Johns Creek council approves $1.9 million design-build contract for Cauley Creek makerspace after heated debate over air conditioning and process

The Johns Creek City Council voted 4–3 on April 28 to award a $1.9 million design-build construction contract to MAPP for the Cauley Creek Makerspace, approving a related budget transfer to consolidate project funds.

Assistant City Manager Haggard recommended the award, saying the contract will allow the building to be used by the public, “level the pit, include the bathrooms,” and that the contractor will prepare detailed plans staff will review. Haggard told council that some priorities not included in the base bid — such as HVAC — would be costed after design and could be added later if council chose to provide additional funds.

Council debate focused on two fault lines: the city’s shift to a design-build procurement approach and whether the makerspace should be designed and budgeted with air conditioning now. One council member opposed the contract on process grounds, saying the city was taking on risk by approving a contract without final design documents and uncertain HVAC costs. That member argued the city could have returned to a design-bid-build approach and refined the project's scope before committing money. “We’re taking on risk for no good reason,” the council member said.

Proponents pushed back that prior bids exceeded available budget and that the design-build approach could save money and deliver the public space sooner. Supporters said the contract includes requirements to meet minimum priorities and make the building occupiable and code-compliant. “This process is different,” a supporter said, calling it a potential large savings and arguing that the city can work with the contractor to define necessary priorities.

The city’s legal counsel outlined termination options in the proposed contract — including immediate termination, termination for cause and termination for convenience — and noted the city’s financial exposure would be capped at contractor-incurred expenses if the city backed out after design work had started.

Council also approved a budget transfer to move all maker-space project funds into a single account so purchase orders for the construction contract can be issued from one place; staff characterized the transfer as a bookkeeping and audit-trail action needed for fiscal-year accounting.

What the council approved was a base design-build contract and the accounting action to fund it; specific elements such as HVAC sizing, equipment type (package unit vs. chiller) and precise room locations will be determined through the design phase and brought back to council if additional funds are needed. The contract includes a $100,000 contingency and a line for administration/materials testing noted in the staff presentation.

Next steps: staff will work with the awarded contractor to prepare detailed plans and cost estimates for any additional items council wants to add; the council briefly discussed the possibility of sponsorship or private partner funding to offset add-ons such as HVAC. The makerspace project will proceed through the contractor’s design submittal and subsequent council approvals of any change orders or added funds.