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Contractor change order raises Montgomery Road stormwater project cost; upper section bid revised to about $148,562
Summary
Staff reported a contractor change order of $241,000 the borough denied and said the contractor re‑priced the upper section at about $148,562 (up from an original $134,565). Staff is negotiating with the county about cost‑share and will ask council to accept the revised upper‑section price.
Staff updated council on cost changes to the Montgomery Road stormwater project, reporting that a contractor submitted a $241,000 change order that staff denied and that the contractor later submitted a revised price of $148,562 for the upper section (the original bid for that portion was roughly $134,565).
The presenter explained the cost increase stems from scope changes the engineer recommended — enlarging pipe from 36 to 48 inches and related excavation, backfill and adjustments to manhole and pavement restoration that increased material, labor and restoration costs. Staff said the borough is working with county partners and believes the county may increase its share of the grant funding above the original 65% commitment because the scope shifted; under the originally contemplated split, the borough’s exposure would have been materially higher.
Staff asked council to approve the revised price for the upper section so work can proceed and said the contractor and county remain in negotiations about the final financing split. Council did not vote at the Nov. 5 meeting but indicated support for moving the project forward if cost‑share terms are acceptable, and asked staff to present a formal motion and the final cost‑share terms when available.
