I want to clarify the timelines for the Midtown Police Station in my 2017 Capital Budget proposal. I want to stress that in my proposal, the project is delayed, but just a few months, certainly not a year.
My proposed 2017 capital budget reflects a plan that is close to the latest timeline for the project. Under this proposed 2017 budget, design would occur in 2017 and bids let in the 4th quarter of 2017 with construction beginning in January 2018. According to City Engineering, the project will probably be ready to bid in August 2017. My proposed 2017 capital budget moves that to October 2017, or approximately 2 months. This approach lines up both the borrowing and the initial operating costs to occur in 2018.
Engineering has stated that the construction will take approximately 9 months. As such, under my proposed budget, the facility would be completed in September 2018. If the construction were to start in September 2017, then the building would open in June of 2018. The difference is approximately 2 to 3 months.
The borrowing needs to be authorized close to the time the bids are let and a contract secured. The borrowing will usually occur after construction begins. As such, under my proposal, the borrowing would occur in 2018.
If construction were to begin in 2017, the borrowing will need to be authorized in 2017 at the amount in the 2016 Capital Improvement Plan (CIP). However, given that construction costs will probably not begin to be incurred until the 3rd or 4th quarter of 2017, most of the borrowing will have to be reauthorized to 2018 anyway.
I hope this information provides some clarity.