Tumwater committee recommends additional funding for project at 2nd and Linwood avenues 

The peanut-shaped roundabout being constructed at the intersection of 2nd and Linwood avenues in Tumwater requires additional funding.

As a result, the Tumwater Public Works Committee recommended authorizing Transportation and Engineering Department Director Brandon Hicks to increase the contractor’s budget up to a limit of $4.25 million if needed. 

Active Construction Inc.’s contract was originally for $3.54 million. The director has authority to increase public work contracts by up to 10 percent to cover unplanned expenses. Ongoing costs have accrued to $3.68 million, but staff projects costs to go above the 10 percent limit. 

Should the Tumwater City Council accept the committee’s recommendation, Hicks would be able to raise the contract by 20 percent, or up to an additional amount of more than $700,000. The council is scheduled to consider the issue at a meeting on May 19.. 

In a committee meeting on May 7, Tumwater Construction Manager Colby Fletcher said the roundabout aims to address the problematic configuration of the current intersection. 

The project also includes pedestrian and bicycle improvements, stormwater upgrades and roadway reconstruction on 2nd Avenue. 

Crews are currently working on demolishing the current intersection, installing stormwater sewers and reconstructing the road from B Street to H Street. Several issues have arisen that have driven up the price tag. 

Fletcher noted significant increases in asphalt and fuel costs due to macroeconomic trends. The project was bid on Oct. 2, 2025, using a base fuel cost of $4.16, but the procurement fuel cost in April 2026 had risen to $6.12.

The condition of the existing roads that need to be replaced has also complicated the issue, as the roads are in worse shape than originally thought. 

Construction crews also encountered underground utility conflicts, including hidden gas lines and sewer pipes that weren't on official maps.  There were utility pipe connection points that were more deteriorated than originally thought, requiring crews to extend the pipes further.  Drainage plans also had to be adjusted due to these issues. 

A significant amount of additional bedrock was also not planned for and required excavation outside the original scope of the contract.  

Council member Angela Jefferson, a member of the committee, asked if the requested 20 percent increase would be sufficient to cover further market volatility. Fletcher said it would be enough based on extremely conservative projections. 

He estimated the project would likely finish around 14 percent over the original budget, though exact estimates are difficult as the contractor is doing more underground work, which is when issues are typically discovered. 

The project, which broke ground on Jan. 21, is expected to be substantially complete by August or the start of the next school season, Fletcher said. 

Funding for the project includes a $2.1 million grant from the Washington State Department of Transportation’s Safe Routes to School Program.

The balance and additional cost overruns would be covered by revenue from the city’s Transportation Benefit District and from the Capital Facilities Plan funds.