Construction on the new dormitory and stadium addition at Paul Snow Stadium, which university officials had hoped to begin in November, has been delayed until Dec. 1.Jacksonville State University, which had planned to finance the project with a $65 million bond, is looking into short-term financing to begin the work, while keeping an eye on the bond market.
“Right now, we are looking for short term financing to get the project going, borrow about $10 million from local banks and other things to get the project going. We’re not going to issue bonds until we know the bond interest rates are going to be lower. Right now they’re about 6.5,” said JSU President Dr. William Meehan, adding that JSU plans to re-evaluate the bond market sometime after the end of the year.
On Nov. 24 the Jacksonville City Council will be holding a public hearing and vote to determine if Cole Drive, which runs behind the stadium, will be vacated to allow the project to move forward.
If construction is able to move forward as planned, the new dorm would sit atop Cole Drive. One issue at the heart of the street vacation debate is the sewer lines beneath the street and the cost involved in moving and upgrading them to handle the growth.
Meehan said lawyers for the city and university have met to finalize a tentative agreement splitting the cost of sewer improvements. Under the arrangement, JSU will pay for all improvements at the construction site as well as all other improvements needed except the expansion of a current 30-inch pipe leading into the wastewater treatment plant. The cost of replacing that pipe will be covered by the city.
Last week, bids were finalized on the project, though Meehan said the contracts wouldn’t be officially awarded until financing is solidified.
“The bids were not as low as we would like for them to have been. I wanted the economy to affect it more than it had,” said Meehan.
