Public Works Director, Don Lussier, provided an update on the Downtown Infrastructure Improvement Project at the City’s August 27, 2025, Municipal Services, Facilities, and Infrastructure Committee (MSFI) meeting. The presentation reviewed an increase in the estimated project cost and proposed several measures to address the shortfall with no property tax impact.
Project Cost Increase and Suggested Changes
An updated cost estimate from the project consultant revealed a substantial increase in the estimated project cost. The increase is due to several factors, including:
- Higher Unit Costs: The price of materials for drainage and curbing had nearly doubled since the initial estimate.
- Scope Changes: The new plan includes the full removal of old, abandoned pipes rather than burying them to avoid potential problems in the future.
- Unexpected Costs: The new estimate included costs for full electrical system replacement and construction administration, which were not in the preliminary budget.
To address the shortfall, staff and the City Manager proposed several cost-saving measures:
- Adjust Scope: Removing work on Gilbo Avenue and Church Street from the project. This work will be included in a future capital improvement plan as needed.
- Reuse Materials: Reusing about half of the existing LED lighting fixtures that are likely to function well in the coming years.
- Accelerate Schedule: Shortening the construction from three seasons to two. This will result in a greater disruption of parking and traffic during the extent of each construction season.
(“Just Replace the Pipes” is an approach that will not only result in an unacceptable finished product but is also likely to cost more. It is not a recommended strategy.)
No Change to Key Design Elements
The Public Works Director recommended not eliminating other items that contribute to the downtown’s aesthetic and function, arguing the cost savings were not worth the loss of value. These elements include:
- Imprinted Crosswalks: This style of crosswalk is relatively simple to maintain over the long term and is part of the downtown’s appreciated aesthetic.
- Temporary Pavement: This is crucial for managing dust and disruption to businesses during construction.
- Silva Cells for Trees: These are underground structures that provide uncompacted soil for tree roots, which is a key green infrastructure component for managing stormwater and ensuring healthy trees.
- Bike Lanes: While a very small savings could be made by removing the colored concrete, it would violate the city’s Complete Streets policy.
Project Funding
The City Manager shared with the committee a multi-faceted approach to cover the approximately $3 million general fund shortfall after these design adjustments. The plan relies on reallocating existing funds and delaying other capital projects to allow the project to proceed while mitigating any tax impact for residents.
- Key to the funding plan is the use of the Downtown Infrastructure Capital Reserve, which is a fund financed by the downtown TIF (Tax Increment Financing) district. This fund was initially set aside for a future parking garage, a project that is no longer being recommended for the near term. This funding source can be used to pay for the principal and interest on the bond needed to cover additional estimated costs for this project.
- Ashbrook Road Signals: The replacement of traffic signals at Ashbrook Road, originally scheduled for fiscal year 2026, can be safely delayed as the equipment is in good working order.
- Court Street Culvert Replacement: The replacement of a stone culvert under Court Street, scheduled for fiscal year 2027, can be postponed. This project was planned for debt funding and delaying it would free up debt capacity to help finance the downtown project.
The committee voted to advance this plan to the full City Council. (Their motion left a shade structure on Railroad Square and certain trash receptacles in the design to be included as bid-alternates that can be reconsidered at a later date if desired.)
