Agenda Item Executive Summary
item title
title
Street Resurfacing Contract above the Ten Percent Threshold
presenter
Responsible Staff, Title, Department
Lance Norris, Director, Public Works
Michael Wright, Streets and Construction Superintendent, Public Works
Staff recommendation*
The staff recommend that the Council adopt the attached resolution, increasing the street resurfacing contract with Daniels Inc. of Garner above the ten percent threshold.
body
action/decision points*
Adopt the attached resolution authorizing the Town Manager to go above the ten percent threshold on the construction contract for Street Resurfacing and increase the contract by $266,256 for a total amount of $1,172,599.38.
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 go above ten percent of the original contract amount.
BACKGROUND AND CONTEXT*
• On April 9, 2025, a resolution (2025-04-09/R-3) was passed authorizing the Town Manager to execute a contract with Daniels Inc. of Garner in the amount of $876,943.38 for street resurfacing.
• The Town received favorable resurfacing bid in FY26 which allowed for an increase in the scope of work.
• A change order to increase the milling, resurfacing, and patching, and add crack sealing to the existing Daniels Inc. of Garner contract goes above the ten percent threshold. These changes will allow for an additional seven roads to be milled, patched, and paved, and will also allow for 60,000 linear feet of crack sealing to be added.
TRADEOFFS, ALTERNATIVES, IMPACTS
Deferred maintenance will lead to greater street deterioration which results in increased cost to repair and maintain. Deferred maintenance will also increase community dissatisfaction.
FINANCIAL IMPACT
Funds are available in the General Fund FY26 Street Resurfacing allocation to increase the contract.
community engagement*
• The Town’s Marketing and Communications Department will work with Town staff to provide updates on resurfacing in coordination with other major construction projects in Town.
• Town staff will provide letters giving at least two weeks’ notice of construction to residents and businesses on the streets scheduled for resurfacing. No-Parking signs will be placed on the road at least 48 hours in advance of construction and will list the project start date.
attachments
Resolution
Town Resolution (2013-01-29/R-3)
end