CAPE CHARLES, Va. — The Cape Charles Town Council has approved a construction contract for a new municipal building, advancing a long-planned project intended to bring the town’s legislative, administrative and police operations under one roof.
Town officials said the new facility is part of the Community Strategic Plan adopted by the council and is designed to improve public services by consolidating key government functions into a modern municipal building.
The project has been in development for several years. Plans and specifications were prepared by HBA Architecture. While the building was initially proposed for an undeveloped town-owned parcel on Cassatt Parkway, officials later shifted the site to seven town-owned parcels at the northeast corner of Randolph Avenue and Fig Street in an effort to reduce site development costs.
An invitation for bids was issued April 10, with an original deadline of May 22. That deadline was extended to June 9 at the request of potential bidders because of the Memorial Day holiday. Town officials received seven bids for the project, ranging from $6.22 million to $8.33 million.
The lowest bid, $6,220,779, came from Hoy Construction Inc. of Norfolk. Town staff said the company, which has been in business since 1933, is a well-known Virginia builder that holds the appropriate state contractor license and is not debarred from public work. Officials also said the bid was in line with the project’s cost estimate and was determined to be both responsive and responsible.
Under the action approved by council, the town manager is authorized to award the construction contract to Hoy Construction and establish a 5% contingency reserve of $311,039 for the project.
The town’s fiscal year 2027 budget includes $5 million for the municipal building to cover anticipated progress payments through June 30, 2027. Because construction is expected to take about 420 days, the remaining project costs will need to be included in the fiscal year 2028 budget. Officials noted that the allocation between the two fiscal years may be adjusted as construction moves forward.
The new municipal building is expected to serve as a long-term home for town government operations and public safety services, replacing scattered facilities with a centralized campus intended to better serve residents.
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