The Frankfort City Council got a fresh look at a slightly different Prairie Creek Park project Tuesday night.
The council had a resolution on the agenda which amended the previously approved bonds and lease for Prairie Creek Park. But, Mayor Chris McBarnes said this was going to be an informational discussion with architects and financial advisers with no vote being taken.
“We wanted to present it through a financial lens, through a design lens and through a legal lens so the council could take the next two weeks, objectively dissect all this information and then come back to the table at our next meeting on the 26th and make an informed decision,” said McBarnes.
McBarnes added another reason for this decision was to be “truly transparent with the community to let them know what’s going on”.
What’s going on is the skyrocketing price of the project which was originally estimated at $3.9 million with a not to exceed cost of $4.5 million with the purchase of the bonds. McBarnes said the cost is now $7.956 million. When the project was put out for bid, the lowest bid that came back was $6.575 million as a base bid. With the 13 alternates added in, the cost went to $7.844 million.
Some things in the project have changed. First, the parking garage next to the proposed project was not included in the original cost estimate and is now part of the project cost. The estimated cost of the garage is between $600,000 and $700,000. Second, the steel tariffs imposed by President Trump has increased the cost at least 30 percent and has no end in sight. Third, the economy is “very strong” right now which means contractors can be choosy about which project they want to do.
Responding to a question from the council, Gary Smith of Reedy Financial said the project has “good project value spending” because of the way the project is now being reconfigured.
McBarnes wanted to clear up how taxpayers would pay for this project.
“If you own a home on the northwest side of the city, or the southeast side of the city or South Jackson or North Jackson or over on Green Street, none of your taxes will go to Prairie Creek Park,” said McBarnes.
Those whose taxes would be effected are the ones who have a building in the tax allocation area which is the Historic Downtown District. There are also a couple of industries in the Industrial Park who are in that area.
In other news, the council passed the third reading of an ordinance for the construction of the new IU Health Hospital.
“I would argue and I would debate that IU Health, this $30 million hospital, is going to be essential in growing our community, growing families, growing workers and thus driving down the tax burden on every single person that calls Frankfort home,” said McBarnes.
The council also approved funding in 2019 for the four not-for-profits which requested funds. The Paul Phillippe Resource Center will receive an additional $20,000 to help with their matching grant request through the state of Indiana and federal resources to buy some new vehicles, JET Services will receive $12,000 for their Trap, Neuter and Release program, $10,000 is going to Healthy Communities of Clinton County Coalition for grant writing purposes and $10,000 is going to the Boys and Girls Club for their after school tutoring program. That money for the Boys and Girls Club is in addition to the funding they received for repairs to the HVAC system in their building.