ATTLEBORO - With a deadline looming to make a final decision on a sweeping plan to revitalize downtown, some officials are suggesting the city's price tag may be more than the $2.4 million requested for first phase of the project.

How that will affect the approval process has not been determined, but officials are under pressure to approve the project by the end of this month or risk losing federal money for it.

Last week, Mayor Kevin Dumas submitted a loan order for $2.5 million which includes $2.4 million for the project plus an additional $100,000 for bonding costs But Tuesday, the co-chairman of a special committee to analyze funding for the project told the city council he'd be "more comfortable" with $3 million because of likely inflation costs.

And some councilors have suggested ongoing negotiations for property acquisitions could drive up the cost, as well.

Paul Danesi, co-chairman of a committee from Friends of Attleboro Interested in Revitalization said he'd urge a $3 million loan. "We'd probably recommend going for a $3 million bond order given things that are going on. We'd recommend being a little more realistic rather than running short," he said.

But council finance committee Chairman Frank Cook, who's in charge of guiding the loan order and the urban renewal plan needed for the project through the council, said he's not persuaded that the bond needs to go up.

"That's the number the ARA gave us and I'm not convinced we need more money," he said.

A public hearing on the $2.5 million is slated for Tuesday.

If the amount has to go up, he's not sure if a new public hearing is needed. If it is, it would put off funding action for at least two weeks because of advertising requirements.

Discussions will continue over the next week in an effort to iron out the issues, Cook said.

"We may have it all worked out by next week," he said. "And I think the public hearing next week will resolve some of these issues."

Cook said the goal is still to vote the loan order and the urban renewal plan on either March 20 or March 27.

Dumas was not available for comment Tuesday night.

The $2.4 million submitted by Dumas reflects today's dollar value. But by the time the Attleboro Redevelopment Authority starts spending money, possibly well into the next fiscal year, inflation is likely to boost the price tag, Danesi said. U.S. Rep. Jim McGovern has said action needs to be complete this month to get a new federal grant for the project which is heavily dependent on federal funds and to safeguard the $10 million already earmarked.

The entire price tag for the first phase, known as Phase 1A, which includes land acquisition over a 32-acre parcel carved out between the Ten Mile River, the Amtrak rail road, County Street and Olive Street is about $14.7 million. Federal funds and land sales are included in the funding.

Danesi made his comment in response to a question from councilor Bill Bowles who has suggested costs could go up because of ongoing negotiations for land acquisitions.

Councilors are pushing for "fair treatment" of two businesses that lie in the path of the project. Both are protesting what they consider low offers by the ARA.

Meanwhile, the ARA claims it has tight legal constraints about how much it can offer creating a stalemate.

GEORGE W. RHODES can be reached at 508-236-0432 or at grhodes@thesunchronicle.com.