It is recommended that City Council approve an Interlocal Agreement between the City of Houston and Harris County for the purpose of construction and operation of a joint law enforcement processing center (the “Project”). It is further recommended that City Council approve an ordinance to appropriate $23,400,000 out of the Police Consolidated Construction Fund (Fund 4504 - WBS G-000037). This appropriation is budgeted in the FY2016-2020 Capital Improvement Plan approved by City Council on July 8, 2015.
As background, the City of Houston and Harris County believe it would be beneficial to combine their jail booking and processing centers into one location to create a joint processing center that would save money and provide better support and services. The total capital costs for the design, development and construction of the Project are $100 million, with Harris County paying seventy (70) percent and the City of Houston paying thirty (30) percent for each phase. The City’s share of capital costs for the Project is $30 million as shown below:
PHASE
CAPITAL COSTS
CITY’s SHARE (30%)
Design
$ 8,863,293
$ 2,658,988
Construction
$ 91,136,707
$27,341,012
TOTAL
$100,000,000
$30,000,000
Design Phase: In March 2014, City Council approved the appropriation of $2,658,988 for the purposes of retaining PGAL for the design of the Project – Ordinance No. 2014-0193.
Construction Phase: The total projected cost for the construction of the Project is $91,136,707, of which the City will pay thirty (30) percent - $27,341,012. The Interlocal Agreement provides a schedule of when the City will appropriate its share for the cost of construction for the Project:
Scheduled Amount Scheduled Date
1. $ 7,723,836
At the time the Interlocal Agreement is passed by City Council.
2. $15,676,164
December 31, 2015
3. $ 3,941,012
December 31, 2016
$27,341,012 Total Appropriation for Construction Phase
HPD’s request for the appropriation of $23,400,000 represents the FY2016 allocations listed in the above schedule (Line Items 1 and 2) that are budgeted in the FY2016 Capital Improvement Budget previously approved by City Council. Any savings or overages realized during the construction phase of the Project will be shared on the same ratio with the County (70/30). HPD will seek City Council approval at a later date for the scheduled December 2016 appropriation of funds.
Additionally, the Interlocal Agreement provides for allocation of annual operating costs and provides for cost adjustments based on the volume of prisoners processed. Further, it provides for dedicated space for HPD officers to use for reports, DWI testing, investigations, evidence control and processing of its Class C prisoners.
On August 25, 2015, Chief Development Officer Andy Icken and HPD Deputy Director/CFO Joseph Fenninger gave a presentation to the Public Safety and Homeland Security Committee illustrating the progress of the City’s collaboration with Harris County in the design, construction and operation of the Project. The PowerPoint presentation can be obtained at http://www.houstontx.gov/council/h/committee.html.