City of Alexandria, Virginia
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MEMORANDUM
DATE: JUNE 25, 2026
TO: THE HONORABLE MAYOR AND MEMBERS OF CITY COUNCIL
THROUGH: JAMES F. PARAJON, CITY MANAGER
FROM: LEAH RILEY, DIRECTOR, TRANSPORTATION AND ENVIRONMENTAL SERVICES
DOCKET TITLE:
TITLE
Consideration of a Resolution Authorizing an Increase of more than 25% of Original Contract Price Awarded Under ITB 1125 to Finley Asphalt & Sealing LLC for the State of Good Repair Program.(Not a Public Hearing Item)
BODY
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ISSUE: Consideration of a resolution authorizing an increase of more than 25% of original contract price awarded under ITB 1125 to Finley Asphalt & Sealing LLC (Finley) for the State of Good Repair (SGR) Program in the total sum of $269,754.16.
RECOMMENDATION: That City Council:
1. Adopt a Resolution (Attachment 1) to support the modification of Contract No. 3193 between the City and Finlay by change orders in the total sum of $269,754.16; and
2. The City Manager, or his designee, is hereby authorized to take any and all necessary actions to carry out the purposes of this Resolution, including but not limited to executing change orders and issuing payment to Finley.
BACKGROUND: In 2021, the City of Alexandria was awarded State of Good Repair (SGR) funding from the Virginia Department of Transportation (VDOT) for two roadway project segments on Van Dorn Street. The first segment is 0.12 miles long in the northbound direction, and the second segment measures 0.31 miles, also in the northbound direction.
This funding was entirely sourced from federal funds for the first time. As such, strict compliance with federal procurement and execution guidelines was essential. The project must adhere to federal guidelines, particularly regarding the public advertisement of the Invitation to Bid (ITB). The ITB provided documentation relevant to the project, including the designation of two roadway segments for milling and overlaying.
The City sought professional engineering support to prepare a plan for presenting the selected roadway segments that were included in the ITB.
The City of Alexandria engaged Finley under ITB 1125 to repave two segments on Van Dorn Street utilizing funding granted by VDOT under the SGR Program. The City and Finley entered into a fix-priced contract, Contract No. 3193, not to exceed $202,700.93 for this repaving work. During construction additional required paving work on Van Dorn Street was discovered that needed to be completed in order to fulfill the requirements of the State of Good Repair Program. As Finley was already mobilized on-site, modifying Contract No. 3193 was the most efficient and cost-effective way to complete the required paving work. The final amount spent on this work totaled $472,455.09.
DISCUSSION: City Code Section No. 3-3-50 requires that “no fixed price contract may be increased by more than 25 percent of the amount of the contract or $50,000, whichever is greater, without the advance written approval of the city council” Staff agrees that the additional sum necessary for the additional required paving work is reasonable and the additional work performed was necessary to complete extensive base repairs to stabilize the new pavement and has added value to the City’s overall pavement condition, contributing positively to local infrastructure.
FISCAL IMPACT: This request reflects the additional project cost of $269,754.16 to be paid to Finley for work done as discussed. This expense will be paid from already appropriated funds in the capital budget’s Street Reconstruction & Resurfacing of Major Roads project.
ATTACHMENTS:
Attachment 1: Resolution
STAFF:
Emily A. Baker, P.E., Deputy City Manager
Alex Boulden, P.E., Deputy Director, Engineering and Right of Way, T&ES
Alicia Wright, Assistant Director, Administrative Services, T&ES
Mary A. Winston, Division Chief, Street and Sewer Maintenance Division, T&ES
Asi Mbah, Civil Engineer IV, Street and Sewer Maintenance Division, T&ES
Robert McGuire, CIP Manager, Street and Sewer Maintenance Division, T&ES