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Council approves ~$628,000 in US 80 relocation change orders to address utility conflicts and water-line upgrades
Summary
Council approved a package of change orders for the US 80 relocation project to resolve unforeseen utility conflicts, add casings and valves for regulatory compliance and operational redundancy, and upsize sections of cast-iron waterline to 12-inch PVC; staff will fund the extra ~$628,000 from the utility fund balance while retaining the town's 120-day reserve.
Public works staff briefed council on a series of change orders to the US 80 relocation project that together add approximately $628,000 to the project cost. The changes include replacing about 1,215 feet of 6-inch cast-iron distribution line with 12-inch PVC to avoid pressure surges and turbulence where older cast iron met new larger mains; additional pipe and materials to connect to the existing system; TxDOT-required casings and Atmos/Dallas Water Utilities casing modifications; operational enhancements (additional valves and a hydrant); and surface restoration following water-main work.
Public works staff explained that cast-iron mains create pressure and flow challenges when they remain in place adjacent to upsized PVC mains, and said the replacement improves system hydraulics and reliability. The staff report described prior payments on the project and said the town issued $6.4 million in debt for the original US 80 work; the additional $628,000 would be paid from the utility fund balance (the town reported approximately $5.54 million in the utility fund, of which roughly $2.5 million is held as a 120-day operating reserve). Staff said they have paid roughly $3.45 million to contractors to date against the original debt.
Council asked whether paying the change order would reduce reserve levels below policy; finance staff said the town would remain above the 120‑day target after the change order and that drawing these funds is preferable to issuing additional debt. Council approved the change orders unanimously.
