Cost rises for Fargo-Moorhead flood diversion project
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There's a new, higher price tag for the Fargo-Moorhead flood diversion project.
A new consultants report puts the cost at $2.1 billion, up from a 2011 estimate of $1.8 billion.
Construction and land costs are primary reasons for the increase.
The federal government will pay $450 million of the project cost. The remaining $1.65 billion will be shared by state and local governments.
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A financial plan to pay for the diversion will be finalized in about a month.
Martin Nicholson with the engineering firm CH2M reminded local officials the cost could change again.
"You know, the purpose of a cost estimate in our budgeting process is to allow the diversion authority to make reasonable and prudent decisions about a finance plan long term," he said.
Nicholson says there will be some savings from building the diversion with a public-private partnership.
Construction could start later this year pending a Minnesota environmental review and permits.