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•Important risk management tool <br />•Prepares for changes in scope or errors and omissions <br />•Avoids “cost cutting” <br />•Allows for flexibility in design process <br />Designated amount of funds set aside in a <br />project budget to account for unexpected costs <br />Contingency <br />Should not be used to accomplish the <br />original scope of the project <br />Page 11 City Council Work Session July 14, 2025