Council reconsiders youth recreation center design contract, postpones decision to March 4

The Pontiac City Council voted to reconsider a failed amendment to the design contract for the Youth Recreation Center and then voted to postpone further action until the council’s March 4 meeting.

Council members said they want clearer legal and fiscal information before approving an amendment that staff says would increase the architect/engineer design fee by roughly $500,000–$600,000 and reflects council guidance to design a $37,000,000 project (about $32,000,000 for building construction plus $5,000,000 for architecture, design and ancillary work).

A city staff member explained that the original design contract for Racer MRSA was structured as a percentage of construction cost and that early cost estimates used a $25,000,000 construction assumption. The staff member said the firm began designing to the higher $37,000,000 scope after council action in August and that the proposed amendment would adjust the fee to match that larger scope. "The design contract... was based on a percentage of the construction cost," the staff member said, adding the contract amendment would primarily change the design fee rather than lock the city into a construction-phase commitment.

Council members raised two related concerns: they do not want the city to be on the hook for work already completed without clear authority or payment obligations, and they want to avoid obligating the city to a larger project before a funding path is in place. A council member said, "I never want the city to default on bills if they've already done the work," and asked staff and counsel to clarify whether the city would be legally committed if the amendment passed.

City staff and councilors noted that the larger exposure comes at the construction phase and through any construction management agreement, not the design contract alone. Staff said it is difficult to separate what Racer MRSA has already performed (work between August and February) from what remains to be done, which complicates attempts to pro-rate fees for work already completed.

After a procedural discussion about the availability and scope of a motion to reconsider under Robert's Rules of Order, Councilman Goodman moved to reconsider the failed resolution amending Racer MRSA’s contract; Councilwoman James seconded. Clerk Doyle called the roll on the motion to reconsider; the motion passed on a 6–0 roll call. Councilman Goodman then moved — and Councilman Parker seconded — to postpone consideration to the next regular meeting on March 4 for additional research and to ensure the city attorney can be present. That motion carried on a 6–0 roll call.

Council members and staff said they expect to bring clearer legal advice and a funding plan back to the March 4 meeting before any vote on a construction-phase contract amendment or other binding commitments.

Details summarized from the meeting: the design scope the firm has been working to is $37,000,000 (approximately $32,000,000 construction + $5,000,000 for architecture/design); the design-fee increase under discussion is roughly $500,000–$600,000; the original estimate used a $25,000,000 construction assumption; construction-phase commitments and construction management agreements remain to be approved in a future action.

The item will return to the council agenda on March 4 with city attorney participation and additional fiscal information.