Lyme - About 30 residents approved raising the spending cap for the Town Hall and library project from $4.7 million to $5.08 million at a special town meeting Monday.

The vote gives the town final approval to begin expanding and renovating the two buildings.

But raising the spending limit won't result in additional town expenses, since the Lyme Public Library has offered to fund the additional $380,000.

Last year, residents approved $4.7 million for the project, with the requirement that grants or private donations fund $1 million of that amount. The project will expand the town hall to 5,000 square feet and build a community room at the library.

The renovations, slated to be completed in 14 to 16 months, also add an expanded vault and transform the main building of Town Hall from offices into a meeting hall.

The town has since raised "well over" its $1 million goal, said First Selectman Ralph Eno.

Bids for the construction project had come in over budget, said Town Campus Center Building Committee Chairman Dan Hagan. After rejecting a first round of bids and implementing cost-saving measures, the bids were more competitive but still more than expected.

Within a few days, the Lyme Public Library's board of directors and its financial branch, the Lyme Public Library Inc., had offered to fund the $380,000 shortfall from its endowment.

The town will now begin preparing for construction, said committee member Janis Witkins. A trailer to house town meetings or offices for town employees, when needed, will be available Oct. 7, and a groundbreaking ceremony will be held at 9 a.m. Oct. 17.

k.drelich@theday.com