Council approves paving work not to exceed $600,000 after bid exceeds CIP balance

The Old Orchard Beach Town Council reviewed bids for paving multiple roads and approved the work with an explicit budget cap not to exceed $600,000 after the apparent low bid ($683,900) exceeded the CIP balance.

Public Works staff explained there were three bids; the apparent low bid came in at $683,900 based on an apples-to-apples comparison of road lists and paving methods. The public works director and a councilor said the low bidder also proposed alternate methods (grinding rather than patch-and-overlay) that could reduce the cost to a range closer to $550,000–$575,000. Councilors discussed the discrepancy between the bid and the CIP balance ($600,000) and decided to approve the project with a cap at $600,000 and the flexibility to pursue lower-cost approaches.

A resident, Guy Fontaine, suggested language that the authorization be "not to exceed $600,000" so the council could either use general-fund dollars or return to the council if the project cost exceeded the cap; council adopted that approach. Councilors asked about timing and were told work is expected to start after Labor Day.

The motion to approve the paving with the reduced cap passed 5-0.