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The Spokesman-Review Newspaper
Spokane, Washington  Est. May 19, 1883

City Hall project cost up again

Sam Taylor Staff writer

A new Post Falls City Hall complex could save the rapidly growing town cash in the long run, but the estimated cost has gone up again.

City Council members and Mayor Clay Larkin learned Wednesday that the latest estimate for the energy-efficient building will be $8.8 million to $9 million, at least $1.3 million more than the last estimate just a few months ago.

“We were surprised at that number, and for us it’s always been about affordability,” Larkin said.

The City Hall design has grown in size, too. Previous plans called for a 36,000-square-foot building. Now the city is looking at a 41,500-square-foot building. It would be two stories tall and include a basement, which is where much of the new square footage was added.

Two years ago the cost of the project was projected at about $5 million, Larkin said. The figure was revised to $7.5 million recently to reflect increases in material and labor costs. The latest estimate also reflects higher construction costs projected for summer 2007, when construction would most likely begin, Councilman Ron Jacobson said.

City officials Wednesday gave the OK for planners to continue seeking the Leaders in Energy and Environmental Design, or LEED, certification in the project. But they nixed the goal of attaining green building standards, which could be more demanding and expensive. LEED certification will ensure the building is cost-efficient over its lifespan even without the green certification, Larkin said.

Jacobson said having the city attain LEED certification for the new City Hall isn’t a critical issue for him. “To me, it’s not whether we’re LEED-certified but whether we have cost savings,” he said.

In weekly e-mail updates to the council and mayor, Gary Young, the city’s community development director, said the most challenging aspect of the project has been the cost and financing.

“There has been a 25-33 (percent) increase in construction costs since the last estimate was prepared for the project,” Young wrote in a July 28 e-mail. “These costs are not attributed to sustainable design elements in the project. In fact, it brings to light the importance of continuing on the path of high performance design and at looking at the total cost of ownership and life cycle costs.”

Young also told officials the city has looked at eight to 10 financing approaches and that staff members for mechanical contractor McKinstry Co. were looking at outside funding opportunities, but he did not specify what those were.

Larkin said the costs are still preliminary and could change, and officials would like to pinpoint the particulars of financing the project.

“We want to know what’s the bottom line, what’s the annual payment, and can we afford it,” he said.