In April the Town of Normal told the Federal Railroad Administration (FRA) the projected cost of constructing a railroad underpass at what is now Mark R. Peterson Plaza had risen to $29.9 million citing construction costs increases due to the impacts of COVID-19 and other world issues on the economy.
That $29.9 million figure was stated in an application to the FRA requesting $6 million of additional funding to cover the projected increase in costs.
But two weeks ago budget information presented to council in the Town Council Action Report approved by City Manager Pam Reece showed the project budget to still be the previous estimate of $23.9 million.
Now, in the Council Action Report presented to council on Friday for tonight’s Aug. 15, 2022 council meeting the budget is shown as $27.1 million. That number is arrived at by adding $3.16 million the FRA has now agreed to put toward this project in response to the $6 million April request the town submitted, to the $23.9 million figure.
So did the town lie to the FRA? Did they lie to the Illinois Department of Transportation (IDOT) council and the public last week? Are they lying to FRA, council and the public this week? Or is this all a matter of semantics?
One could differentiate between project cost and project budget. But it may not be wise. If you know the project cost it would seem to be wiser to budget for that amount. And therein lies the rub. If this project costs $30 million and only $27.1 million is budgeted, who will pay the $2.9 million difference? Will the citizens of Normal be left on the hook?
At tonight’s meeting counsel is being asked to approve a resolution authorizing the execution of a modified grant agreement with the United States Department of Transportation (USDOT) under the fiscal year 2019 BUILD Transportation Grants Program for the underpass.
The modified BUILD grant agreement with the UDSOT provides the additional $3.2 million in federal funding for the underpass. The BUILD 2019 funding for the project will increase from $13 million to $16.2 million.
Also recall the town agreed to accept an unexpected $1.9 million reimbursement from IDOT two weeks ago for preliminary design. The town has said they could use this for construction.
If that is the town’s plan, why won’t they show it in their numbers? The projected cost/budget gap could be closed to $1 million. That would at least seem to be more realistic and might be more palatable to the general public. It certainly would be more transparent.
The Normal Town Council meets tonight on the fourth floor of city hall at 7 p.m.