The vast majority of the change orders were site-related.”

Mark Zawatsky of ABM Group

PORTSMOUTH — With change orders pushing the cost of the new police station over the $10 million approved by voters in November 2016, the Town Council Monday night voted unanimously to use about $204,000 in surplus funds to complete the job.

The council awarded a base contract to Bentley Builders of North Kingstown of $8.31 million in September 2017. (The construction costs don’t include furnishings and equipment.)

However, 10 change orders totaling about $415,000 have pushed construction costs to about $8.72 million so far, according to Mark Zawatsky of ABM Group, the town’s owner’s representative on the project.

“The vast majority of the change orders were site-related,” said Mr. Zawatsky said, noting they weren’t related to any improper behavior on behalf of contractors. One of the change orders, for example, involved the discovery of an underground storage tank that needs to be removed at a cost of $15,000.

“It’s just the circumstances of building the building on that site,” he said.

Council member Daniela Abbott, however, said she wasn’t happy about seeing some fire code requirements listed among the change orders.

More change order requests — totaling about $69,000 — are still pending, and there’s another $95,000 in potential changes that have not yet been submitted or quantified, he said. However, there’s only about $8,000 left in the project’s contingency fund.

“Based on submitted and outstanding change order requests submitted by the contractor and under review, the project will exceed the overall $10M bond fund,” a memo from ABM to the council states. 

“We’re left with a conundrum,” Mr. Zawatsky told the council.

He requested that the council authorize the spending of surplus budget funds not exceeding $203,986 to ensure the project is completed.

According to Town Administrator Richard Rainer, Jr., the town’s estimated surplus to be reported later this month is between $330,000 and $350,000. He agreed that the town should assign about $204,000 of that surplus to finish the police station.

If all or a portion of the $95,000 in potential change order requests are not realized, that money will revert back to the town’s general fund, he said.

Council President Kevin Aguiar said the town doesn’t have much leeway in finding cost savings since it’s nearing the end of the project. If the overruns aren’t covered, the work won’t be completed and warranties could be voided, he said.

“We only have a few dollars left in the checkbook,” said Mr. Aguiar. “Legally these guys have a contract that says they get paid once their invoice is approved.”

Larry Fitzmorris of Portsmouth Concerned Citizens said the “time to manage the costs was months ago” and that it’s fair to assume there will be more change orders before the job is finished.

Council member Larry Katzman, however, said the town must avoid a protracted process that could end up costing even more. “We cannot go back in time,” he said.

Local resident John Vitkevich said it’s unfortunate that change orders have added to the cost of the building, but the Police Department needs to be in a more modern facility.

“Change orders suck, but let’s get it done and chase the (money) later,” Mr. Vitkevich said. “They need a knew house.”

Opening in early March

The new 22,0000-square-foot building was originally scheduled to open its doors last month, but construction was delayed eight weeks after a roofing contractor backed out of the project.

The new station is being built behind the current building, which is about 5,000 square feet in area and considered obsolete. That building will be demolished after the new station is occupied. 

According to Mr. Zawatsky, the Police Department expects to move into the new two-story station during the weekend of March 2-3, 2019. Final grading and work on the parking lot and plantings have been deferred until next spring.