Nevada state psychiatric hospital over budget

LAS VEGAS - Construction of a 150-bed state psychiatric hospital is almost 11 percent over budget, with officials blaming inflation and rising building costs.

Gus Nunez, deputy state Public Works Board manager, said he'll ask the state Legislature's Interim Finance Committee next week for more money needed to keep the project on track for completion by April 10, 2006.

"We trimmed back the project as much as we could while still providing the necessary number of beds and administrative offices," Nunez said. "If we get this funding approved, we can still deliver the project on time."

The board initially estimated the cost of the southern Nevada facility at $25.7 million. The low bid in December by Sletten Companies was $27.8 million. The Legislature allocated $32.2 million for design and construction.

Nunez said inflation of 1 percent per month has since raised the cost estimate to about $35.7 million.

Some legislators called a request for more money reasonable, citing a critical need for mental health services in southern Nevada.

But state Sen. Sandra Tiffany, R-Henderson, complained about the rising cost and said the state should contract services out to private hospitals.

Nunez said he'll also ask the Interim Finance Committee to release about $8 million for the second phase of the project early. The second phase would add 40 beds.

The hospital is being built next to a 131-bed Southern Nevada Adult Inpatient Psychiatric Unit in Las Vegas.

Clark County officials last July declared a public health emergency, saying mentally ill patients were clogging emergency rooms. In August, the state opened a 28-bed interim facility.