Waynesville council establishes project ordinance and contingency for 280 Georgia Avenue repairs funded by insurance

The Town of Waynesville approved a project ordinance and budget to complete repairs at 280 Georgia Avenue — the site of the finance department — after lead-related damage required more extensive work than originally quoted.

Staff said the town received a substantial insurance payment and will not use FEMA funds for the repairs. At a prior meeting the council approved a contract with John Berger Construction (bid $227,000) to perform the repairs. During demolition contractors found insulation and water damage that were not covered in the original quote; the contractor submitted a change order for $32,773 to address additional insulation removal and replacement and related work.

Because staff had not previously created a formal project ordinance, they asked the council to establish a project budget of $307,000 (the original bid plus a contingency) to accommodate the change order and anticipated additional adjustments. Staff told the council that the town’s insurance proceeds (stated in the meeting as $946,000) provide the cash to fund the work but that accounting practice required a project ordinance to authorize expenditures and contingencies.

Council discussion addressed wiring and IT infrastructure that will need to be removed and reinstalled as part of the repairs. Staff noted possible additional work and the need to bring any further change orders back to council for approval.

A motion to approve the project budget and the current change order was made and passed on a voice vote.

Provenance: Staff presentation and motion occurred in the “New Business” section; the council approved the ordinance and contingency by voice vote.