The Virginian-Pilot
                             THE VIRGINIAN-PILOT 
              Copyright (c) 1995, Landmark Communications, Inc.

DATE: Wednesday, May 3, 1995                 TAG: 9505030434
SECTION: LOCAL                    PAGE: B3   EDITION: FINAL 
SOURCE: BY KAREN WEINTRAUB, STAFF WRITER 
DATELINE: VIRGINIA BEACH                     LENGTH: Medium:   54 lines

PROPOSED AMPHITHEATER'S COST GROWS

The proposed amphitheater will cost taxpayers about $14.5 million - nearly $1.8 million more than originally planned - because of the city's poor soil, the City Council was told Tuesday.

Last month, the council unanimously approved the concept of building an amphitheater. The details of the business deal were left to be decided by a separate vote, expected to come next week.

Under original cost projections, the outdoor performance space was supposed to cost the city $8.8 million and private partner Cellar Door Productions about $7 million in construction costs.

But preliminary engineering studies have shown that construction costs were underestimated. According to a report presented to the council Tuesday, poor soil and a high water table are pushing up construction costs.

Amphitheater stages are usually dug into the ground, and that dirt is used to build the earthen berm that provides most of the seating. Because there is water so close to the surface, it is virtually impossible to set the stage into the ground, City Council member W.W. Harrison Jr. said, and extra deep pilings will be needed to support the stage's canopy roof.

The city will pick up the added construction costs, for a total of about $10.5 million. The city will also pay about $4 million for infrastructure, including two roads and several detention ponds, at the amphitheater site, off Princess Anne Road at North Landing Road.

Harrison, who has led the council charge to build the stage, said Tuesday that he is ``elated'' that other council members seem willing to support the project, even at the increased cost. Harrison estimates that revenue from the theater will return the city's investment in the project in about seven years.

The council discussed the price change during an executive session Tuesday afternoon, and, at a budget workshop later in the day, informally agreed to add the $1.8 million to the city's spending plan for next year. The council is expected to approve operating and capital budgets for 1995/96 on Tuesday. MEMO: PAYING FOR AMPHITHEATER

City costs:

Construction $10.5 million

Off-site improvements $4 million

Cellar Door contribution $7 million

Total cost $21.5 million

KEYWORDS: VIRGINIA BEACH CITY COUNCIL BUDGET by CNB