Library Project Vote Wednesday

Hi Neighbors!

I apologize for the short notice on this, but things are moving very quickly with the library project. Last week, bids were opened for the various parts of construction. Those bids were reviewed and subsequently approved by the Finance Committee yesterday at a special meeting. That means Wednesday night at our regularly scheduled council meeting, we will be asked to vote on the approval for construction of the project. 

I asked numerous questions last night, as did some other colleagues. I still have some lingering concerns that I am hoping can be addressed by the staff and Friends of APL prior to our meeting Wednesday night. 

Project Details

Here are the details as they will be before us Wednesday.

• The city's commitment to the project stands at $28.4 million. The city's original commitment to the project was $26.4 million. Then staff advised, and the majority of council agreed, to set aside an additional $2 million in ARPA funding for broadband at the library. 
• The Friends of the Appleton Public Library has stated they believe they can raise $12 million in private donations toward the project. As of yesterday, they have been able to raise $8 million so far. 
• The total budget for the project stands at $40.4 million after all costs of construction and other related fees are included. If you do the math of the city's commitment and the Friends of APL commitment, that essentially matches the amount noted in the spreadsheet below. 
• The allowance for geothermal is due to the fact that no bids were received for that portion of the project. The geothermal equipment is being purchased as part of the HVAC contract in the construction contracts portion of the project. The $1.2 million allowance is for the well-drilling in the parking lot that is part of the project. Staff plan to bid that again later this year. The staff is confident the $1.2 million is good number, but as we've seen in so many projects over the last few years, our expectations aren't always met by reality.
• There is a $1 million contingency for any unforeseen expenses.  That is a lower contingency than on most projects of this size, but staff assured us that through refinement of the project, the bids already received and the fact that Boldt is the city's "construction manager at risk" - meaning they take on the burden of cost overruns, with the exception of changes made at the request of the city. 
• Architectural fees are higher than originally planned, due to the changes made to the scope of the project when the design and footprint of the building were reduced after the initial plan was $15 million over budget. 

Outstanding Concerns

• The geothermal piece is concerning. I am uncomfortable with where this piece stands and the uncertainty of whether or not it will cost us more than we have set aside. Staff assured us that despite no bids coming in now, they are confident we will receive some when this is bid again. We were also told that ARPA funding around the country means that the well-drillers who do this work don't need to travel as far and can do work closer to where they are based. Staff indicated there are few, if any companies in WI qualified to do this work. We were also told that by the time we need this work done in late 2024, there will be more available contractors to do it. I am not sure which of those scenarios is more likely to be the case. So the current reality is we don't know how much that piece will cost or if there will be contractors to do it. 

• While our budget currently sits at the $40.4 million, our available funds to pay for it sit at $36.4 million. I have asked staff for a detailed plan of where the money will come from, in the event the Friends of APL for some reason are unable to raise the final $4 million, or some portion of that. I am certain that staff has gotten regular updates over the last 12 months of the fundraising campaign and I think it is important that we know where any shortfall would come from. Staff mentioned they are continuing to seek out some energy related grants that, if received, could also reduce any potential shortfall. We also have a $140,000 energy grant that staff has not yet allocated to this project. But beyond that, any additional shortfall in fundraising will need to be covered by the city, and that means a higher commitment than what was promised. 

• As for the fundraising, I have also reached out to the Executive Director of the Friends of APL with some further questions. Of the $8 million raised so far, $3 million came from a lead gift pledged at the very beginning of the fundraising effort last June. That's a fantastic amount, but that also means $5 million has been raised in the last 12 months and there is another $4 million to go. If all the money isn't raised by the middle to later part of 2024, available funding will start to dry up. The Friends of APL have discussed the possibility of bridge loans the organization may take out while they await the final funding to come in. For example, some pledges may come in over the course of a year or more rather than in one lump sum, so there are considerations being made for that as well. 

Questions? 

What questions do you have about the project at this point? Overall, we're in a much better place than with the last iteration that came in $15 million over budget. We aren't technically over budget with this version of the project, but we are $4 million short of the funding needed as of now. If all 

If you are interested in coming to the meeting to ask questions or advocate one way or the other for the project, the meeting is on the sixth floor of City Hall at 7 p.m. Wednesday in the council chambers.  

Get In Touch

I am always available to answer questions at district15@appleton.org or (920) 419-1360. As always, agendas can be found on the agenda and meetings page of the city website. Meetings can be viewed live on the website or watched at a later date. Meetings are also open for anyone to attend in person and all meetings take place in the Common Council chambers on the 6th floor of City Hall, unless otherwise noted. 

Also connect with me on social media on Facebook and Twitter.