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MEDC hears contractor estimates doubling for McAllen wayfinding; staff to seek line-item breakdown and bid comparisons
Summary
Contractor estimates for the McAllen wayfinding and a downtown streetscape came back far higher than earlier planning numbers. Staff will request detailed cost breakdowns, explore phased work and consider additional bidding channels.
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Tilly, a city staff member working on the McAllen wayfinding and streetscape project, told the Montgomery Economic Development Corporation the contractor-provided fabrication and installation estimate for wayfinding signage is between $1.5 million and $2 million, far higher than earlier estimates the board received.
The discrepancy prompted directors to ask staff to obtain a detailed line-item breakdown and to seek additional contractors or pricing sources. Tilly said the contractor’s estimate includes fabrication and installation and that some line items — particularly large entrance signs — appear to drive much of the cost. She suggested the board could reduce scope (for example omitting some entryway signs) or phase the work to lower near-term costs.
Staff also presented a consolidated streetscape proposal with a total cost shown in the contractor estimate of about $2,115,150, which they described as broken down into $1,785,150 for streetscape construction and engineering, $150,000 for drainage construction and engineering, $175,000 for water construction and engineering, and $45,000 for construction-phase services. Tilly and other staff explained those figures include paving, storm drainage and other civil work; board members asked whether the contractor used Sourcewell/government pricing and whether that affects comparability between bids.
Directors discussed schedule and approvals. Staff proposed bidding and starting construction after the holiday season, seeking a January start to avoid peak business-season disruption. Approvals will require property-owner buy-in, Planning & Zoning/PNC approval and city council action; staff said agreements and permits will need to be drafted if the board proceeds.
The board directed staff to: request a detailed, line-by-line cost breakdown from the contractor; check Sourcewell pricing and whether more competitive bids are available; and report back with options for phasing, scope reduction or alternate materials. No formal contract award or commitment was made during the workshop.

