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Council awards Springs Improvement Project to low bidder despite $1M funding gap, refers financing to finance committee

Dunsmuir City Council · February 6, 2026
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Summary

Council awarded the Springs Improvement Project construction contract to Site Works Solutions; staff said grant funds cover roughly $900,000 but the low bid came in about $1.9 million, creating a funding gap that council referred to the finance committee for recommendations on funding sources and budget amendments.

The Dunsmuir City Council voted to award the Springs Improvement Project construction contract to Site Works Solutions after staff reported the apparent low bid at approximately $1,900,000. Interim City Manager Blake Michaelson said about $1,100,000 in grant funds had been available for the project, with roughly $900,000 remaining for the current scope; staff estimated the project will likely require about $1,500,000 total. "We probably need about 1,500,000 to do this project," the city manager said.

Council discussed timing pressures: the grant funds are tied to an IRWM pot that staff said would expire at the end of the year, the river‑work permit window runs June 1–Oct 15, and the city faces a long‑standing compliance order issued Nov. 17, 2020 that has been extended annually. Given the risk of losing the bid package and regulatory deadlines, the council moved to award the contract and simultaneously referred detailed financing analysis and a proposed budget amendment to the finance committee for review. The motion passed on a roll call vote.