Loading...
HomeMy WebLinkAboutAgenda - 12-14-2004-7dORANGE COUNTY BOARD OF COMMISSIONERS ACTION AGENDA ITEM ABSTRACT Meeting Date: December 14, 2004 Action Agenda / Item No. 7-q SUBJECT: Authorization for Development of Professional Contracts Related to the Assessment of SportsPlex/Senior Center Proposal DEPARTMENT: Manager/Finance/ Purchasing PUBLIC HEARING: (Y/N) No ATTACHMENT(S): None INFORMATION CONTACT: Rod Visser, ext 2308 Ken Chavious, ext 2453 Pam Jones, ext 2652 TELEPHONE NUMBERS: Hillsborough 732-8181 Chapel Hill 968-4501 Durham 688-7331 Mebane 336-227-2031 PURPOSE: To authorize staff to engage a financial business analyst, and other consultants as needed, to conduct due diligence evaluations related to the possible acquisition by the County of the Triangle SportsPlex property, BACKGROUND: At their October 21, 2004 work session, the Board of Commissioners directed staff to bring back to this December 14, 2004 meeting action related to examination of a proposal to construct the new Central Orange Senior Oenter in conjunction with an expansion of the Triangle SportsPlex, The SportsPlex is an 82,000 square foot facility in the Meadowlands Business Park in Hillsborough that provides a regulation ice rink, three swimming pools, fitness equipment, and other recreation amenities, The County operates a small senior center in rented space immediately adjacent to the SportsPlex. The County has an existing ten-year facilities/service agreement under which the County provides payments of $400,000 a year to the SportsPlex to support the availability and affordability of the swimming pools, and other recreational opportunities to citizens of Orange County. The ten-year agreement expires at the end of March 2005. Staff have been working with the agent far the SportsPlex owners for several years to examine options upon the expiration of the ten-year agreement. Since early 2004, staff have been working to develop a proposal that would involve the construction of an expansion to the existing SportsPlex building, That expansion and a reallocation of some existing, underutilized square footage within the existing building would be used to provide 15,000 square feet of dedicated space for a Central Orange Senior Center to z be operated by the County's Department on Aging. Consideration may also be given to the development of an affordable housing component to this project, given the 16 acres or so upon which the SportsPlex is situated. Staff have held several meetings/discussions with Jim Sloop, a Certified Public Accountant (CPA) and principal with the Chapel Hill accounting firm of Blackman & Sloop. The firm is interested in working with the County to conduct analysis related to current and projected fiscal activity of the Triangle SportsPlex as well as of other financial considerations related to the viability of a possible recreation/senior center/affordable housing co-location at the Meadowlands. Staff will report at this December 14 meeting regarding a preliminary scope of work for Blackman and Sloop. Over the coming weeks, the total scope of work with the firm would evolve and be fleshed out based on how much analysis staff can accomplish and how much of the analysis requires the expertise that the CPA firm and associated specialists can bring to bear, Staff will also likely need to engage other consultants during the BOCC's winter break to assist in the due diligence evaluation of reasonable terms for the County's possible acquisition of the SportsPlex property. These might include (but not necessarily be limited to) updates of the physical plant inventory done three years ago and engagement of a project manager far the overall assessment of an Eatan Vance offer and possible BOCC decision package for Tate February-early March 2005 (this approach would be modeled after the County's successful employment of contracted project managers far the major undertakings associated with Y2K preparations and replacement business system software implementation). FINANCIAL IMPACT: Staff requests that the Board authorize at this time the expenditure of an amount not to exceed $30,000 to complete the business analysis, updated physical plant assessment, and other services essential to develop a decision package for the Board's consideration in late Winter 2005 regarding the possible acquisition of the SportsPlex as part of a recreation/senior center/affordable housing project, Funding for this work can be addressed through the appropriation already in place through the 2004-05 SportsPlex Capital Project Ordinance. That project ordinance appropriated $400,000 for FY 2004-05. Of that amount, $300,000 is needed to complete the County's contractual obligations under the SportsPlex Facilities/Services Agreement that expires on March 31, 2005. The remaining $100,000 appropriation is unobligated at this point and may be employed to address other SportsPlex related costs. RECOMMENDATION(S): The Manager recommends that the Board authorize the Manager and staff to develop a proposed agreement with Blackman & Sloop, subject to final review by staff and the County Attorney, and authorize the Chair to sign it; and authorize the Manager to execute additional professional service contracts as needed, with the total amount for all professional services not to exceed $30,000, to assist in the due diligence evaluation of a possible SportsPlex acquisition decision,.