Pontiac council approves $180,000 increase to recreation center GMP after debate; members seek legal opinion

Pontiac City Council voted 5–2 on Dec. 16 to approve a $180,000 increase to the guaranteed maximum price (GMP) for the youth recreation center site infrastructure work, after contractor Clark Construction said larger‑diameter underground pipes were needed once engineering clarifications were received.

Administration and the mayor explained the GMP was set before the final clarification of required pipe sizes and the contractor argued the change was a materially changed circumstance not reflected in bids. Deputy Mayor Kelfani Stevens said the city attorney reviewed the issue and advised that a GMP increase was appropriate in this situation. "This appears to be a situation where it would be appropriate to increase the guaranteed maximum price because it was not able for the contractor to know this change at the time of giving the GMP," Stevens said.

Several councilmembers pressed for more detail. Councilwoman Kathleen James requested a written legal opinion from the city attorney addressing whether the contract with the construction manager allowed this sort of change order and whether more such claims might arise. Councilman Jones and others recommended convening an owner’s‑rep/city work group for tighter scope control and documentation on future claims. Supporters of the increase noted that delaying approval could disrupt tightly scheduled trades and cause greater delays.

The council approved the change order by roll call (yes: Goodman, James, Jones, McGinnis, Carrington; no: Parker, Rutherford). Council asked staff for a written legal opinion and for better project controls to avoid repeated scope creep.