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Alexandria officials: B3 rules drove millions in extra costs, forced phased project and fundraising shift
Summary
City officials told the committee that B3 compliance added roughly $2.7 million (Aug. 2024 estimate) to their Runestone Community Center expansion—largely solar and geothermal—and the city split the project to proceed without immediately using bonding funds subject to B3.
City officials from Alexandria told the Capital Investment Committee that Minnesota’s B3 sustainable building requirements have materially increased the cost and complexity of a Runestone Community Center expansion funded in part by the October 2020 bonding bill.
Martin (Marty) Schultz, Alexandria city administrator, said the Legislature authorized $5.6 million for the project in the October 2020 bonding bill and that design-stage estimates changed as the city progressed. “When we got our initial full cost estimates in the fall of 2021 … we looked at approximately $3,000,000 in increased costs in order to meet the B3 guidelines,” Schultz said. By August 2024 the design team estimated about $2,700,000 in costs directly attributable to meeting B3 standards for the new…
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