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Commissioners deny subcontractor's tariff surcharge request on county building project

Valley County Board of Commissioners · June 24, 2025
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Summary

Valley County commissioners voted to deny an invoice from Straugh General seeking additional payment for tariff-related cost increases on a county building contract after staff and legal recommended denial.

Staff presented a request from a subcontractor, identified in the meeting as Straugh General, seeking additional payment for tariff-related cost increases on a county building project. County staff and legal reviewed the matter and recommended denying the request, saying the subcontractor could have procured materials earlier and that approving the claim could set a precedent for additional tariff claims.

One commissioner noted from construction experience that bidders commonly build contingencies for price risk into their bids. After discussion, a commissioner moved to deny the additional invoice from Straugh General; the motion was seconded and carried by voice vote. Staff recorded that the county's recommendation was to deny and commissioners acted accordingly.

The record shows the denial was based on contract interpretation and concerns about setting precedent; staff advised the county that the contractor had signed in September and that tariff changes since then did not, in staff's assessment, warrant approving the additional invoiced amount. The commissioners did not provide a dollar amount in the public record at the meeting and instructed staff to proceed consistent with the motion.