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Committee authorizes FHWA grant agreement for Capital Connector, acknowledging about $1 million potential shortfall

City of Charleston Finance Committee · January 20, 2026
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Summary

The committee approved resolution 26-15 authorizing the city to enter an FHWA grant agreement to construct the Capital Connector. Staff said the 100% design estimate is about $26 million—roughly $1 million above the $25 million grant—and the estimate includes a 15% contingency; the measure passed by voice vote.

The Finance Committee on Jan. 20 authorized the mayor or city manager to enter a Federal Highway Administration grant agreement to construct the Capital Connector, while explicitly acknowledging a potential funding shortfall.

Mr. Michaud said the project's design is at 100% and the most recent cost estimate is about $26,000,000, roughly $1,000,000 higher than the $25,000,000 grant award. He said the estimate includes a roughly 15% contingency added by the design firm GAI "to make it a round number of 26,000,000" and that the final contract amount will be set through the competitive bid process.

A council member asked whether the project could be timed around upcoming city events; staff said the FHWA has been involved in earlier design reviews (30/60/90%) and staff did not anticipate significant delays in FHWA sign-off. Another council member thanked Senator Capito's office for helping the project reach 100% design and for commitments to assist with timing.

Resolution 26-15 was approved by voice vote. Mr. Michaud said staff will return with final bid results and any firm numbers once the competitive procurement is complete.