AGENDA ITEM EXECUTIVE SUMMARY
ITEM TITLE
title
Authorization to Increase the Construction Contract with 5th Pocket Skateparks Inc. above the Ten Percent Threshold for the Skatepark Reconstruction Project at Homestead Park.
presenter
RESPONSIBLE STAFF, TITLE, DEPARTMENT
Atuya Cornwell, Director, Parks and Recreation Department
Kevin Robinson, Senior Manager of Planning & Park Operations, Parks and Recreation Department
STAFF RECOMMENDATION
Adopt the attached resolution authorizing the Town Manager to go above the ten percent threshold on the construction contract for the Skatepark Reconstruction Project at Homestead Park and increase the construction contract by $100,000 for a total amount of $709,750. The project will start August 2025 and the increase in the contract amount will allow completion of the overall project that includes a skateable connection path between the original skatepark site and the new bowl amenity.
body
ACTION/DECISION POINTS
Council must adopt or reject the attached resolution authorizing the Town Manager’s approval to increase the construction contract with 5th Pocket Skateparks Inc. and approve change orders as necessary.
LEGISLATIVE CONTEXT
Town Resolution (2013-01-29/R-3) requires Council to provide authorization to the Town Manager to increase the contract cost once the cumulative costs of construction change orders goes above ten percent of the original contract amount.
BACKGROUND AND CONTEXT
• On November 13, 2024, resolution (2024-11-13/R-2) was passed authorizing the Town Manager to execute a contract with 5th Pocket Skateparks Inc. in the amount of $609,750 for the Skatepark Reconstruction project at Homestead Park.
• Said resolution (2024-11-13/R-2) further resolved that the Town Manager was authorized to approve change orders as necessary provided that the contract cost remains within the amount budgeted of $609,750.
• The Town directed an addition to the scope of work for the project that was not included in the original design documents at the time of bid award including:
o the addition of a 1,500 square feet skateable connection path from the original skatepark site to the new bowl amenity.
• Due to this scope of work addition that was not part of the original bid documents the change order to the contract for 5th Pocket Skateparks, Inc. will cumulatively amount to more than ten percent above the original contract value.
TRADEOFFS, ALTERNATIVES, IMPACTS
The project will start August 2025, and additional funding is needed to successfully provide a skateable connection path from the original skatepark site to the new bowl amenity.
FINANCIAL IMPACT
Funds are available in the FY 2025-26 Capital Improvements Fund (Parks/Public Use Facilities) to increase the construction contract.
ATTACHMENTS
Resolution
Town Resolution (2013-01-29/R-3)
A RESOLUTION AUTHORIZING THE TOWN MANAGER TO INCREASE THE CONSTRUCTION CONTRACT ABOVE THE TEN PERCENT THRESHOLD FOR THE SKATEPARK RECONSTRUCTION PROJECT AT HOMESTEAD PARK. (2025-06-25/R-3)
WHEREAS, Town Resolution (2013-01-29/R-3) requires Council to provide authorization to the Town Manager to increase the contract cost once the cumulative costs of construction change orders goes above ten percent of the original contract amount; and
WHEREAS, funding is available in the FY 2025-26 Capital Improvements Fund.
NOW, THEREFORE, BE IT RESOLVED by the Council of the Town of Chapel Hill that the Council authorizes the Town Manager to go above the ten percent threshold on costs of the cumulative change orders for the Skatepark Reconstruction Project at Homestead Park to increase the construction contract amount up to $709,750.
This the 25th day of June, 2025.