BOARD OF REGENTS BRIEFING PAPER 1. Agenda Item Title: Fire Station/College Instruction Center 2. BACKGROUND & POLICY CONTEXT OF ISSUE: CSN and the City of Las Vegas have negotiated an Interlocal Agreement to construct a Fire Station/College Instruction space on the southwest comer of the Charleston Campus. The highlights of the Agreement are: FUNDS: Cost of Project: $7,000,000 Source of Funds: City of Las Vegas Allocation: $1,840,000 allocated on behalf of CSN to the project. This is the appraised value of the general property area to be used for the building. CONSTRUCTION: Project Manager: Project Committee (CSN and City of Las Vegas) Type of Building: 4 Bay Fire Station and College Classrooms Square Feet: 14,000 CSN's portion/square feet: 4,000 LEASING: Owner of Property: Nevada System of Higher Education Leasing Fee: City will pay $1.00 to NSHE Term: 40 year lease with 2-10 year extensions 3. SPECIFIC ACTIONS BEING RECOMMENDED OR REQUESTED: a) Approve the Interlocal Agreement b) Approve the Ground Lease c) Authorize the Chancellor or CSN President to sign all architect, construction, and related contracts for the design and construction of the building, pursuant to the authorization requirements in the Procedures Manual 4. IMPETUS (WHY NOW?): The City of Las Vegas has determined that another fIre station is needed to serve the community and neighborhood within which CSN's Charleston Campus is located. The concept is for CSN to provide land for the station, while the City will fund the construction of the facility to include needed classroom space. 5. BULLET POINTS TO SUPPORT REQUESTIRECOMMENDATION: • Additional instructional space is made available to CSN without CSN seeking construction or legislative funding support. • Locating instructional space for fire and emergency services related programs within the building as a fire station provides uniquely direct student learning experiences. • Facility would facilitate better fire and rescue service to CSN and the surrounding neighborhoods. • Proposal would provide an effective partnership between City and NSHE. • Proposed multi-story facility would be designed to appropriately mesh with look and design of other campus buildings. 6. POTENTIAL ARGUMENTS AGAINST THE REQUESTIRECOMMENDATION: • Remaining land on the Charleston Campus available for construction of future buildings and parking is finite and limited. 7. ALTERNATIVE S TO WHAT IS BEING RE UESTEDIRECOMMENDED: • Do not construct facility. Revised: January 2008 (INVESTMENT COMMITTEE 09/26/08) Ref. INV-3, Page 1 of 140 8. COMPLIANCE WITH BOARD POLICY: X Consistent With Current Board Policy: Title #__ Chapter #__ Section # _ o Amends Current Board Policy: Title #__ Chapter #__ Section # _ o Amends Current Procedures & Guidelines Manual: Chapter #__ Section # _ o Other: ------------------------------- o Fiscal Impact: Yes No Explain: _ Revised: January 2008 (INVESTMENT COMMITTEE 09/26/08) Ref. INV-3, Page 2 of 140 INTERLOCAL AGREEMENT TO DESIGN AND CONSTRUCT A FIRE STATION/COLLEGE INSTRUCTIONAL CENTER This Interlocal Agreement To Design and Construct a Fire Station/College Instruction Center is made as of __________, 2008, by and between the City of Las Vegas and the Board of Regents of the Nevada System of Higher Education on behalf of the College of Southern Nevada. RECITALS A. The City of Las Vegas is a political subdivision of the State of Nevada. B. The College of Southern Nevada is an institution of higher education which is a part of the Nevada System of Higher Education whose general supervision, government and control is vested in the Board of Regents, the governing body of the Nevada System of Higher Education. C. The College of Southern Nevada desires to have a facility at its Charleston Campus to provide a “hands on” approach to the education and training of its fire science students and its emergency medical technician students, and the City of Las Vegas needs a location to construct a fire station for its Fire Department within the general vicinity of the Charleston Campus. The City of Las Vegas contemplated buying a two and a half acre site for a new fire station in this vicinity during fiscal year 2007, but the price for such site was well over One Million, Two Hundred Thousand Dollars ($1,200,000.00). D. The parties believe that a partnership will greatly enhance the student’s education and training, and the City can construct a fire station that satisfies its needs in the area without having to expend money on the purchase of property. E. This partnership will permit the College of Southern Nevada instructors and students access to the fourth bay of the City’s fire station and certain fire department apparatus for “hands-on” educational and training experience, as well as an ability for the instructors and students to observe City of Las Vegas firefighters and EMTs in the course and scope of their duties as working firefighters and EMTs. In addition, the City of Las Vegas Fire Department personnel will be permitted to utilize the classrooms for firefighter education and training on the weekends and holidays free of charge. F. The Nevada System of Higher Education is the owner of real property upon which the Charleston Campus is located, and it will provide a long-term lease of sufficient real property at the Charleston campus along Torrey Pines Avenue for the construction of an operational four- bay fire station for the City of Las Vegas Fire Department of approximately Ten Thousand square feet (10,000 sq. ft.) in area, which will be part of one building that also houses an instructional area devoted primarily to the education of students within the Fire Science and Emergency Medical Technician fields of learning of approximately Four Thousand square feet (4,000 sq. ft) in area. The cost of the lease to the City of Las Vegas will be one dollar annually for the term of the lease. 1 ________ Init. ________ Init. ________ Init. Mayor Mike Richards James Rogers City of Las Vegas CSN President NSHE, Chancellor (INVESTMENT COMMITTEE 09/26/08) Ref. INV-3, Page 3 of 140 G. In return for the nominal cost lease, the City of Las Vegas will provide a total of Seven Million Dollars ($7,000,000.00) for design and construction of the entire project. Of the $7,000,000.00, One Million Eight Hundred Forty Thousand Dollars ($1,840,000.00), which is the appraised value of the fee interest of the property that will be utilized to construct and support the project, will be allocated on CSN’s behalf to the costs associated with the design and construction of the instructional area of the project and to CSN’s share of other costs caused by the project. H. Nevada Revised Statute §277.180 provides that “any one or more public agencies may contract with any one or more other public agencies to perform any governmental service, activity or undertaking which any of the public agencies entering into the contract is authorized by law to perform.” In this case, the partnership between two public agencies, the City of Las Vegas and the College of Southern Nevada, to jointly design, construct, finance and operate a building to house an operational fire station and classroom area is within each Parties’ statutory authority to act. I. This Interlocal Agreement will be taken to the Nevada System of Higher Education Board of Regents and the Las Vegas City Council for their respective approvals. NOW, THEREFORE, in consideration of the foregoing recitals, the promises and covenants contained herein and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Parties hereto agree as follows: SECTION I DEFINITIONS A. “Allocation Percentage” means the percentage number by which the Parties will allocate costs of design and construction of the College Instructional Area and other items as described in this Agreement. The means to calculate this number is described at Section II.B.3.a. B. “Agreement” means this Interlocal Agreement To Design and Construct A Fire Station/College Instructional Center, including the Exhibits thereto. C. “Architect” means the design professional/entity selected by the Project Committee and retained by NSHE for design services relating to the Project Work. D. “Associated Professionals and Contractors” means those people or entities selected by the Project Committee and retained by NSHE to provide professional and construction services relating to the Project Work. E. “Building” means the entire structure that houses the Fire Station Area and the College Instructional Area. The Building will be depicted on the Plans and Specifications. 2 ________ Init. ________ Init. ________ Init. Mayor Mike Richards James Rogers City of Las Vegas CSN President NSHE, Chancellor (INVESTMENT COMMITTEE 09/26/08) Ref. INV-3, Page 4 of 140 F. “City” means the City of Las Vegas. G. “CLVFD” means the City of Las Vegas Fire Department. H. “College Instructional Area” means that certain portion of the Building that is allocated exclusively to CSN for educational purposes. The College Instructional Area will be depicted on the Plans and Specifications. I. “Construction Contract” means that certain contract executed between NSHE and the chosen Construction Manager to perform the necessary construction services to erect the Project Work. The Construction Contract shall only be executed by NSHE after the Project Work construction documents are at a 75% level of completion and approved by the Project Committee as provided herein. The Construction Contract shall be separate and distinct from the Pre- Construction Services Contract. NSHE shall not be obligated to the Contractor for any actual construction services prior to the execution of the Construction Contract. J. “Construction Manager” means the entity selected by the Project Committee and retained by NSHE to provide, among other things, pre-construction services and construction services related to the Project Work, as generally and commonly performed by a construction manager engaged in a “construction manager at risk” construction delivery program.