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Commissioners terminate Hilltop Community Center contractor and approve rebid plan

2963179 · April 11, 2025

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Summary

Nueces County terminated the construction agreement with DLF Texas for Hilltop Community Center renovations after construction cost issues and authorized rebidding the project in phased bid packages (Buildings A, C and E as full renovations; B and D as alternates/roof works). Decision followed executive-session review of legal/contract matters.

The court voted to terminate the agreement with DLF Texas for the Hilltop Community Center renovation project and authorized a rebid strategy detailed by county staff.

Termination and background: Commissioner Pusley moved to terminate the owner-contractor agreement with DLF Texas after the company sought a substantial contract-price increase (transcript referenced an approximate $3 million increase) following earlier value-engineering and a long delay between award and start. The court held legal discussions in executive session and then approved termination in open session; the vote carried with one commissioner temporarily absent.

Rebid approach: Staff presented a phased rebid plan: Building A (complete renovation) and Building C (complete renovation for Emergency Operations Center) would be bid as full renovations; Building E (smaller WIC center) as a complete renovation; Building B (recently renovated with separate HVAC) and Building D (storage of voting machines) to be offered as additive alternates or limited-scope work (e.g., rooftop A/C replacement for Building F). The court approved issuing an IFB (Invitation for Bids) and proceeding with the segmented procurement to allow the county to pursue the work it can afford while preserving options.

Why it matters: Terminating a construction contract and rebidding are material county decisions with schedule and fiscal impacts. Commissioners said they prefer rebidding in multiple packages to control cost and procurement risk and retain the flexibility to proceed with work as funding allows.

Implementation steps: Staff will prepare IFB documents based on the segmented scope and return to court with a procurement timeline and budget estimates; some legal and purchasing follow-up will be required to complete rebid and award procedures.