TOWN OF NORTH EASTTOWN OF NORTH EAST

NEW TOWN HALL AND NEW TOWN HALL AND HIGHWAY FACILITY HIGHWAY FACILITY

September 2015 September 2015

PRESENTATION PRESENTATION OVERVIEWOVERVIEW

Town Hall IssuesTown Hall IssuesProposed Land AcquisitionProposed Land AcquisitionRecent Due Diligence Recent Due Diligence Proposed Construction Proposed Construction Construction CostsConstruction CostsFinancial ImplicationsFinancial Implications

Town Hall Town Hall Existing FacilityExisting Facility

2 Parcels consists of approximately ½ acre.2 Parcels consists of approximately ½ acre. Original building built in the early 1900’s as a Original building built in the early 1900’s as a

residence and then converted into the Town Hall residence and then converted into the Town Hall offices. offices.

Main building has remained relatively unchanged Main building has remained relatively unchanged with the exception of repairs for over 60 years.with the exception of repairs for over 60 years.

All Town Business operations are performed from All Town Business operations are performed from the current site.the current site.

Existing facility consists of an aging 2 story wood Existing facility consists of an aging 2 story wood structure that consists of approximately 2700 sf. structure that consists of approximately 2700 sf.

Identified Inadequacies of theIdentified Inadequacies of theExisting Town HallExisting Town Hall

1. Inadequate space•The Court/Meeting room has very limited seating space.•Existing office’s are shared by multiple departments.•Office’s spaces are small and cramped•No handicapped accessibility to the second floor office’s•Limited file storage space. Storage Space is in the Attic.•Limited off street parking.•Original building was not designed to for the anticipated structural loading of municipal office’s and files.•

Unique Opportunity Unique Opportunity and Proposed Planand Proposed Plan

The Town has found it difficult to locate and obtain The Town has found it difficult to locate and obtain vacant parcels for a new highway garage facility.vacant parcels for a new highway garage facility.

The Town has been in discussions with the Owner of The Town has been in discussions with the Owner of Dutchess Diesel regarding the potential acquisition Dutchess Diesel regarding the potential acquisition of the existing Dutchess Diesel Facility located on of the existing Dutchess Diesel Facility located on Route 22 . Route 22 .

The acquisition would provide for a unique The acquisition would provide for a unique opportunity to the Town allowing the Highway opportunity to the Town allowing the Highway Department and Town Hall to be relocated to a single Department and Town Hall to be relocated to a single location.location.

Existing Existing Dutchess Diesel FacilityDutchess Diesel Facility

Existing FacilityExisting Facility

2 Parcel consists of approximately 3.8 acres.2 Parcel consists of approximately 3.8 acres. Two existing building - Main Building 11,858 SF.Two existing building - Main Building 11,858 SF. Garage Bldg. 9,440 SF.Garage Bldg. 9,440 SF. Garage Building includes a pre-engineered steel Garage Building includes a pre-engineered steel

building constructed in 2012. Building is fully building constructed in 2012. Building is fully heated.heated.

Original Building with admin area was built in 1960’s. Original Building with admin area was built in 1960’s. with several renovations and additions.with several renovations and additions.

Current facility has an existing oil/water separator.Current facility has an existing oil/water separator.

Proposal for ConsiderationProposal for Consideration

Proposal is to move the Town Hall and Highway Garage Proposal is to move the Town Hall and Highway Garage Facility to the current Dutchess Diesel Location.Facility to the current Dutchess Diesel Location.

Town Highway Department would move into the Town Highway Department would move into the existing Garage facility. A small portion of the existing existing Garage facility. A small portion of the existing main building would be renovated to provide for an main building would be renovated to provide for an office and breakroom.office and breakroom.

A new Sand/Salt storage building would be built on the A new Sand/Salt storage building would be built on the site to store deicing materials.site to store deicing materials.

The Town Hall offices, including the court, would be The Town Hall offices, including the court, would be relocated into the main building area. This would relocated into the main building area. This would require the interior renovation of approximately 6,000.require the interior renovation of approximately 6,000.

Recent Due DiligenceRecent Due Diligence Environmental Phase I review of property was completed:Environmental Phase I review of property was completed:

The property is registered as a Petroleum Bulk Storage Facility (PBS)The property is registered as a Petroleum Bulk Storage Facility (PBS) No Open Spills Reports with NYSDEC No Open Spills Reports with NYSDEC Prior use of site (<1979) indicate previous agricultural/maintenance building existed Prior use of site (<1979) indicate previous agricultural/maintenance building existed

between the buildings. Therefore additional soil, soil vapor and potable water sampling between the buildings. Therefore additional soil, soil vapor and potable water sampling is recommendedis recommended

A small UST was removed in the past, however no past documentation regarding the A small UST was removed in the past, however no past documentation regarding the closure is on file. closure is on file.

Detailed Building Inspection of the buildings was completed :Detailed Building Inspection of the buildings was completed : Many of the main building’s mechanical heating systems are at the end of their useful Many of the main building’s mechanical heating systems are at the end of their useful

life. life. Since there will be change in use these systems are not intended to be reused.Since there will be change in use these systems are not intended to be reused. The current main building contains a mixed use occupancy (apartment over a garage The current main building contains a mixed use occupancy (apartment over a garage

facility), that may require the installation fire separations and/or a sprinkler system. facility), that may require the installation fire separations and/or a sprinkler system. The The Town does not intend to continue the mixed use occupancy. Town does not intend to continue the mixed use occupancy.

Review of the FEMA Flood Plain MappingReview of the FEMA Flood Plain Mapping

Land surveyor has confirmed that existing finished floor is above the Land surveyor has confirmed that existing finished floor is above the FEMA FEMA 100 Flood Plain100 Flood Plain

Town Highway Garage Town Highway Garage Town Hall Relocation RenovationTown Hall Relocation Renovation

Estimated project costEstimated project costLand AcquisitionLand Acquisition$1,750,000$1,750,000

Salt/Sand Storage ConstructionSalt/Sand Storage Construction $ $ 72,00072,000Building RenovationsBuilding Renovations Interior selective demolitionInterior selective demolition $ $ 51,00051,000 General Construction, interiorGeneral Construction, interior $ $ 550,400550,400 General Construction, exteriorGeneral Construction, exterior $ $ 75,00075,000 Electric, Communication, GeneratorElectric, Communication, Generator $ $ 125,000125,000 Heating and air conditioningHeating and air conditioning $ $ 156,400156,400 PlumbingPlumbing $ 58,000$ 58,000

Construction subtotalConstruction subtotal$1,087,800$1,087,80010% contingency10% contingency $ 109,000$ 109,000

engineering, inspections, and contract administrationengineering, inspections, and contract administration $ $ 179,000179,000

Total Project CostTotal Project Cost $3,125,800$3,125,800

Previous Town Highway GaragePrevious Town Highway Garageand Town Hall Feasibilityand Town Hall Feasibility

• Since 2003, The Town has identified the need to Since 2003, The Town has identified the need to provide for a more desirable location and better provide for a more desirable location and better working conditions for its highway employees. working conditions for its highway employees.

• Previous feasibility project costs associated with Previous feasibility project costs associated with the Potential acquisition of land, and the the Potential acquisition of land, and the construction of a new highway facility complex construction of a new highway facility complex would be approximately $2,200,000.would be approximately $2,200,000.

• The Town also had previously considered the The Town also had previously considered the acquisition of the Millerton Elementary School acquisition of the Millerton Elementary School (MES) and conducting the necessary repairs to the (MES) and conducting the necessary repairs to the existing building renovating a portion of the existing building renovating a portion of the interior for Town Offices. Updated figures, interior for Town Offices. Updated figures, estimated the project cost to be over 2,200,000.estimated the project cost to be over 2,200,000.

Mitigating Factors Potentially AffectingMitigating Factors Potentially AffectingLong Range SpendingLong Range Spending

Landfill Remediation Project – EFC BondLandfill Remediation Project – EFC Bond

““Debt Service”Debt Service”

Original Bond Amount: $1,201,294Original Bond Amount: $1,201,294

Current Finance Amount: $95,000 annual paymentCurrent Finance Amount: $95,000 annual payment

Last Payment due October 2015 Last Payment due October 2015

$35,000 Town Budget Line item$35,000 Town Budget Line item

Project Tax Implications Project Tax Implications September 2015 September 2015

Total Project Cost = $3,150,000 Total Project Cost = $3,150,000 Acquisition, Construction Cost include Acquisition, Construction Cost include hard costs of construction plus soft hard costs of construction plus soft costs such as contingencies, engineering, costs such as contingencies, engineering, legal, and bondinglegal, and bonding

Financing Financing Bond $3.15 million @ 3.8% for Bond $3.15 million @ 3.8% for 2525 years. years.Annual payment = Annual payment = $197,398 $197,398Existing Debt Payment (2015)= Existing Debt Payment (2015)= $ 35,000 $ 35,000 Net Increase = $162,398 Net Increase = $162,398

($0.29/ $1000 of assessed value)($0.29/ $1000 of assessed value)$150,000 Valuation = $44.24 increase $150,000 Valuation = $44.24 increase

$200,000 Valuation = $58.99 increase $200,000 Valuation = $58.99 increase

Next Steps to ConsiderNext Steps to Consider Continue to Due Diligence.Continue to Due Diligence.

Perform Environmental Phase II that includes subsurface Perform Environmental Phase II that includes subsurface soil, soil vapor, and potable water testing. soil, soil vapor, and potable water testing.

Perform Title Search of Property Perform Title Search of Property Continue to review project funding and bondingContinue to review project funding and bonding

Project Referendum:Project Referendum: Place project referendum on November Ballot, allowing tax Place project referendum on November Ballot, allowing tax

payers to be part of the decision process regarding the payers to be part of the decision process regarding the project.project.

Provide an additional public informational meeting Provide an additional public informational meeting regarding the project prior to the November Vote.regarding the project prior to the November Vote.

Capital Upgrades & Building Capital Upgrades & Building Improvements Improvements

New RoofNew Roof $ 400,000$ 400,000

Parapet and flashing repairs Parapet and flashing repairs $ 20,000$ 20,000

Site preparation, pavingSite preparation, paving $ 35,000$ 35,000

Sidewalk Repairs Sidewalk Repairs $ 15,000$ 15,000

Heating system Replacement Heating system Replacement $ 750,000$ 750,000

  

Interior office retrofit (4,000 SF @ $100 SF)Interior office retrofit (4,000 SF @ $100 SF) $ 400,000$ 400,000

SubtotalSubtotal $1,620,000$1,620,000

15% Contingency15% Contingency $ 243,000$ 243,000

Soft costsSoft costs $ 225,000$ 225,000

Total Project Cost Total Project Cost $2,088,000$2,088,000

Operation & Maintenance CostOperation & Maintenance Cost

Electric:Electric: 15% occupied15% occupied $18,000$18,000

Heating:Heating: 15% occupied15% occupied $40,000$40,000

Insurance:Insurance: $ 6,000$ 6,000

Systems MaintenanceSystems Maintenance $ 1,500$ 1,500

Facility MaintenanceFacility Maintenance $ 5,000$ 5,000

Outdoor MaintenanceOutdoor Maintenance $ 5,000$ 5,000

  

$75,500 Annually$75,500 Annually