Marengo County, Demopolis school districts battle Texas contractor over $10M in projects

The Marengo County and Demopolis school systems are engaged in a legal battle with a Texas contractor over almost $10 million of electrical work performed at both systems.  

Marengo County Board of Education claims the contractor, Schneider Electric based in Houston, didn’t complete a contract that started in 2022. Meanwhile, Demopolis City Schools is demanding that Schneider give them a detailed list of the work they performed for the school system.  

Work at both systems involved projects to improve energy efficiency. 

Marengo County Board of Education is withholding a payment of $846,825 to Schneider saying work was not completed. Marengo County has already paid the firm $3.6 million.  

Schneider filed a civil lawsuit in U.S. District Court against the Marengo County School Board in October to force payment, saying withholding the payment violates its contract. 

In the complaint, Schneider says Marengo County BOE has “failed and refused to pay the remaining invoice balance” even though Schneider completed the work. Schneider says they installed a new fire alarm system at certain schools, upgraded LED lighting and added a new phone system among other projects. 

A spokesman for Schneider Electric, which has worked with many governments and school systems in Alabama, said in a statement that they want to work toward a resolution. 

“We stand by our work for Marengo County and Demopolis City Schools,” the company said in a statement to Black Belt News Network. “Throughout the project, we have remained available to discuss a resolution, and we look forward to reaching one soon.”

Mark Boardman, attorney representing the Marengo County Board of Education with Birmingham firm Boardman, Carr, Petelos, Watkins, Ogle & Howard, said the school district does not believe Schneider has met the contract agreement. 

“The Marengo County schools do not believe that they owe Schnieder and do not believe that the schools received full value for the money that has been paid,” Boardman said. Marengo County Superintendent Kalvin Eaton declined to speak on the case because it’s in litigation. 

Another reason they aren’t paying the remaining amount is because Schneider has not given a detailed list of work performed, Boardman said. That is the same issue Demopolis City Schools has with Schneider, which also worked under a contract in Demopolis starting in 2022.

Demopolis Superintendent Adam Pugh said they completed their $5.5 million in payments but hired lawyers to demand Schneider provide an itemized list of tasks performed using those funds. 

Pugh said Schneider’s invoices use vague terms like “equipment” and “mobilization,” which don’t describe in detail the work done. 

“We’re not knocking the workmanship,” Pugh told the Black Belt News Network. “All we’re asking for is to tell me what itemized schedule of values were performed.” 

Demopolis is looking at spending $900,000 to replace 40 HVAC units at Demopolis High School, and Pugh said the system needs to know if Schneider already did that under its contract. He said the Schneider contract doesn’t list the exact equipment purchased. 

“We are a small school district, and we want to be good stewards of taxpayers’ dollars,” Pugh said, adding taxpayers have a right to know what their money bought. “We want to make sure we utilize every dollar spent.” 

According to Pugh, a Schneider attorney said the contract with Demopolis City Schools does not require an “audit” or list of exact costs.  

The civil lawsuit filed by Schneider against Marengo County schools remains in U.S. District Court with no hearings scheduled yet.