The 23-mile project to add flex lanes on I-17 north of Phoenix is more than $76M over budget. The project remains on schedule, however.
In a budget presentation by Gov. Katie Hobbs, she mentioned the overrun and asked for a review of potential savings on other Arizona Department of Transportation projects that could be used to offset the cost increase.
The bid price for the project was $446M. ADOT says the total cost is now set at $522M.
ADOT cites three contributors to the cost increase. The first is a federal change in environmental requirements. Changes from the Army Corps of Engineers and the Environmental Protection Agency altered how waterways are defined and how fill material can be dumped. The change added $45M to the project costs.
The Kiewit-Fann Joint Venture serving as the project contractor also made two other contract increase requests: An additional $27M for design and capacity changes for 21 concrete box culverts and $4.2M to redesign a bridge abutment and more design work for rockfall containment ditches.
ADOT officials say they have a program to fund the highest priority projects that will probably be used to cover the contract increases.
The project is still expected to deliver in 2025 as planned. (Source)