HomeMy WebLinkAbout8.6 Maint Facility Lease
CITY CLERK
File # D[Z]~[3J-[Z]~
AGENDA STATEMENT
CITY COUNCIL MEETING DATE: August 5, 2008
SUBJECT:
ATTACHMENTS:
RECOMMENDATION:
11#
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FINANCIAL STATEMENT:
DESCRIPTION:
Background:
Presentation Regarding a Temporary Maintenance Facility and
Authorization to Begin Negotiations to Lease a Suitable Site
Report Prepared by: Melissa Morton, Public Works Dir~
None
Receive the presentation, provide comments as appropriate, and
authorize Staff to begin negotiations to lease a suitable site for a
temporary maintenance facility up to 7,500 square feet for a term
not to exceed 10 years.
The cost to purchase land and construct a Maintenance Facility that
includes an Emergency Operations Center is currently estimated to
be approximately $16.5 Million. The City does not currently have
adequate funds to acquire land and build this facility, but has set
aside $1.5 Million for the future construction of a permanent facility.
In the interim, the Fiscal Year 2008-2009 budget includes $100,000
for the creation of a temporary maintenance yard on a leased site.
Future costs to continue to lease a site are estimated at $80,000 per
year.
On January 15, 2008, the City Council received a presentation on the Programming Study for the
construction of a maintenance facility and emergency operations center. The Study examined the
personnel needs, functions and infrastructure demands of a maintenance facility, including provisions for
an Emergency Operations Center (EOC). The choice to include an EOC in this future facility was based
on the Civic Center not being deemed an optimal location for an EOC due to its proximity to the 1-580
and 1-680 freeways.
COpy TO:
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ITEM NO. <? .~
G:\CIP\Maintenance Facility Study\Agst Temporary Yard - REVISE.doc
In examining the potential needs of the City for a maintenance yard, the consultant compared the City of
Dublin to several other comparable cities and operations, but took into account the City's uniqueness as
maintenance operations are conducted using contract personnel, and do not include sewer or water
maintenance, golf courses or airports.
The cost estimate included certain minimum needs for grading and utilities for a given site; however,
without a specific site yet designated, these estimates are considered fluid. While the long range plan for
the facility calls for more than five acres, for funding purposes; Staff has assumed the use of a five-acre
site at an estimated $1.2 million dollars per acre. Although the report calls for a larger site by the year
2020, Staff anticipates that the site can be designed to accommodate buildout without additional land area.
Consequently, the total cost of the Maintenance Facility in 2008 dollars, including the EOC, is $16.5
million dollars, as illustrated in the table below:
Work Component
Site Work
Open Space
Administration and Crew Space
Shop Space
Land Acquisition Cost
Details
Cost
$1.2 Million per acre
Total Cost:
$3,646,905
$ 684,125
$3,473,200
$2,694,240
$6.000.000
$16.5 Million
Grading, Utilities, Drainage
Landscaping and Paving
Administration Building
Civic Center Expansion Proiect
The Civic Center Expansion Project report discusses the reliance on the creation of a new maintenance
facility to provide additional space at the Civic Center by relocating members of the Public Works
Department Staff to the new facility. Funds are not currently available to complete the expansion of the
Civic Center, making the relocation of Staff to the temporary maintenance facility very important to any
interim measures taken to accommodate growing staff needs.
In addition, the current maintenance yard at the end of Scarlett Court would require over $180,000 to
complete needed improvements to insure that the site complies with the Americans with Disabilities Act
(ADA) requirements and is safe to house contract Staff. The current site is so constrained that parking the
number of vehicles assigned to the City in the future will not be possible.
Interim Proiect:
To insure the most effective service delivery and the safety of contract and City personnel serving the
community in various capacities, the City Manager proposed in the 2008-2009 City budget funding to
enter into a lease to create a safe, effective temporary maintenance yard. The City Council concurred with
the City Manager's recommendation.
This temporary maintenance yard would be used until such time as the funds to build a permanent
maintenance yard become available. Having the necessary space to operate more effectively will not only
satisfy the goals for service delivery and safety, but will also help to make certain that the longevity of the
beautiful parks, landscaping, streets and buildings is sustained.
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In addition, since funds to expand the Civic Center are currently unavailable, it is proposed to incorporate
the relocation of certain Public Works Department and Building Division Staff into the plans for the
temporary maintenance yard. This would allow the operations trailers in the Police Services parking lot to
be utilized by Police Services personnel, thereby relieving some of the pressure for space in the Police
Services Building. In order to further relieve space needs at the Civic Center, it is also proposed to
examine moving into the temporary facility all of the remaining Staff that would have moved to the
permanent maintenance facility in 2009-2010.
Staff has investigated several appropriately zoned and centrally located sites that are presently available
for lease with building space from 4,000 to 7,500 square feet. This amount of building space could
accommodate the City's maintenance space needs for five to ten years, depending upon the City's
population growth. A central location within the center of the City and close to the Civic Center would be
ideal in minimizing Staff travel time. In all cases, the spaces would require tenant improvements, the cost
of which has been included in the FY 2008-2009 Budget.
It has been determined that there are currently no buildings available for purchase within the City that
would meet the maintenance facility space needs. From a fiscal perspective, leasing space at this time is
deemed financially prudent for the City given the surplus of building space on the market and the
favorable leasing rates.
One hundred thousand dollars ($100,000) has been budgeted in FY 2008-2009 to relocate the existing
maintenance yard to a leased space. The approximate annual cost to lease a space up to 7,500 square feet
with all the tenant improvements is $80,000. The remaining budget amount would be used to provide
utilities and equipment, such as phones and computers, to connect with other City facilities.
Recommendation:
Staff recommends that the City Council receive the presentation, provide comments as appropriate, and
authorize Staff to begin negotiations to lease a suitable site for a temporary maintenance facility up to
7,500 square feet for a term not to exceed 10 years.
Staff will bring back a negotiated lease agreement for the City Council's approval at a future meeting.
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