Hostess House Debacle – Running Total of Expenditures (Updated)

** Last updated 7/21/23 **

Feb 14, 2018 – City pays Lamco Construction $19,270 for “Hostess House repairs” [page 76]

October 2019 – City takes over Hostess House from DRT. They told us it just needed a ”few minor repairs”:

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November 19, 2019 – Council votes to spend $5,850 with All Seasons for a new 5-ton AC unit [Dispatch front page news].

August 10, 2020 – Council votes to spend $2,500 with Hendrix Consulting Engineers (HCE) to evaluate the Hostess House [Council minutes page 7 item 7.3]

February 15, 2021 – HCE report is huge and repairs look expensive. Council debating what to do. Council member Cathy Kuehne is quoted in the Dispatch as saying they should keep the historical look “even if it costs more” [Council packet pages 26, 27, 28]

March 8, 2021 – Council votes to spend $6,600 with Reliance Architecture to draw up a “master plan” [Council packet page 10].

August 16, 2021 Dispatch Article – Project now estimated to cost $1,380,000.00 (page 39) – up from $200,000 five months earlier a SEVEN-FOLD INCREASE!!!

October 25, 2021 – Council votes 5-2 to approve$130,570payment to Reliance Architecture to plan the Hostess House “upgrade” – representing roughly 10% of project cost.

January 18, 2022 – Reliance Architecture$8,460for “Predesign”

September 12, 2022 – Reliance Architecture$14,775for “Construction docs”

August 22, 2022 – Reliance Architecture$32,012and$12,312for “Design dev”

October 10, 2022 – Reliance Architecture$10,342for “Construction docs”

October 24, 2022 – City council meeting – project now estimated to cost $1.88 million!

February 27, 2023 – City council meeting packet – lowest bid is RKJ Construction at$2,973,738.00!!!!!

July 21, 2023 – City council dinged for another $38,000 in fees to change the scope of the project and re-bid.

Current total fees for project – $168,570

Total spent thus far before any building or renovation is done: $200,270

Revenue from Hostess House to City: approximately $1,200 between Oct 1, 2019 and September 30, 2020.

Projected revenue for FY 2022/2023: approximately $10,500 (revenues $16,000 and costs of $5,500 anually)