Renovate or move? Dallas leaders explore options after receiving $1B city hall repair estimate

Dallas City Council members heard from a panel of experts on Monday while deciding what to do about the $1 billion estimated cost of repairing city hall.

Dallas City Hall Repairs

What we know:

Experts who assessed Dallas City Hall said the 47-year-old building’s mechanical, plumbing, heating, air conditioning, and electrical systems don’t meet modern standards. 

While the building is in no danger of falling down, a report released on Friday also found a failing roof and asbestos. 

It put a $906 million to $1.4 billion price tag on keeping the iconic building, which was designed by the famous Chinese architect I.M. Pei, for another 20 years.

That number is much higher than the $152 to $345 million estimate for repairs given this past fall. That’s because the new estimate includes $100 million to relocate staff members during the renovation process for efficiency and to avoid an asbestos issue.

It also includes $299 to $360 million in interest for 20-year financing.

What they're saying:

Linda McMahon, the CEO of the Dallas Economic Development Corporation, made the case that decades of prioritizing neighborhoods over the city’s own home have now brought the city to a crossroads. She believes there’s no time to lose.

"Market timing is everything and this environment will not last," she said. "This is not about sentiment. It is about stewardship of taxpayers’ money at a time when the city budget is stretched and hard decisions need to be made. It is about whether we continue to invest in aging systems that create no new value or whether we position Dallas for a modern more efficient, customer-focused civic future."

The other side:

The Save Dallas City Hall Coalition, a group of architects and preservation activists, are questioning the $1 billion number, which is 23% higher than the cost to rebuild Notre Dame.

The group believes the projected price tag is something you might see for a much larger, more public project. It pointed to a 2018 study that estimated $37 to $39 million in repairs. 

Related

Repairing Dallas City Hall could cost more than $1B, report says

A new report from the Dallas Economic Development Corporation estimates that the cost for full repairs on Dallas City Hall could exceed $1 billion over a 20-year span.

What we don't know:

The city’s presentation on Monday did not include details on the cost of buying, leasing, or building a new city hall building.

Past estimates for leasing an office tower for 10 years were around $195 to 248 million.

What's next:

The city’s finance committee will make a recommendation to the full city council before a final decision is made.

There will also be a public hearing before the city’s economic development committee on Monday before the full city council debates the issue next Wednesday.

The Source: FOX 4's Lori Brown gathered information for this story from Monday's Dallas finance committee meeting.

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