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002-04 BOARD OF SUPERVISORS A RESOLUTION TO APPROVE A COMPREHENSIVE AGREEMENT TO DEVELOP, DESIGN AND CONSTRUCT A WORK RELEASE FACILITY TO EXPAND THE CLARKE-FAUQUIER-FREDERICK-WINCHESTER REGIONAL ADULT DETENTION CENTER WHEREAS, the Clarke-Fauquier-Frederick-Winchester Regional Adult Detention Center (hereafter referred to as the Regional Jail) is overcrowded, and public safety and efficient operations are deleteriously impacted by the inmate populations that exceed the design capacity; and WHEREAS, the jurisdictions that own and operate the Regional Jail are willing, with appropriate State partnership, to expand the Regional Jail to address public safety and operational requirements; and WHEREAS, the City of Winchester serves as the Regional Jail's fiscal agent; and WHEREAS, the Regional Jail has submitted to its member jurisdictions a draft of a Comprehensive Agreement to Develop, Design and Construct a Work Release Facility by and between Howard Shockey and Sons, Inc.j]nd the City of Winchester.; and WHEREAS, this Agreement has been reviewed by both the County Attorney's Office to ensure legality of form, and by the County Budget Office for funding impact; and WHEREAS, the estimated maximum cost impact to Frederick County, if the project is terminated would be approximately $ 250,063.00, payable during FY 2005;and WHEREAS, any project cost in excess of $ 250,063.00 shall be submitted in advance to the Board of Supervisors for approval; and WHEREAS, any other changes in the form or substance of the Comprehensive Agreement shall be submitted, in advance, to the Board of Supervisors for approval. NOW, THEREFORE, BE IT RESOLVED, by the Frederick County Board of Supervisors that the Comprehensive Agreement between the City of Winchester and Howard Shockey and Sons, Inc., to Develop, Design, and Construct a Work Release Facility to Expand the Regional Jail is hereby approved. ADOPTED this ] 4th day of July, 2004. VOTE: Richard C. Shickle Barbara E. Van Osten Gary W. Dove Bill M. Ewing Resolution No. 04-002 -kJ-e-- Aye ~ ~ Gina A. Forrester W. Harrington Smith, Jr. Lynda 1. Tyler ~ Aye ~ CFFW FAUQUIER · FREDERICK · WINCHESTER NAL ADULT DETENTION CENTER Fred D. Hildebrand Superintendent Main Facility Work Release Facility - 14 I Fort Collier Road . Winchester, VA 22603 - ]43 Fort Collier Road . Winchester, VA 22603 (540) 665-6374 FAX; (504) 665-J615 Records FAX; (540) 665-5691 Work Release FAX; (540) 678-1339 Bruce R. Conover Assistant Superintendent EMORANDUM TO: John R. Riley, Jr., Frederick County Administrator . II \ Fred D. Hildebrand, Superintendent~~lJLL) FROM: DATE: July 6, 2004 SUBJECT: Comprehensive Agreement Attached is the Comprehensive Agreement to develop, design and construct a work release facility by and between Howard Shockey & Sons, Inc., and the City of Winchester. On June 10, 2004, the Regional Jail Board approved the Agreement and instructed me to forward it the participating jurisdictions for consideration. Although the agreement affirms the government's intent to proceed with the project, it does not commit the localities to any long-term financial obligation. It does however, obligate them to compensate the contractor for actual cost and profit should project design be terminated for the convenience of the government prior to final project approval and the start of construction. Should we decide not to proceed with construction at the 100% design completion point, we estimate we would owe the contractor approximately $767,771. Frederick County's share of that amount would be 32.57 % or approximately $250,063. Those estimates are based upon the current high end of the project cost ($7. 8M) plus the security upgrade ($545,345); assumes an 8% total cost design factor; and includes the 15% contractor profit requested in the agreement. This would be a one time payment in FY05 should we not get approval from the localities to proceed after 100% design completion. If the project is terminated earlier in the development process, i.e. at 35% or 65% design completion, the cost would be less. If, after 100% design completion, the localities authorize the project to proceed, we will enter into a 20- year bond-lease agreement with the first payment not due until we accept the new facility in early FY06. The current estimate of annual debt service documented in the agreement assumes a 4.8% interest rate and includes all associated fees, reserve fund deposits, and insurance costs. However, it does not project the impact of the state's commitment to reimburse us for approximately 50% of the project's design and construction costs. The total annual debt service amount over the 20-year term without the reimbursement ranges from between approximately $669,682 in FY06 to $666,722 in FY26. However, this amount will be reduced as a result of state funding their share of the project. Debt service will be divided between the four jurisdictions John R. Riley, Jr., Comprehensive Agreement-July 6, 2004 Page Two based on the average prisoners per day for each jurisdiction for the most recent three fiscal years, divided by the total average prisoners per day of all of the jurisdictions for the same period. If you have any questions, please do not hesitate contacting me.