The Council approved $405,000 in funding for the Manawa City Park Playground Upgrade within the FY23 CIP.  A public hearing was held on October 10, 2022 and the bid was issued on October 17, 2022.  The bid closed on November 10, 2022 and the City received one bid from Dostals Construction Co, Inc. in the amount of $453,000.

On September 1, 2022, the City received the Opinion of Probable Cost (OPC) from the consultant and it was $453,149.55, which exceeds the available budget for construction by $78,949.  The scope of the project was reworked and several items were omitted from the bid including a stand-alone ADA spinning/motion element, the skate board obstacle element, and the shelter.  An updated OPC was received by the City on September 29, 2022, less those elements, and it was $373,013.55, which was within the budget available for construction.

Even with the reduction in scope, the bid exceeds the available funding for construction by $78, 800.  Since the amount of what was omitted ($78,949) and the current amount the project is in deficit ($78,800) are so close, we reviewed the plans and reached out to the contractor to confirm the play elements omitted from the project were not inadvertently included in the submitted bid.  There is one item included in the bid that was omitted and it is the installation of the stand-alone ADA spinning/motion element.  The cost for this installation is $5,000 - $6,000 and will be deducted from the overall cost of $453,000.  Thus the adjusted construction cost is $448,000 - $447,000, leaving a deficit of $72,800 - $73,800.  During the conversation with the contractor, it was revealed the deficit amount is primarily due to increase cost of concrete, fencing, gravel, and tree removal.

There is an option to fund the deficit using other available bond dollars.  Peterson Park Playground upgrade was issued at the same time as Manawa City Park Playground Upgrade.  The City received one bid for this project from Dostal Construction Co, Inc. in the amount of $225,000.  The City has $318,600 available for construction. The difference between what is available for the Peterson Park Playground upgrade construction and the bid amount is $93,000.

The Parks and Recreation Department would like to use the surplus of $93,000 from the Peterson Park Playground Upgrade to cover the deficit of $$72,800 - $73,800 for the Manawa City Park Playground Upgrade.   The Finance Department has verified that both projects were listed under ECP, Essential Corporate Purpose, for FY23 GO Bonds. Therefore, funds can be utilized between the projects.

If awarded, the anticipated construction date is fall 2023.