Agenda Item: 7(d)
Prepared By: Justin Martin, PE, Director
Business: City Council Item
Department: Public Works
Subject:
Title
Approve a Change Order Increasing the FY 2026 Annual Street Resurfacing Contract (#2026 - 005) with OHLA USA Inc. by $180,000 - Justin Martin, P.E., Public Works Director - Justin Martin, P.E., Public Works Director
Body
BACKGROUND: The Fiscal Year 2026 Annual Street Resurfacing Program has been successfully completed and included milling, surface preparation, asphalt paving, compaction, and maintenance of traffic for the following roadways: Neil Bahr Way, Tripoli Court, Antilles Court, Fruitland Avenue, Hartley Street, Admiralty Court, Hunt Court, Strawberry Court, Marquesas Court, and Wales Court.
The FY2026 resurfacing project was competitively bid and received a higher number of bids than in previous years, resulting in favorable pricing and lower overall construction costs. As a result, approximately $180,000 remains available within the FY2026 Street Resurfacing budget.
Staff recommends approval of a change order to the existing paving contract to utilize the remaining budget and resurface additional roadway segments identified as priorities within the City's pavement management program. Staff anticipates that the following streets will be able to be paved: Gulfstream St., Rainbow Ct., Waterleaf Ct., and Capistrano Ct.
Issuing a change order under the existing contract is the most cost-effective approach because it allows the City to take advantage of the contractor's established unit prices and avoids additional mobilization, administrative, engineering, and bidding costs that would be incurred through a separate procurement process.
Furthermore, asphalt prices are closely tied to petroleum costs, and oil prices have increased approximately 30 percent since the current contract was bid. By authorizing the additional work through a change order, the City can capitalize on the favorable contract pricing already secured an...
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