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Ukiah council approves plans to advertise bids for remodel of 501 South State Street

3405255 · January 15, 2025
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Summary

The Ukiah City Council voted to approve plans and specifications and direct staff to advertise for bids for the remodel of the former Bank of America at 501 South State Street; engineer’s estimate is $3.7 million and financing would draw on prior facility bonds and other city funds if necessary.

The Ukiah City Council voted unanimously Jan. 15 to approve plans and specifications and direct staff to advertise for bids for the remodel of 501 South State Street, the former Bank of America building, a project staff estimates could cost about $3.7 million.

City officials said the work would convert the building into a consolidated customer service center for recreation and utility billing and would include accessibility improvements, asbestos remediation and tenant improvements needed to open the facility to the public.

“The engineer’s estimate for the work came in at just over $3,700,000 and that includes a 10% contingency,” Deputy City Manager Shannon Riley said. She added the estimate is conservative given volatility in construction markets and staff hope bids will come in lower.

Why it matters: the project centralizes customer-facing services in a more accessible downtown property and uses grant-funded designs for some accessibility items. The council’s approval lets the city solicit competitive bids so council can evaluate awards and financing before committing construction dollars.

Key details: City staff said design work for an elevator and restrooms was funded through a Community Development Block Grant (CDBG). Asbestos removal is underway; the project still requires construction of the elevator, restroom facilities and other tenant improvements. Riley said the city negotiated a favorable purchase price for the building in 2019 and has used bond proceeds (issued Feb. 2020 for facilities) as the likely primary funding source. If bids exceed available funds, staff will return to council with value‑engineering options and a proposed funding plan before awarding a contract.

Engineering and design limits: Riley said an existing central decorative wooden feature that also contains a small skylight will be reduced in size to maximize usable floor area. Two large vaults will be retained and used for city record storage. Exterior changes will be limited because the building façade was described as heavily constructed and costly to alter; staff proposed landscaping and “green wall” planting rather than major façade work.

Public reaction and next steps: Members of the public pressed for fiscal caution and alternatives such as modifying existing facilities instead of a new remodel. Council made the motion to advertise for bids and approved it on a roll call vote: Councilmember Roden — yes; Councilmember Chris — yes; Councilmember Orozco — yes; Vice Mayor Schurr — aye; Mayor Crane — aye. Staff will solicit bids and report results back to council for any award decision.

If bids come in above the engineer’s estimate or available budget, the council will consider additional direction such as further value engineering or alternate financing before awarding a construction contract.