BUILDING AND GROUNDS COMMITTEE

MEETING MINUTES

February 4, 2008

A regular meeting of the Chippewa County Board of Commissioners’ Building and Grounds Committee was held on Monday, February 4, 2008 at the Chippewa County Courthouse in Sault Ste. Marie, Michigan. Chairperson Earl Kay called the meeting to order at 1:00 p.m. with a quorum present.

MEMBERS PRESENT: Richard Timmer, Ted Postula and Earl Kay

MEMBERS ABSENT: None

OTHERS PRESENT: Jon Zander, Gunlach Champion; Bob VanPutten, Harrison/Landmark; Sheriff Jeff Moran, Undersheriff Robert Savoie, Treasurer Marilyn McDonald, Derek Myerscough and Kelly Beaune, Recorder

Additions/Deletions to the Agenda

Chairman Kay called for additions or deletions to the agenda.

It was moved by Commissioner Postula, seconded by Commissioner Timmer to approve the agenda as presented. On a voice vote, the motion carried.

Public Comments

Chairman Kay called for public comments. No public comments were offered.

Agenda Items: Gundlach Champion & Harrison/Landmark – Jail Expansion

The Committee met to go over items to initiate the fifty-eight (58) bed additions to the Chippewa County Correctional Facility. Jon Zander, Gundlach Champion, offered an agenda with items to be covered. The Committee was informed that Superintendent Paul Kangas, as well as, Jon Zander and Harrison/Landmark’s Bob VanPutten who will be primary contacts for the project. Communication between all parties will be a must for this to be a successfully managed project; Sheriff Moran would like the project handled just like the first project, so that there are no hidden problems. The contract (AGC #410) between Chippewa County and Gunlach Champion will be will be reviewed by the County’s legal counsel, prior to its being presented to the Board. The Design & Pre-construction phase was discussed, including the need for an updated site survey, zoning requirements and variances that will be needed for the project. Discussion then moved to the pre-construction schedule, which currently shows construction mobilization to begin in September 2008 and completion by June 2009. The Gross Maximum Price (GMP) was discussed at length, as well as, potential timesavings options, so that construction could be started earlier. The Committee then reviewed the bid process that will be used, with approximately fifteen to eighteen (15 – 18) separate packages being offered for the construction of the addition. Alternate bids and cost savings options will be included in the bid packets, with the sealed bids being opened and awarded by the County, after completion of post-bid interviews and recommendations by Gundlach Champion. Discussion also included monthly progress meetings with the Building & Grounds Committee, reporting cost and schedule updates, and the closeout of the project. Gundlach Champion, Harrison/Landmark and the County will tentatively meet again on Monday, March 10^th at 3:00pm.

The committee reviewed project financing with assumptions and calculations as follows: total estimated cost for the jail expansion $3,133,500, amount available in the jail debt service fund and jail maintenance fund of $1,150,000; amount to be borrowed from the DTRF fund $1,983,500; collections for the millage are based upon a 3% annual increase in taxable value and a millage rate of .60 mills, the maximum amount of mills that can be levied is .75 mills; and the schedule shows paying off the old and new debt by the original payoff of 2017; the DTRF will be paid back with interest, to off-set the loss of interest income, total interest to be paid back to the DTRF $660,117.07.

It was moved by Commissioner Postula, supported by Commissioner Timmer, to approve the concept of financing the project through the DTRF, with full repayment including interest, and to forward the Finance Committee for its approval. On a voice vote, the motion CARRIED.

Other

No additional items.

Committee and Chairman Comments

No additional comments were offered.

Adjourn

Commissioner Timmer, seconded by Commissioner Postula, moved it to adjourn the meeting. On a voice vote, the motion was CARRIED.

Chairman Kay declared the meeting adjourned at 2:25 p.m.

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Kelly J. Beaune, Recorder Earl Kay, Chairman