CC 2016-01-12_12b Govt Buildings Assessment Report
MEMORANDUM
TO: CITY COUNCIL
FROM: GEOFF ENGLISH, PUBLIC WORKS DIRECTOR
BY: RON SIMPSON, PUBLIC WORKS SUPERVISOR
SUBJECT: GOVERNMENT BUILDINGS INFRASTRUCTURE ASSESSMENT
REPORT AND BUILDING REPAIR SCHEDULE
DATE: JANUARY 12, 2016
RECOMMENDATION:
It is recommended the City Council receive and provide comments and direction on the
draft Government Building Infrastructure Assessment Report and Repair Schedule.
IMPACT ON FINANCIAL AND PERSONNEL RESOURCES:
No financial impact at this time. Information assembled in this report will prioritize
funding requests for the development of future budget recommendations.
BACKGROUND:
During the development of the Fiscal Year 2015-2017 Biennial Budget, the Public
Works Department submitted a budget request for $25,000 from the City’s Sales Tax
Fund to cover the cost for unspecified equipment and infrastructure replacement and
repairs for Government Buildings. The line item request was titled Various Facility
Upgrades. In past budget cycles, the Public Works Department has made similar
budget requests which were then subsequently used to complete needed and/or urgent
building repairs or equipment replacements. At the special City Council Budget hearing
for Capital Improvement Projects and Non-General Fund Programs held on May 12,
2015, the Council did not approve this and other unspecified budget requests and
directed City staff to return with a list of specific requests. In addition, the City Council
did not approve funding of similar unspecified equipment and infrastructure replacement
and repair budget requests for parks, storm water, ADA improvements and drainage
facilities.
As a result of this direction, staff initiated an effort to inventory and assess the condition
of the City’s General Fund supported infrastructure and assets in the following general
categories:
Parks, Landscaping and Open Space
Government Buildings
Drainage Facilities
Sidewalks and Pedestrian bridges
Item 12.b. - Page 1
CITY COUNCIL
GOVERNMENT BUILDINGS INFRASTRUCTURE ASSESSMENT REPORT AND
BUILDING REPAIR SCHEDULE
JANUARY 12, 2016
PAGE 2
On October 27, 2015, staff presented the first of the infrastructure assessment reports
to the City Council. That assessment report included all aspects of the City’s Parks,
Landscaping and Open Space system, including but not limited to fencing, concrete
pathways, parking lots, lights, and playground structures. The following are general
findings of the Parks, Landscaping and Open Space infrastructure assessment report:
Approximate value of existing infrastructure and improvements: $ 4,900,000
Approximate annual depreciation and replacement costs: $ 210,000
Additionally, staff prepared a draft Asset Replacement Schedule for Parks and Open
Space facilities. The Asset Replacement Schedule will assist with the guidance of
future budgeting efforts. A similar replacement schedule will be prepared for the four
general asset areas listed above. The intent is to provide the Council with comparative
lists of asset replacement projects that can be weighed for priority purposes.
The infrastructure assessment report for Government Buildings will focus on building
“systems” such as: roofing systems, heating and ventilation systems, flooring systems,
electrical systems, etc. Similar assessment reports and lifetime replacement schedules
are being prepared for City drainage facilities and sidewalks and pedestrian bridge
facilities.
ANALYSIS OF ISSUES:
The City of Arroyo Grande owns and maintains ten (10) public buildings, five public
restrooms and multiple out-buildings such as water booster pump stations, well houses
and storage buildings. For the purposes of this assessment, only the ten City’s General
Fund supported building which represent approximately 66,322 square feet.
Address Site Description
Sq
Feet
#
Stories
Year
Built
214 E. BRANCH ST. HISTORIC CITY HALL 3,878 1 1920
215 E. BRANCH ST. COUNCIL CHAMBERS 3,158 1 1950
300 E BRANCH STREET CITY HALL BUILDING 6,501 2 1984
200 N. HALYCON RD POLICE DEPT 7,036 1 1960
200 N HALCYON POLICE DEPT STORAGE 600 1 2015
140 TRAFFIC WAY FIRE STATION 13,000 2 1981
1375 ASH ST. CORP YARD - BLDG. A 4,800 1 1966
1375 ASH ST. CORP YARD - BLDG. C (Vehicle Storage) 7,000 1 1966
1375 ASH ST. CORP YARD - BLDG. B 5,672 1 1966
1375 ASH ST. CORP YARD - BLDG. D (new Admin Bldg.) 2,000 1 2015
211 VERNON ST. WOMEN'S CLUB BUILDING 4,773 1 1970
1221 ASH ST ELMS STREET RECREATION CENTER BDLG 5,600 1 1970
1275 ASH ST SOTO SPORTS OFFICE BUILDING 2,304 1 1979
Item 12.b. - Page 2
CITY COUNCIL
GOVERNMENT BUILDINGS INFRASTRUCTURE ASSESSMENT REPORT AND
BUILDING REPAIR SCHEDULE
JANUARY 12, 2016
PAGE 3
A complete list of the General Fund supported Government Buildings is attached.
(Attachment #1)
The government buildings infrastructure inventory and assessment was completed by
Public Works Supervisor Ron Simpson with the assistance of local Architect Kyle Harris.
Kyle Harris has extensive experience with the evaluation of government buildings for
the purposes of identifying replacement costs and a building systems life expectancy.
The replacement costs used in this report were based on recommendations from Kyle
Harris, recent building repair project costs and actual quotations from contractors.
Despite these efforts for reliable and exact data, the intent of this infrastructure
inventory and assessment was only to provide an approximate estimate of the amount
of annual deprecation to the City’s Government buildings. The general intent of this
exercise was to quantify and recognize the outstanding liabilities and costs associated
with the ownership and maintenance of the City’s buildings.
A separate assessment of each of the general building “systems” was conducted for
each of the City’s buildings and then combined into a summary spreadsheet which is
attached. (Attachment #2). For example, staff measured the roofing material on each
of the City’s buildings and determined the type and square footage of the roofing
material. Staff then estimated the replacement cost per square foot in today’s dollars,
to replace all of the roofing materials on all of the buildings. Based on the estimated
replacement cost for the roofing material on all of the City’s buildings, the total
approximate replacement cost is $549,000. Based on the expected lifetime for the
roofing material on all City buildings, the annual deferred maintenance “set-aside” is
estimated at $13,550.
Using this methodology, staff determined that the replacement value for all building
systems in the City’s General Fund supported buildings infrastructure is approximately
$4.7 million. In addition to determining the replacement value, staff estimated the life
expectancy of each the building systems in the City’s General Fund supported
buildings. This lifetime expectancy was based on several factors including industry
standards and actual experience with each asset. Generally, the City of Arroyo Grande
realizes a longer life expectancy for most of its infrastructure than the stated industry
standard. Using this conservative lifespan, staff calculated the annual depreciation cost
for each building system. The total annual estimated depreciation and replacement set-
aside is approximately $121,000. The purpose of going through this exercise is to
simply recognize that there is a depreciation cost that the City is currently not funding.
Also, for the purposes of this report, the Elm Street Recreation Center building was not
included as staff does not consider the repair of this building to be a recommended
Item 12.b. - Page 3
CITY COUNCIL
GOVERNMENT BUILDINGS INFRASTRUCTURE ASSESSMENT REPORT AND
BUILDING REPAIR SCHEDULE
JANUARY 12, 2016
PAGE 4
course of action; and instead recommends the demolition and replacement of the entire
building structure. Funding has been programmed in the five-year Capital Improvement
Program for the Elm Street Recreation Center building replacement project.
In addition to the infrastructure assessment report, staff prepared a list of priority ranked
Government Building Repair and Replacement Schedule. (Attachment #3) This
replacement schedule is intended to provide recommendations for specific equipment
and infrastructure to consider for funding in future budget cycles. Staff is not
recommending funding at this time for any specific building projects, but will use this
prioritized list to provide recommendations to the City Council during budget
development in the next fiscal cycle.
The current budget allocation for contractual services in the Government Building
Division for equipment and minor infrastructure repair is $20,000. This amount covers
the cost for minor repairs and replacement equipment such as plumbing repairs, air
conditioning unit servicing, window replacements, etc. This replacement budget is not
intended to cover the expenses for replacement of major building assets and repairs
such as large scale flooring or roofing replacements, HVAC unit replacements, etc. The
City does not currently have an asset replacement fund or “set aside” funds to cover
depreciation of building infrastructure.
ENVIRONMENTAL REVIEW:
Not applicable.
PUBLIC NOTIFICATION AND COMMENTS:
The Agenda was posted in front of City Hall on Thursday, January 7, 2016 and the
Agenda and staff report were posted on the City’s website on Friday, January 8, 2016.
ATTACHMENTS:
1. List of Government Buildings
2. Government Buildings Infrastructure Assessment Report
3. Draft Government Buildings Repair and Replacement Schedule
Item 12.b. - Page 4
City of Arroyo Grande
Government Buildings list
GOVERNMENT
BUILDINGS
Address Site Description
Sq
Feet
#
Stories
Year
Built
214 E. BRANCH ST. HISTORIC CITY HALL 3,878 1 1920
215 E. BRANCH ST. COUNCIL CHAMBERS 3,158 1 1950
300 E BRANCH STREET CITY HALL BUILDING 6,501 2 1984
200 N. HALYCON RD POLICE DEPT 7,036 1 1960
200 N HALCYON POLICE DEPT STORAGE 600 1 2015
140 TRAFFIC WAY FIRE STATION 13,000 2 1981
1375 ASH ST. CORP YARD - BLDG. A 4,800 1 1966
1375 ASH ST. CORP YARD - BLDG. C (Vehicle Storage) 7,000 1 1966
1375 ASH ST. CORP YARD - BLDG. B 5,672 1 1966
1375 ASH ST. CORP YARD - BLDG. D (new Admin Bldg.) 2,000 1 2015
211 VERNON ST. WOMEN'S CLUB BUILDING 4,773 1 1970
1221 ASH ST ELMS STREET RECREATION CENTER BDLG 5,600 1 1970
1275 ASH ST SOTO SPORTS OFFICE BUILDING 2,304 1 1979
Square Footage Sub-total 66,322
PUBLIC RESTROOMS
Address Site Description
Sq
Feet
#
Stories
Year
Built
105 SHORT ST PUBLIC REST-ROOMS BLDG 389 1
1275 ASH ST REST-ROOMS BUILDING 398 1 1986
500 JAMES WAY
RANCHO GRANDE PARK PUBLIC RESTROOMS
BLDG. 300 1
1150 HUASNA RD STROTHER PARK REST-ROOM 398 1
LE POINT ST HOOSEGOW BUILDING 170 1 c.1910
ATTACHMENT 1
Item 12.b. - Page 5
Item 12.b. - Page 6
CITY OF ARROYO GRANDE
GOVERNMENT BUILDING REPAIR AND
REPLACEMENT SCHEDULE
PRIORITY LOCATION ITEM COST FY
1 Council Chambers Roofing material replacement 40,000.00$
2 Council Chambers Plumbing retrofit 15,000.00$
3 City Hall Roofing material replacement 65,000.00$
4 City Hall Rain gutter replacement 15,000.00$
5 City Hall IT wall insullation project 15,000.00$
6 Corporation Yard Roofing material replacement 46,000.00$
7 Ash Street Restroom Roofing material replacement 25,000.00$
8 Old City Hall Electrical system upgrade 15,000.00$
9 Old City Hall HVAC Unit replacement 9,000.00$
10 Women's Club Building Exterior painting 30,000.00$
11 Women's Club Building Rain gutter replacement 15,000.00$
12 Women's Club Building Interior lighting upgrade 40,000.00$
13 Women's Club Building Flooring replacement 40,000.00$
14 City Hall Interior painting 30,000.00$
15 Old City Hall Roofing material replacement 23,000.00$
16 Stother Park Restroom painting 6,000.00$
17 Soto Complex Jaycee Building Roofing material replacement 20,000.00$
18 Stother Park Roofing material replacement 25,000.00$
19 City Hall Flooring replacement 35,000.00$
20 Rancho Grande Park Restroom painting 3,000.00$
21 Rancho Grande Park Roofing material replacement 15,000.00$
-$
527,000.00$
ATTACHMENT 3
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