Michigan city seeks interest for PPPs

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Michigan city seeks interest for PPPs

The City of Berkley has issued two separate documents in search of interested parties for potential public private partnerships (P3). The Expression of Interest (EOI) documents identify the city’s Parks & Recreation facilities and City Hall complex, respectively, as sites for a P3.

The intent of this endeavor is to identify funding and revenue generating opportunities that will mutually benefit the city and the selected prospective partner. Sale of municipal buildings or real estate owned by the city would not be considered during this process.

Developers are invited to submit proposals to indicate their interest in participating in innovative renovation projects to substantially improve each site. Proposals should include potential revenue generating concepts and expand facility uses that can include concessions, room rentals and other reasonable options.

In 2014, the City of Berkley hired Stantec (formerly known as SHW) to conduct a Facility Condition Study aimed at identifying structural, electrical, mechanical and other deficiencies for all municipal buildings. Stantec provided a comprehensive report that describes the current state of City Hall, the historic fire hall, Park & Recreation (including the ice arena), Public Safety, Public Works and the Library.

Facilities at Parks & Recreation (including the ice arena) and City Hall (including the historic fire hall) require extensive repairs to update the buildings’ failing exterior facades, electrical and mechanical systems. According to the Stantec study, the buildings have a number of structural issues that affect energy efficiency and accessibility. Electrical and mechanical systems, though functional, have exceeded their useful life.

In response to the EOI, developers are invited to submit proposals to indicate their interest in participating in innovative renovation projects, at Parks & Rec and City Hall, that will improve the site and provide needed structural, mechanical and electrical upgrades. Proposals should also identify potential revenue generating options including concessions, room rentals and other services that will increase utilization of the facilities and enhance service delivery.

The 8,100 square foot Community Center was built in 1970 and the ice arena (36,400 sq. ft.) was built in 1974. The last major renovation was made in 1994. City Hall (approximately 7,500 sq. ft.) was built in 1960 and the historic fire hall (7,650 sq. ft.) was built in 1928.

Most recently, the City Council approved a contract with the architectural firm, Lord, Aeck & Sargent, to begin a design process that would address structural and other issues for city hall as identified in the facility assessment. In the coming weeks, focus groups will be conducted to get resident input on design concepts for a ‘reimagined” city hall. Other information sharing sessions will occur when prospective partners are identified and designs are under consideration.

City Manager Matthew Baumgarten, said: 

“Like most cities, a conscious decision was made to delay capital improvements and other facility upgrades during the economic downturn in order to help the city maintain financial solvency. Now, we’re at a point where we need to take the necessary steps to aggressively address these concerns so that we can continue to provide services at our facilities well into the future.”

“Ideally, the partnership will be mutually beneficial for the city and the private entity. We’re open to ideas that may change the footprint of each site but ultimately, the concepts must allow the city to continue to efficiently conduct its business and provide residents with the conveniences needed when they come to city offices. ”

Proposals are due on November 11, 2016.

Please, check EOI documents for both projects here:

Expression of Interest - Parks & Recreation Complex

Expression of Interest - City Hall Complex

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