How does Warwick complete construction of new Pilgrim and Toll Gate high schools if the $350 million approved by voters doesn’t do the job?

Mayor Frank Picozzi wrestled with that question Tuesday following Monday’s meeting where the council shot down Ward 5 Councilman Ed Ladouceur’s resolution to hold a special election to give voters the option of cutting off funding for the schools’ construction.

“We still have a problem,” Picozzi said, acknowledging that while there was an engaged discussion over the cost of the schools and what it could mean long-range for taxes, there was no resolution to how to finish the schools when the $350-million bond issue approved by voters in 2022 runs dry. The legislation on the $350 million specifically says any premium earned on the bond is not to be used on the project or for school expenditures. Premiums would go toward debt service and other costs, the mayor said.

Additionally, Picozzi is not confident in the $23-million shortfall projected by LeftField, the firm managing the project . The $23 million consists of a $17 million contingency to address unforeseen expenses during construction, which leaves $6 million in projected overbudget expenditures.

But, Picozzi points out, not until all the bids are in is there any certainty over costs.

Picozzi rules out the use of $30 million in city reserves. He notes some of those funds will be needed to balance out the school operating deficit in the fiscal year ending June 30. More critical, he said, would be the impact on the city’s bond rating, making city bonds less attractive to investors and driving up city borrowing rates.

Another bond, which would require voter approval most probably in a special election, is another option. “I’m not a fan of special elections,” said Picozzi.

Nonetheless, a special election is on the table and at this point would appear to be the most viable option.

Keeping the project within the $350 million would be preferable, however.

“We have got to find another way to scale down the project,” Picozzi said. He suggests looking at the athletic fields, which according to the plan would be built on the sites of the existing schools once the new schools open. Might the fields at Veterans Memorial Middle School and the Mickey Stevens Sports complex serve the high schools?

“We’ve got some work to do,” said Picozzi.