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Council awards $467,756.85 stormwater contract for 575 West/5400 South; staff warns of potential change orders

3648321 · June 4, 2025
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Summary

Riverdale Council awarded a stormwater construction contract to Ormond Construction and discussed past disputes and the city's procedures for managing change orders going forward.

Riverdale City Council on June 3 awarded a construction contract to Ormond Construction for stormwater improvements on 575 West and 5400 South in an amount not to exceed $467,756.85 (Resolution 2025-18).

Public works staff described competitive bidding outcomes and recommended Ormond as the lowest responsible bidder. Staff noted a prior project with Ormond had ended with a series of change orders and a subsequent legal claim; city staff said the firm’s leadership has changed since that earlier dispute and that Ormond committed to clearer communications. "We brought them in and asked them specific questions ... they have assured us that there won't be those kind of changes," Public Works staff said during the meeting.

City staff described the principal implementation risk: older road sections in the work area may lack adequate road base and could require unanticipated subgrade reconstruction. Staff said that if crews encounter poor base material the city will need to address additional road base costs and would return to the council if costs exceed the bid allowance.

The council approved the award unanimously. Staff listed next steps as execution of the contract, preconstruction coordination with the contractor and a requirement that any change orders be routed through city staff — specifically involving the public works lead — before being agreed.

The project is on the East Bench; councilors said residents there should notice improvements to stormwater collection once work is complete. Staff estimated that if unanticipated road base work arises the city will seek further council authorization before exceeding the contract amount.