Hotel study cost more than some expected - 14 News, WFIE, Evansville, Henderson, Owensboro

Hotel study cost more than some expected

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EVANSVILLE, IN (WFIE) -

New details have come in about the consultant study on a new downtown hotel to be built next to the Ford Center.

Some say the City wasn't forthcoming.

The study cost nearly twice what officials originally said it would and even some ERC members who voted whether or not to approve the study say they didn't know how much it would cost.

"Hunden said $30,000 to $40,000, but they also included a planning portion for MSI and they said they weren't sure what the price would be," said ERC Member Stan Wheeler.

When asked if he expected the cost to be $75,000, Wheeler responded with, "No."

Hunden Strategic Partners presented the hotel study to the Evansville Redevelopment Commission on Tuesday.

The study outlined the size and cost of the hotel as well as its role in downtown.

The Executive Director of the Department of Metropolitan Development, Philip Hooper, says the study included three pieces. He says that led to the increased cost.

"It had a planning and financial piece as well, so the entire market analysis was done for $75,000," said Hooper.

Hooper said city department heads determined among themselves that the study shouldn't exceed $100,000, but that was never discussed with the public.

"You won't see that figure in meeting minutes or on an agenda. At the time, we were faced with people saying, 'build it now, build it now, we need these jobs now'," said Hooper. "We certainly didn't want to slow down the process. We have governing bodies and people we trust to make these decisions. We made a decision based on a third percent of the project cost.  We proceeded forward and we're looking forward to showing you that it was a great decision."  

ERC member Stan Wheeler says he never heard that $100,000 figure. He wishes the board was giving an exact total before the vote to approve the study.

"When there's shady stuff, it runs into this. There's lots of questions and if you're forthcoming with everything, you don't have this."

With three mayoral appointments and two City Council appointments on the board, and a three to two vote, it's unclear if the final cost would have swayed the vote.

At this point, everyone 14 News talked with says they are just looking forward to the day a hotel is built downtown.

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