Committee declines to recommend extra funding for Adler Road Trail after cost overrun debate

The Marshfield Finance, Budget and Personnel Committee voted not to recommend that the city council approve Budget Resolution 18-2025 to fully fund the Adler Road Trail project, Finance Director Jennifer Celenski told the committee.

Celenski said the project began in 2020 after the city received a Wisconsin Department of Transportation Transportation Alternatives Program grant that covers 80% of eligible construction costs. The design phase was managed by the DOT; the city managed construction and seeks reimbursement for 80% of eligible costs. She said construction bids in 2024 came in higher than expected and the DOT increased its award, and that the city also received $69,217 in community donations to help offset costs.

Celenski told the committee the city now estimates the total project cost at $768,672, which accounts for unbilled construction work and a $5,000 contingency. She said the DOT will cover 80% of eligible construction expenses but not certain nonparticipating costs such as city staff time, land acquisition and incidental design-phase expenses. Based on the grant paperwork, Celenski said the city’s anticipated share at one point was $135,029 and had been planned to be funded with $35,000 from room tax and $100,000 in long-term debt; staff now estimate a funding shortfall of roughly $85,500 and recommended using fund balance to close it via Budget Resolution 18-2025.

Committee members pressed for context. Public works and finance staff said project accounting and tracking were less systematic when the grant was awarded and that transitions among three public works directors contributed to gaps in capturing nonparticipating costs. Mike (council member) said the city has since improved project tracking and is assigning projects in the capital improvement plan to prevent similar surprises. Rebecca (council member) said the total appeared to have roughly doubled since 2020 and voiced strong opposition to approving more trail spending under current budget constraints.

After discussion a motion to recommend council approval of Budget Resolution 18-2025 was put to a vote and failed.

Why it matters: The Adler Road Trail project originated with a DOT grant but grew in cost as nonparticipating expenses and higher construction bids were realized. Committee members differed on whether to use one-time fund balance to reconcile past accounting gaps; the committee’s rejection leaves the shortfall unresolved at the committee level and would require further council consideration or alternative funding decisions if the council takes up the item.

Clarifying details: Jennifer Celenski presented the $768,672 figure; council member Rebecca read the packet and asked whether the packet showed $786,672 (the packet figure is unresolved in the transcript). Celenski said original 2020 estimates included design costs of $76,516 and construction estimates that staff later recorded as approximately $379,000 (the 2020 construction estimate was revised in the grant to $478,903). Celenski also said the DOT covers 80% of eligible construction costs but not city staff time, land acquisition, and incidental design expenses. Celenski recommended a $5,000 contingency and said the city administrator’s contingency account is nearly fully utilized for 2025.