Scottsdale mayor calls for common sense leadership atop local City Council dais
Staff Writer | Mayor of Scottsdale
Scottsdale Mayor Lisa Borowsky remains committed to fiscal conservancy amid controversy surrounding the forfeiture of $31 million of federal grant dollars previously allocated for the project and accepted by the city.
Scottsdale City Council — by a split vote of 4 to 3 — Tuesday, April 8 approved the halting of construction allowing for the redesign of a signalized intersection at Scottsdale Road and Dynamite Boulevard.
“While I have heard from many residents who don’t like roundabouts, the risk of losing $31 million due to the change was not worth taking,” Mayor Borowsky said.
“According to the information provided by city staff at the April 8 City Council meeting, this vote results in additional costs to the project of at least $1.5 million in addition to the risk of not recouping the $31 million for the project, which would force Scottsdale taxpayers to shoulder that burden.”
The $31 million forfeiture was meant to fund significant improvements along Scottsdale Road for motorists consisting of reconstruction of the minor arterial from Jomax Road to Dixileta Drive.
That project has been halted due to the split City Council vote on April 8. City officials report several challenges that have emerged including:
• The federal funds are already obligated.
• Construction has started, and the contract was bid based on the scope.
• Federal funding clearances were based on the initial design.
“Additionally, redesigning from a roundabout to a signalized intersection would be deemed a significant change in scope, the project would no longer be what was authorized and cleared,” said Alison Tymkiw, Scottsdale city engineer, in her April 8 report to City Council.
“Federal Highway Administration and ADOT clarified that proceeding with such a scope change would result in forfeiture of $31,132,929 in federal funding.”
In the coming weeks, Scottsdale City Manager Greg Caton is required to pen a formal letter informing the Federal Highway Administration and Arizona Department of Transportation of the city’s decision to forfeit the federal grant funds.
City Councilman Barry Graham made the motion to direct Mr. Caton to take steps to accept the forfeiture of federal funds necessary to redesign the intersection of Scottsdale Road and Dynamite Boulevard.
Furthermore, part of the approval includes language allowing budget transfers and contract modifications carrying at least a 20% surcharge on construction change order requests. The motion was carried with Vice Mayor Jan Dubauskas, and City Council members Adam Kwasman and Kathy Littlefield in the affirmative.
