City of Graham council rejects construction bids for West Elm park, delays spending

The City of Graham City Council voted unanimously April 27 to reject two eligible construction bids for a planned downtown park on West Elm Street and to withhold authorization to purchase park materials pending further work during a likely one-year grant extension.

Assistant City Manager Aaron Holland told the council staff had re-advertised the procurement for seven days after an initial bid opening could not be completed and ultimately received three bids; one was later disqualified for a qualifying element and two remained eligible. Holland said staff had requested an extension from the Appropriations Department and that Senator Amy Galey indicated it looked promising the extension would be included in the Medicaid bill headed to the governor; if approved, the extension would be for one year. He also said about 70% of soil test results should be back that day, with the remaining results expected in a couple of weeks.

The cost estimate on the eligible bids drew immediate concern. "I could not approve either one," said Council Member Jim Young, saying the estimates were "way out of line." Council Member Bonnie Whitaker agreed, telling colleagues she did not want to place that burden on taxpayers and that penalties and the project's tight completion schedule were contributing to higher prices. Mayor Chelsea Dickey noted the special-meeting constraints and recommended using the potential one-year extension to continue work on the project instead of approving a contract at the special session.

Council Member Bonnie Whitaker moved that the council not accept either bid from Central Builders or Bar Construction Company and not authorize spending any money to purchase materials; Council Member Jim Young seconded. The motion passed unanimously. The minutes record no dollar amounts for the bids or details about the disqualified proposal.

Mayor Pro Tem Ricky Hall then moved to adjourn; Council Member Bobby Chin seconded and the motion passed unanimously. The meeting was adjourned at 10:06 a.m.

Next steps taken from the record: staff will hold off on awarding a construction contract and on using grant funds to purchase materials; if the one-year extension is approved through the legislative process described to the council, staff and council members will have additional time to refine the procurement and pursue options to reduce cost. The minutes do not specify a follow-up meeting date or a timeline for re-soliciting bids.