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Council awards Montgomery Roundabout construction contract; warns project may exceed budget

6039578 · October 22, 2025
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Summary

Council approved a $544,590 low bid from Duke Sherwood Contracting for the Montgomery Roundabout improvement and also approved construction management services. Staff said the project was budgeted at $650,000 but the combined contract and management costs may push the project slightly over budget.

The Oroville City Council on Oct. 21 awarded the Montgomery Roundabout improvement contract to Duke Sherwood Contracting, which submitted the low bid at $544,590. Council also approved a separate agreement for construction management services.

Staff explained the work includes removing the top layer of asphalt in the roundabout, repaving, new striping, installation of flashing beacons at crosswalks, electrical work and two new streetlight foundations that have been damaged by vehicle strikes. The engineer’s estimate had been $450,000–$550,000; six bids were received and the low bidder came in near the engineers’ estimate.

Council members asked about traffic control and the construction schedule. Staff said the contractor will provide a traffic-control plan; the work is planned primarily at night to meet paving-temperature requirements, though some daytime paving may be necessary. The contractor’s schedule allows 45 days for construction. Staff warned that when construction-management costs are added the project will exceed the $650,000 budget by just over $10,000 unless in-house inspection can reduce contracted inspection costs.

Council approved both the construction contract and the construction-management contract by unanimous votes. Staff said they will circulate a traffic-control and detour plan to council when it becomes available.

The council also heard that the contractor will attempt nighttime work (9 p.m.–6 a.m.) for most operations, with possible daytime work for paving, and that impacts will be communicated to the public.