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Fleet building renovation bid comes in near $8 million, not $2 million; staff to pursue value engineering

3124359 · April 25, 2025
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Summary

Staff told council a planned renovation of the fleet (mechanics') building was bid at about $8 million—far above the $2 million previously allocated—prompting a re‑scoping and discussion of reusing the existing building and other value‑engineering steps.

City staff told the council that a previously allocated $2 million for renovation of the city’s fleet building (mechanics’ garage) now looks insufficient after consultants’ construction projections returned a bid around $8 million.

Staff explained that the original $2 million allocation was made in prior budgets but that updated bids and right‑of‑way work with the railroad produced much higher cost estimates. As a result, staff said they will revisit the project scope and consider value engineering, possible reuse of the existing building, and alternative phasing to reduce upfront cost.

Council members asked staff to continue pursuing negotiations related to railroad right‑of‑way and to return with options that show cost, schedule and whether the project can be scaled into phases or rely on reuse of existing facilities. Staff said they remain optimistic that a scaled strategy can deliver a workable maintenance facility while reducing the near‑term capital requirement.

Ending: staff will return with a revised project scope, cost estimates and potential phasing options.