AGENDA DATE: 12/6/2017
TITLE:
Title
Senior Center at Belvedere
BODY
SUBJECT/PROPOSAL/REQUEST: Approval of contribution and Use Agreement with Senior Center
ITEM TYPE: Regular Action Item
STAFF CONTACT(S): Richardson, Letteri, Kamptner
PRESENTER (S): N/A
LEGAL REVIEW: Yes
REVIEWED BY: Jeffrey B. Richardson
BACKGROUND: The County received a $2 million funding request from the Senior Center, Inc. to support the design and construction of the proposed new Senior Center within the Belvedere development off of Rio Road (the “new facility”). The new facility will replace the current facility located at 1180 Pepsi Place, which opened in 1991.
The Senior Center’s request for funding from the County is to pay for part of the design and construction costs for the new facility’s first phase (“Phase One”). The total estimated project cost for the facility is $23 million. The Senior Center will seek the majority of the funding required for the project from private contributions. The Senior Center purchased the land on which the new facility will be located in 2015.
The new facility will have three times the indoor space of the current facility and nearly an acre of usable outdoor program and event space. Phase One will have the capacity to meet the needs of the County’s and the region’s expanding senior population and will include: an equipped fitness center, two group exercise rooms, a lifelong learning suite with flexible-use, scalable classrooms, an auditorium for performing arts rehearsals and programs, a fine arts studio space, an expanded volunteer center, an expanded travel center, a café for social engagement, a game room, and several rooms for massage and other wellness and personal services.
Phase One construction is currently scheduled to start by December 2018 and to be completed between July 2021 and June 2022. The Senior Center does not plan to request funding from Albemarle County for current or future operations.
STRATEGIC PLAN: Infrastructure Investment: Prioritize, plan, and invest in critical infrastructure that responds to past and future changes and improves the capacity to serve community needs.
DISCUSSION: The Senior Center is a 501(c)(3) charitable institution that is eligible to receive contributions of public funds appropriated by localities pursuant to Virginia Code § 15.2-953. The Senior Center’s new facility is described in the Board’s capital improvement program (CIP) adopted as part of its FY 18 budget as follows: “Funding for the Senior Center at Belvedere project is anticipated to assist in the generation of the private funding that will be used to build the center.” The CIP has programmed $500,000 contributions from the County to the Senior Center for four successive fiscal years beginning with FY 18. The Board’s Resolution of Appropriations for FY 18, adopted on May 15, included a $500,000 appropriation for the Senior Center. The County’s contributions in FY 19, FY 20, and FY 21 would be subject to appropriation by future Boards.
At its November 8, 2017 meeting, the Board requested staff to amend the proposed Agreement to ensure the Senior Center operates the Center at Belvedere. The amended Agreement (Attachment A) provides that the Senior Center will return the County’s entire $2 million contribution if the Center ceases to operate the Center at Belvedere within five years after the County issues the facility’s certificate of occupancy.
The Senior Center will return a portion of the County $2 million contribution on a prorated basis in years six through ten after the County issues the facility’s certificate of occupancy if the Senior Center ceases to operate the Center at Belvedere. In year six, the Center would refund the County $1 million. In year seven, the Center would refund the County $800,000. In year eight, the Center would refund the County $600,000. In year nine, the Center would refund the County $400,000. In year ten, the Center would refund the County $200,000.
Staff’s opinion is that the Agreement fairly reflects the County’s commitment to the project and the expected benefits to eligible County residents, while at the same time ensuring that the County’s contribution will be used for its intended purpose.
BUDGET IMPACT: Funding for the Agreement is included in the FY 18 Adopted CIP and would be appropriated at the agreed upon intervals.
RECOMMENDATION:
Recommendation
Staff recommends that the Board adopt the attached Resolution (Attachment B) to approve the Agreement.
ATTACHMENTS:
A - Agreement
B - Resolution