Lago Vista council cancels golf-course irrigation contract after procurement irregularities

Mayor Joel, presiding over a Lago Vista City Council special call meeting, reconvened the council from executive session and opened discussion on a contract with Dunnic Inc., dba Dunnic Golf, on grounds that the procurement process may have violated state law.

City Attorney Bullock told the council that bids for the irrigation contract were submitted through the city’s electronic procurement portal but that copies of those submissions were simultaneously emailed to an outside irrigation consultant. Bullock said that under the Local Government Code, electronic bids must maintain identification, security and confidentiality and remain effectively unopened until the public bid opening; because the consultant was copied at the time of submission, Bullock said the bids “are not submitted properly.” He warned the council that, under Local Government Code chapter 252 and specifically sections 252.0415 and 252.061, a contract made without compliance with the procurement code could be void and subject to an injunction by a property-taxpaying resident.

Given that advice, Councilmember Prince moved to cancel the contract; Councilmember Owen seconded the motion. The council voted to cancel the contract. The presiding mayor announced the motion “passes unanimously.”

After the vote, councilmembers and staff discussed next steps. City staff Bennefield said the council had instructed staff to have Mr. Richard solicit an engineering firm to design a new irrigation system for the golf course and to return the project to bid. Bennefield said the council’s intent is to “work as diligently and as quickly as we can to get the project back on track.” No timeline for rebidding or contract reaward was specified during the meeting.

The council’s action follows the legal assessment that disclosure of bid materials to a third party at the time of submission could render the procurement noncompliant with state law, creating a risk of litigation and injunction that could block any payments or work performed under the disputed contract.

The council recessed into executive session earlier in the meeting to consult with legal counsel under Texas Government Code §551.071 and reconvened in open session to act on the procurement item. The council did not discuss or vote on any alternate vendor or award during the open session. Staff was directed to proceed with engineering design and a new competitive procurement process; further administrative steps and dates were not provided.

Ending: The council’s cancellation leaves the irrigation project without an active contract; staff said it will pursue a new design and rebid. The council did not announce a schedule for the next steps, and the meeting record does not show any further formal actions on the park or golf-course project at that session.