NEW ALBANY — After nearly three hours of debate and discussion, the Floyd County Council agreed to a resolution that will fund jail renovations through bonding up to $19.5 million. The bond will have to be paid off in 20 years.
The vote passed 4-2 with Brad Striegel and Leslie Knable voting against. Cam Wright, Dale Bagshaw, Denise Konkle and Tom Pickett voted in favor, and Lana Aebersold was absent.
Much of the debate centered around the amount the county would have to borrow to complete the renovations, which includes turning the outside recreation area into a new cell pod and adding 100 beds to the facility. The size of the jail kitchen will increase and the heating and ventilation system will be upgraded. Also included will be improvements to the laundry and intake areas, new lighting, restrooms and security. Around 75,000 square feet will be renovated.
While the resolution states for the amount not to exceed $19.5 million, many hope the final bids come in lower.
Without the resolution, architect Chet Michell said the job would be difficult to bid out to contractors without there being some assurance the money would be there to pay the job. The commissioners approved the resolution earlier, and reassured council members Tuesday during the joint workshop they would work with them to try and keep the costs as tight as possible. But Michell told both bodies there was no fluff in the project.
The county already has cash on hand — around $20 million from hospital sale proceeds — to pay for the work. However, in order to save that money, put it into a county foundation or use it for other projects, jail renovations will need to be bonded.
As part of her projection, Konkle set aside $4 million a year to be placed in a county foundation from the yearly hospital sale payments the county will receive for the next eight years. However, Wright said a foundation has not been set up yet so that amount is arbitrary.
"You are putting $4 million in a county foundation that doesn't exist," Wright said.
Konkle agreed that the foundation has not been set up, but said it comes down to whether the council wants to spend hospital proceeds or not.
"Over the next eight years we will have $50 million. Do we want to spend $20 million of that money on this or not. That is the decision," she said. "Or do we want to put it away for future projects."
Most believe jail renovations will cost around $15 million, but soft costs will be added to the final bids which will be due April 17.
Striegel said there is money to make the $1.2 million yearly bond payment in the short term, but not 15 or 20 years down the road in his estimation.
"I need to get to a comfortable position and I am not there yet," he said. "This does not look sustainable."
Striegel said there are currently 234 beds in the jail and the daily population averages around 290 to 310 inmates. He said the renovations may not solve the overcrowding issue after the county commits to spending upwards of $19 million.
"Is this the right fix," he asked. "After the project is completed, will we be back where we started?"
Floyd County Sheriff Frank Loop said he has been working with architects and contractors for three years to come up with a feasible solution to the jail issues. When some council members said they wanted to spend only $15 million for the project, he said there is no way to commit to that without seeing the bids.
"There is no fluff in this project," he said. "I am the sheriff. My job is to report the state of the jail and I've done that. Previous sheriffs have just kicked it down the road. Many of you have seen the conditions of the jail."
Knable said she thought the hospital proceeds were for catastrophic events, and renovating the jail was not an emergency in her eyes.
But Commissioner Mark Seabrook said inmate lawsuits over jail conditions, and the fact that a federal judge could mandate the county build a new jail is reason to move forward with the renovations. Bagshaw agreed.
"We all agree we have to have a jail. I don't see another way unless you decide to throw this [plan] in the trash can and use the cash on hand," he said.
Pickett said he "trusts" Michell when it comes to the costs of the project, and if taxpayers would not bear the burden of the payments, he would vote to move forward. He voted against it last week.