2026 8 10 Work Session Packet Council

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PUBLIC WORKS 
 
TO:  Bridget Roberts, Interim City Manager 
FROM:  Kevin L. Helms, Project Manager 
Cc:  Ben Burchfield, Public Works Director 
DATE:  August 5, 2026 
SUBJECT: Amendment #2 to Professional Services Agreement for STBG-L Paving Project 
Background 
When this project was initiated, Gresham Smith (GS) was selected to provide professional engineering 
services using the standard TDOT consultant selection process. As outlined in the agreement between the 
City and GS, these services included work performed directly by GS as well as specialized services provided 
by subconsultants. 
 
The original agreement was divided into two phases. Phase I, in the amount of $96,410, covered NEPA, 
design, and bidding services. Phase II, in the amount of $81,000 , covered Construction Engineering and 
Inspection (CEI) services.  
 
As was previously discussed with City Council during consideration of a budget amendment, construction 
activities uncovered worse -than-anticipated conditions on Dennis Street . As a result, c onstruction 
activities were temporarily suspended while additional geotechnical investigations were completed  and 
the construction  plans were revised  to address the unforeseen conditions. At th at time, City Council 
approved a budget amendment to cover the additional construction costs related to the revisions. 
 
The unforeseen conditions also resulted in increased CEI costs. Although the total amount was not known 
at the time of the budget amendment, GS has since requested an amendment to its professional services 
agreement to cover approximately  $20,000 in additional CEI costs. Of this amount, $5,570 represents 
additional geotechnical services performed by GS’s subconsultant. 
 
The previously approved budget amendment totaled $115,850, plus a 15% contingency, for a maximum 
authorized amount of $133,227.50.  This funding was in addition to the contractor’s base bid of 
$1,683,300, which was based on estimated quantities, with final payment to be determined by actual 
quantities installed during construction.  
 
The contractor’s final pay application is currently being processed. Based on current estimates, the final 
contract amount will be approximately $1,785,000, or approximately $30,000 less than the total amount 
appropriated to date. 
 
 
30
Work Session 
August 10, 2026