The Waverley underpass could come in well under budget.

A report to Winnipeg’s finance committee says the $156 million dollar price tag could drop by $35 million dollars.

The report says the surplus is due to favourable pricing and work being done on schedule.

“The above projection is based on the fact that a majority of the work has been contracted with favorable pricing. In addition a number of risk factors have been reduced including delay risks surround(ing) the road/rail detours implementation as well as completion of a number of utility relocations.”

But city officials are recommending the budget not be changed as there are ongoing issues with subsurface soil and groundwater conditions that could require contingency funding.