MERGE project update keeps U.S. 34 work on track with cost estimate of $160 million to $190 million

The MERGE highway project remains on schedule as Greeley refines a new estimated cost of $160 million to $190 million for the U.S. 34 portion of the work. City staff told council the project’s major milestones are on track, with 30% design progressing, environmental review underway and procurement continuing for a construction manager/general contractor.

The update came during Item 6 of Tuesday’s City Council work session, where Public Works outlined recent progress since June. The city has executed its federal RAISE grant agreement, issued the 30% design task order, advertised for CM/GC services and improved coordination with the Colorado Department of Transportation. Near-term milestones in the presentation include completing the qualifications review by Aug. 14, conducting CM/GC interviews Aug. 26 and onboarding the contractor in the third quarter of 2026.

Council Member Johnny Olson said bringing the contractor in early should give the city a clearer picture of both cost and timing. He said the contractor will prepare a rough-order-of-magnitude estimate and a detailed scheduling process, adding that within about six months the team should have "a pretty good idea" of the project scope. Olson said he believes the project is in "a really, really good spot to execute."

After Olson asked about the city’s relationship with CDOT, a city staff member said the agencies now have a good rapport with assigned project manager Ben Rouse and that communication channels have opened up. Olson replied that CDOT had been "great to work with" and was helping move the project in the right direction.

The city’s presentation said the updated cost estimate will continue to be refined through design and CM/GC preconstruction. It identified four main factors behind the range: design development, interchange refinement, utility coordination and construction market conditions.

Funding remains a central issue. Olson said Greeley has already received two major federal grants for the project, and a city staff member said the city has identified a path forward but is still working through how to match available dollars with what Greeley can afford. Staff said council should get a more detailed discussion of funding sources and the local financing mix in October and again in December.