Minneapolis city officials said changes in the new Nicollet Mall design are necessary to attract more bidders after the one construction proposal it received came in 40 percent higher than budgeted.

Only Golden Valley-based Morcon Construction bid on the project in December. At $58 million, the bid was significantly higher the $35 million construction budget. The overall project budget remains at $50 million.

Minneapolis public works director Steve Kotke said contractors seemed to show a lot of interest in the project so it was surprising to receive only one bid. But he said altering design details may help start a competitive bidding process again in March.

"We have a pretty good understanding of some of the challenges that the project posed for the contractors," Kotke said. "So we're going to be looking at trying to make some modifications to make the design and the contract more attractive to contractors."

Kotke said the overall vision for a new Nicollet Mall will remain the same with new streetscape, landscape and artwork. But a design team is looking at alternatives to surface materials like the concrete pavers that contractors may have thought were too expensive to do themselves.

"We're doing what some people refer to as value engineering. It's taking a fresh look at a lot of the materials that we're using," Kotke said. "Is there another way of really accomplishing what we wanted to accomplish but in a manner that works better for contractors and also reduces the cost?"

Underground utility work has already begun on the old sanitary sewer that dates back to the 1880s. That work will continue throughout the winter.

The overhaul is anticipated to be done in the fall of 2017.