City Council reviews $1.5M construction plan for new restaurant project

Bountiful City Council has taken significant steps toward the renovation of a historic building into a new restaurant, with a projected construction cost of $1.5 million. During the regular session on April 9, 2025, city officials discussed the financial breakdown of the project, including a contingency fund of $136,000 to address potential unforeseen issues that may arise during construction.

City staff clarified that the construction management fees from City Creek total approximately $304,000, which includes a profit margin of 6% on the construction costs. This fee structure is designed to ensure that the project remains within budget while allowing for necessary oversight and management.

The council acknowledged the importance of having a contingency fund, especially when working with older buildings, which can often present unexpected challenges. The contingency is intended to cover any additional costs that may emerge, such as impact fees related to water and sewer services due to the increased fixture units in the new restaurant.

Additionally, the council addressed the funding source for the project. The Redevelopment Agency (RDA) has financed the building's purchase, and the reconstruction costs will be drawn from RDA operating funds. To maintain transparency and proper governance, city staff will present an RDA agenda in the future to ratify all contracts and expenses associated with the project.

This proactive approach aims to ensure that the renovation proceeds smoothly, with adequate financial resources allocated to cover potential challenges, ultimately enhancing the community's dining options and preserving the building's historical significance.