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Identical letters sent to Messrs. Nedzi, Yates, Levitas, Byrd and Stevens

[[stamped]] APR 10 1980 [[/stamped]]

Honorable Claiborne Pell
Chairman
Committee on Rules and Administration
United States Senate
Washington, D. C. 20510

Dear Mr. Chairman:

Recent sharp increases in construction cost indicators prompt me to share with you our concern for the Institutions proposed Museum Support Center and our plans to ensure the uninterrupted development of this important project.

P. L. 95-569 approved by the President on November 2, 1978, authorized the proposed 338,000 sq. ft. Museum Support Center for the Smithsonian Institution at Suitland, Maryland. Appropriations in FY 1978, FY 1979 and FY 1980 provided a total of $21.5 million for the planning, design and construction of the facility. 

With the availability of funds in FY 1979, progress on the project has proceeded in an expedited, but orderly manner. Currently an architectural-engineering firm is completing the requisite plans, specifications and other construction bidding documents, which are due at the end of May 1980. Bidding is to follow in July and August, and a construction contract is scheduled for award on October 1, 1980.

In developing this project, the Smithsonian Institution, assisted by the General Services Administration and the architect engineer, has proceeded with a design budget based on a projected inflationary cost increase of between 8 and 10 percent per year. At major milestones in the development, project reviews resulted in design decisions to ensure that the emerging Support Center would be within the authorized and funded scope. This process eliminated many desirable features but retained those essential to the proper functioning of the facility.