Council authorizes $1.06 million change order for Western Bayfront resurfacing; gas tax funding draws questions
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Summary
The council authorized a $1,056,860.25 change order with Wiregrass Construction for Western Bayfront resurfacing, funded with city gas-tax revenue. Council members raised questions about use of a large portion of annual gas-tax receipts and whether other districts receive equitable resurfacing funds.
The Mobile City Council authorized change order No. 1 with Wiregrass Construction for Western Bayfront resurfacing, increasing the contract by $1,056,860.25, and staff said the additional dollars come from the city’s gas-tax fund.
Council members asked where the extra million dollars in gas-tax funding was coming from and how often the city uses that revenue to support resurfacing and grant-funded projects. Staff said the gas-tax revenue has been used for many years to help provide local matches for federal grants and to support pay-as-you-go projects; in this instance, staff said resurfacing work on Claiborne Street, Canal, Water Street, Monroe Street and adjacent side streets would be completed ahead of expected interstate interchange reconfigurations and construction around the Corps of Engineers building, the cruise terminal and Amtrak station.
Council members pressed for clarity about distributional effects, noting that gas-tax revenue this year approximates a little over $1 million and asking whether spending more than a single year’s gas-tax proceeds on one change order disadvantages other districts. Staff responded that gas tax proceeds often supplement larger grant-funded projects and that the funding decision aimed to address resurfacing needs adjacent to major construction and terminal facilities.
The discussion also touched on whether Downtown TIF funds could be used for resurfacing; staff said TIF could potentially be used but is generally avoided for routine resurfacing. Council members from other districts said they rely heavily on pay-as-you-go and CIP money for resurfacing and noted that large allocations downtown can limit available funds for local fill-in projects elsewhere. The transcript shows the change order was introduced on the consent/resolution list; the record excerpt includes discussion but does not include a roll-call vote in the provided text.
Background: According to staff remarks, the change order aims to deliver finished pavement ahead of expected construction in and around the downtown waterfront and transportation hubs. City staff described the gas-tax fund as a flexible local source that has been used historically to support federal-match requirements and to keep projects moving when grant-funded work has scheduling or overrun pressures.
