Title
Approval of a Resolution Authorizing the City Manager to Sign an Asset Transfer Agreement with Thurston Communications 911 (TCOMM911)
Recommended Action
Committee Recommendation:
Not referred to a committee.
City Manager Recommendation:
Move to approve a resolution authorizing the City Manager to sign an Asset Transfer Agreement with TCOMM911.
Report
Issue:
Whether to approve a resolution authorizing the City Manager to sign an agreement accepting the transfer of a concrete storage building from TCOMM911 to the City of Olympia. The building is located at Sunrise Park near the water tower off Birch St NW.
Staff Contact:
Sylvana Niehuser, Parks, Arts and Recreation Director, 360.753.8068
Presenter(s):
None - Consent Calendar Item.
Background and Analysis:
Sunrise Park, located at 505 Bing Street NW, consists of two parcels. The parcel accessed from Birch Street NW, adjacent to the water tower, includes a concrete storage structure constructed by TCOMM911 in 2011.
In recent years, TCOMM911 identified a need for a larger facility to accommodate upgrades to its telecommunications infrastructure. Due to restrictions associated with the Recreation and Conservation Office (RCO) grant encumbering the property, the City was unable to authorize an expansion of the existing structure. As a result, TCOMM911 vacated the building and relocated its operations.
The Parks Department has identified an opportunity to repurpose the existing structure for storage to support park operations. TCOMM911 is proposing to transfer the building and associated HVAC system to the City at no cost. The original construction cost of the structure was $106,257.59 in 2011, and an HVAC system upgrade was completed in 2017 at a cost of $3,085.00.
Because the value of the asset exceeds $10,000, Olympia Municipal Code (OMC) 3.56.020 requires City Council approval to authorize the City Manager to execute the Asset Transfer Agreement.
Climate Analysis:
Approving the asset transfer is expected to have a neutral to a minor positive impact on the City’s climate goals. Repurposing an existing structure avoids the need for new construction and associated material use and emissions. Additionally, use of the facility for Parks operations may reduce travel distances for staff and equipment storage.
Equity Analysis:
This action is operational in nature and does not have a direct impact on access to services or distribution of resources. The repurposing of the facility supports efficient delivery of park services citywide.
Neighborhood/Community Interests (if known):
There are no known neighborhood or community concerns related to this asset transfer. Public engagement was not conducted, as this is an operational decision that supports efficient delivery of services.
Options:
1. Move to approve a resolution authorizing the City Manager to sign an Asset Transfer Agreement with TCOMM911.
2. Move to approve a resolution authorizing the City Manager to sign the agreement with modifications based on Council discussion. This option would delay the transfer and may require additional negotiation with TCOMM911.
3. Don’t approve the resolution. TCOMM911 may be required to remove the structure, resulting in unnecessary cost and material waste, and the City would lose the opportunity to repurpose an existing asset.
Financial Impact:
TCOMM911 is proposing to transfer the building and associated HVAC system to the City at no cost. The original construction value of the building was $106,257.59, with an additional $3,085.00 investment in HVAC improvements.
Acceptance of the asset will provide operational value to the Parks, Arts & Recreation Department by reducing a portion of the need for storage space. Ongoing maintenance costs are expected to be minimal and will be absorbed within existing operating budgets.
Attachments:
Resolution
Agreement