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Committee hears that Cocoa Head Stables demolition and hazardous‑material testing will likely exceed CIP eligibility
Summary
The Department of Design and Construction said $400,000 in current expenses remains necessary to cover hazmat testing and demolition at the Cocoa Head Stables; the department said demolition is not eligible for CIP funding and that hazardous‑materials handling increases costs.
The Budget Committee on May 20 heard from the Department of Design and Construction (DDC) that demolition and hazardous‑materials work at Cocoa Head Stables will require operating funds rather than capital improvement funds because demolition does not create new capital assets.
Haku Millis, DDC director, asked the committee to restore $400,000 in current expenses to support testing, hazardous‑material remediation and demolition work at the stables. He said the $400,000 in current expenses included approximately $100,000 for HAZMAT testing and roughly $200,000–$250,000 estimated for demolition of two buildings, largely wooden structures that include lead paint and other materials that must be handled and disposed of under hazardous‑waste rules.
Committee members asked for details about prior testing and whether some initial testing had already been paid for; Millis said the department had already contracted for testing and could provide the exact amount spent. Members pressed on whether demolition could be handled in-house; Millis said remediation and demolition would require outside contractors because of hazardous‑materials handling requirements.
Council member Chair Waters asked for specifics on the hazardous materials and Millis said lead paint had been identified in testing but that a full report would be provided to the council. Millis urged restoration of the current‑expenses funding citing urgency and the difficulty of carrying out demolition with CIP funds.
The committee noted the ambiguity between operating and capital eligibility and directed staff and departments to reconcile funding sources in the FD1 so demolition and hazmat work can proceed in compliance with fund rules.
