Title
Resolution to Approve Change Order No. 1 to the Construction Contract with Michigan Recreational Construction, Inc. for Phase 1B of the Bicentennial Park Splash Pad and Playground Improvements Project and Appropriate Funding ($425,921.00 Increase; $1,696,243.00 Total Contract) (8 Votes Required)
Memorandum
Attached for your review and approval is Change Order No. 1 to the Construction Contract with Michigan Recreational Construction, Inc. for Phase 1B of the Bicentennial Park Splash Pad and Playgrounds Improvement Project in the amount of $425,921.00, which would increase the total contract amount to $1,696,243.00.
The initial construction contract was approved by City Council on March 27, 2025 (R-25-076) in the amount of $1,270,322.00 for the construction of Phase 1A of the Bicentennial Park Improvements project.
The scope of the Bicentennial Park Improvements Project with Michigan Recreational Construction Inc. was split into two phases – Phase 1A and Phase 1B due to available funds at the time of execution. The first phase – Phase 1A – is currently under construction. Major components of this phase include installation of the Splash Pad, improvements to the existing restroom facility, replacement of the existing playground equipment, and an expansion of the parks bioretention system.
Change Order No. 1 allows for the commencement of Phase 1B of the Bicentennial Park Improvements Project. This work includes installation of shade sails, seeding of the bioretention area, new concrete sidewalks, safety fencing, and restoration of the construction area. The work included in Phase 1B is required for the project to be complete, and the new improvements – including the splash pad and playground – to be opened for use.
Budget/Fiscal Impact: Funding for Phase 1A of the contract was sourced from state earmarks, private donations, and Parks Memorials and Contributions Fund developer contributions. The State of Michigan earmarked $1 million for the Bicentennial Park improvements, and additional funds have been received from organizations such as the University of Michigan and the Rotary Club of Ann Arbor, along with donations from individual community members. Funding for Phase 1A was secured, and construction has started.
Staff has continued fundraising efforts to complete the project, however, $425,921.00 in additional funding is needed to complete the project. To ensure the continued work on the project, thus reducing potential for delays and increases in the overall cost of the project, staff are requesting to use a portion of the proceeds from the sale of the air rights at 616 S Forest to finish this project. Any additional funds donated to the City for this project would be receipted to the General Fund for the purpose of the Bicentennial Park project.
Current contract amount: $1,270,322.00
Change Order No. 1: $425,921.00
New Contract Amount: $1,696,243.00
Staff
Prepared by: Adam Fercho, Landscape Architect / Park Planner
Reviewed by: Josh Landefeld, Parks & Recreation Services Manager
Reviewed by: Kim Buselmeier, Financial Manager
Reviewed by: Derek Delacourt, Community Services Area Administrator
Approved by: Milton Dohoney Jr, City Administrator
Body
Whereas, Pursuant to R-25-075 the City entered into a construction contract agreement with Michigan Recreational Construction, Inc. in the amount of $1,270,322.00 for Phase 1A of the Bicentennial Park Splash Pad and Playgrounds Improvement Project;
Whereas, The work in Change Order No. 1 is required to complete project; and
Whereas, Funding for the work in Change Order No. 1 is available from the proceeds of the sale of the air rights at 616 S Forest Ave;
RESOLVED, That City Council approves Change Order No. 1 to the construction contract with Michigan Recreational Construction, Inc. in the amount of $425,921.00 for Phase 1B of the Bicentennial Park Splash Pad and Playground Improvements project;
RESOLVED, That City Council appropriates $425,921.00 to the FY 2026 General Fund Parks and Recreation expenditure budget with the source of revenue being proceeds received from the sale of the air rights at 616 S Forest for the Bicentennial Park project;
RESOLVED, That all amounts herein are without regard to fiscal year; and
RESOLVED, That the City Administrator be authorized to take the necessary administrative actions to implement this resolution.
Sponsored by: Councilmember Radina