To: Honorable Mayor and Members of Town Council
From: Fritz Sprague, Deputy Town Manager
Bill Detweiler, Development Services Director
Kristin Zagurski, Senior Management Analyst
Title
Resolution Approving the Town of Castle Rock Services Agreement with HB&A, LLC for Construction Document Preparation Services
Body
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Executive Summary
In 2014, the Town embarked upon a comprehensive, Town-wide site and facility-planning process that resulted in a plan that Town Council formally accepted. The goal of the planning effort was to solve the Town’s growing space needs and maintain current service levels over the next 10 years.
Implementation of the plan is progressing; the Utilities Operations and Maintenance Center and the Police Department basement office space are now open.
Last summer, Council concurred the next step on the path of implementing the space study should be relocating Development Services Department from its current position in Town Hall. This would address space deficiencies within many work groups as well as to make room for the return to Town Hall of the Innovation and Technology group, which operates from a leased facility on South Perry Street. Council at its July 21, 2015 meeting voted unanimously to direct staff to proceed with bidding construction documents, conducting soils testing and formalizing financing options for expanding Town Hall to the east to create a new space for Development Services.
While formalizing financing options, staff had to work through some intricacies related to the fact that Town Hall is pledged as collateral for the certificates of participation that were used to finance Phase I of Philip S. Miller Park. Although it took a considerable amount of time and effort, the financing issue was recently resolved, and now staff is ready to move forward with obtaining construction documents and soils testing for the planned addition to Town Hall as directed.
The purpose of this item is to request Council approval of a Services Agreement with architecture firm HB&A to develop the construction documents for the planned addition to Town Hall so that construction of the addition can be placed out for bid.
Discussion
Staff during 2015 evaluated an array of options for moving Development Services out of its current space, including construction of a Development Services facility on Utilities’ Kellogg Court property; purchasing an existing Downtown building; and expanding Town Hall. Staff and Council ultimately determined the latter of those options was preferred. Among the advantages of expanding Town Hall:
• The expansion of Town Hall is an excellent Town investment as the community grows, because it secures Downtown office space for the Development Services Department.
• The expansion would allow the Development Services Enterprise Fund to eliminate the $135,000 in annual rent payments it must pay to the General Fund, because it is an enterprise fund, for its current space in Town Hall.
• Expansion of Town Hall would address additional office space needs by providing additional space for personnel in the Development Services and Finance Departments, as well as for other compressed areas.
• An $80,000+ annual savings will be realized within the Municipal Facilities Fund if DoIT moves back into Town Hall from its current leased space.
• Expansion of Town Hall helps solidify the anchor for the north end of the Civic Place noted in the Downtown Master Plan.
• Construction of the expansion will be planned to complement the redesign of Festival Park. It will provide a landing spot for any future bridge from the park, across Sellars Creek, to the Town Hall property.
• Investment by the Town in the project would assist with promoting Downtown investment and development by others.
The planned addition would add approximately 10,000 square feet of office space to Town Hall. Initial plans call for a new basement, which would become home to the Development Services offices and storage space currently located in the existing Town Hall basement.
The first floor of the addition would include office space for Development Services front counter and Building and Zoning staff, as well as a new dedicated customer service space for all of Town Hall. This would allow for improved access for the community, as well as enhanced security in the existing building. The second floor of the addition would include office space for Development Services Planning and Administration staff. The addition would also allow for additional conference room, break room and bathroom space within Town Hall, which is presently constrained. Additional details about the planned addition are in Attachment C.
As with any expansion project in Downtown, parking will be a challenge. Town Hall currently has 104 parking spaces for staff and customers. Currently, about 75 employees work out of Town Hall, and about 15 Town-owned vehicles are housed here. DoIT has about 20 employees and four fleet vehicles, which would bring these totals to about 95 employees and 20 fleet vehicles. As part of their work under the proposed Services Agreement, HB&A will be identifying potential parking solutions for the Town Hall site. Additional parking spaces are planned to be constructed in front of the planned addition. It’s also worth noting that free parking exists throughout Downtown and on the first floor of the parking garage on Third Street. Additionally, staff is in the process of engaging a firm to assist in resolving parking constraints throughout Downtown Castle Rock. That process may offer further solutions and is anticipated to be completed ahead of when the DoIT staff would move into Town Hall - projected to occur no earlier than mid-2017.
Following is a general schedule of how this project could proceed, with Council approval:
April-June/July Develop construction plans
July/August Council approves construction plans; construction placed out for bid
September/October Construction contract awarded/construction begins
Summer/Fall 2017 Construction of addition complete; shuffle within Town Hall begins
In addition to parking, another item of note is that Sellars Gulch, immediately adjacent to Town Hall, has been designated potential habitat (also known as the Riparian Conservation Zone [RCZ] for the federally protected Preble’s meadow jumping mouse. A portion of Town Hall is included within the limits of the RCZ. The U.S. Fish and Wildlife Service will need to review a proposal to consider modification of the RCZ delineation. While the Town’s Habitat Conservation Plan describes that this type of modification may be necessary, it will still require a process by the Wildlife Service. As long as the expansion is part of the existing building and the currently mowed area directly east of Town Hall, which it is, review by the Wildlife Service will not be necessary. Construction drawings for the expansion will also need to acknowledge the best management practices that have been identified in the Habitat Conservation Plan.
Cost and Financing
The 2016 Budget includes $2.5 million within the Development Services Enterprise Fund for office space opportunities. Staff would work with HB&A and ultimately, the construction firm selected for the project, to ensure the project could be completed within the budgeted amount, including any additional needed services.
For example, because a considerable amount of debris was uncovered during the excavation of Town Hall, a soils evaluation of the new site will be necessary. This is expected to cost an additional $3,700, as noted in Attachment B. There will also be costs associated with construction administration, whether that is done by Development Services staff or using a contractor such as HB&A, the optional cost for which is reflected in Attachment B.
These and any other needed services would be funded by the Development Services Enterprise Fund, meaning no general tax dollars would be used.
Staff Recommendation
Staff recommends expanding Town Hall due to the advantages listed herein, as well as because it is a project that can be completed relatively quickly and that the Development Services Enterprise Fund has the cash in reserves to implement.
Proposed Motion
“I move to approve a Resolution Approving the Town of Castle Rock Services Agreement with HB&A, LLC for Construction Document Preparation Services.”
Attachments
Attachment A: Resolution
Exhibit 1: Services Agreement
Attachment B: Proposed Town Hall Addition Information