Sarpy County awards $1.99 million bid for 40th Street/Capehart intersection as commissioners press for tighter construction schedules

The Sarpy County Board of Commissioners on May 13 awarded the low bid for intersection improvements at 40th Street and Capehart Road to Graham Construction for $1,993,817.27 and opened a broader discussion about how the county structures road-construction contracts.

The project (recorded as Project C77203-315 in the agenda packet) will expand the intersection to two eastbound and two westbound lanes, add a center turn lane and signalization. County staff said construction is expected to begin in May 2025 and be completed by the end of 2025; the contract specifies 105 working days. The board approved the agreement by voice vote; one commissioner registered opposition.

County officials and commissioners focused most of the public debate on whether the county should use working days or calendar days in public-works contracts and whether to add financial incentives or stiffer penalties to encourage faster completion. Commissioner Kelly urged a firmer approach, saying prolonged projects create serious local disruptions. “There’s no reason whatsoever that it should take two years to pave a one-mile stretch of road,” Commissioner Kelly said, adding that families had to use two-mile detours to get children to Bellevue Elementary School. “I’m never going to approve another contract that doesn’t have a hard end, hard complete date.”

Deputy County Administrator Beth (last name not specified) and County Engineer Denny Wilson told the board the project was bid in working days so routine weather interruptions are taken into account and the contractor can be assessed based on actual work days. Wilson said practice and contract specifics influence whether working days are used and that staff can provide more detailed comparisons between working- and calendar-day formulations.

County Attorney Angie (last name not specified) explained that the contract includes liquidated damages should the work exceed the contract period. “With this particular contract…there’s 105 working days; there’s liquidated damages up to $2,000 a day if the project takes longer than the 105,” Angie said, noting that translating working days into calendar days is part of enforcement complexity.

Commissioners and staff discussed options the county could pursue to speed projects: (1) specify calendar days rather than working days for clarity and easier assessment of liquidated damages; (2) include monetary incentives for early completion; (3) bundle small projects and issue bids in the fall so contractors can plan for spring construction; and (4) increase construction management oversight on-site to push contractors to meet contract terms. Deputy Administrator Beth said staff has had success with incentives in both vertical and horizontal construction and will evaluate options for future contracts.

The board’s packet shows the engineer’s estimate for the intersection project at $2,751,040 and the high bid at $2,506,873.94; staff said the low bid from Graham Construction was $1,993,817.27. The contract contains 105 working days; staff said that translates roughly to a multiplier (roughly 2.3 calendar days per working day) for scheduling and enforcement purposes, though staff said they would provide the precise calculation to the board.

Commissioners asked staff to return with options for tightening contract language, adding incentives or penalties and for a plan to bundle smaller road projects so work can be scheduled more efficiently. The motion to award the contract was seconded and passed with a majority of commissioners voting in favor and one commissioner opposed.

Clarifying details: the contract lists 105 working days; staff estimated construction would begin May 2025 and be completed by the end of 2025; engineer’s estimate $2,751,040; low bid $1,993,817.27; high bidder $2,506,873.94; liquidated damages up to $2,000/day if the project exceeds contract days (as stated by county counsel).