With a possible $938,000 shortfall, the Jefferson City Council will discuss a bill Monday proposing general fund supplemental appropriation to pay for the new Fire Station No. 2.
The new station at 3025 Robinson Road is estimated to cost a more than $3.66 million. The 10,500-square-foot new fire station would include 2.5 apparatus bays, bunkrooms, a mezzanine, training room, dayroom, gear storage room and classroom, among other features. The schematic plans also show an optional police substation and full apparatus bay.
Jefferson City Fire Department Chief Matt Schofield emphasized this cost was a projection and would change when the city bids out the project.
Schofield presented a bill to the Jefferson City Finance Committee on Thursday requesting three things - $1.2 million be supplementally appropriated from the general fund and $800,000 from the Sales Tax F fund, as well as $106,785 from the fire department's building and grounds fund be reappropriated from this fiscal year to the 2018 fiscal year.
The Jefferson City Council approved a $185,000 contract with Architects Alliance for professional planning and technical services for fire station No. 2, No. 4 and a proposed Fire Station No. 6 at St. Mary's. The city has not received all of the services yet, so Schofield requested the $106,785 set aside in the 2017 fiscal year be moved to the next fiscal year.
The Finance Committee approved sending the proposed bill to the City Council for further discussion Monday.
If the bill is approved, the funds would go toward the new Fire Station No. 2.
Some funds from the city's Sales Tax G are also going toward the new fire station. There was about $912,500 in Sales Tax G, and the city used $210,949 to purchase the 15-acre Robinson Road site. This leaves a remaining $701,551 in the G fund.
If the proposed bill is approved by the City Council, about $2.7 million would go toward the new fire station, leaving a projected $938,102 shortfall.
"The construction estimate is just a projection of a number that doesn't exist yet," Schofield said. "So, the construction number, with FF&E (furniture, fixture and equipment), if that number proves to be the actual number - we don't know that number yet, so this is just an estimate - then just as an exercise in what that would be, there would still be additional funds required, if (the council) approves this and we go out for bid. Until we have bid documents and then essentially until contractors bid on those and we open all those and determine what that final number is."
Committee members expressed concerns about funding the possible $938,000 million shortfall.
"I feel uncomfortable with going out to bid (now) before we know how to fill the hole," 3rd Ward Councilman Ken Hussey said, other council members nodded in agreement.
He suggested the committee or council possibly approve the bill, knowing the city can uncommit from the supplemental appropriation if it is unable to find additional funding for the new fire station or if those funds are needed for another project. The city could uncommit from the appropriation up until it signs a contract with a contractor, City Counselor Ryan Moehlman said.
Another option would be setting aside all or part of the funds and waiting until the city finds more money.
"Come January or February, if we can't make this project go, we at least have some of the fund balance set aside," Hussey said.
The estimated ending fund balance for the 2017 fiscal year is $7.7 million, which includes the $750,000 supplemental appropriation the City Council approved in August to go toward stormwater issues.
By policy, the fund balance has to be at a minimum of 17 percent - $5.5 million. This leaves $2.2 million of the general fund for city projects.
In addition to the proposed $1.2 million supplemental appropriation for the fire station, Monday's council meeting will discuss other general funding requests like Lincoln Street and the downtown streetscape repair and electric project.
It will cost $338,965 to repair Lincoln Street, and the downtown streetscape repair and electric project will cost $640,000.
The two projects and fire station supplemental appropriation, if all approved by the council, would absorb the $2.2 million set aside for city projects, leaving no room for funding other general fund projects this fiscal year.
Schofield said the fire department is considering selling the old Fire Station No. 2 but wants to be further along in the planning process of the new fire station before they actively start discussing selling the old one.
Schofield recommended the council include the police station, which is part of the $3.66 million estimated project cost, but not the additional third apparatus bay. While the fire department would utilize the additional bay, he said, because of the budget constraints, it was not a critical feature.
"We really feel like, having a presence on the east end of town, that's an important component and it would be of service for the community on the east side of town having a police substation there. It's a good opportunity for both departments to collaborate to benefit public safety," he said.
The 4,700-square-foot Fire Station No. 2 has three bays but they are not full drive-through bays, while the apparatus bays at the new fire station would be, providing more floor space to improve efficiency, Schofield said.
If the City Council approves the proposed bill, Schofield will return with construction documents possibly in January or February. The council would then decide whether to move forward with the bidding.
If the council approves the bill and bids, construction on the new fire station could begin in the spring.
The current Fire Station No. 2 is located at 2400 E. McCarty St.
If the council does not approve the bill, Schofield said he and Architects Alliance would follow the council's direction if they wanted to change items about the building.
"Of course, it's ultimately the council's decision on how they want to proceed," he said. "We wanted to bring them what we felt was the best design that incorporated all the needed components and present them a building that would last, that would be durable, that would be functional. It would be something that the community wants in their neighborhood - it would be aesthetically pleasing but not excessive. So, we tried to balance all of those things and bring them the best plan and say, 'Here, this is what we believe is the appropriate design.'
"But, as with any plan, it can change. This is just another step in the process and the process still has many more steps."
Also at Thursday's meeting, the committee discussed the sales, capital improvement and parks sales taxes for August.
The city accumulated $883,215 from the 1 percent city sales tax in August, $86,138 less than projected. Finance Department Director Margie Mueller said these numbers do not reflect the total sales tax earned over the solar eclipse weekend since some businesses only have to submit their reports each quarter, not each month.
The half-percent capital improvement tax accumulated $425,493 - $9,443 more than projections - while the half-percent parks sales tax brought in $425,493 - $9,714 less than projections.
The general fund has $27,822,847 in August, $144,601 over projections.
The city gained $99,136 from the lodging tax in August. The 4-cent tourism fund has a little more than $4.1 million, and the total 7 cents collected since the lodging tax increase in 2011 is a little more than $7.1 million.
Hotel occupancy in August was up compared to last year - 61.5 percent versus 56.5 percent.