A project that will create housing for city staff and medical workers will need to go back out for bid after the lone response to the first request for contractors was higher than hoped.

The More Ranch Employee Housing project will create 21 units for Steamboat Springs and UCHealth Yampa Valley Medical Center employees. A lack of housing for incoming employees has been a barrier to hiring for both entities.

In his report last week, Steamboat Springs City Manager Gary Suiter wrote that the lone bid came from a Denver-based company with no experience building multi-family housing in the past.

The architect on the project recommended the city and hospital reissue a request for proposals to local companies in an attempt to garner more interest in the Yampa Valley.

“We got a high bid on that,” Suiter said. “We are going back out for proposals to try and generate interest with local companies.”

Eli Nykamp, director of operations at UCHealth Yampa Valley Medical Center said they hope to find a qualified residential contractor in the next two months, with construction on the project starting sometime this summer.

“The need for employee housing is ever-present, and we are hopeful to break ground on the project this summer,” Nykamp said.