02-05-2024 City Council Special Meeting Agenda and PacketA.7:00 P.M. - CALL TO ORDER
B.WORK SESSION
B.1 Civic Campus Discussion
C.8:30 P.M. - ADJOURNMENT
AGENDA
CHANHASSEN CITY COUNCIL
MONDAY, FEBRUARY 5, 2024
FOUNTAIN CONFERENCE ROOM, 7700 MARKET BOULEVARD
SPECIAL MEETING
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City Council Item
February 5, 2024
Item Civic Campus Discussion
File No.Item No: B.1
Agenda Section WORK SESSION
Prepared By Laurie Hokkanen, City Manager
Reviewed By
SUGGESTED ACTION
Discussion
Motion Type N/A
Strategic
Priority Development & Redevelopment
SUMMARY
The City Council will meet in work session in the Fountain Conference Room from 7 p.m. to 8:30 p.m.
The Civic Campus Design team will attend to walk the City Council through the attached presentation.
The goal of the meeting is to work through the following questions:
1. What Scenario should Staff and the Design Team follow?
2. What is the Council’s comfort level for the base bid relative to the budget?
3. What are the desired add alternates for the project?
4. What is the size and number of restrooms in the Park Pavilion Building?
5. What is the desired direction for the Stage cover?
Also attached are renderings of the City Hall/Senior Center clad in brick rather than stone. This is one
of the cost-saving measures that the City Council will consider.
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BACKGROUND
DISCUSSION
BUDGET
RECOMMENDATION
ATTACHMENTS
Chan Civic Campus - Council Work Session Presentation 02-05-2024
City Hall Brick Alternative Rendering - Northeast Corner
City Hall Brick Alternative Rendering - Northwest Corner
City Hall Brick Alternative Rendering - Southwest Corner
City Hall Brick Alternative Rendering - Southeast Corner
City Hall Brick Alternative Rendering - North Side
City Hall Brick Alternative Rendering - South Side Aerial
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Chanhassen Civic Campus
City Council Work Session
2/5/2024
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Agenda
1.Summary of Project Needs and Goals
2.Current Project -Plans and Renderings
3.Budget Comparison Summary –Concept to DD Estimate
4.Overview of Current Budget at DD
5.Scenarios for Council Consideration/Discussion
•1-1B Current Design + Alternates
•2-2B Current Design + Expanded Alternates / Lower Base Bid
•3 Match Concept Budget, Significant Scope Reduction
6.Council Direction for Staff & Design Team
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Summary of Project Needs & Goals
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Cost to Renovate vs. Cost to Build New
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Project Goals
1.Create a Destination Civic & Park Space
2.Support a Vibrant Downtown
3.Provide Year Round Activities
•Multi-use space for summer concerts, farmer’s market,
winter activities
4.Multi-generational
•Sr. Center, Library, Veteran’s Memorial, splash feature,
playground, performance space, pickleball, skate park,,
outdoor living room, etc.
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Current Project - Plans / Renderings
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OFF-SITE
INFRASTRUCTURE
IMPROVEMENTS
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Updated Park Pavilion Rendering
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Budget Comparison – Concept to Current DD
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Major Differences Between the Concept Plan and the Current Design
•Price per square foot assumptions on buildings/increased square footage
•City Hall/SR Center: 38,000sf @ $425/sf vs $496sf (+ $2.7mil)
•City Hall/SR Center: 685sf increase from Concept (+ $340K)
•Park Pavilion Building: $350/sf vs $774sf (+ $350,000)
•Park Pavilion Building: 1,500sf decrease from Concept
•No building programming was completed, assumed sq. ft. off of facilities study
•Utilities and site infrastructure
•Phasing of utilities, relocation of sanitary sewer, storm sewer, water main, electrical
services (More than assumptions made at concept level)
Budget Comparison – Concept Plan to Current DD Plans
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Major Differences Between the Concept Plan and the Current Design
•Soils / geotechnical evaluation
•Clay soils, additional correction/ base material
•Completed during SD/DD Phase post Concept
•Grading and earthwork
•No grading plan completed at Concept
•Added scope items not previously in concept:
•Off-site Infrastructure Improvements (Additional Funds Allocated + $225K)
•Stage Structure (Additional Funds Allocated + $300K)
•Fireman’s Monument Relocation + $90K
•Digital Display Sign + $60K
Budget Comparison – Concept Plan to Current DD Plans
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Overview of Current Project Budget at DD
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Current Project Revenue (Sources)
Description Design Development Estimate Notes
Bonds $33,000,000 $35mil. less $2mil. for Bond Issuance
Interest Earnings on Bonds $700,000 Conservative Estimate
Tax Savings $800,000 Owner Estimated
Park Dedication Funds $300,000 Dedicated to Stage Structure
PMP Funds $225,000 Dedicated to Off-Site Infrastructure
Misc. (Generator, Cable TV, Rebates)$175,000
Total Project Revenue $35,200,000
Potential Additional Revenue Sources:
•Fund Balance = +/- $2mil.
•Utility Funds = +/- $200K
•Potential Future Park Dedication Funds = +/- $1mil.
Total for Potential Additional Revenue Sources = $0 - $3,200,000
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Current Construction Costs (Uses)
Description DD Estimate Notes
New Construction –City Hall/Sr. Center $19,200,000 DD Estimate
New Construction –UG Parking $2,175,000 DD Estimate
New Construction –Park Pavilion ($1.75mil.) + Outdoor
Living Room Cover ($295K)
$2,040,000 DD Estimate
Site Improvements (incl. $300K Stage Structure)$5,750,000 DD Estimate
Park Elements (Splash $345K, Playground $625K, Skate
Park $130K, Ice $50K)
$1,145,000 DD Estimate
Off-Site Infrastructure Improvements $300,000
Implemented Value Management By Design Team/Staff ($2,815,000)Value Management (next 2 slides)
Design Contingency $695,000 Approx 2.5%
Escalation $710,000 2.5%
Total Bid Day $29,200,000
Remaining Contingency $1,460,000 5%
General Conditions $400,000 Estimated at 20 Months
Total Project Construction Costs $31,060,000 34
City Hall / Senior Center DD Estimate Notes
Interior glass walls to Dorma System $700,000 SD was 350sf, DD is 3,500sf (Offices
and Conf. Rooms)
Reduce wood veneer wall paneling $150,000 Common spaces
ACT in offices (wood look)$166,000 For open office ACT
Clock tower to one side $45,000 DD Estimate
Remove Ceiling Insulation and ACT in parking garage $200,000 At underside of precast
Remove 90LF of glazed interior railings $90,000 Drywall assembly and wood cap
Reduce slat -1 ceiling finish in council chambers and lobby $60,000
Add four gas fired unit heaters in garage $30,000
Remove dry sprinkler from lower level $33,000
Tile at wet walls only in restrooms, base remains $35,000
Remove interior stone wall finish on west corridor $30,000
Remove canopy at north side of City Hall/ Senior Center $27,000
Value Management Items Already Included
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Site DD Estimate Notes
Reduction in site furnishings $95,000
CIP Seat walls $75,000 Central seat walls removed
Custom leaf fountain & trellis at splash feature $130,000
Library trash enclosure $23,000
Stone veneer at CH/Sr. Center trash enclosure $36,000
Remove one fire pit $10,000
Park Pavilion Building DD Estimate Notes
Roof system from standing seam to ballasted $80,000
Reduced square footage $247,000
Reduce western covered canopy $110,000
Remove window treatments $23,000
Current Total VM = $2,815,000 (Site $440K, Park Pavilion $460K CH/Sr. Center $1,915,000)
Value Management Items Already Included
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Current Soft Costs (Uses)
Description Design Development Estimate Notes
Design Fees $2,290,000
Construction Management $1,460,000
Permits, Plan Reviews & Fees $50,000
Utility Connections $40,000 Xcel, Centerpoint, CarverLink
Pre-Construction Surveys + Studies $60,000
Testing & Inspections $195,000
Bidding, Legal, Finance & Misc.$30,000
City Purchase Orders / Soft Cost
Contingency
$250,000
Furniture, Fixtures, & Equipment (FF&E)$800,000
Soft Costs Subtotal $5,175,000
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Current Project Budget Summary
Description Design Development Estimate Notes
Total Project Revenue $35,200,000
Total Project Construction Costs -$31,060,000
Soft Costs Subtotal -$5,175,000
Variance (OVER / UNDER)($1,035,000)
*Does not include select Tentative Add Alternates ($894,000) – See next slide
*Does not included on-site stormwater treatment ($800,000)
Current Conversations with Watershed District are leaning toward a larger
stormwater solution for Downtown that includes Civic Campus stormwater
treatment requirements
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Tentative Project Add Alternates
#Add Alternates DD Estimate Base Bid Item
1.Terrazzo Floor Finish in Lobby $36,000 Tile floor as scheduled
2.Operable Partition in Classroom 146 $32,000 Full ht. metal stud wall
3.CH Energy Recovery Unit $176,000 No energy recovery unit
4.White Noise System in CH Offices $40,000 No white noise system
5.Room Scheduling System $40,000 No room scheduling system
6.Site Speaker Notification System $25,000 No site speaker/notification system
7.Site-wide City provided Wi-Fi $65,000 No exterior, site-wide Wi-Fi System
8.Site snow-melt between CH/Sr-Lib $255,000 No site snow melt in the base bid
9.Relocate Fireman’s monument $90,000 Provide landscape/site work as indicated
10.Cast-in-place concrete seat walls $75,000 Provide conc. seat walls as indicated (edges)
11.Digital monument sign $60,000 Provide landscape/site work as indicated
Add Alternate Totals $894,000
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Current Project Budget Summary with Alternates
Description DD Estimate Notes
Total Project Revenue $35,200,000
Total Project Construction Costs -$31,060,000
Soft Costs Subtotal -$5,175,000
Variance (OVER / UNDER)($1,035,000)
Add Alternates -$894,000
Total w/ Alternates ($1,929,000)
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Current Costs in the Project to Help Manage Budget
PRE-BID
Design Contingency = $695K
•Would be reduced to $0 at bid day, reducing the overall project cost
•To cover possible bid day overages or add alternates
Escalation = $710K
•2.5% of budget anticipating staggered construction 2024–2025
•To cover possible bid day overages or add alternates
Total Pre-Bid Contingency and Escalation = $1,405,000
POST-BID
Construction Contingency = $1,470,000
•Would hold for additional project unknowns throughout construction
•Potential for add backs to project 41
Scenarios for Council Consideration/Discussion
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Scenarios for Council Consideration/Discussion
Scenario 1 or 1B –Current Design Track with or without Add Alternates
•Base Bid = $1,035,000 over budget; w/ Add Alternates range = $0 to $894,000
•Likely must utilize additional funding sources
•Deliverers complete project scope
•No impacts to current schedule
Scenario 2 or 2B –Reduced Base Bid + Expanded Add Alternates or Park Pavilion Building as Add Alternate
•Base Bid = +/-$310,000 over budget to +/--$1,005,000 under budget; Add Alternates range = $0 to $2,934,000
•May require additional funding sources dependent on alternates selected, Risk associated with numerous, complex alternates
•Project likely would lack key features (exterior snow melt system, stone on City Hall/Sr. Center exterior, etc.) (Specific el ements TBD)
•Potential for schedule impacts
Scenario 3 –Match Concept Budget
•Base Bid = $0 over budget
•Likely no additional funding needed
•Strategies would range from significant redesign of City Hall/ Sr. Center building, no Park Pavilion building, remove pickleb all, keep
skatepark and hockey with no upper parking lot, etc.
•Would increase costs due to redesign and significant schedule impacts (6-12 months)43
Project Scope:
•Delivers Complete Scope Identified in the Design Process
•Includes the Park Pavilion Building + Outdoor Living Room Area
Budget:
•Base Bid = $1,035,000 over budget
•Add Alternates Range = $0 -$894,000
•Total Estimate with all Add Alternates = $1,035,000 -$1,929,000 over budget
Need for Additional Funding:
•Likely would require additional revenue (Amount & Source TBD)
•Pre-Bid Contingency and Escalation total of $1,405,000
Schedule Impacts:
•Maintains Completion Schedule target of July 4th 2026
Scenario 1 – Current Design + Current Add Alternates
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Project Scope:
•Delivers Near Complete Scope Identified in the Design Process
•Includes the Park Pavilion Building + Outdoor Living Room Area
Budget:
•Base Bid = $1,035,000 over budget
•No Add Alternates
•Total Estimate = $1,035,000 over budget
Need for Additional Funding:
•May require some additional funds (Amount & Source TBD)
•Pre-Bid Contingency and Escalation total of $1,405,000
Schedule Impacts:
•Maintains Completion Schedule target of July 4th 2026
Scenario 1B – Current Design & No Alternates
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Project Scope:
•Potential Exists to Deliver Near Complete Scope Identified in the Design Process
•Includes the Park Pavilion Building + Outdoor Living Room Area in Base Bid
Budget:
•Base Bid = $310,000 over budget (reduced base bid due to expanded alternates below)
•Expanded Add Alternates (Enact Level 3 on Value Management in addition to Alternates from Scenario 1)
•Stone to Brick Exterior ($300K)
•Glass to Metal Interior & Exterior Railings ($200K)
•Reduce private office fronts ($75K)
•Eliminate Pickle Ball Courts ($150K)
•Budget risks associated with a significant number of Add Alternates (15 total, targeting 5 max)
Need for Additional Funding:
•May not require additional funds depending on alternates selection (Amount & Source TBD)
•Pre-Bid Contingency and Escalation total of $1,405,000
Schedule Impacts:
•Maintains Completion Schedule target of July 4th 2026
Scenario 2 – Current Design & Expanded Alternates
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Project Scope:
•Potential Exists to Deliver Near Complete Scope Identified in the Design Process
•Shifts the Park Pavilion Building + Outdoor Living Room Area to an Add Alternate
Budget:
•Base Bid = -$1,005,000 under budget
•Maintain Scenario 1 Add Alternates + Park Pavilion Building as Add Alternate = $0 -$2,934,000
•Budget risks associated with a significant number and complexity of Add Alternates
Need for Additional Funding:
•May not require additional funds depending on alternates selection (Amount & Source TBD)
•Pre-Bid Contingency and Escalation total of $1,405,000
Schedule Impacts:
•Maintains Completion Schedule target of July 4th 2026
Scenario 2B – Current Design, Park Pavilion Building as Add Alternate, Plus Scenario 1 Alts.
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Project Scope:
•Likely significant portions of project scope removed
•Various strategies could include:
•Significant reductions to City Hall/ Sr. Center building square footage
•Remove training room, relocate Council Chambers to first floor; Remove clock tower; Revisit W 78 th Façade and covered
entrance area; Remove underground parking
•Remove Park Pavilion Building
•Stub Utilities for Future, Portable Restrooms, Trailer for Warming House, No Splash Pad –Turf in lieu, Reduce associated site
furnishings,
•Leave Hockey and Skate Park, Resurface Skate Park, reinstall ex. Features, No New Upper Parking Lot
Budget:
•Base Bid = $0 over budget with no Alternates
•Additional costs for redesign, schedule delays (amount and duration TBD)
Need for Additional Funding:
•Would likely not require additional funding
•Pre-Bid Contingency and Escalation total of $1,405,000
Schedule Impacts:
•Schedule impacted by minimum of 6-12 months
Scenario 3 – Match Budget & No Add Alternates
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Council Consideration/Discussion
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1.What Scenario should Staff and the Design Team follow?
2.What is the Council’s comfort level for the base bid relative to budget?
3.What are the desired add alternates for the project?
4.What is the size and number of restrooms in the Park Pavilion Building?
5.What is the desired direction for the Stage cover?
Considerations for Council
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