases against those suspected of child abuse.More >>
  • Man Indicted For Fatal Punch

    Man Indicted For Fatal Punch

    Friday, July 25 2014 12:07 AM EDT2014-07-25 04:07:27 GMT
    A Nueces County grand jury has indicated a man accused of fatally punching another man at a local strip club in April of this year. The victim later died from his injuries.More >>
    A Nueces County grand jury has indicated a man accused of fatally punching another man at a local strip club in April of this year. The victim later died from his injuries.More >>
  • Minimum Wage - Does it Make Cents?

    Minimum Wage - Does it Make Cents?

    Friday, July 25 2014 12:03 AM EDT2014-07-25 04:03:27 GMT
    By executive order, President Obama is increasing the federal minimum wage from $7.25 to $10.10. The President hopes to have the private sector follow suit with the pay increase. Meanwhile, the debate continues as to whether the increase would actually help or hinder American workers and our economy.We examine three reasons the increase is good, and three reasons it is not so good in a 3News Special Report: Minimum Wage - Does it Make Cents?More >>
    By executive order, President Obama is increasing the federal minimum wage from $7.25 to $10.10. The President hopes to have the private sector follow suit with the pay increase. Meanwhile, the debate continues as to whether the increase would actually help or hinder American workers and our economy.We examine three reasons the increase is good, and three reasons it is not so good in a 3News Special Report: Minimum Wage - Does it Make Cents?More >>