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Council OKs $300,000 contingency increase and 31‑day extension for major downtown project
Summary
Council approved a $300,000 contingency increase funded by bond interest and change order No. 12 for Absher Construction totaling $126,287.67 with a 31‑day extension to move the downtown facilities project toward substantial completion (new date Sept. 10).
City facilities staff told the council the project's original contingency of 3.6% was low and that interest income on bond proceeds can cover an additional contingency increase.
Alyssa Schafer, the city’s facilities manager, asked the council to amend the capital project budget for project No. 2212 and approve Change Order No. 12 to the Absher Construction contract. Schafer said the project is about 80% complete. The council approved adding $300,000 to the contingency (raising the contingency to 5.7%) and approved Change Order No. 12 for $126,287.67, which carries a 31‑calendar‑day extension and sets a new substantial completion date of Sept. 10, assuming no further delays.
Schafer told the council the additional contingency will be covered by interest accrued on $16 million in bond proceeds invested in pooled cash and longer‑term U.S. bonds earning roughly 3–3.5%. She said the change order was needed to cover some design complexities and unforeseen conditions. The motions passed on a council voice vote.
