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120th Avenue widening bid brings $2.1M city shortfall; council to consider IGA amendment Oct. 6

5813069 · September 23, 2025
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Summary

A low bid for the 120th Avenue (Chambers to Buckley) widening increased project costs beyond the 2022 estimate; staff identified funding options and will present an intergovernmental agreement amendment to council on Oct. 6 to allow award to the lowest responsive bidder.

City public‑works staff and Buffalo Ridge Metro District representatives updated the City Council on the 100/120th Avenue widening (Chambers to Buckley), reporting a higher‑than‑expected low bid and outlining options for an IGA amendment to cover the gap.

Background: A 2022 intergovernmental agreement (IGA) between the city and Buffalo Ridge Metro District set funding responsibilities and caps for north/south halves of the project. In 2022 the total projected project cost was approximately $9 million; the city budgeted $4.9 million (with about $4.3 million remaining after design). The metro district originally obligated about $4.1 million per the 2022 IGA and served as project manager under that agreement.

Bid and shortfall: Summer 2025 bid results produced a lowest responsive and responsible bidder that raised the total projected cost by about $3.8 million compared with the 2022 estimate, producing a new city total (including design) of roughly $6.9 million. Staff reported an approximate city shortfall of $2.1 million versus the original city budget. The metro district board has since obligated $5.6 million (reported Sept. 3), leaving about a $400,000 shortfall on the south half and contributing to the need for the IGA amendment.

Options and schedule: Staff told council they will bring an IGA amendment on Oct. 6 allowing both jurisdictions to spend the additional sums so the metro district can award the construction contract to the lowest responsive bidder; the bid package will expire if the parties do not act and the project would need to be rebid. Staff said they have identified funding options to fill the city’s gap, including temporarily reallocating $1,000,000 budgeted for Dahlia Street improvements (an existing county project not immediately active), using a contingency (2K contingency fund) and potentially appropriating unassigned fund balance. Any appropriation would require council ordinance.

Metro District timeline and issues: Charlie Foster, treasurer for the Metro District, told council the project experienced design delays and a large cost driver was a sanitary sewer conflict discovered after the IGA that would have been costlier to move than to design around; the Metro District’s engineers developed an alternative that reduced cost compared with moving the line but still added to the contract price. Foster said the contractor’s schedule would allow mobilization as early as November and a completion target in fall 2026, subject to winter weather.

Community concerns and transparency: Councilmembers asked for clear project design information for residents concerned about proximity of the widened roadway to the north‑side homes. Staff said final design exists and agreed to post a project page on the city website and distribute design materials to adjacent homeowners. Council also discussed pursuing Adams County contribution, noting the project ties to the county’s larger 120th widening and that county participation would be appropriate where county jurisdiction abuts the project.

Why it matters: The project is a significant capital improvement with short‑term fiscal implications for the city and residents in the metro district; staff said a timely decision is necessary to avoid rebidding and further cost escalation.

What’s next: Staff will bring an IGA amendment and funding options (including potential ordinance to appropriate funds) to council on Oct. 6. If council approves the amendment and funding, the Metro District can award the contract and construction could begin soon after mobilization.