Facilities Budget

DRAFT 07/08 Facilities Budget Plan

General Notes:

As can be seen from the historical data, ICC facilities spending in real dollars has decreased dramatically over the past three years. ICC properties, on the other hand, have accelerating maintenance needs due to age (typically 80-115 years). The proposed increase of $15,250 over last years facilities budget is about 13%. Inflation in the facilities/construction sector has been 8-10% annually since 2003 with the trend expected to continue.

Minor Maintenance has been greatly increased to better reflect ICC's current operating practices. In the past, once the money was gone, minor maintenance simply had to "wait until next year". For several years, ICC has repaired just about anything that breaks even if the budget for such repairs was exceeded.

This budget plan uses $6500 from renovation savings funds (by policy for projects costing over $20K) to cover part of the cost of the Helios back porch/electrical service project. Depending on possible surplus from the current fiscal year, and other Board decisions, the renovation fund could be around $100K by the end of next fiscal year.

Facilities Committee Discretionary funds have been increased significantly in order to allow members greater flexibility for doing projects throughout the year. The Facilities Committee will look at the current policy to streamline the process for using these funds since historically all the money doesn't get used even at the $2500 level. NOTE: Facilities Committee recommended setting discretionary to $5000.

DRAFT Routine Maintenance

Routine Maintenance Notes:

The Routine Maintenance category covers regular services, such as pest control, preventative maintenance, such as gutter cleaning, and governmental permits required for ICC to operate. Increases over last year are primarily due to the costs of maintaining fire alarm systems and the newly approved professional servicing of the ICC pool located at House of Commons.

A possible area of cost savings, in the short term, would be to do less work on the trees and gutters. However, this will result in increased costs in the future.

DRAFT Capital Improvements - 07/08

Recommended Capital Improvement Projects:

These projects address the most pressing ICC needs. Spending, compared to previous years has been reduced due to rising costs in the facilities/construction sector.

• Avalon Stove Hood Replacement:

  The dry chemical system now installed at Avalon will no longer meet the city fire code in January 2008. The Avalon owners have agreed to allow ICC to retain ownership of the system if and when ICC no longer leases the building.

• French House Annex Stairway/Deck Repair:

  The current structure is no longer sound and must be repaired for safety reasons. The project should require 2-4 days to complete. The 2nd floor annex will be inaccessible for about 8-10 hours while the stairs are reconstructed. During construction (M-F 7am-5pm), the French House driveway would not be usable by members.

• Helios Exterior Painting:

  The Helios paint has seriously degraded and the siding and other exterior elements are now rotting in areas. This project would entail exterior repairs and paint. The budget allocation would be for a "higher quality" paint job (as opposed to the cheapest possible). This should considerably extend the lifespan of the new paint. The paint colors will need to be approved by the Historical Commission since the house is a designated historical structure. Helios will likely be presented with several options as prepared by the historical preservation architect. Adverse conditions for house would include a 2-4 week construction period during which the back parking lot will not be usable by members (M-F 7am-5pm).

• Helios Back Porch Rebuild:

  The back porch has deteriorated to a point where repair is no longer an option. (Piecemeal repairs have been ongoing for quite some time) Replacement of the back porch would require a construction period of 2-3 weeks. During this time, members would not be able to use the kitchen as an exit for some period of time. Additionally, the back parking lot will not be usable by members during construction (M-F 7am-5pm). The combination of this project with the exterior painting would mean that Helios members would be severely impacted during June and July.

• Helios Electrical Service Upgrade:

  The electrical meter for the house is currently mounted on the back porch. In order to rebuild the porch, the meter must be removed. Austin Energy has indicated that they will require electrical service to be run underground if the meter is moved. In addition, the existing aerial service (wires coming down from an electrical pole) is dangerously low and substandard for the area. Furthermore, one large breaker box and some of the other wiring is at the end of its useful life. The service upgrade will be scheduled for late May and cause a day or two of periodic electrical outages in sections of the house. The driveway will need to be emptied for trenching for several days as well.

• House of Commons Fire Alarm System:

  Per policy, a fire alarm system is to be added to one house per year until all ICC houses have systems. The recommendation for House of Commons to receive the system during the summer of 2007 is based on the possibility that Eden and Royal may have extensive renovations in the near future. The installation time would be about 3-4 weeks. During this time, HoC would need to leave 2-3 parking spots available to the contractors. In addition, contractors would be working inside the house in every room.

• New Guild Front Door Replacement:

  The front doors at New Guild have been in need of replacement for many years. The cost to get custom made replacement doors that are both aesthetically appropriate and sturdy enough for the light commercial use is high.

• Contingency:

  These funds are set aside for emergency capital repairs, for example, the major flooring damage at Arrakis last summer caused by a leaking air conditioning system. Contingency has been reduced from prior years due to the creation of the Facilities Reserve savings that would pay for major systems that have a set lifespan, for example, water heaters and exterior paint. The ICC Draft Budget has an initial seed for the Facilities Reserve of $12,500. A policy would need to be drafted regarding the Facilities Reserve savings if the Board accepts the ICC Draft Budget with a Facilities Reserve.

Other Pressing Capital Improvements Not Budgeted

These are either pressing needs or projects suggested by members and houses that should be considered, but have not been included in the draft budget plan due to lack of funds.