Desk Item-r
DATE:
TO:
FROM:
SUBJECT:
REMARKS:
MEETING DATE: 04/21/15
ITEM NO: 4
DESK ITEM
COUNCIL AGENDA REPORT
APRIL 21, 2015
MAYOR AND TOWN COUNCIL
LES WHITE, INTERIM TOWN MA
PPW JOB NO. 14 -02 – HILLSIDE ROAD REPAIR AND RESURFACING
PROJECT 811 -0007
STAFF RECOMMENDS THAT THE TOWN COUNCIL CONSIDER:
A. APPROVING PLANS AND SPECIFICATIONS FOR THE HILLSIDE
ROAD REPAIR AND RESURFACING PROJECT AND AUTHORIZING
THE TOWN TO ADVERTISE THE PROJECT FOR BID.
B. AUTHORIZING A REVENUE (421-811-0007-43406) AND
EXPENDITURE (421-811-0007-82405) BUDGET ADJUSTMENT TO THIS
PROJECT IN THE AMOUNT OF $139,000.
C. AUTHORIZING THE TOWN MANAGER TO AWARD AND EXECUTE A
CONSTRUCTION AGREEMENT IN AN AMOUNT NOT TO EXCEED
THE AVAILABLE BUDGETED AMOUNT OF $249,969, INCLUDING
CONTINGENCIES.
D. AUTHORIZING STAFF TO EXECUTE FUTURE CHANGE ORDERS IN
AN AMOUNT NOT TO EXCEED FIFTEEN PERCENT OF THE
CONTRACT AWARD AMOUNT.
After the staff report was prepared for distribution, staff received the attached public
communication.
Attachment:
1. Public communication received for the period of 11:01 a.m. Thursday, April 16, 2015
through 11:00 a.m. Tuesday, April 21, 2015.
PREPARED BY: MATT MORLEY
Director of Parks and Public Works
Reviewed by: Assistant Town Manager. -town Attorney— lQFinance
From: Angelia Doerner [ mailto:saveourhood(a)yahoo.coml
Sent: Tuesday, April 21, 2015 10:25 AM
To: Council; Planning
Subject: Consent Item 4
I am in a quandary about how we are now handling matters that involve $$$ in these areas.
As discussed with you at the last meeting, in the past, these Projects followed a specific process:
1) Accept plans and specifications; authorize to solicit bids,
2) Review summary results of bids and authorize execution of contract
3) Authorize change orders not to exceed an established percentage of contract or fixed
amount
4) Authorize transfers of funds to the specific Project fund to ensure that the total of (1)(2)(3)
are available
5) In no situations that I have seen, did the total authorized expenditures exceed the amounts
in the project fund (after transfers authorized in (4))
Now, the process has become:
1) Combine (1) through (4) into one Agenda Item (calling (3) "contingencies ")
2) Authorize change orders not to exceed an established percentage of contract or fixed
amount
3) Explicitly authorizing (2) when (1) already maxes out the Project fund (after authorized
transfers)!
Now, I understand you may have (from direct prior experience ?) a higher lever of
confidence /trust in our Interim Town Manager than in the previous Town Manager ( ?) - and may
be willing to allow more freedom ( ?) in spending all of our money - but I am very concerned that
we are establishing a dangerous precedent that may not be "put back on course" when we hire
our new Town Manager.
Tsk Tsk - Throwing a fundamental feature of our internal controls out the window must be where
the term "throwing the baby out with the bath water" came from! Also, forget the adage of
"saving a little for a rainy day" - lets just deplete all of our funds - and beyond.
Between the "routine" Curb, Gutter, Sidewalk Project and this Project - you have authorized
over $735,000 to be spent (normally $500,000 annually) - with over $91,000 authorized in
excess of Project Balances After Fund Transfers.
Specifically as to this item - the Engineer's Estimate for these plans /specs (including
contingencies) is $164,350. Why are we authorizing $287,464 to be spent?
THIS resident would appreciate an answer - have we also abandoned the concept of
transparency?
ATTACHMENT