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District says state/federal funders reported shortfall on drinking-water grant, may delay contract award
Summary
District staff told trustees that state and federal funders signaled a funding shortfall after bids came in and asked the district to re-scope the drinking-water project to essential elements; the district expects more discussion with funders early next year and warns a contractor may pull its bid if award is delayed past February.
District staff reported that state and federal funders have signaled a shortfall in available funding for the district's drinking-water project after the district opened bids. Paul (speaker 11), who briefed the board, said funders asked the district to rescope the project to necessary elements and that the district delivered a revised scope and backup documentation but has not yet had a substantive conversation with funders.
"They have a shortfall in their funding," Paul said, summarizing the funders' position and the request to narrow the scope. He added that the district expects contact from funders early in the new year and that if a contract cannot be awarded by February the contractor may withdraw its bid and the district would need to re-bid a smaller scope. The update also included related facilities timing: the district has built a long bid-acceptance window into its procurement to allow for funding delays.
Board members asked about next steps and whether the district should prepare for a reduced scope or re-bid; staff said they will continue negotiating with funders and aim to award the contract if funders approve the revised scope.
