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Vermillion approves settlement and contract changes for delayed Tom Street lift station

Vermillion City Council; joint jurisdiction meeting with Clay County Commissioners · April 6, 2026
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Summary

The Vermillion City Council approved change order No. 2 and accepted a negotiated liquidated-damages settlement with contractor H&W, reducing the previously tracked $812,700 in penalties to $299,700 and lowering the final construction cost to about $1.22 million; council also approved a $52,622 engineering amendment with Banner Associates.

Vermillion city staff told the City Council on April 6 that the Tom Street lift station replacement project, originally awarded to H&W Contracting for $1,553,066.45, missed its June 1, 2024 substantial-completion date and did not reach substantial completion until Jan. 21, 2026.

Shane, the city—s project presenter, said the city had tracked 602 days of liquidated damages at $1,350 per day (totaling $812,700), and that H&W agreed to settle those damages for $299,700. "H&W agreed to…

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