By HOLLY GASKILL
Amidst disorganized debate, the Wells County Council formally approved a total maximum price of $10,909,000 for the construction of a new highway garage in a special session Monday.
Of this amount, $8.5 million is planned to be bonded over 20 years. The remaining portion will be covered through other funding.
Council President Steve Huggins said county officials hope to get this amount locked in at current rates before they increase later this month, which would cost the county an additional $500,000. Before they can proceed, however, the Board of Commissioners will also have to approve these items.
The council passed three motions regarding the project. First, the maximum price was approved in a 6-1 vote, with council member Chuck King dissenting. The bond price was then approved 5-2, with King and council member Todd Mahnensmith dissenting. Council unanimously approved the use of $2.4 million from the farm sale toward the project.
The primary cause for tension in the decision-making process surrounded discrepancies between previous and current estimates. Compared to figures presented at last week’s council meeting, this maximum price is nearly $1.5 million higher.
“We still don’t really know what this is going to cost us,” King said. “I need more time. I need a commissioner here. This is too much in one spot.”
The commissioners also planned a special session on these items for Monday but could not meet a quorum. None of the commissioners were present during the council’s special session.
When the council last met on Sept. 6, Highway Supervisor Shawn Bonar noted there would be an increase for furnishing and equipment, which had not been determined.
However, project manager Conor Jackson unexpectedly gave an updated construction cost of $9.76 million, $266,000 higher than previously stated.
These construction increases arose from a closer comparison of the bid packages included against what the county had expected. Jackson said several items had fallen into gray areas and were mistakenly left out. The price increase includes these items.
Additionally, Jackson said the city of Bluffton had verbally agreed to cover $145,000 to use a 12-inch water line instead of an 8-inch water line. Though this increased his estimates, it would not be an additional cost to the county.
Huggins expressed frustration to Jackson that the total had changed significantly in one week.
Jackson pointed out that he has been put on a tight timeline — receiving second round bids on Thursday, Sept. 1, then first presenting it to the council the following Tuesday. Jackson said comparing this information in time for the special session was already a difficult turnaround.
Bonar echoed this sentiment regarding estimates for furniture and equipment. At the Sept. 6 council meeting, Bonar said estimates would take at least 10 days. To gather his estimates in time for the special session, Bonar pulled information from the internet and left room for significant contingencies.
“We had to come up with this equipment list in the dark, and so it’s not shocking that these don’t line up perfectly, but it’s a conversation we had to have,” County Engineer Nate Rumschlag said.
Bonar requested nearly $700,000 for these items. However, he ultimately agreed on $500,000 for furnishings and equipment. Jackson’s budget for construction also includes purchasing new equipment for the highway department to complete the landscaping.
With this new cost, council member Scott Elzey proposed it might be worthwhile to delay approval. He noted that if the council could review and trim items, they may still save money with a less favorable interest rate.
“I don’t like surprises, and to see furniture and fixtures this late in the game — that’s nearly 10 percent of the entire project — is frustrating,” Elzey said.
Several council members spoke against this, saying it was unlikely they would be able to significantly change the cost, especially with inflating prices.
“I feel like if we look at it, and we don’t do something, and interest rates go up, then we’re going to kick ourselves again,” council member Vicki Andrews said. “Because we have been talking about this whole highway project for how many years, guys? We’ve got to get some things narrowed down. We’ve got to get on with this process.”
The final cost of the project surrounds insurance and legal fees. Jackson also assured that construction expenses should not increase once locked in, even in the event of inflation or shortages.
The commissioners will have to meet and approve the same items before the bond and funding can move forward. They have rescheduled their special session for 2:30 p.m. Thursday, Sept. 15, at the Wells County Annex.
holly@news-banner.com
