Raeford council approves $65,611 change order for Southern Avenue stormwater project; budget amended to cover costs

The Raeford City Council unanimously approved Change Order 1C for the South Main Street & Southern Avenue Stormwater Improvements project on June 22, adding $65,611.12 to the construction contract and prompting budget changes to cover the city's portion of the cost.

City Manager Dennis Baxley and consulting engineer Charlie McGougan told the council the additional work involves installing two 6-inch gate valves, one 12-inch gate valve and one 12-inch insertion valve so crews can remove and replace sections of existing 6-inch and 12-inch asbestos-cement watermains with PVC while the project crew installs a dual 54-inch stormwater pipe crossing Main Street. Mr. McGougan also said an approximately 50-foot section of an 8-inch clay sewer just inside the paved portion of Main Street will be removed and replaced with PVC. The presentation noted that short service interruptions of no more than four hours are expected for a few customers during cut-in valve work and that an insertion valve adjacent to a dialysis center will avoid service isolation at that facility.

Officials presented the cost of the additional work as $65,611.12, including safe disposal of asbestos-cement pipe, increasing the contract from $811,164.94 to $876,776.06. Council materials and staff stated that the construction contingency for the project would be exhausted and that the City's contribution to the project would be $73,777.

Councilman Wayne Willis moved to approve Change Order 1C in the amount of $65,611.12; Councilman John Jordan seconded the motion, which the council approved unanimously. Consulting engineer Charlie McGougan was present and available to answer council questions during the discussion.

To cover the cost implications, the council unanimously adopted Budget Ordinance Amendment CP#40-2 (Fiscal Year 2019-2020) and Amendment #19. CP#40-2 shows a $65,612 increase to the capital project construction account and a $40,558 decrease to contingency, with a $25,054 transfer from the General Fund to balance the change. Amendment #19 authorizes an interfund transfer of $25,054 from the General Fund to the Golden Leaf Project Fund and records a corresponding increase in unassigned fund balance of $25,054. Councilwoman Mary Neil King moved adoption of the budget amendments and Councilman Charles Allen seconded; the motions passed unanimously.

The council also scheduled its next regular meeting for Thursday, July 9, 2020, at 8:00 a.m. and adjourned the special meeting by unanimous vote. The meeting minutes were signed by Betty Smith, City Clerk, and Mayor John K. McNeill, III.