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Audit: KDOT authorized to recapture drag‑strip funds but chose not to so Great Bend can repair track

2752868 · March 24, 2025
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Summary

A limited-scope Legislative Post Audit review found Kansas Department of Transportation officials did not enforce a contract clawback provision after construction defects closed the Great Bend drag strip, citing a desire to let the city repair the track and keep racing operations viable.

Kansas Department of Transportation officials did not claw back most cost‑share funds for the Great Bend historic drag strip after post‑construction defects led operators to suspend racing in 2023, a Legislative Post Audit presentation to the Legislative Post Audit Committee found.

Auditor Sarah Mittendorf told the committee the short answer to the audit question — what steps has KDOT taken to respond to shortcomings with the Great Bend Historic Drag Strip project — is that KDOT has not enforced the contract clawback provisions because officials wanted Great Bend to be able to repair the track and resume racing. “KDOT officials told us they were satisfied with the efforts that the city took to get the track back in racing condition,” Mittendorf said.

The audit’s nut graf: the cost‑share contract authorized KDOT to recapture project funds under a sliding scale if the city failed to use the project as intended for 10 years after completion; because the drag strip was closed within the second year after completion, the contract would have allowed KDOT to recapture up to 90 percent of the cost‑share funds, but KDOT declined to do so to avoid undercutting local efforts to rebuild.

Background in the report: KDOT approved Great Bend’s application in February 2019 to reconstruct the historic drag strip. KDOT provided about $1,190,000 — roughly 75 percent of the project’s total construction costs — with the city responsible for the remainder. The project was completed June 18, 2021, but operators reported safety problems within months: “SRCA notified Great Bend City Administrators of high spots in the concrete surface,” Mittendorf told the committee, referencing the Sunflower Rod and Custom Association, which operates the track. Grinding operations and subsequent inspections revealed additional defects, including chipping and flaking concrete.

As a result, SRCA canceled racing for the 2023 season and the venue remained closed as of January 2025. Under the contract’s use‑as‑intended clause, a closure in the second year after completion would have authorized KDOT to recapture 90 percent of cost‑share funds. KDOT officials told auditors they opted not to enforce the clawback because the city later filed lawsuits against the contractors and engineers; Great Bend settled with both companies in 2023 and expects to collect about $3.6 million in total, according to KDOT officials. The city intends to rebuild and hopes to finish by spring 2026.

KDOT counsel Jolene Savage told the committee that KDOT’s role in cost‑share projects is to administer grant funds and ensure reimbursement bills are signed and properly documented, while the local sponsor — in this case, Great Bend — is responsible for design, construction oversight and post‑completion maintenance. “We give the control to the locals to build according to their standards and their specs,” Savage said, adding that KDOT requires licensed professional engineers and signed plans for reimbursement.

In public testimony and Q&A, some members questioned whether KDOT’s oversight could have detected defects earlier. Auditor Mittendorf said KDOT’s contractual oversight focuses on verifying signed inspections and reimbursable bills, but does not amount to continuous independent verification of construction quality. Senators suggested KDOT monitor the project and consider enforcing the clawback provision if Great Bend does not rebuild in a reasonable timeframe; KDOT officials said they may enforce the clawback if the track is not reconstructed but did not set a firm deadline.

Ending: The audit contains no formal recommendations to the committee; it reported KDOT paid its committed funds and left the clawback in reserve while Great Bend pursues settlements and plans reconstruction. The committee affirmed the audit during its consent calendar and discussed possible follow‑up monitoring to ensure the city completes repairs.