City engineers told the council on May 29 that a State Street culvert replacement project had experienced a sudden and substantial cost increase after recent contractor estimates and DOT price updates.

Daniel Simpson, director of public works, said the project — which would replace an open ditch along State Street with a box culvert to reduce erosion and improve water quality — has $1,600,000 in federal grant funding and $1,000,000 in state grant funding identified but still needs about $1,500,000 in additional funding.

Simpson said the most recent 90% plans and DOT estimates show the price of box culvert material has "nearly doubled" since earlier estimates. He told council the increase was driven by recent bids and DOT unit‑price updates for box culverts. The project team expects to complete permitting by July and to advertise for bid in the fall, with construction awards planned after funding is identified.

Why it matters: the culvert project is intended to protect about six to eight adjacent residences from erosion, reduce sediment transport into downstream waters and lower long‑term maintenance costs. The sudden cost increase creates a funding decision for council: identify the shortfall from local sources, rework scope, or delay.

Next steps: staff will continue grant coordination, complete permitting and bring an updated cost and funding recommendation to council when final plans and bids are available.