EJ Walsh briefed the FedRack committee on the remaining furnishings, fixtures and equipment (FF&E) needed to make the joint-use operations facility operational. The overall equipment budget for the project is $2.2 million; previous authorizations used the majority of that allocation and a $659,200 remainder remained in the approved project line.

Walsh presented a list of remaining items that total roughly $868,000 and explained the $208,000 shortfall is the result of inflation, increased tax rates, and tariff charges — particularly on lifts, security systems and IT equipment. "The overall budget is approved ... this is what we have contingencies for," Walsh said, asking the committee to authorize staff to acquire the remaining equipment and reallocate the contingency within the capital project so the purchases do not impact the general fund.

Councilmembers asked for specifics about the items and the drivers of the cost increases; Walsh said tariffs on raw materials (notably Canadian steel used in some domestic manufacturing) and global chipset shortages contributed to sharp price changes on some components. Committee members agreed the purchases should proceed to avoid further price escalation; a motion to forward the authorization to the Jan. 6, 2026 consent agenda passed by voice vote (reported as 3-0).

Next steps: if the full council approves the consent agenda item on Jan. 6, staff will begin issuing purchase orders immediately to lock in current prices and complete procurement within the approved capital project.