Roadway CIP: Virginia Beach public-works staff outline $185.5M six‑year local program amid cost pressures and large projects under construction

David German, transportation division manager, briefed council on the FY26 Roadway CIP and highlighted $185.5 million in city funding programmed for the first six years (the full six‑year roadway program funds total about $342.4 million; the full portfolio is just under $1 billion in total program cost when appropriations to date are included).

German said the FY26 package includes 57 projects and programs. About two‑thirds of the program cost is already appropriated; many projects have outside funding sources including state and federal grants. Staff emphasized cost increases and market conditions as drivers of higher project estimates; the presentation included a $97 million upward adjustment to align project budgets with current market conditions.

Notable project funding and status items presented: a $57.3 million estimated total for Cleveland Street Phase 4 with a proposed $14.5 million addition to make the project whole; Indian River Road safety projects (widen shoulders and raise sections to improve safety) with a proposed $9.1 million increase and a remaining balance to complete; Elbow Road / Indian River corridor work (Phase 7a/7b) with long history and current scope and a total project cost pushing $120 million; Shore Drive Phase 3 and Elbow Road Phase 2B/C are under construction with significant contract awards; a traffic safety improvements (TSI) program proposed to receive additional funding (partly from speed‑camera revenues) to seed smaller safety improvements and match future grants; and many requested projects that remain unfunded.

German told council that federal and state grant requirements sometimes require full‑project funding to be shown even when grants will fund a portion and that, as projects are rescheduled or rescoped, balances to complete have grown. He also said tariff and materials volatility is being tracked but not yet creating systemic immediate budget impacts.

Councilors asked about schedules for Centerville Turnpike work, neighborhood sidewalk programs, bus shelters and crosswalks on Virginia Beach Boulevard/Independence Boulevard. German said Centerville Turnpike Phase 2 bidding and acquisition work is underway with an anticipated notice to proceed after right‑of‑way and utility relocations are complete; Virginia Beach Boulevard pedestrian crossing work is a federally funded HSIP project covering signalized crossings for improved pedestrian facilities.

No formal council action was taken; council members discussed prioritization, costs and project sequencing.