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Project presenter warns of a possible $23 million overrun in proposed high-school construction
Summary
At a city council meeting, the project presenter outlined contingency plans and possible overage scenarios for a proposed new high school, citing inflation, subcontractor pricing and steel-tariff risk; a motion was moved near adjournment but no vote was recorded.
The project presenter told the City Council that contingencies are in place but warned that inflation and subcontractor pricing — particularly the risk of further steel tariffs — could push the high-school construction project over budget.
The presenter said the team has “very detailed budgets” for every division of work and uses early procurement packages and competitive bids to reduce escalation risk. He said $17,000,000 of contingency is currently accounted for and that the project team is watching site utilities, demolition and design unknowns that could produce additional costs.
Why it matters: Council members and the project team framed the discussion as a choice between moving now to lock in contractor interest and pricing or pausing and risking higher costs and longer delays. The meeting included a granular exchange about worst-, best- and realistic-case scenarios for the council to consider before formal action.
In a Q&A, one council questioner presented scenario packets showing a realistic case with roughly $23,000,000 in overages and a worst-case approach that could reach about $43,000,000; the questioner said the realistic case assumes $17,000,000 in contingency with possible further savings from competitive bidding. As the questioner summarized, “Worst case scenario is we have 43,000,000 in below. We have 3,000,000 in contingency with 23,000,000.”
The presenter emphasized the team’s approach to risk management, saying they would reallocate funds from design and pricing contingencies where feasible and that certain line items — for example, lighting packages described during discussion — are being examined for savings. He told the council, “We have contingencies in place.”
Speakers also compared the project to others in the region. The presenter cited a nearby district, Central Falls, which encountered budget issues after voters approved a project, and warned that competing large projects (for example, LaFoy demolition and redevelopment) can tighten local contractor capacity and drive prices higher.
Teacher and staff practical concerns surfaced during public comment and discussion: some participants raised worries about storage space and the removal of traditional teacher rooms in favor of shared “teacher hubs.” One participant criticized those who focus on practical details, saying the building reflects changes in how education is delivered.
On procedural next steps, the presenter said finance staff will model bond and borrowing options and bring recommendations forward for council consideration. At SEG 687 a motion was recorded as "Moved by Mister Blue, seconded by the disclosure," but the transcript does not show a recorded vote or final outcome.
The meeting closed with a reminder that council consideration was scheduled for March 5 and the body moved toward adjournment.
