State OKs less-costly V&M project change

By DAVID SKOLNICK

skolnick@vindy.com

YOUNGSTOWN

The Ohio Department of Transportation has approved cost reductions by the city for a major improvement project needed for V&M Star’s $650 million expansion, a city official says.

And approval for the railroad-relocation project, using more than $13 million in federal-stimulus funds, by the Federal Highway Administration is expected sometime next week, said Charles Shasho, the city’s deputy director of public works.

The contract is expected to be awarded the end of next month with construction starting at the end of November, Shasho said. The project will take up to 300 days to complete.

The V&M Star $650 million expansion project is to be done in late 2011.

The city originally opened proposals for this project, primarily the relocation of railroad lines, on May 28. The project’s cost had been estimated at $13.56 million.

The proposals ranged from $18.18 million to $20.21 million.

At the city’s urging, V&M agreed to scale back the project by eliminating several rail switches and other items that the company decided are not essential to the needs of the new facility.

Because stimulus money is being used to pay for the project, ODOT and FHA need to approve the changes, Shasho said.

On Friday, the Youngstown Board of Control voted to hire Parella Punnunzio for $3,549,126.13 to install water and sewer lines and to reconstruct and expand Roger Lindgren Way, the main road to the V&M expansion facility.

Parella’s proposal was the lowest among the four companies seeking the work.

The project on the 1.8-mile road should begin by the end of the month or early October and take up to 120 days to be completed, Shasho said.

V&M will reimburse the city’s costs for this project.