Rising Construction Costs Squeeze City Budgets In Iowa

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(Undated) -- Cities in Iowa planning major building projects have had some especially tough decisions lately. Constructions costs have soared over the past two years, because of the pandemic, supply chain issues, and inflation. The City of Indianola is planning a new combined police and fire station. Indianola City Hall will also move to the first floor of the library. The city's estimating the cost of both projects will be $46-million. A prices the city says could be $10-million more if they wait a few years. Examples from other central Iowa cities with large bill projects are Mitchellville with $37-million to build more homes, Grimes with its $20-million Grimesplex, and Des Moines has 46 projects this year totaling $87-million. Ankeny is building a new School and Johnston has many projects including a sports complex and a Top Golf style driving range. Data from the U-S Census Bureau has estimated that construction costs have risen about 20% each year, over the past two years.


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