Budgeting for massive projects like airports and regional surface transportation networks are never easy. Traditionally, these transit services are a financed because they are a public service. A good example of this is with RTD’s Denver Union Station project via the Denver Business Journal.
Regional Transportation District will celebrate the completion of the $480 million project that will form the hub of a transit network spanning the Denver metro area. Commuters will start rolling into the station on Monday, May 12.
“We’re ahead of schedule and under budget,” Jerry Nery, RTD’s project manager for the effort, said Friday during a media sneak peek at the project.
Sounds inspirational, but now take a look at the front page article on the Denver Post telling of a muted panic of the DIA project.
The estimated cost of Denver International Airport’s showcase project is climbing again, this time to as much as $730 million when “related” costs are included. On Monday, airport spokeswoman Stacey Stegman confirmed that overall project costs could grow 5 percent to 10 percent.
Read more: The Denver Post http://www.denverpost.com/#ixzz30IEMtMHa
Clearly these two projects are different, but because of the DIA project turning into a development for development’s sake project (looking at the pointless hotel), it will negatively affect the Colorado Hyperloop’s chance at being funded through the legislature. Seriously, why should the City of Denver fund something like this:
““We have a smaller range of things that can be value-engineered,” she said. “It’s not like we can lop off another floor of the hotel again.”
Day said DIA is leaning on the construction companies to help the airport keep costs as low as possible. DIA officials also reviewing the finishes in the hotel to see if there’s anything that can be trimmed from the budget.