A new report on the Idaho Transportation Department’s former State Street headquarters in Boise estimates it would cost at least twice the amount of money the Idaho Legislature provided earlier this year to renovate the flood-damaged property. 

It’s not clear what happens next to the empty and contaminated property. But one thing is sure – the state did not set aside nearly enough money to get the building back in safe, usable condition for state employees.

The issue involves the Idaho Transportation Department former Boise headquarters located at 3311 W. State St. On Jan. 2, 2022, the building flooded, was contaminated with asbestos and all ITD employees working at the building were displaced, according to court and ITD records.

Mold was also detected at the property, ITD officials said.

The building, which was completed in 1961, has sat vacant since 2022. Other buildings on the 44-acre campus have been in use since the flood, state officials told the Idaho Capital Sun.

The Idaho Transportation Department board declared the State Street property “surplus property” the summer after the flood, which paved the way for the entire 44-acre campus the headquarters sits on to be sold.

But in March, the Idaho Legislature suddenly blocked the $51.7 million sale of the State Street campus to a group of developers that included Hawkins Companies, FJ Management and Pacific West Communities.

Legislators argued it would be a better deal for the taxpayers to block the sale, hold on to the State Street campus, renovate it and use it for state employees again. Legislators agreed to provide $32.5 million to renovate the building, based on a rudimentary, sight-unseen estimate provided by the Idaho Division of Public Works. The estimate from the Idaho Division of Public Works was not a full estimate and did not take into account the amount of flood damage or HVAC repairs, the Idaho Capital Sun previously reported. 

Then on Thursday, the Idaho Transportation Department released a new 207-page “Property Condition Assessment” report. The new report lists repair estimates ranging from $64 million to $69.4 million.

The $64 million “level 1” estimate provides the estimated cost to allow state employees to move back into a safe, secure and comfortable building that meets the same standards as a typical state office building.

The $69.4 million “level 2” estimate includes all level 1 upgrades, plus a new fire suppression sprinkler system and recommendations for an open floor plan design to allow longterm occupancy and adaptability, according to the report.

Architects and consultants with CSHQA completed the property condition assessment report that includes the $64 million and $69.4 million estimates. Notably, the assessment is not a formal repair bid, so actual renovation and repair costs could vary from the assessment.

Rep. Wendy Horman, the Idaho Falls Republican who serves as co-chair of the Joint Finance-Appropriations Committee, said legislators took action based on the $32.5 million estimate provided by the Idaho Division of Public Works.

“We used the numbers that were provided to us,” Horman said in a phone interview Thursday. “So it is interesting to see such a large discrepancy between what was provided to us and acted on in good faith during the legislative session and these new numbers.”

Horman said she does not know what comes next for the ITD State Street campus. She said it will be a discussion point during the upcoming 2025 legislative session, and she expects to get to the bottom of the discrepancy between the estimates.

“It is interesting to see that nine months later we are given one (cost estimate) that is essentially double,” Horman added.

When asked what will happen next, Idaho Transportation Department officials provided the Sun with a written statement saying they will take the latest estimates to the Idaho Transportation Department board in January. ITD officials also said they will seek a building design.

“Based on current legislative direction, ITD will continue to work with (Idaho Division of Public Works) to advance the project,” the statement read. “In the current assessment, CSHQA has identified extensive repairs due to the age of the building, the flood damage and the subsequent deferred maintenance since the 2022 vacancy. A building design will provide the necessary detail to execute the rehabilitation work and provide a more accurate cost estimate. This estimate would inform ITD’s appropriation request, as needed, in future fiscal years.”

Inside of former Idaho Transportation Department Boise headquarters looks like disaster site

ITD officials allowed the Idaho Capital Sun and other local journalists to tour the inside of the flood damaged property on Thursday. 

Even three years after the flood, a damp, musty smell permeates the building.

Numerous walls, ceilings, carpets and floors show visible water damage stains.

Crews drilled dozens of holes in many of the building’s interior walls to help water escape and walls dry after water flooded down the walls and elevator shafts, ITD officials said.

Exposed electrical wiring, tangles of twisted metal and pieces of broken wood are scattered across some of the hallways. 

Chairs and desks are stacked haphazardly, and in some cases toppled in piles.
Emergency exit signs have been ripped from ceilings and dangle from loose wires.

Elevator doors are propped open.

The heat and lights only work in some parts of the building.

Despite the contaminated mess, stained ITD coffee cups still sit on some of the desks, project notes are still scribbled in red marker on whiteboards and even a few Christmas decorations from 2021 are still affixed to office doors and windows.

In short, it looks like a disaster scene.

When the would-be buyers including Hawkins Companies made the high bid for the State Street campus, they planned to demolish and build new, not renovate the flood-damaged building.