Alpine's fire station expansion: a $5.12 million construction price, a $6.05 million funding plan and a bond still being finalized

Alpine city's fiscal 2026 budget message said the fire station addition and remodel was expected to cost about $5 million. It said $3 million was included in the fiscal 2026 budget and that staff's preliminary recommendation was to bond for the remaining $2 million, with the council to approve the final funding plan. ^[1]

By June 2026, the project's construction price and funding plan had both been set by council votes, and the city had begun the borrowing process. ^[2][5]

The bond authorization

On June 9, 2026, the council voted 3–2 to approve a resolution beginning the issuance of sales tax revenue bonds for the fire station and community center, with the ceiling raised from $2 million to $2.5 million. Chrissy Hannemann, Brent Rummler and Jessica Smuin voted yes; Sarah Blackwell and Andrew Young voted no. ^[2]

According to the minutes, the ceiling was raised to allow flexibility while the guaranteed maximum price was refined, mainly because of structural costs. Mark Anderson, the city's financial advisor, said the resolution did not obligate the city to borrow money. ^[2]

The city's published notice allows up to $2,500,000 in principal, a maximum interest rate of 6% and maturity of up to 21 years, secured by local sales and use tax revenue. It estimates the total cost at $3,569,300 if the bonds are held to maturity, based on interest rates in effect at the time. ^[3]

At the same meeting the council approved a $15,365 proposal from Intertek PSI for construction materials testing and special inspections for the project. ^[2]

The construction price

On June 23, staff reported that SIRQ Construction had provided a guaranteed maximum price of $5,124,327, which came in about $220,000 over the projected budget based on the design development drawings. The minutes attribute the increase to structural components being larger than expected. ^[5]

The city, SIRQ and Navigate, the city's construction manager and owner's representative, held a value-engineering review. The minutes say the largest saving identified was keeping three of the station's six bay doors rather than replacing them. Staff described those doors as 30 years old and in rough shape and recommended against the change. ^[5]

The council approved Resolution R2026-25, Amendment No. 1 with SIRQ Construction setting the guaranteed maximum price, 4–1. Andrew Young voted no. According to the minutes, he cited the cost of more than $3.5 million over 20 years for the bond and a desire for a locked price; Mayor Carla Merrill said construction inflation makes delay more costly. ^[5]

The funding plan

The fiscal 2027 budget message in the June 23 packet puts the total project cost, including soft costs, at about $6,050,000. Its funding table lists $1,000,000 from the fiscal 2026 General Fund, $2,000,000 from the fiscal 2026 Capital Improvement Fund, $500,000 from the fiscal 2027 General Fund, a $2,000,000 fiscal 2027 sales tax bond, $200,000 from the fiscal 2028 General Fund, and donations of $250,000 from a family donor and $100,000 from Altabank. A separate donation of gym equipment is listed without an amount. ^[4]

A cost exhibit in the same packet lists $922,835 in soft costs, a project contingency of $110,434 and a total project budget of $6,047,162. ^[4]

Those amounts are a plan across three fiscal years. The fiscal 2028 contribution and the donations are listed as planned sources, and the records reviewed do not show whether the donations have been received. ^[4]

Payments so far

On Sept. 8, the council approved Partial Payment No. 1 to SIRQ Construction, $233,488.96, on its consent calendar by a 3–1 vote, with Andrew Young voting no and Chrissy Hannemann excused. Sorensen said the city was paying for construction from various funds and would use the bond money once the bond is finalized. ^[6]

On Sept. 22, the council approved Partial Payment No. 2 to SIRQ, $320,322.33, and a $20,970.72 payment to Babcock Design, the project architect, on its consent calendar by a 4–1 vote. ^[8][2]

Babcock's Sept. 15 invoice in the packet lists a contract amount of $391,750 and $321,975.72 billed to date, including that invoice. ^[7]