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I <br />I <br /> I <br /> I <br /> i <br /> I <br /> I <br /> I <br /> I <br /> i <br /> I <br /> I <br /> I <br /> I <br /> I <br /> I <br /> I <br /> <br />COMMENTS AND SUGGESTIONS <br /> <br />Observation <br /> <br />Payments on contract billings for Projects 82-1 and 82-2 <br />through 10 exceeded the original contract plus change orders <br />by approximately $29,000 and $11,000, respectively. <br /> <br />Background <br /> <br />While it is common for contract costs to exceed the original <br />bid, the contractor should seek City approval by means of a <br />change order prior to actually incurring such costs. A change <br />order formally acknowledges, between the contractor and the <br />City, costs that were not foreseen at the time the original <br />contract was entered into and authorizes billings for such <br />costs. Generally, payments to contractors should be limited <br />to the contract amount, as amended by approved change orders. <br /> <br />Recommendation <br /> <br />The City should develop a procedure for approving contract <br />change orders where necessary. <br /> <br />Observation <br /> <br />The City Council passed a resolution authorizing acceptance of <br />bids for a bond issue. Subsequently, the Council authorized <br />letting the bond issue through a negotiated sale arrangement. <br />However, the resolution authorizing a bid procedure was not <br />rescinded. <br /> <br />Recommendation <br /> <br />Resolutions passed but not implemented should be rescinded. <br /> <br /> <br />