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John Ross Road paving bid comes in about $147,000 over appropriation; city to identify funding

5022042 · June 13, 2025
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Summary

A lone bid for the John Ross Road resurfacing/repair work exceeded the city’s appropriation by roughly $147,149; the manager said the city must either identify the gap to proceed and be reimbursed by the state or cancel and potentially repay grant and engineering costs.

City Manager Miller told the council that the rebid of the John Ross Road resurfacing and related concrete work produced a single responsive bid from Talley that was approximately $147,149 higher than the city’s appropriation for the project.

Manager Miller said the project has been on the city’s list for years and involves work from the Ringle Road area toward the Chattanooga line (near Close Road/Crest area). He warned that if the city declines the award and cancels the project, the state would likely require the city to return previously reimbursed funds and the city would also be responsible for engineering costs already incurred.

Miller said he will bring a recommendation to the next council meeting on how to fund the gap. During discussion he noted the savings from the workers’ compensation bid that he planned to transfer into the CIP could be used to cover resurfacing needs. Council members asked clarifying questions about the contract area and the nature of the overage.

Why this matters: deferring or cancelling the contract could obligate the city to reimburse state grant funds and pay design/engineering costs; finding additional funding now will allow the project to proceed and preserve potential state reimbursement. Roadwork is long‑standing and the council indicated a preference to complete the work rather than cancel after design and engineering have been paid.

Ending: Manager Miller said he will present funding options at the next council meeting for council consideration and possible allocation from CIP and other capital sources.