Cost to city slashed

Portland can now put the Indiana 26 project in its rearview mirror.
Mayor Randy Geesaman said Thursday that the city has come to an agreement with Indiana Department of Transportation to pay just under $7,000 for cost overruns relating to the project. INDOT had originally requested nearly $141,000 in three change orders.
“In this case, I felt like, ‘Why is there a $140,000 change order and why is it the city’s responsibility?’” said Geesaman. “That’s our job, as the clerk-treasurer and the mayor, is to look for the best interests of the city. In this case it paid off big time.”
Work on about three-quarters of a mile of Indiana 26 (Water Street) from Meridian Street to the eastern edge of the city was completed in November. The project, which took more than six months to complete, was a partnership between the city and INDOT and included a new road, sewer lines, water lines, sidewalks and LED lighting at a total cost of $4.29 million.
INDOT sent the city a pair of requests for change orders in December totaling about $128,000. Another change order in January was for nearly $13,000.
City officials argued that Portland should not have been responsible for those costs because the changes involved engineering errors made by GAI Consultants. Though the city was a part of the project and contributed more than $700,000 for the new sewer and water lines, bidding for the job went through INDOT.
Rather than paying the change orders within 30 days as requested, Portland Board of Works — Bill Gibson, Jerry Leonhard and Geesaman — tabled the requests and forwarded them to city attorney Bill Hinkle for his review.
“We’re disappointed that the cost overruns have been brought to our attention,” Geesaman said at the time. “The city didn’t do any engineering, didn’t do any design. I just don’t think the city should have to pay any of this.”
On Thursday, INDOT presented revised project costs that now show the city owes $6,870 for the project rather than the $140,904 it had requested in the change orders.
Geesaman said the city plans to pay that balance, bringing Portland’s cost for the project to $728,056.
When that bill is paid, the project will be complete.
Prior to May 1, when work began, the section of street was one of the most treacherous in Jay County, marked by an ever-increasing number of potholes. The new road features 11-foot-wide lanes with 4-foot-wide sidewalks and 16 LED lights. The water and sewer lines, which were original to the city from the 1800s and 1950s respectively, were also replaced.
“It feels really good because we all know what it was a year-and-a-half ago and what sad shape it was,” said Geesaman. “I thought we had a safety hazard. And now we have something that hopefully will last the next 15 to 20 years.”