What do you do if your urban planning project is over budget?

Addressing an urban planning project's budget overrun requires a careful approach. First, it's important to identify the reasons behind the overspending. Next, review and adjust the project scope to align with the available funds. Prioritize critical expenditures and explore additional funding sources, such as seeking grants or negotiating with contractors and suppliers. Implement cost-saving measures wherever possible, and closely monitor expenses throughout the project. Engaging in open communication with stakeholders is crucial to manage their expectations and gain their support for addressing the budget challenges.

When facing a budget overrun in a project, it's crucial to conduct a comprehensive expense review. Look for opportunities to trim costs without compromising quality. For instance, reducing the size or caliper of trees in streetscaping can lower landscaping expenses. It's also essential to incorporate contingencies into the budget to handle unforeseen costs. Consider phasing the project to spread expenses over time and prioritize critical elements. Regular monitoring and adjustments ensure financial discipline and project success within budget constraints.

In Urban Planning, "Cost Benefit Analysis" for project selection must be conducted to rationalize the benefits for choice of project. Overspending in any urban project clearly show lapses in public engagement which overrules the aspect of "Planning With" and not "Planning For". A review of the project schemes and scope to cut down the budgeted cost will definitely necessitate a comprehensive review of the entire Urban Planning Program just to arrive at same expected benefits of the project.

Waiting for a better time to apply the project on earth or trying to modify the work until the Budget and the volume of work will compatible .

Attempt to optimise spaces, different functions can be housed in the same space so you don't have to design a separate space for each function.

Prioritize spending on critical project elements to ensure that essential goals are met within the available budget. Identify non-essential or optional elements that can be scaled back or deferred to reduce costs.

What do you do if your urban planning project is over budget? "... cutting corners that compromise the project's quality or long-term viability is not a sustainable solution." - That is where urban planning enters and should be taken far more seriously than a "wishful thinking" or a "guideline", there is no overbudget in urban planning otherwise we will end up in the same situation as current one - a development according economic parameters and not the safety and wellbeing.

In most of the planning projects ( RP / DP/ZP/TP) , it is mostly to do with setting a frame work. Rarely one has to give a detailed DPR with costing. Costing comes to the picture for the infrastructure (Roads, Water, Drainage, Power etc.) required to fulfill the planning set. These are taken up separately, usually a few years after the urban plan is accepted. The only thing important till the approval of the plan is Land requirements. It is the cost that matters the most. An Urban planner has no say or a control over it. In such a scenario, worrying and working too much about the cost is not advisable. Planning projects run into decades before they are fully realised. A regular audit, appreciation and corrections can help.

During the planning phase of urban projects, we have the flexibility to adjust our plans, prioritize certain processes, or seek new private-public sponsorships when faced with constraints in financial resources. However, the most daunting challenge arises when our calculations change during the implementation stage of ongoing projects. I believe discussing this challenging situation in the next article would be beneficial.

Document lessons learned from the budget overage experience to inform future projects and improve budgeting practices. Identify key factors contributing to the budget overrun and strategies for mitigating similar risks in future projects.

My projects never exceed the budget as a surprise. You see it coming weeks or months before. That is the moment to discuss the situation with the client or the board. And choose the best solution.