CC MEETING: February 3, 2026
DATE: January 22, 2026
TO: Erin Rinehart, City Manager
FROM: Jonathan Wheat, P.E., Director of Engineering
Shannon Hicks, P.E., Assistant City Manager
Title
Consider Authorizing The City Manager To Approve A Construction Contract With Steele & Freeman, Inc. For The Fire Station 6 Project In An Amount Not To Exceed $10,722,050.00.
Body
BACKGROUND:
The existing Fire Station No. 6 was constructed in 1987 and at 39 years old served its expected lifespan. A 2019 engineering report on the structure determined the structure is functionally obsolete, it was not a good candidate for renovation or expansion, and a new facility was recommended.
As the current site is irregular and too small for a suitable replacement facility, Fire and Engineering personnel working in conjunction with the Fire Department’s station relocation assessment consultant, identified a new location along Frankford Road near the Indian Creek Golf Course. The new site is not only of sufficient size and in a location that benefits response times but is already owned by the city. Therefore, not only does this offer the value of no acquisition costs but presents the clear public safety advantage of constructing the new station without disruption of emergency services.
The new facility will contain three full-length drive-through bays and be capable of accommodating seven firefighters and an officer. The facility will also contain centralized EMT supply and distribution operations serving all city fire stations. The station was designed to meet current and reasonably anticipated emergency services needs with a minimum service life of approximately 35 years.
As part of an ongoing effort to provide Fire and Emergency Services to the Carrollton area, city staff have prepared plans for the new Fire Station 6. Construction documents are now complete, and the project is ready to begin construction. Improvements from this project will include construction of a new facility to replace the existing Fire Station 6 and expand Ambulance Service.
Construction will occur in one phase. While an actual schedule will be developed once all contracts are secured, construction duration is estimated to be completed in twelve months.
The Architect’s opinion of probable cost for work covered by this contract phase was estimated at $11,000,00.00. As outlined below, the actual lowest qualified bid is approximately 9% below the estimate, but highlights the experience needed to meet all project goals.
FINANCIAL IMPLICATIONS:
Ten (10) bids were received on January 15, 2026, and ranged from $9,974,000.00 to $11,380,000.00. State Law requires evaluation of all selection criteria which includes the price and contractor qualifications.
Staff have reviewed the bids, and determined in consideration of all selection criteria, the contractor Steele & Freeman, Inc. has submitted the lowest qualified bid of $9,974,000.00. Steele & Freeman has an excellent reputation with many north Texas municipalities and has successfully delivered several fire station projects. Steele & Freeman offers the best overall value to the City of Carrollton. Staff consider this contractor to be the lowest responsible proposer and offers the best value to the city for Fire Station 6.
Steele & Freeman, Inc. has submitted the lowest qualified bid to perform the construction services for the project in the amount of $9,974,000.00. Funding is available from the Public Safety Capital Account.
Staff recommends the inclusion of a construction contingency. The construction contingency provides an expedient manner to accommodate unforeseen costs and minor additions in work common in all construction projects. Examples include unexpected conditions discovered during construction, and changes to design that were not possible during plan generation. All charges against contingency must be supported by detailed pricing information and approved by the City through a formal change order. However, having advanced Council authorization ensures that work progress is not impeded. Staff typically recommends a 10% contract value construction contingency for a building; however, given this is a new build on undeveloped land, Staff recommends a 7.5% (original contract amount) contingency or $748,050.00.
Additional estimated costs associated with Fire Sation 6 outside of this contract include:
• Furniture, Fixtures, and Equipment (FF&E): $400,000
• IT Low Voltage (Wiring, Fire Station Alerting, Cameras, Access Control): $353,000
IMPACT ON COMMUNITY SUSTAINABILITY:
This project will support the City Council’s strategic objectives and vision of building a community that families and businesses want to call home by:
• Enhancing public safety through construction of a modern fire station designed to meet current and future emergency service needs (Healthy, Community).
• Improving response times and operational efficiency by relocating to a strategic site already owned by the City (Accessible, Optimize).
• Supporting long-term resiliency with a facility designed for a 35-year service life and centralized EMT supply distribution (Economical, Revitalized).
• Providing infrastructure that strengthens community confidence and quality of life (Thriving, Hospitality).
STAFF RECOMMENDATION/ACTION DESIRED:
Staff recommends City Council authorize the City Manager to approve a construction contract with Steele & Freeman, Inc. for the Fire Station 6 project in an amount not to exceed $ 10,722,050.00. ($9,974,000.00 original bid and a $748,050.00 (7.5%) construction contingency).