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Barnstead Municipal Building Committee

The proposal presented at the 2007 Town Meeting by the MBC provided for the construction of a building with approximately a 7,600 sf footprint.  Within that footprint, there was about 6,400 sf in basement space for such spaces as utility, archives, kitchen, police fitness, training, evidence storage, a meeting room and offices for the Board of Selectmen.  The total usable space was to be about 14,000 sf. The MBC projected the cost to be $2.2 million using then currently established sf construction costs.

That proposal was supported by the Budget Committee and the Board of Selectmen.  The vote of the 2007 Town Meeting was clear.  Although a simple majority was in favor, the needed 2/3 vote for the bond was narrowly missed.  However, the town meeting did vote to spend $260,000 to provide construction plans for this project.

Since town meeting, the MBC recommended and the Board of Selectmen hired firms to clear the proposed building site of brush and small trees and hire a Geotechnical Engineering firm to determine the soil properties, water table, bearing capacities and make recommendations needed for the structural support of a building.  After a selection process, the BOS hired North Branch Construction, along with Udelsman Associates to prepare the construction plans.

The amount of the design phase of the contract is $87,000.  The cost of the clearing was $1,500 and the Geotechnical Engineer was $3,500.  The balance of the $260,000 appropriation is earmarked to be used during the construction phase; to complete the construction drawings and pay the CM/design team’s fees during construction.  The drawings have been completed to a level to be able to bid out the project. An accurate construction cost for presentation at Town Meeting 2008 has been produced.

The proposed Guaranteed Maximum Price (GMP) is $3.331 million.  This includes all architectural, engineering and construction manager fees, including the design phase fees.  The GMP was then used to determine the costs for the construction payment and performance bonds and establish a construction contingency.

In addition to the GMP, there are other costs paid directly by the Town, such as construction testing, part-time clerk of the works, moving expenses, furnishings, owner’s contingency, etc.

The amount proposed for the bond issue is $3.352 million.  The term of the bond and interest rates will determine the affect on the tax rate.   For instance, a 20 year bond at 5.75%, as presented by the NH Municipal Bond Bank, would affect the tax rate by $.70 per thousand.  A local bank has indicated that a rate of 3.5% over 20 years may be possible.  This would affect the tax rate about $.55.  A 30 yr bond could affect the tax rate as low as $.44 based on 3.5%.  The Selectmen’s Office is pursuing getting competitive rates from other banks. The first payment on the bond would not take place until 2009 and would not affect the tax rate until the 2009 budget.

Presentation drawings will be displayed at the library, town hall and post offices.  The MBC urges you to take the time to view the plans.  If you have any comments or questions, please email the committee at barnstead.mbc@verizon.net.

Submitted by Mark Fraser, MBC Co-Chair