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DeKalb council approves $3.28 million street resurfacing contract amid higher asphalt costs
Summary
Council approved a $3,276,754.99 award for the 2026 street maintenance program to Kern Contracting Company, noting material cost increases and that only one bidder submitted for the base plus alternates; staff said the city will cover a roughly $277,000 overage by deferring smaller capital items.
The DeKalb City Council awarded the 2026 Street Maintenance contract to Kern Contracting Company for $3,276,754.99, with a city contingency of $12,222 for a total authorized amount of $3,288,977.21.
City Manager Bill Nicholas told the council that rising petroleum-based material costs had affected bids. Nicholas said the base bid came in at $3,083,059.22 and alternate work at about $194,000. "Prices ... have increased for oil-based products by about 7.5%," Nicholas said, noting the city had budgeted roughly $3,000,000 and that the current bids left the city about $277,000 over that estimate.
Nicholas and staff outlined steps to cover the gap without drawing on general reserves: defer smaller capital allocations, auction older equipment, and use targeted savings in other capital programs. Council members praised the award going to local contractors and expressed confidence staff had combed the budget to find savings.
Council approved the resolution on a recorded roll call. The award covers the base package and Alternate Bid 1 (North First Street) as recommended by staff.
