Board approves supplemental appropriation for Pelican Bay renovation amid higher-than-expected change-order risk

The Capital Improvements Projects Advisory Board on Oct. 21 approved moving $722,100 from 2017 CIP reserves into the Pelican Bay pool renovation budget to cover potential change orders and subsurface work discovered during renovation.

Meaghan (staff) and Parks Director Bridal Rainey told the board that bids covered the base bid but that site work and older plumbing have revealed additional items that may require change orders. Staff characterized the requested amount as a worst-case number (up to the legal limit for change orders on the contract) and said they do not expect to use the full amount. Rainey described a PVC and stainless-backed liner (MRFA system) chosen for the renovated pool shell; the liner carries a 25-year warranty.

Board members asked about Pelican Bay’s operating revenue and reserves. Staff said a third-party operator collects pool revenue and pays a management fee (about $200,000 annually) for lifeguard staffing and operations; net revenues historically yielded a modest profit of about $20,000–$30,000 per year after direct costs. Staff said final season financial reports for 2025 were still being compiled but offered to provide recent financial statements to board members before future votes.

Staff said most construction work will be completed this winter, with sod and plant establishment depending on spring weather; they anticipate full reopening and use in 2026. The board approved the supplemental appropriation to provide budget flexibility for anticipated change orders.

Staff emphasized that if change orders do not materialize, unused contingency funds will remain in reserves.