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HomeMy WebLinkAboutord2026-028Whatcom County COUNTY COURTHOUSE 311 Grand Avenue, Ste #105 Bellingham, WA 98225-4038 (360) 778-5010 Agenda Bill Master Report File Number: AB2026-355 File ID: AB2026-355 Version: 1 Status: Adopted File Created: 05/01/2026 Entered by: MMiterko@co.whatcom.wa.us Department: Finance Division File Type: Ordinance Assigned to: Council Finance and Administrative Services Committee Final Action: 05/26/2026 Agenda Date: 05/26/2026 Enactment #: ORD 2026-028 Related Files: Primary Contact Email: atanj(,co.whatcom.wa.us TITLE FOR AGENDA ITEM: Ordinance amending the project budget for the New Public Health, Safety and Justice Facility, request no. 11 SUMMARY STATEMENT OR LEGAL NOTICE LANGUAGE: Requests appropriation of $2,200,000 to fund expenditures needed to progress the project to the design phase, including land use and permitting costs, for a total project budget of $23,358,524. HISTORY OF LEGISLATIVE FILE Date: Acting Body: Action: Sent To: 05/12/2026 Council INTRODUCED Council Finance and Administrative Services Committee Aye: 7 Boyle, Buchanan, Elenbaas, Galloway, Rienstra, Scanlon, and Stremler Nay: 0 05/26/2026 Council Finance and Administrative RECOMMENDED FOR Services Committee ADOPTION Aye: 7 Boyle, Buchanan, Elenbaas, Galloway, Rienstra, Scanlon, and Stremler Nay: 0 05/26/2026 Council ADOPTED Aye: 7 Boyle, Buchanan, Elenbaas, Galloway, Rienstra, Scanlon, and Stremler Nay: 0 Whatcom County Page 1 Printed on 5/27/2026 Agenda Bill Master Report Continued (AB2026-355) Attachments: Staff Memo, Proposed Ordinance, Notice of Action Proposed on 5.12.2026 Whatcom County Page 2 Printed on 5/27/2026 PROPOSED BY: Executive INTRODUCTION DATE: May 12, 2026 ORDINANCE NO. 2026-028 AMENDING THE PROJECT BUDGET FOR THE NEW PUBLIC HEALTH, SAFETY AND JUSTICE FACILITY, REQUEST NO. 11 WHEREAS, Ordinance 2013-003 established the project budget for a new public health, safety and justice facility construction project; and WHEREAS, voters approved the referendum necessary to fund a new facility proposed in Ordinance 2023-039; and WHEREAS, funds expended to date were used for site acquisition, permitting, community collaboration, wetland mitigation, validation phase, and related consulting contracts; and WHEREAS, additional expenditure authority is needed to purchase land identified at the Hannegan site that has been evaluated as a cost-effective alternative to the LaBounty site; and WHEREAS, additional expenditure authority is needed to progress the project to the design phase which will include contract amendments with the design -build and owner's representative teams; and WHEREAS, additional expenditure authority is needed for land use and permitting costs; and WHEREAS, fund balance is available to pay for additional project expenses through proceeds from the criminal justice sales tax and small cities interlocal agreement revenues. NOW, THEREFORE, BE IT ORDAINED by the Whatcom County Council that Ordinance 2013-003 is hereby amended by adding $2,200,000 of expenditure authority to the current amended project expenditure budget of $21,158,524, for a total amended project expenditure budget of $23,358,524, as described in Exhibit A. ADOPTED this 26th day of iHJiyjia ATTEST;,"Idl y Cathy�Hbflkk Co nci Clerk OF APPROVED` 0 •ROF�I�: ®� Approved'''by email/8NVa'LdronfA Tan_ Civil Deputy'Pro ,ecutor ,,;4e' May 2026. WHATCOM COUNTY COUNCIL WHATCOM COUNTY, WASHINGTON Kaylee Galloway, Chair of the Council Approved ( ) Denied $Ig4 A 0. &J&. Satpal Sidhu, Clounty Executive Date: C. ®31 EXHIBIT A NEW HEALTH, SAFETY AND JUSTICE FACILITY FUND 3502 Current Account Description Amended Amendment #11 Total Amended Expenditures Project Budget to Ord. 2013-003 Project Budget 6190 Direct Billing Rate $900,000 $0 $900,000 6630 Professional Services $9,305,789 $1,000,000 $10,305,789 7210 Intergov Professional Services $10,000 $0 $10,000 7320 Land $7,493,491 $2,670,000 $10,163,491 7350 Buildings and Structures $0 $30,000 $30,000 7380 Other Improvements $1,500,000 -$1,500,000 $0 8597 Operating Transfer Out $1,949,244 $0 $1,949,244 $21,158,524 $2,200,000 $23,358,524 Revenues 4313 Special purpose tax $7,596,000 $0 $7,596,000 4337 City of Bellingham tax revenue $2,574,000 $0 $2,574,000 4337 City of Blaine tax revenue $169,000 $0 $169,000 4337 City of Everson tax revenue $84,000 $0 $84,000 4337 City of Ferndale tax revenue $438,000 $0 $438,000 4337 City of Lynden tax revenue $443,000 $0 $443,000 4337 City of Nooksack tax revenue $42,000 $0 $42,000 4337 City of Sumas tax revenue $49,000 $0 $49,000 8397 Operating Transfer In -Gen Fund $2,093,491 $0 $2,093,491 8397 Op Trf In - Gen Fund (Not Budgeted) $3,000,000 $0 $3,000,000 8397 Operating Transfer In -Jail Fund $2,700,000 $0 $2,700,000 8397 Operating Transfer In - REET 1 $2,300,000 $0 $2,300,000 $21,488,491 $0 $21,488,491 Supplemental Budget Request Administrative Services Facilities Management Fund 3502 Cost Center 35021000 Originator: Chris Erb Year 2 2026 Add'I FTE ❑ Priority Name of Request: Justice Project Amendment - Design/Land/Permitting X Department Head Signature (Required on Hard Copy Submission) Date Costs: r Object Object Description Amount Requested 6630 Professional services $1,000,000 7320 Land $2,670,000 7350 Buildings and structures $30,000 7380 Other improvements ($1,500,000) Request Total $2,200,000 la. Description of request: This request is for additional budget authority of $2,200,000 to allow the Justice Facility project to complete the Hannegan property acquisition, and provide enough funding to bridge/seed the Design Phase of the project, through the end of the Validation Phase, anticipated to conclude in July of 2026. The County has previously approved budget authority to support early planning, due diligence, site evaluation, consultant services, and design -builder validation work. As the Design phase is approaching, additional authority is now required to support this work without interruption and to carry the project team through scope contract completion. The current budget adjustments in the following areas: Land Acquisition, Professional Services, and Building and Structures Land Acquisition, Professional Service Adjustments and redirecting previous budget authority for the Hannegan site acquisition This request reflects the County's shift to the Hannegan site for the Justice Facility and realigns budget authority to match the current project approach. The primary new cost is the $4.07 million purchase of the Hannegan parcel. In addition, this request includes professional services already incurred or needed to support the Hannegan site approach. This includes consultant support tied to permitting strategy, appraisal, and related technical services. The new costs are largely offset by budget authority and site -specific costs previously anticipated under the former LaBounty site approach and are no longer required as originally contemplated. This includes $1.47 million previous budgeted for land purchase related to a mitigation property, $1.5 million previously budgeted for wetland mitigation construction activities, and approximately $200,000 in reduced professional services associated with wetland consultant work. In addition, Facilities estimates approximately $1.5 million in avoided costs related to reduced topographic work, permitting, and schedule - related efficiencies under the Hannegan site approach. The Design -Builder also developed a rough order of magnitude estimate of approximately $2.5 million for LaBounty-specific wetland mitigation, utility relocations, and soil condition impacts that would have been required under the former site approach. Collectively these changes help offset the cost of the Hannegan land purchase and other current Thursday, April30, 2026 Rpt: Rpt Suppl Regular Supplemental Budget Request Administrative Services Facilities Management 8upp; 0 # 5454' _I Fund 3502 Cost Center 35021000 Originator. Chris Erb Validation needs and represent approximately $5.67 million in avoided or redirect costs under the former site approach. If the Council contemplates future sale of the LaBounty site, there is an opportunity to credit the sale toward this project budget, eventually offsetting this proposed supplemental request. Other Professional Services Adjustments This request also includes $1,000,000 additional authority in Professional Services to bridge/seed the Design phase of the project. Buildings & Structures Adjustments Lastly, this supplemental request provides $30,000 in budget authority for anticipated City of Bellingham land use and permitting costs related to the Justice Facility project. Planned 2026 activities include development agreement coordination, conceptual test fits, a City pre -application meeting, neighborhood meeting, land use application submittal, traffic study review, and the anticipated 180-day City review period. The requested amount is a planning -level allowance for City fees and review costs and does not include broader design or construction costs. 1b. Primary customers: All Departments and residents that have a vested interest in the Justice Project. 2. Problem to be solved: This request is intended to facilitate the project's relocation to a preferred site, expediting overall delivery timeline and reducing overall project costs as described above. Having appropriate budget authority to continue work without disruption will allow the project to maintain schedule without cost impacts. This additional budget authority is intended to bridge Validation Phase work to the Design Phase contract execution, where the Validation phase is anticipated to conclude end of July 2026. 3a. Options /Advantages: Facilities continues to view Hannegan as favorable when compared to the La Bounty site. With the elimination of wetland mitigation required on the LaBounty site, that permitting and design can commence much sooner and permitting does not have to wait until the Department of Ecology and Army Corps conclude wetland permitting on the site. 3b. Cost savings: Cost savings include $1.47 million previous budgeted for land purchase related to a mitigation property, $1.5 million previously budgeted for wetland mitigation construction activities, and approximately $200,000 in reduced professional services associated with wetland consultant work. In addition, Facilities estimates approximately $1.5 million in avoided costs related to reduced topographic work, permitting, and schedule - related efficiencies under the Hannegan site approach. The Design -Builder also developed a rough order of magnitude estimate of approximately $2.5 million for LaBounty-specific wetland mitigation, utility relocations, and soil condition impacts that would have been required under the former site approach. Collectively these changes help offset the cost of the Hannegan land purchase and other current Validation needs and represent approximately $5.67 million in avoided or redirect costs under the former site approach. 4a. Outcomes: The Executive has set the ambitious goal that the Justice Facility be operational in late 2028. 4b. Measures: When the facility is delivered and occupied in late 2028-29. Successful completion of the project, on time and on budget. Thursday, April 30, 2026 Rpt Rpt Suppl Regular Supplemental Budget Request Administrative Services Facilities Management Suppy +a # o-454 Fund 3502 Cost Center 35021000 Originator: Chris Erb 5a. Other Departments/Agencies: This project is not near any other County departments. This new site location will provide a closer commute for downtown facilities. 5b. Name the person in charge of implementation and what they are responsible for: Rob Ney 6. Funding Source: New County Public Safety Sales Tax and Partner Contributions (Cities), Agreement 2 Thursday, April 30, 2026 Rpt: Rpt Suppl Regular