Commissioners approve interim budget transfers, authorize submission to SHA for 3 Notch Trail Phase 6 concurrence

The St. Mary's County Board of County Commissioners voted Aug. 19 to move budget authority toward the 3 Notch Trail Phase 6 project after bids came in substantially above the county's cost estimate. Commissioners approved a package of budget amendments totaling $465,000 of transfers from Recreation & Parks project accounts and a transfer of $353,240 from the FIN 15 Capital Reserve, and authorized staff to submit a concurrence-and-award package to the Maryland State Highway Administration (SHA). The actions do not commit the county to execute a construction contract or to accept additional grant funds until staff returns with final documentation.

Brian Lowey and Lane Kramer (staff) briefed the board on the situation: bids for Phase 6 arrived about $3.4 million over the project estimate. Lowey and county staff said they are working with the project engineer and the vendor to document and explain the variance, and they have contacted the grantor to seek additional funds; an email commitment of $353,240 from the Transportation Enhancement Program (TEP) was discussed but formal grant documents would be returned to the board after they arrive.

County staff asked for authority to submit the concurrence-and-award package to SHA so the state can review the solicitation, specifications and pricing; SHA concurrence is a required step for federally- and state-funded projects. Staff stressed that submitting the package is procedural and not a commitment to sign the contract or the grant until the board reviews final documents.

Several commissioners voiced concern about the size of the bid overrun and the accuracy of initial cost estimates. "I think it would be prudent for our taxpayers to say, for you guys to say, you come in with a pretty accurate figure," Commissioner Daniel L. Morris said. Commissioners asked staff to evaluate procurement and the design/estimate process and to bring those findings back before contract execution.

Commissioner Cynthia L. Jones moved to approve three numbered actions: 1) transfer $125,000 from RP 1403 and $340,000 from RP 1503 into the 3 Notch Trail Phase 6 project PA 1101; 2) transfer $353,240 from FIN 15 Capital Reserve to PA 1101; and 3) authorize staff to submit the concurrence and award package to SHA. Commissioner Todd B. Morgan seconded; the motion passed and the chair announced the ayes had it.

Staff said they expect to return within weeks with the engineer/vendor analyses and any formal grant documents; only after those steps will the county consider executing a contract or accepting revised grant awards.