Sponsor: Finance
Title
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Authorize Use of Bond Interest and/or Premium for Metro Square Renovation Project
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Recommendation
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Authorize the County Manager to allocate and transfer up to $2.5 million of existing Capital Improvement Plan, debt service, and/or bond interest and premiums cash balances to the Metro Square Renovation project budget for project activities.
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Background and Rationale
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In early-2023, the budget for the Metro Square renovation project was developed for the work to accommodate all staff moving into Metro Square from 160 E. Kellogg Blvd. The project and funding were planned spanning multiple years and sources. Subsequently, the project scope was expanded to include a Downtown Service Center. To date, funding for all but $5 million of the anticipated $35 million project budget has been identified. The $5 million was identified as not needed until 2025 and therefore the funding had not been determined. These funds are now needed to finish the project, specifically for work on the 5th floor of Metro Square.
Working with the County Manager and Property Management, the recommendation is to fund the $5 million with 50% from premium and interest after approval of this Request for Board Action (RBA) and 50% from Capital Improvement Program contingency funds following approval from the Capital Improvement Program Citizens' Advisory Committee (CIPAC) in September 2025. This RBA is seeking approval for the first $2.5 million to continue the renovation project. A second RBA for the remaining $2.5 million will be presented in the Fall of 2025 for board approval.
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County Goals (Check those advanced by Action)
☐ Well-being ☐ Prosperity ☐ Opportunity ☒ Accountability
Racial Equity Impact
The Metro Square Renovation Project will provide improved workplace environments for employees relocating from the East Kellogg Building consistent with those already based at Metro Square and provide a new Service Center consistent with our Residents First strategic priority.
The racial equity impact of the construction project is not fully known. The project does include workforce inclusion goals of 32% minority and 20% women, as well as a goal of utilizing 32% certified small businesses (SBEs) found in the Central Certification (CERT) Program directory recognized by the county as the acceptable source for SBE subcontractors and suppliers in conformance with the county’s approved policy on workforce inclusion and contracting goals.
Community Participation Level and Impact
Ramsey County issues bonds to finance capital improvements identified in its annual capital improvement plan which is developed with public participation through the Capital Improvement Program Citizen’s Advisory Committee (CIPAC), an advisory committee comprised of 14 residents, appointed by the Ramsey County Board, to assure public participation in the decision-making process.
☒ Inform ☐ Consult ☐ Involve ☐ Collaborate ☐ Empower
Fiscal Impact
Sufficient funds are available in the bond interest and premium accounts to accommodate this request of $2.5 million. Funds will be transferred to the Metro Square Renovation project, P032316.
Last Previous Action
On July 21, 2024, the County Manager approved a $3 million transfer of Residents 1st funds into the Metro Square Office Renovation Project for the Downtown Service Center.
On March 21, 2023, the Ramsey County Board allocated $24 million for capital building improvements and other related costs at Metro Square (Resolution B2023-045).
On March 14, 2023, the Ramsey County Board authorized the County Manager to amend the Capital Improvement Program Budgeting process as needed to continuously reflect the vision, mission, goals and values of Ramsey County (Resolution B2023-043)
On February 21, 2023, the Ramsey County Board established the Metro Square Office Renovation Project and authorized a reallocation of $2.2 million of Capital Improvement Funding to the project (Resolution B2023-035).
Attachments
None.