Gatlinburg officials unveil design for combined public services complex; outline financing plan

City Manager Greg Patton and architects presented designs Monday for a new public services complex that would tie city hall, the police department and the fire department into a single secured facility while adding office and meeting space.

Architect Kelly Hennen described the project as “the public services complex,” saying the plan combines roughly 80,300 square feet of renovation with just under 25,000 square feet of new construction. Hennen said the design creates a single main entry with a security/reception checkpoint, an expanded commission chamber and courtroom, improved fire-department gear storage and formalized sleeping quarters and training space for firefighters.

The design, Hennen said, also leaves unassigned office space for future growth. “When you build this facility on day 1, you’re not already busting at the seams,” Hennen said. He described a circulation change at the main entry to improve drop-off, enlarged public seating in the chamber, audio-visual displays, and new locker and storage layouts to clear equipment out of truck bays.

Nut graf: The plan addresses long-standing space shortages for public safety and municipal operations and includes an initial financing proposal intended to limit the city’s immediate borrowing costs. City officials said space in the existing complex has not expanded significantly since the late 1980s, and the new configuration is meant both to improve daily operations and to allow phased renovations of vacated spaces.

City Manager Greg Patton outlined a two-year financing approach for what staff described as a roughly $10,000,000 program related to the public services work. Patton said the city “can issue debt to cover $5,000,000 of this and also use $5,000,000 of available fund balance for the general fund for the 1st year funding” and that staff expect “probably the next year, in 2026, we can issue another $5,000,000” in debt. Patton and other staff also said the city is evaluating options to keep any single-year borrowing at or below $10,000,000 in order to remain “bank-qualified,” which staff said can produce lower interest rates.

Officials discussed interest-rate assumptions offered by financial advisors. Patton said preliminary estimates from Cumberland Securities put bond rates “somewhere right now still below 4%.” Several aldermen and staff debated whether to borrow the full amount up front or to stagger borrowing while keeping more cash invested; one alderman urged borrowing earlier if rates stayed favorable rather than drawing down fund balances that are currently earning market interest.

City staff said seven contractors attended a pre-bid meeting for a construction-manager selection process; staff expect contractor recommendations in February and, following approval by the city and the Public Building Authority, to begin construction in spring if schedules hold. Architect Kelly Hennen described the project as roughly a 16-month build, but told the board that relocating the fire department during construction could shorten the schedule. Public-works staff have identified nearby storage buildings that they say could house fire apparatus temporarily to accelerate construction.

No formal financing vote or contract award occurred at the meeting. Officials said next steps are to evaluate construction-manager proposals and return to the Board of Mayor and Aldermen with a recommendation to authorize a contract and any debt issuance.

Ending: Staff asked aldermen to hold questions for the February agenda item on contractor selection; the board heard no public comment specific to the design at this presentation.