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Ames Council rejects bids for 2025–26 asphalt/utility project, directs redesign to fit budget

Ames City Council · June 9, 2026
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Summary

Council rejected all bids for the 2025–26 asphalt street and utility improvements after bids exceeded available revenues; staff was directed to redesign the project and rebid to align scope with budget, with the possibility of phasing some streets into next year.

The Ames City Council voted on June 9 to reject all bids for the 2025–26 asphalt street pavement and utility improvements after bids came in higher than the project’s projected revenues.

Public Works staff reported that recent bids exceeded the engineer’s estimate chiefly because of higher-than-expected utility and storm-sewer replacement costs. Staff recommended rejecting the bids, redesigning the project to reduce scope and cost where appropriate (for example by rehabilitating rather than replacing some utilities), and rebidding so the work fits within available revenues.

Council members expressed concern about maintaining construction quality and the long-term implications of reducing scope for street maintenance. Staff said some streets could still be constructed this season with redesign, while others might need to be deferred into the next paving program. The council approved resolutions accepting the report of bids, rejecting all bids, and directing staff to modify the project and return with revised plans.