HomeMy WebLinkAbout10/14/2014 02 Capital Investment OpportunitiesBUSINESS OF THE CITY COUNCIL
YAKIMA, WASHINGTON
AGENDA STATEMENT
Item No. 2.
For Meeting of: October 14, 2014
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ITEM TITLE:
SUBMITTED BY:
SUMMARY EXPLANATION:
See attached
Capital Investment Opportunities
Tony O'Rourke, City Manager
Resolution: Ordinance:
Other (Specify):
Contract: Contract Term:
Start Date: End Date:
Item Budgeted: Amount:
Funding Source/Fiscal
Impact:
Strategic Priority:
Insurance Required? No
Mail to:
Phone:
APPROVED FOR
SUBMITTAL:
RECOMMENDATION:
ATTACHMENTS:
Description
❑ cap investment
City Manager
Upload Date
10/9/2014
Type
Cover IMeirttnc
MEMORANDUM
To: Honorable Mayor and Members of the Yakima City Council
From: Tony O'Rourke, City Manager
Date: October 9, 2014
RE: Capital investment opportunities
As the City Council is well aware, the City has a significant backlog of deferred capital
investment needs. The City Council's recent investment of $20 million to grind and
overly 120 lane miles of road is an excellent example of its commitment to address the
community's deferred capital needs. In addition, the City Council, on July 15,
committed $8 million to initiate the transformation of North 1st Street for one and a half
miles between Martin Luther King Jr. Boulevard and State Highway 12. Engineering
design on the first mile of the project will be completed by mid -2015 with $1.3 million in
funds awarded the City in the Lincoln Avenue underpass lawsuit. The balance of the
North 1st Street design is already completed.
Both of the aforementioned projects will be built with existing City resources, rather than
an increase in taxes or fees. To that end, City staff has identified other opportunities to
invest an additional $17 million dollars starting in FY 2015 for community capital
improvements. The required debt service for these investments is included in the FY
2015 proposed budget and Five -Year Financial Plan.
On Tuesday, October 14th at 3:00 p.m., the City Council Study Session will be focused
on reviewing the attached capital investment projects for City Council consideration. As
a point of information, if the Parks & Recreation $750,000 capital improvement initiative
passes on November 4, the City is committed to contribute $750,000 annually starting in
2015 toward parks and recreation capital needs. An option for the City Council to
consider is to invest in an aquatic facility and soccer facility to meet the required annual
obligation of $750,000 for capital improvements. This obligation would be met by the
combined annual debt service for the City's 50% share on an aquatics facility and
soccer facility.
2015 Capital Projects
Project Cost
1. Soccer complex $4-9 million
2. Police expansion $10-15 million
3. Fire station facility remodel/upgrade $10 million
4. Underground utilities along N. 1st Street $1.5 million
5. Yakima Central plaza $11.2 million
6. Downtown plaza/parking enhancements $3 million
7. Stormwater Capital program $26.3 million
8. Public Market/Mixed use business incubator $5 million
9. Indoor pool facility $9 million
10. West Valley police facility $6 million
11.Airport improvements $3.1 million
City of Yakima, Washington
PROJECT TITLE: Soccer Complex
NEED / DESCRIPTION: Soccer is gaining in popularity and the demand for good quality,
available soccer fields is an increasing challenge for the City of Yakima. The City provides
soccer fields at Chesterley Park and at J.M. Perry Technical Institute, with very limited ability
at West Valley Community Park. Fields are becoming overused due to an increase in soccer
leagues games and are being consumed by building expansions at Perry Technical Institute.
A designated Soccer Complex is desperately needed in this community.
Chesterley Park offers six soccer fields and hosts the annual Yakima Youth Soccer Association
Yak Attack tournament. With over 2,000 participants, the event causes extreme stress on
the park; further limiting its usage. Other problems that continue to plague Chesterley Park:
• Aging infrastructure that is heavily utilized.
• Fields consist of 12 to 24 -inches of Mt. St. Helens ash under turf; causing poor
nutrients for grass growth and failure to retain water when irrigated.
• Irrigation breaks are being caused by improper bedding of the irrigation pipes by the
contractor years ago by having back-filled the trench with rocky soil.
J.M. Perry Technical Institute currently offers five soccer fields for use on their property that
is maintained by the City's Parks & Recreation Department. However, they have proposed an
expansion project consisting of a 37,000 sq. ft. vocational school facility that will displace at
least one of those soccer fields. Further expansion of their facility is anticipated.
Proposed Soccer Complex Amenities:
• 10-12 soccer fields
• One lighted field
• Restrooms/Concession Building
A designated Soccer Complex tailored to accommodate all of Yakima's soccer league games
at one location is clearly a need and benefit for the City of Yakima. Staff would propose a
public -public or public-private partnership to meet long-term soccer facility needs.
STRATEGIC PRIORITY: Improve the Built Environment
CAPITAL COST / ANNUAL DEBT SERVICE / O&M COST:
• Capital Cost
1. Land Acquisition = donated land to $5 million (40 acres)
2. Construction Cost = approximately $4.1 million
• Annual Debt Service (construction only) = approximately $345,000 annually based on
a 20 -year term
• O&M Cost = $125,100/year (based on Chesterley Park)
City of Yakima, Washington
PROJECT TITLE: Police Facility
NEED / DESCRIPTION: The Yakima Police Department has exceeded the capacity of the
current facility. Evidence, SWAT vehicles and equipment, and training are currently spread
among four off-site locations. A recent study determined that expansion of the current police
department requires at least 50,000 square feet of space to consolidate operations.
Expanding the existing public safety complex is cost prohibitive based on the consultants $70
million estimate. We are currently reviewing existing downtown buildings that could be
configured to fit our needs and are suitable for future expansion of the department.
STRATEGIC PRIORITY: Public Safety
CAPITAL COST / ANNUAL DEBT SERVICE / O&M COST: Capital cost for the acquisition
and finishing cost would be approximately $10-15 million. The annual debt service would be
approximately $840,000 to $1,260,000 based on a 20 -year term.
Current facility storage issues
Current facility training space, storage spaces
City of Yakima, Washington
PROJECT TITLE: Fire Station Facility
Remodel/Upgrade
NEED / DESCRIPTION: Fire Station Facility Remodel/Upgrade
• Remodel of two circa 1973 Fire Stations, to include:
o Electrical service and plumbing upgrades
o Construct individual sleeping quarters at Station 95 to better accommodate a
gender -diverse workforce
• Concrete and asphalt repair at multiple Fire facilities
• Addition to Mechanic/Electronics shop
• Construction of pole -type storage building for apparatus and vehicles
Fire Stations 91 and 95 have undergone little more than paint and carpet replacement since
their construction 41 years ago. Both facilities remain strategically located in terms of
response capability.
STRATEGIC PRIORITY: Public Safety — Investment in Facility Infrastructure
CAPITAL COST / ANNUAL DEBT SERVICE / O&M COST:
• Estimated cost $10 Million
• Estimated annual debt service = $840,000 for 20 years
Fire Station 91
401 N. Front Street
Fire Station 95
807 E. Nob Hill Blvd.
City of Yakima Washington
PROJECT TITLE: North 1st Street Revitalization
NEED / DESCRIPTION: North 1st Street serves as the northern entry into the downtown
area from I-82 and SR12. Much of the area on both sides of North 1St Street is in poor
condition and does not provide a good impression of Yakima. An important element of the
project to improve North 1st Street is the undergrounding of overhead utilities. The reason
for this is to remove the utility poles from the right of way to improve safety. Removing the
utility poles eliminates an obstruction to pedestrians and removes them from the vehicle clear
zone.
STRATEGIC PRIORITY: This project will improve the built environment of North 1st Street
and entice economic development by making the area more attractive to businesses.
CAPITAL COST / ANNUAL DEBT SERVICE / O&M COST: It is estimated that the City
will need to contribute, on a one-time basis, $1.5 million toward the undergrounding of
overhead utilities with a matching amount from utility companies for the balance.
(before)
(after)
City of Yakima, Washington
PROJECT TITLE: Yakima Central Plaza
NEED / DESCRIPTION: In spring of 2013, the Yakima City Council authorized a downtown
planning process to create a series of steps to revitalize and energize the downtown core of
the city. A key project identified is the creation of a central plaza in the downtown core. The
Yakima Central Plaza is expected to be an economic development catalyst for Downtown
Yakima. The public space will include flexible space for events, activities, festivals and
concerts, fountains for children, shaded locations and market space for vendors. This project
will enliven a downtown core that can often be very quiet nearly every weekend through the
year. Staff would recommend, if approved by the City Council, the City be required to have a
50/50 public-private cost sharing partnership to proceed with the plaza plans.
STRATEGIC PRIORITY: Economic Development
CAPITAL COST / ANNUAL DEBT SERVICE / O&M COST:
Cost: $11.2 Million (City's portion would be $5.6 million)
Annual Debt Service on $5.6 million would be approximately $470,000 based on a
20 -year term
City of Yakima, Washington
PROJECT TITLE: Plaza — Side Street
Supplemental Enhancements
NEED / DESCRIPTION: In 2007 and 2008, numerous blocks faces in downtown were
updated as part of the Yakima Futures Initiative. At the time, South 3rd between Yakima
Avenue and Chestnut Street and Chestnut Street between 2nd and 3rd Streets were left off
the list of updates due to a proposal by the Capitol Theatre that included a Tuscan themed
plaza on 3rd Street and a new building on the site of the Wilson Building. Updating the
sidewalks was to be part of that project. Since the project never materialized, those streets
have outdated sidewalks and trees from the 1970s. As part of the Yakima Central Plaza
Project, updating those sidewalks and roads should be considered as part of the project.
Staff would recommend, if proposed by the City Council, this project require a 50/50 public-
private cost sharing partnership.
STRATEGIC PRIORITY: Economic Development
CAPITAL COST / ANNUAL DEBT SERVICE / O&M COST:
Cost: $3 Million
Annual Debt Service: approximately $250,000 based on a 20 -year term (City's 50%
portion would be $125,000)
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City of Yakima Washington
PROJECT TITLE: Stormwater Capital Program
NEED / DESCRIPTION: The 2013 Stormwater Collection System Master Plan identified
and recommended $672 million improvements to mitigate existing system deficiencies.
Projects were prioritized based on flooding concerns, ease of connection to the existing
stormwater collection system, locations for new construction and replacement projects.
Projects were broken into two categories, Pipe Improvements and Retention Basin
Improvements. Priority 1 Pipe Improvements projects are recommended to mitigate chronic
flooding areas ($8.7 million) , Priority 2 Pipe Improvements are recommended to mitigate
secondary flooding areas and connections to existing/new retention facilities ($16.5 million),
Priority 3 included new pipes and upgrades to existing system in critical locations ($26.6
million), and Priority 4 upgrades to existing system in non-critical locations ($88.1 million)
Priority 1 Basin Improvements convert existing lakes that are currently receiving surface
water drainage and designate them as retention facilities and two new basins were identified
due to significant flooding ($9.9 million), Priority 2 Basins convert existing surface water
bodies that currently are not connected to retention facilities ($4.9 million), Priority 3 Basins
are newly constructed retention facilities constructed in floodplains or parks ($10.7 million),
and Priority 4 Basins will require purchase of property for construction ($4.2 million for
retention and $478.6 million for UIC improvements).
STRATEGIC PRIORITY: The stormwater system is a part of the City's built environment
and protecting the investment in the existing system and addressing deficiencies is in
alignment with "Improving the Built Environment".
CAPITAL COST / ANNUAL DEBT SERVICE: Total capital cost estimate is $672 million.
Recommended ten-year capital program is $26.3 million with a planned $2.5 million annual
construction program to address priority projects that are also tied to North First Street, Mill
Site and Randall Park. These three projects are currently under engineering design and
slated for construction in the next 1 to 7 years.
City of Yakima Washington.
PROJECT TITLE: Yakima Public Market /
Mixed -Use Business Incubator
NEED / DESCRIPTION: A public market for Yakima would be developed as a mixed-use
business incubator to help entrepreneurs start new businesses in our community. The project
would take advantage of our natural agricultural bounty and assist food based, wine based
and beer based businesses get started in one central location that would be a draw for
visitors and locals alike. Similar projects in Washington State are Pybus Public Market in
Wenatchee and Pike Place Market in Seattle.
The project would lower the cost of entry for new businesses by providing small spaces in a
central location along with coaching and mentoring to help increase the chances of their
overall success. The spaces would be equipped with the necessary tenant improvements to
aid in the success of new entrepreneurs.
STRATEGIC PRIORITY: Economic Development
CAPITAL COST / ANNUAL DEBT SERVICE / O&M COST:
Cost: $5,000,000
Annual Debt Service: approximately $420,000 annually based on 20 -year term
Pybus Public Market — Wenatchee, WA
•
City of Yakima, Washington
PROJECT TITLE: Indoor Pool Facility
NEED / DESCRIPTION: The City's current indoor pool, Lions Pool, is over 40 years old. It
is projected that over the next fifteen to twenty years, Lions Pool will cost approximately $3
million in upgrades to maintain its current function. The intent of the new Indoor Pool
Facility is to first and foremost provide fitness opportunities for our senior citizens, while
providing year-round recreational swimming for all age groups.
Proposed Indoor Amenities:
• 6 lane 25 -yd x 25-m lap pool
• Therapeutic lazy river (500' LF x 8')
• Water play area
It is desired that the new Indoor Pool Facility be constructed in a centralized location, like
Chesterley Park, for ease of travel. In addition, the City is working towards forming a 50/50
public-private partnership with a non-profit organization to jointly construct and share in the
operational costs of a new pool. Should a new Indoor Pool Facility be built, the staff would
recommend the closure or sale of Lions Pool.
City staff is currently working with an Advisory Committee to help define the needs and
location of a potential Indoor Pool Facility.
STRATEGIC PRIORITY: Improve the Built Environment
CAPITAL COST / ANNUAL DEBT SERVICE / O&M COST:
• Capital Construction Cost = approximately $9 million
• Annual Debt Service = 50% of $9 million = $4.5 million. The annual debt service
would be approximately $380,000 (20 years)
• O&M Cost = $461,100/year (based on Lions Pool) — would be shared by pool
partner(s)
City ofYakima, Washington
PROJECT TITLE: West Valley Police Facility
NEED / DESCRIPTION: The City of Yakima and the Yakima Police Department have
reached a size where a single police deployment location is counterproductive. The current
deployment model is based on outdated information. Over the past 30 years the city has
grown to a population of approximately 93,000 residents and a geographic boundary nearing
28 square miles. The police department has grown to 149 sworn members.
The addition of a standalone district station in the area of West Valley allows the department
to make timely and accurate strategic deployment adjustments, increase accountability and
provide a higher level of service throughout the city.
A 2008 study proposed a substation at an approximate cost of $3,651,682. The cost for land
and engineering is about $2.5 million. A "substation" would not be adequate for the long
term and a full service station will eventually need to be built. A minimal increase in the
proposed space needs would address the departments long term needs. The West Valley
station would be a primary patrol station with minimal support services. The majority of the
departments support services would remain at the main police headquarters and provide
service throughout the city.
STRATEGIC PRIORITY: Public Safety
CAPITAL COST / ANNUAL DEBT SERVICE / O&M COST: Capital cost is approximately
$6,000,000 or approximately $500,000 per year based on a 20 -year term.
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City ofYakima, Washington
PROJECT TITLE: Airport Access Extension
NEED / DESCRIPTION: The Yakima Air Terminal -McAllister Field continues to see growth
in a variety of areas throughout the airport to include passengers utilizing airline service,
cargo operations, to the need for additional hangar development. As outlined in the Draft
Airport Master Plan, it is recommended the South Air Park area located at 21st Ave and
Ahtanum Road continue to be a focal point for further Corporate and General Aviation
expansion. In order to facilitate additional hangars, the airport administration in conjunction
with airport stakeholders has met to discuss infrastructure improvements to meet the
airport's aviation demands.
A key improvement is to extend 21St Ave to provide direct vehicle access to the airfield. This
project is programmed in the 2015 budget for $180,000 where construction will begin
Spring/Summer 2015. Upon completion of this critical access point, there's also a need for
additional road improvements as it relates to the adjacent Airport Lane which runs into 21st
Ave. These improvements will realign the road to allow maximum use of airport property,
install needed road lighting, curb and gutter system for proper water drainage, and expand
the width of usable pavement to meet current City standards. This critical infrastructure
improvement will assist with the further development of needed Corporate and General
Aviation hangars as well as surrounding businesses adjacent to Airport Lane.
STRATEGIC PRIORITY: Economic Development and Improve the Built Environment.
CAPITAL COST / ANNUAL DEBT SERVICE / O&M COST:
Airport Lane Extension:
Option A: $512,358.00 (Road Construction — approximately 1,100 ft)
Option B: $191,537.00 (Road Construction — approximately 450 ft)
*See attached photographs for a complete illustration of proposed 21st Ave and Airport Lane
expansion project.
121st Ave &Afr cart Lane
Extensions
City ofYakima, Washington
PROJECT TITLE: Runway 4/22 Rehabilitation
NEED / DESCRIPTION: The Yakima Air Terminal -McAllister Field is located in Yakima
County within the City of Yakima and covers an area of approximately 825 acres. The airport
currently maintains two active runways which include the primary Runway 9/27 and
crosswind Runway 4/22. Runway 9/27 is 7,604 feet long and 150 feet wide and the
crosswind Runway 4/22 is 3,835 feet long by 150 feet wide. Both runways have parallel
taxiway systems, with Taxiway A serving Runway 9/27 and Taxiway B serving Runway 4/22.
Recently, the Federal Aviation Administration (FAA) obtained data from the National Climatic
Center for years 2000 through 2009 to determine if both Runways were eligible for Federal
funding under the Airport Improvement Program. When the data was analyzed, the FAA
determined that 98% of the wind lined up with the airport's primary Runway 9/27 to
accommodate the majority of aircraft operations. Although this information is encouraging
the airport can accommodate aircraft in windy conditions, the data didn't provide enough
justification to keep Runway 4/22 eligible for AIP funds.
This determination unfortunately has a devastating impact that any improvements to the
Runway will not be eligible for Federal funding. This in turn, forces the City of Yakima to
bear the full costs of maintaining the Runway and any future rehabilitation to meet safety
standards. At the present time, the Runway is in need for rehabilitation as the Porous
Friction Course (asphalt) exhibits a Pavement Condition Index of 31-63. In the event the
Runway is not rehabilitated, the surface will become a safety hazard to aircraft operations
and unfortunately need to be permanently closed which can have seasonal impacts to aircraft
operations.
STRATEGIC PRIORITY: Public Safety and Improve the Built Environment.
CAPITAL COST / ANNUAL DEBT SERVICE / O&M COST:
Option A: Asphalt Sealant GSB-88 (including airfield paint) - $197,000
Option B: Mill, Overlay, Engineering - $2,300,000
*See attached photographs for a complete illustration of Runway 4/22.
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