A typographical error on documents related to a demolition contract wound up costing Gary city officials more than $12,000.
The city’s Redevelopment Commission on Wednesday voted 4-0, with commission Vice President Eric Reaves absent, to alter the contract that was awarded previously to JM Industrial Services Inc.
The contract as approved by the commission called for a $97,500 payment by the city to the Gary-based company. But the amount that the company was supposed to get was $110,196.
Commission Executive Director Joseph Van Dyk said a clerical error was responsible for the shortfall, while a memorandum to the commissioners blamed a “secretarial typo error in reporting figures on total award.”
The commission’s action provided for an additional $12,696 to be paid to JM Industrial, so it received the full amount it had negotiated with the city for the contract covered by the federal Hardest Hit Fund program that covers the cost of demolishing decrepit structures in Gary.
Also on Wednesday, the Redevelopment Commission accepted bids from 10 companies interested in receiving city contracts to handle demolition of more properties in eight groups scattered across the city.
Seven companies placed individual bids for all eight groups, while three others chose merely to bid for work on some of the demolition projects.
Attorneys for the Redevelopment Commission will review the bids further in coming weeks, and Van Dyk said it was possible the commission would award the contracts when they meet again March 2.
In other business, the commission voted 4-0 to accept ownership of properties in the 100 block of Hancock Street and the 900 block of Idaho Street. Van Dyk said the moves fit in with redevelopment plans in the Miller and Aetna neighborhoods on Gary’s northeast side.
The commission also approved without opposition the sale of land in the 1800 block of Massachusetts Street to a man who is willing to pay $16,000 for the site.
Gregory Tejeda is a freelance reporter for the Post-Tribune.
