Two Firms Vie for $700M MMSD Wastewater Contract

Veolia North America and Jacobs Solutions have submitted bids to operate Milwaukee's sewage treatment system.

Apr. 6, 2026 at 10:04am

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The Milwaukee Metropolitan Sewerage District (MMSD) has started a formal bidding process to select its next operator for a 10-year contract worth up to $700 million. The current 10-year agreement with Veolia North America is set to expire in 2028. MMSD has narrowed consideration to two private sewerage system operators: Veolia and Jacobs Solutions.

Why it matters

MMSD is one of the largest publicly owned wastewater treatment systems in the U.S. operating under a private contract. The decision on the next operator will impact how the region's sewage is treated and maintained for over a million residents.

The details

The contract covers the operation and maintenance of the Jones Island and South Shore wastewater plants, Deep Tunnel system, Milorganite fertilizer factory, and regional sewer infrastructure. The new contract makes changes to how maintenance is handled, with a 'task order approach' to better track work and expenses. It also shifts more of the chemical and electricity costs to the private operator.

  • MMSD's current agreement with Veolia runs through 2028.
  • In 2024, MMSD's commission voted to maintain the private operator model.
  • Veolia, Jacobs, and Inframark submitted requests for qualifications in 2024.
  • Veolia and Jacobs submitted proposals in January 2025.
  • A committee will recommend a firm to MMSD's commission in the fall of 2025.

The players

Veolia North America

A private sewerage system operator based in Aubervilliers, France, with North American headquarters in Boston. Veolia has operated MMSD's system since 2008.

Jacobs Solutions

A private sewerage system operator headquartered in Dallas. Jacobs has been expanding its wastewater treatment operations across the U.S.

MMSD

The Milwaukee Metropolitan Sewerage District, one of the largest publicly owned wastewater treatment systems in the U.S. operating under a private contract.

Kevin Shafer

The executive director of MMSD.

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What they’re saying

“Since we privatized in 1998, it's saved repairs and money. We've done exceptional work with meeting our permit requirements, and we are protecting Lake Michigan every day.”

— Kevin Shafer, Executive Director, MMSD

What’s next

A committee made up of five former MMSD commissioners will recommend a firm to MMSD's commission in the fall of 2025. The expected fall selection provides time for transition planning before the new contract is finalized by the end of February 2028.

The takeaway

The decision on MMSD's next wastewater treatment operator will have significant implications for the region's environmental sustainability and infrastructure maintenance costs for over a million residents. The bidding process highlights the growing role of private firms in managing public utilities.