HomeMy WebLinkAbout04-28-15 Ad Hoc Health Center Construction Minutes MEETING MINUTES
AD HOC HEALTH CENTER CONSTRUCTION COMMITTEE
April 28, 2015 2:30 PM
County Board Room-Government Center
County Board Room - 1101 Carmichael Road, Hudson, Wisconsin
CALL TO ORDER
Vice Chair Leibfried called the meeting to order at 2:32 p.m.
ROLL CALL
Attendee Name Organization Title Status Arrived
David Peterson St. Croix County Supervisor Excused
Agnes Ring St. Croix County Supervisor Present 2:40 PM
Deb Rasmussen St. Croix County Citizen Present
Roy Sjoberg St. Croix County Supervisor Present
Daniel Hansen St. Croix County Supervisor Present
Judy Achterhof St. Croix County Supervisor Present
Shaela Leibfried St. Croix County Supervisor Present
Suzanne Van Mele St. Croix County Citizen Present
Scottie Ard St. Croix County Citizen Present
OTHERS PRESENT: County Board Supervisors Roger Larson and Dave Ostness,
County Administrator Pat Thompson, Facilities Director Jim Elsbury, Health & Human
Services Director Fred Johnson, Health Center Administrator Sandy Hackenmueller,
Corporation Counsel Scott Cox, Management Analyst Kristen Ziliak, Information and
Technology Director John Allegro, Interim Finance Director Bob Mittet, Fiscal Manager
Beata Haug and Recording Secretary Monica Lucht.
GUESTS PRESENT: Representatives from Horty Elving, Tu-Anh Johnson, Andrew
Altstatt and Reed Paitich. Representatives from Market & Johnson, Kevin Renley and
Randy LaFaive. Wipfli representative, Larry Lester and Secretary of the Wisconsin
Department of Health Services, Kitty Rhoades.
APPROVAL OF MINUTES
1. Ad Hoc Health Center Construction Committee – Regular Meeting – March 27, 2015
9:00 AM
Motion by Ard, 2nd by Rasmussen to accept the minutes of March 27, 2015 as
distributed. Motion carried.
RESULT: ACCEPTED
PUBLIC COMMENTS
None
BUSINESS ITEMS
1. Home & Community Based Services Setting Regulations
Fred Johnson, HHS Director introduced Brian Purtell, Attorney for DeWitt, Ross and
Stevens who was participating via Skype to update the Committee on progress towards
clarifying the impact of the Home and Community Based Services Setting Regulations on
the project. Hackenmueller explained that a letter was submitted requesting a waiver
from the new requirements. The State of Wisconsin Department of Health reviewed the
letter about a week ago and is working on the Home and Community Based waiver.
There is a team in place to make sure that the intent of the Home and Community based
waiver is being met.
Purtell explained the background information. In the last 4 years, the Federal
government has been attempting to implement a Home Based service rule, which has
created concern in the affected waiver programs primarily family care. The final rule
came out stating that in order for settings to participate in a waiver program, a nursing
home or hospital that is in a public or private institution has to pass a heightened scrutiny
test. St. Croix County needs to meet the test that the CBRF is in fact community based.
Secretary of the Wisconsin Department of Health Services Kitty Rhoades introduced
herself and declared her support of the County’s project and support for the waiver
request. The committee asked the timeline of the waiver request. Rhoades answered that
it is not necessarily a timely process; the Centers for Medicare & Medicaid Services
(CMS) control the clock. Challenging waivers take about 1 to 1 1/2 years. Thompson
stated that because we are in the process of designing, he is reluctant to advise the County
Board to wait for a decision. Purtell stated that the plan should be to move forward.
Purtell suggested that getting letters of support from Alzheimer’s organizations and the
Board on Aging would help. Rhoades assured the committee that she would do the best
she can to move this forward.
RESULT: DISCUSSED
2. Final Wipfli Market Study Report
Thompson welcomed Wipfli representative Larry Lester. Lester presented his updated
Market Study. The Market Study included construction information, timeline and
financing information of bonds. The committee asked questions about the pay back
schedule and possibly looking at earlier bonding. Lester explained it is a staggered pay
back. Thompson explained the bond resolution that is coming before the County Board in
May 2015 for the $20 million, but it is the sale of the bonds that's being split. One sale
will be this Fall, with the second sale shortly after the first of the year in 2016 so that both
sales will be bank qualified, resulting in a lower borrowing rate. The sales will require a
majority vote of the County Board.
RESULT: DISCUSSED
3. Wipfli Examined Forecast Update
Lester explained the forecasted balance sheet and the forecasted statement of operations
as well as the additional information put into the Market Study regarding Adult Daycare
costs and revenues, and the census need to break even. A question was asked about the
Statement of Operations in regards to the entry in 2019 that the county would need to
have levy of $700,400. Lester will word the entry as Tax Levy Funds Transferred. Any
additions, such as geothermal, will change the forecast.
RESULT: DISCUSSED
4. Design to Date by Horty Elving
Tu-Anh Johnson reviewed the content and outcomes of staff and Stakeholder meetings
since the last Ad Hoc meeting. The Design to Date was approved and presented to the
Committee of the Whole. In the month of April, construction design documents were put
together and presented to the City of New Richmond. Johnson explained the drawings
submitted to the City of New Richmond, which included site plans, grading, utility and
landscape plans.
Johnson showed the committee 3D images of a household. She explained that the storm
protection areas changed, the areas have been redesigned and will be constructed out of
concrete. The Committee proposed a campaign to sponsor the plants, trees and gardens
as part of public relations and to reduce cost.
RESULT: DISCUSSED
5. Geothermal and Solar Systems Presentation by Reed Paitich, Horty Elving Mechanical
Engineer
Johnson introduced Horty Elving Engineer, Reed Paitich, to present the geothermal
findings. Paitich reviewed Solar Thermal, Renewable and Geothermal, and presented
several projects that were done throughout Wisconsin. He also added that Solar
Photovoltaic can be added at a different time and doesn't have to be on the roof, could be
on land. Paitich presented the committee with two options for geothermal and the
installation cost. Paitich described Geothermal conductivity. Based on findings he
would recommend Option #1 - Decentralized Heat Pump, based on operation costs,
calculated at $365,000 with an 8 1/2 year pay back. Paitich explained that Central Heat
Pumps are expensive. Paitich stated that Option #2 is more reliable, but Option #1 is
better for energy and noise.
Market & Johnson will bid out the earthwork separately and bid the rest of the project
later to stay on schedule.
RESULT: DISCUSSED
6. Mechanical System Design Decision
The committee discussed the mechanical system options. Solar can be installed later and
budgeted in a different year. Thompson recommended Option #1, and not to modify the
overall project budget of $20 million, but to fund the additional cost for Geothermal
separately.
Motion by Sjoberg, 2nd by Hansen, based on the Ad-Hoc's strong commitment to
Geothermal, to request the COTW consider both Options #1 and #2, and for now
not increase the $20 million project budget. Discussion on how this affects the
construction timelines and if the Ad-Hoc Committee should make a decision on one of
the options presented. Sjoberg withdrew the motion.
Motion by Ard, 2nd by Rasmussen to accept Option #1 in the geothermal provided
the project stays within the $20 million budget. Motion amended by Ard, 2nd by
Achterhof to be specific to bonding. Mittet reminded the committee they are obligated
to the $20 million budget. Ostness asked for Elsbury's input on the options. Elsbury
explained the difference and would recommend Option #2 only because of the
maintenance and labor costs. Paitich explained that Option #2 has less redesign.
Achterhof asked if Market & Johnson has constructed both and what the history is. Both
work fine, just extra added maintenance piece on Option #1. The cost for Option #2 is
$670,000.
Motion further amended by Hansen, 2nd by Ard substituting Option #1 for Option
#2 to accept Geothermal Option 2, increasing the $20 million project budget by
$670,000, but not exceeding $20 million in bonding. Vote on the amended motion.
Motion carried, Ring opposed. Ring reiterated to exercise discipline with the budget.
Vote on the amendment to the amended motion. Motion carried, Ring opposed.
RESULT: DISCUSSED
7. Public Relations Workgroup Report
Fred Johnson gave an update that the Public Relations work group met twice in April, on
the 10th and 24th. They worked on getting display boards distributed to all the county
buildings. Information was also placed on the website. April 24th was used for longer
range planning to discuss the use of 3D video, live camera feed and higher quality
boards. Additional marketing ideas were discussed such as libraries. Press releases will
also be done after the May County Board meeting.
RESULT: DISCUSSED
ANNOUNCEMENTS & CORRESPONDENCE
ADJOURN
The meeting was adjourned at 5:20 p.m.
DATE OF NEXT MEETING - TBD
Set for May 26, 2015 at 2:30 p.m. in Hudson.