Fiscal Note
This resolution amends the 2007 Capital Budget by increasing the budget authority of the Administrative Offices project (Miscellaneous - Project 5) by $682,000 $620,000. This additional authority will be funded by an increase in General Obligation borrowing. Since the 2007 borrowing has already been finalized, this additional borrowing will not occur until 2008 and will be internally financed until that time.
The related debt service costs are expected to average approximately $88,000 $77,000 over the next ten years.
The authority for this borrowing was not included in the proposed 2008 Executive Capital Budget and must be included in the 2008 Capital Budget by amendment.
Title
SUBSTITUTE - Amending the 2007 Capital Budget to allow for the completion of Phase Two of Facilities Management's project to improve City offices in the City County Building and the Madison Municipal Building, specifically, the Comptroller's Office, Traffic Engineering, Housing Operations, and Community and Economic Development Division, and Health.
Body
PREAMBLE
The City of Madison in 2005 and 2006 purchased from Dane County approximately 25,000 square feet in the City County Building. This additional space created opportunities for city agencies located in the City County Building and the Madison Municipal Building to relocate, expand or merge offices as part of a multi-year effort.
Phase One, which is being completed in summer and fall of 2007 consists of the City of Madison Parks Division moving from the Madison Municipal Building to the first floor of the City County Building;. In addition, Phase One included locating and consolidating the Department of Civil Rights and Information Technologies on the 5th floor of the City County Building; expanding the Madison Police Department into GR10 of the City-County Building;, and expanding Municipal Court offices on the 2nd floor.
Phase Two consists of the Housing Operations moving to the first floor of the Madison Municipal Building, Traffic Engineering expanding into the space previously occupied by Affirmative Action, and the Comptroller expanding into space vacated by Information Technologies on the 4th floor of the City County Building.
In addition, Phase Two also involves moving the Economic and Community and Economic Development Divisions of the Planning and Economic and Community and Economic Development Department to the 3rd floor of the Madison Municipal Building to make way for the development of the Development Services Center on the lower level of the Madison Municipal Building in 2008-09.
In 2005 and 2006 the City borrowed $500,000 and $1,155,000 respectively, to pay the County for the new office space and to begin the design work for Phase One.
According to the Adopted 2007 Capital Improvement Program an additional $4.5 million is planned to be borrowed ($2.0 million in 2007, of which $500,000 was reauthorized), $1.5 million in 2008 and another $1.0 million in 2009.), with the total for Administrative Offices under the Miscellaneous section of the budget for 2005-2009 is $6,155,000.
In addition the Adopted 2007 Capital Improvement Program also included a CCB remodel of the Police Administration and Central District Offices for $750,000 in 2008 and $750,000 in 2009 for a total of $1,500,000.
The creation of the Development Services Center (Your One-Stop Shop) was not budgeted in the 2007 Capital Budget.
In 2005-2006 a total of $1,655,000 was borrowed for the purchase of the office space in the CCB and for some of the design and construction work for Phase One. In 2007, a total of $1,500,000 was budgeted for:
This budget amendment is needed because the original scope of work for much of these areas only included new carpet and painting. However, through the design process it was determined that additional issues needed to be addressed such as, replacing the ceiling and upgrading the lighting throughout the remodeled area, upgrading to the fire alarm system as requested by the Fire Marshall, purchasing modern office furniture, creating additional offices, and creating a hearing room.
To complete Phase Two construction a budget amendment in the amount of $682,000 is needed. This additional funding is needed for the following specific reasons:
- $150,000 - Additional ceiling replacement in the current Comptroller's office,
- $225,000 - Additional office remodeling in the current Comptroller's office,
- $100,000 - The creation of a hearing room in the new MMB Traffic Engineering space, the creation of an office for the Assistant City Traffic Engineer, and a new program specialist office,
- $120,000 - Additional office remodeling in the Economic and Community and Development Division space on 3rd floor MMB with the creation of an office and meeting room for the Director of the Economic and Community Development Division of the Department of Planning and Economic and Community and Development.
- $25,000 - To remodel the reception counters in the Clerks office, and
- $62,000 - For additional upgrades to fire systems and other miscellaneous items.
Completion of design and construction work for Phase One
Furniture and Equipment for Phase One
Design work for Phase Two
Construction of Phase Two
At the time the 2007 budget was adopted, a full estimate for construction costs were not available.
Of the $1,500,000 we have encumbered approximately, $1,300,000 on completing the design, construction, and purchase of furniture and equipment for Phase One, and design of Phase Two. To complete Phase Two construction we need a budget amendment in the amount of $620,000.
This additional funding is needed for the following:
- $150,000 - Additional ceiling replacement in the current Comptroller's office,
- $225,000 - Additional office remodeling in the current Comptroller's office,
- $100,000 - Additional office remodeling and the creation of a hearing room in the new MMB Traffic Engineering space,
- $120,000 - Additional office remodeling in the Community and Economic Development Division space on 3rd floor MMB.
- $25,000 - To remodel the reception counters in the Clerks office.
The budget amendment is needed because the original scope of work for much of these areas only included new carpet and painting, but through the design process it was determined that additional issues needed to be addressed such as ceiling replacement, creation of additional offices, creation of a Hearing Room, Staff Break Room, etc.
In addition, Legistar #06025 amended the contract the City has with Potter Lawson by $190,034 to start the design work for the City County Building remodel of the Police Administration and Central District Offices. This amendment was paid for through the 2007 Administrative Office project under the Miscellaneous Section of the Adopted 2007 Capital budget further lowering the amount of funding available for construction of Phase Two. (Potter Lawson is the design firm hired to do all the design work for Phase One and Phase Two.)
We plan to also Rreplacement of lighting as part of this project, which follows our plan to upgrade lighting in City facilities and will achieve at least a 10% internal rate of returnROR on all energy efficiency upgrades.
The replacement of furniture is being pursued because today's office furniture requires considerably less space, which translates into more workstations per area.
NOW THEREFORE BE IT RESOLVED that the Madison Common Council approves the $620,000 $682,000 budget amendment and authorizes the 2007 Capital Budget to be amended as follows:
CB33-58430-810499 $620,000 $682,000