Stephen Costello's municipal contracts

Costello and Karen Derr are locked in a pitched battle for the Houston city council at-large position 1 seat formerly held by Peter Brown. Previously I blogged about Costello's attempts to have his political affiliation (in a non-partisan city election) both ways. John also noted:

Turns out Costello is anything but independent. Not only has he donated to some of the most far right republican candidates, DeLay, Olson, Sekula-Gibbs, and Culberson, he voted in the republican primaries in 2000, 2004, and 2008. And there is more. He is a member of the Republican Leadership Council which...

"indicates those elected officials and candidates who provide generous financial support to the Harris County Republican Party through membership in the Republican Leadership Council."

And on top of that, he has recently become a sustaining member of the Harris County Democratic Party.

But perhaps most oddly, Chris Bell and Gordon Quan are listed as Costello supporters, and Bell has even been doing robocalls to Democratic households -- mine, for example -- urging voters to turn out for Costello.

Costello, to his credit, rejected the Hotze endorsement that Gene Locke cannot. Further, Kuffner broke down the precinct analysis after the general election in November and found the runoff to be a toss-up.

But this post is about this story quoting him (my emphasis) ...

Costello acknowledged that his company, Costello Inc., has received about $3.5 million in Houston contracts over the past 18 years. But he called Derr's attitude “offensive.” “The people that back me are people who bring jobs to the city, who bring economic development to the city,” the 56-year-old said.

So I went to his firm's website and looked at the page entitled "Municipal engineering". It lists the following:

Glenbrook Valley Street & Drainage Improvements – City of Houston – CI is negotiating the contract to provide Phase I, II, and III services that includes: Erie Street (Park Place to Sims Bayou) and the Glenbrook Valley Subdivision (bound by Broadway – West, Belfort – South, Sims Bayou and Tributary – East and North). The project will potentially include $7 million of paving and drainage improvements as well as 2 improved outfalls to Sims Bayou. Improvements may include 30,400 sy of pavement replacements, 4800 lf of storm sewer replacements (24”-48”), utility adjustments, sidewalks, driveways, street lights, and appurtenances. Engineering services will include impact analyses of outfalls to Sims Bayou and the use of HouStorm and Division 9 of the City Design Criteria Manual for storm sewer design.
Highland Village Pavement Reconstruction – City of Houston – CI, as part of a project team, is performing design and construction phase services for the reconstruction of streets in the Highland Village Subdivision. Design activities include pavement and public utility design, private utility coordination, traffic control, construction phasing, tree protection, storm water pollution prevention measures, and possibly a hydraulic impact study for storm system outfall(s). The scope of construction includes replacement of existing asphalt pavement and roadside drainage system with reinforced concrete pavement with curb and gutter/closed conduit drainage system, in addition to the replacement of portions of existing water lines and sanitary sewers (crossings only), sidewalks, street lighting, driveways, tree protection, and offsite drainage outfall(s). The preliminary construction cost estimate is $2.7 million and construction is scheduled to begin in 2007.
Courtlandt Pavement Reconstruction – City of Houston – CI, as part of a project team, is performing design and construction phase services for the reconstruction of Courtlandt Street and Beauchamp Street . Design activities include pavement and public utility design, private utility coordination, traffic control, construction phasing, tree protection, storm water pollution prevention measures, and possibly hydraulic impact study for storm system outfall(s). The scope of construction to include replacement of existing asphalt pavement and roadside ditch drainage system with reinforced concrete pavement with curb and gutter/closed conduit drainage system, in addition to the replacement of portions of existing water lines and sanitary sewers, sidewalks, street lighting, driveways, tree protection, and offsite drainage outfall(s). The preliminary construction cost estimate is $4.2 million and construction is scheduled to begin in 2007.
Holcombe Blvd. Reconstruction – City of Houston – CI as part of a project team, is providing engineering services for the reconstruction of a portion Holcombe Blvd., from Fannin to S. Braeswood. Engineering services include design and construction phase services for the paving and utility improvements, traffic control, maintenance of access, tree protection, storm water pollution prevention measures, traffic signal improvements, sidewalks, construction phasing. The scope of work includes design of concrete curb and gutter street reconstruction, a 30 inch water transmission line, storm sewer improvements (new parallel trunk storm sewer, inlet leads, and inlets), traffic signal upgrades, street lights, and sidewalk improvements. The preliminary construction cost estimate is $12 million.
South Main Storm Sewer Leads – City of Houston – Costello, Inc., as part of a project team, is providing engineering services for storm sewer improvements on portions of South Main St. , from Holcombe to Sunset. The scope of work includes storm sewer improvements and paving reconstruction (Holcombe – Dryden) and storm sewer inlet and lead replacements (Dryden – Sunset). Engineering services include design and construction phase services for storm sewer, inlet and inlet leads, paving reconstruction, traffic control, maintenance of access, tree protection, storm water pollution prevention measures, traffic signal improvements, sidewalks, and construction phasing.
University Blvd. Reconstruction – City of Houston – CI, as part of a project team, is providing engineering services for the reconstruction of a portion of University Blvd., from Travis to Main . The scope of work includes design of concrete curb and gutter street reconstruction, a 12 inch water line, storm sewer improvements (trunk sewer, inlet leads, inlets), and sidewalk improvements. Engineering services include design and construction phase services for the paving and utility improvements, traffic control, maintenance of access, tree protection, storm water pollution prevention measures, traffic signal improvements, sidewalks, construction phasing.
South Braeswood Pavement Reconstruction – City of Houston – CI, as part of a project team, is performing design and construction phase services for the reconstruction of South Braeswood Blvd., from Kirby to Stella Link. The project is approximately 1.5 miles of 4-lane reinforced concrete pavement in a 120 foot right of way including public and private utilities and appurtenances. The scope of work includes 48,000 sy of concrete pavement, approximately 8700 lf of 12-inch water, 1,400 lf of 8-inch to 12-inch sanitary sewer, 5,400 lf of 24-inch to 120-inch storm sewers, including eight outfalls to Brays Bayou, private utility relocations, 38,500 sf of sidewalks, 22,000 sf of driveways, 3-traffic signals, street lights, and all appurtenances. Design elements includes pavement design, utility design, traffic control, traffic signals, storm water pollution prevention measures, tree protection, sidewalks, and all appurtenances. The preliminary cost estimate for construction is $8 million and construction is scheduled to begin in 2007.
Safe Sidewalk Program – City of Houston – This project consisted of the construction and reconstruction of more than 15 miles of sidewalk within the City of Houston. These projects included sidewalks, driveway replacements, and wheel chair ramps. The scope of services included preparation of plans, specifications, and estimates (PS&E), field reconnaissance to determine eligibility requirements for the program, TDLR reviews and inspections, and final certification of work for compliance with ADA and other regulations and criteria. Construction cost was approximately $1 million. Preliminary engineering was completed September 2004.
Harris Gully Relief Project – City of Houston – In June of 2001, Tropical Storm Allison caused extensive damage in many areas of Houston. One of the worst areas for street flooding was the Texas Medical Center. Drainage for this area is provided by the Harris Gully dual 15' x 15' box culverts which lie beneath the Medical Center. Because of the critical importance of passable roadways in this area, the City of Houston hired CI to analyze the existing storm sewer inlet and inlet lead capacities and determine whether or not the existing facilities were adequate to limit ponding to only one lane during localized rainfall events with a 10-year frequency of occurring. Where deficiencies were found, inlet modifications were simulated to limit the ponding to the desired levels. Two methods of adding inlet capacity were proposed: adding inlets on grade and replacing older sag inlets when adding inlets was not possible due to space constraints. The City of Houston adopted the preliminary engineering plans and the project has been designed by Costello, Inc. However, just recently, the project scope has been expanded to include the reconstruction of approximately 0.75 miles of Holcombe Boulevard in the Medical Center area. The project will include utility coordination and possible relocation, as well as storm sewer construction along both Holcombe and University Boulevards. Construction cost was approximately $4.5 million. Preliminary engineering was completed October 2002.
Almeda Genoa Road – City of Houston – CI performed preliminary and final design of a 4-lane concrete major thoroughfare to replace a 2-lane asphalt roadway with no shoulders for this 2.0-mile project from Almeda Road to SH 288. The scope of services consisted of a Preliminary Engineering Report, right-of-way plans, and final PS&E for the construction of a 4-lane concrete boulevard with storm sewer drainage, offsite channel improvements including detention, waterlines, sanitary sewers, and traffic signals. The scope of services also included preparation of a Phase I and II Environmental Site Assessment. Construction cost was approximately $8.3 million. Preliminary engineering was completed July 2000.
Gaylord Drive – City of Houston – CI performed design surveys, a hydraulic impact analysis, storm sewer design, traffic signal design, SW3P, and final PS&E for the construction of this 4-lane concrete roadway from Memorial City Way to Bunker Hill Road. This 0.25-mile project was located east of the Memorial City Mall, within the boundaries of City of Houston TIRZ No. 17. Construction cost was approximately $471,000. Preliminary engineering was completed April 2000.
Dunvale-Lipan Relief Storm Sewer System – City of Houston – This project consisted of the preliminary and final design of a relief storm sewer system for a 277-acre area in West Houston from Westpark Drive to Buffalo Bayou. Storm sewer sizes ranged from 24”-72”. Design considerations included complex traffic control issues, tunneling along a portion of Westheimer and pavement replacement on Dunvale, and ACOE permitting for the Buffalo Bayou outfall. The construction cost is $6 million and the project will be completed in 2006.

That seems like a lot more than $3.5 million over 18 years. In fact -- and if the sum of the construction costs are not what is paid to the engineering firms, then I will be delighted to be corrected -- those numbers above add up to:

$ 7 MM in negotiations currently
$ 21 MM solo
$ 27 MM "as part of a project team"
$ Several projects' costs unspecified.

There is also this, from the Houston city council agenda of October 20, 2009 (.pdf):

AGENDA - COUNCIL MEETING - TUESDAY - OCTOBER 20, 2009 - 1:30 P. M.
COUNCIL CHAMBER - SECOND FLOOR - CITY HALL
901 BAGBY - HOUSTON, TEXAS
with notes of action taken
MOTIONS - 2009-0753 to 2009-0776 2009-0752-2
ORDINANCES – 2009-0989 to 2009-1042
RESOLUTIONS – 2009-0026 to 2009-30
PRAYER AND PLEDGE OF ALLEGIANCE - Council Member Noriega
1:30 P. M. - ROLL CALL

70. Ordinance 2009-1026
ORDINANCE appropriating $1,716,755.00 out of Water & Sewer System Consolidated
Construction Fund and approving and authorizing Professional Engineering Services Contract between the City of Houston and COSTELLO, INC for Design of Waterline Replacement in Memorial Plaza Area, Shadywood Area and Regency Square Area; providing funding for contingencies relating to construction of facilities financed by the Water & Sewer System Consolidated Construction Fund - DISTRICTS F - KHAN and G - HOLM

That "pending" contract alone represents about half of what Costello says the city has paid his company over the past eighteen years. I would like to know if Mr. Costello is simply mistaken about the value of his business with the city ... or misrepresenting it?

And also leaving aside the question of Costello's duplicity associated with his political affiliation, and even the *ahem* 'confusion' of some otherwise good Democrats who have endorsed him, how does a man whose company has profited from so many municipal contracts expect to extricate his business from the city's?

And how can the voters of Houston expect it to happen so that there is not -- at the very least -- an appearance of impropriety?