Raleigh, North Carolina’s Union Station may cost $10M more than expected

October 21, 2015

RALEIGH – The $80 million transit hub planned for downtown Raleigh will likely cost $10 million more than expected, city planners announced Tuesday.Website Insert Fleet for Sale or Lease copy

And Raleigh leaders will soon have to figure out how to address the city’s portion of the tab, $2.79 million more than budgeted.

Federal, state and local authorities budgeted $44.7 million for the first phase of Union Station, which they hope to open in 2017 on Martin Street in downtown’s warehouse district.

But a jump in the cost of concrete, steel and site preparation pushed the cost to $54.7 million, Richard Kelly, Raleigh’s interim public works director, told the City Council on Tuesday. The cost is also higher than expected because there wasn’t as much competition as expected in the bidding process, Kelly said.

 Phase One of Union Station includes 28 projects that planners put out to bid. But many local subcontractors were unavailable because they’re working on other projects in the region, Kelly said.

Federal and state authorities are expected to pay for the cost overruns for which they’re responsible, but on Tuesday it wasn’t immediately clear how they would achieve that, he said.

Paul A. Specht of The News & Observer has the full story by clicking here.

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