City updates Audit & Finance Committee on five major public-facilities projects, budgets and timelines

Kim Olivares, director of financial services, updated the Audit and Finance Committee on July 16 about work the Austin Public Facilities Corporation (APFC) is leading to deliver several large city facility projects. Olivares said the APFC was created under Texas law and approved by City Council to deliver unique or large-scale projects and that Council must approve any APFC work and associated funding.

Olivares provided project summaries and timelines:

- Northeast Service Center: Olivares said construction design is near complete and construction is expected to begin in September 2025, with a ribbon-cutting anticipated in the fall of 2027. She gave the overall budget as "just over $250,000,000," and said the facility will serve about 750 employees, include about 345,000 square feet on 132 acres, and house vehicle maintenance, offices and community space. The project will support internship and vocational partnerships with Austin Independent School District and allow redevelopment of the existing Hargrave fleet facility.

- Austin Water Control Center (Huntland Drive): Design is expected to be complete in fall 2025 and construction to begin immediately thereafter. Olivares described a budget "just under $42,000,000" and said the facility would serve approximately 300 employees and include lab space that could partner with nearby Webb Middle School.

- Public Safety Warehouse: The city acquired an existing, never-used building and plans an interior fit-out. Olivares said design would be complete next month, construction would begin this fall, and completion is expected roughly a year after that. She cited a remodel budget of "just over $32,000,000," and the building footprint is about 230,000 square feet.

- Public Safety Headquarters (Barton Skyway/Mopac): Olivares said schematic design is expected by October and design completion by next April; the team will return to Council later this year with a detailed construction budget request. She said the current design budget to reach a firm cost estimate is $5,000,000. The building is approximately 400,000 square feet and is expected to house roughly 2,000 employees. Olivares said relocating the three departments would create future redevelopment opportunities at their current sites.

- 2400 Grove Boulevard (former Tokyo Electron property): Programming is expected to be complete this fall with an RFQ for full design to follow; initial programming/design funding is about $1,000,000. The site comprises about 140,000 square feet of office space plus CTEC2 space (about 48,000 square feet) and sits adjacent to roughly 18 acres of city-owned land. Olivares said programming and market analysis work will continue through the end of the year and that construction timing and a full budget will be presented later.

Olivares described features staff is incorporating across projects: Austin Energy Green Building standards (3-4 stars depending on project), reclaimed water, solar readiness, well-building standards and emergency generators. She said the APFC allowed the city to buy buildings in a down market and "mobilize projects when otherwise construction and commercial development might be struggling." She also noted the APFC's use of CBRE for real-estate consulting, market feasibility and RFQ/RFP execution.

During questions, committee members sought detail on how the city evaluates and compares projects. Olivares said some projects have unique technical features (forensics lab capabilities, specialized evidence storage, CTEK security and technical needs) that affect cost and complicate simple per-square-foot comparisons. She described an internal Strategic Facilities Governance Team (SFGT) that meets weekly to review facility needs and move work forward. Olivares said the transfer station for Austin Resource Recovery is not currently being handled through the APFC but that property-acquisition conversations are active.

Olivares said an item related to the next phase of some APFC projects is scheduled for the July 24 Council agenda. Committee members asked for comparisons of per-square-foot costs and more inventory/scheduling information for city facilities; Olivares said staff could provide further detail outside the meeting.

No formal committee votes were taken during this briefing; members thanked staff for the update and moved to other agenda items.