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Agency on Aging gives scenarios for moving

by CANDACE CHASE/Daily Inter Lake
| June 12, 2009 12:00 AM

Jim Atkinson of the Agency on Aging presented a proposal to Flathead County commissioners on Wednesday comparing options for relocating the agency versus staying at its Kelly Road building.

According to Atkinson, the agency needs more space for senior activities and revenue-raising ventures. He would also like to locate closer to the area's senior population.

Atkinson discussed proposals to:

n Lease 15,000 square feet at the Gateway Community Center, a new consortium of human services agencies in the old Gateway West Mall.

n Build a new 10,000-square-foot building for $2.6 million on county-owned land north of the fairgrounds.

Atkinson presented the Gateway Community Center move first, showing a layout prepared by Architects Design Group. Under the plan, the meals program and a senior activity area would occupy 11,000 square feet of the former Corral West space.

Administrative offices would move into the former Maurice's women's wear shop.

The Retired Senior and Volunteer Program would have an office near the entrance of Teletech. RSVP would also have a space to operate a candy store and the Agency on Aging would have a pizza shop in the former food court as a way to become more self-supporting.

The layout included a thrift shop in the former Corral West space.

Bozeman's Agency on Aging has a thrift shop in the basement, Atkinson said. "They make $5,000 a month. We feel we could make $3,000."

JR Stiles, manager of Meals on Wheels, estimated that the pizza shop would show a minimum profit of $50 a day.

Architects Design Group calculated the renovation and moving expenses at $509,000 to build the commercial kitchen, dining room and thrift store; $136,395 to construct administrative offices and $20,808 to move freezers, hoods and stoves.

Atkinson said the moving costs might be lower with some county maintenance or volunteer help.

The Agency on Aging proposal lists revenue sources for these costs as $300,000 coming from the sale of the Kalispell Senior Center and $361,568 coming from the county. The county owns the former church building at 403 Second Ave. W. that it leases to the senior nonprofit group for $1 a year.

County Commissioner Dale Lauman and Atkinson have approached the senior center about moving to Gateway Community Center.

Jim Pearson, president of the senior center's board, said Wednesday the seniors were very concerned about keeping their identity if combined with the Agency on Aging.

Talks were scheduled to continue between the Agency on Aging advisory council and members of the senior center association.

According to Atkinson, the agency would receive its first three months rent free. Utilities were estimated at about $1,000 a year more than the Kelly Road building.

Monthly rent would start at $6,365 and escalate by 3 percent through year five. After two years, the community center would levy a monthly common area maintenance fee that is estimated at around $1,500 a month. It would increase in future years.

Atkinson said the overall projected cost may drop dramatically since the community center has prospects of receiving federal funds and grants to pay off the mall property within three to four years.

"If the mall is paid off, all the rent goes away," Atkinson said. "I think that is a possibility."

Atkinson also presented the proposal to build a 10,000-square-foot Agency on Aging facility north of the fairgrounds off West Wyoming Street. The smaller size would not accommodate the Kalispell Senior Center.

According to Architects Design Group's calculations, the new building would cost almost $2.6 million. Atkinson said Glacier Bank was willing to finance the cost at a half point below prime rate due to tax benefits it would receive.

The bank offered several scenarios of 30-year financing based on the center's existing cash flow. A drawing included in the proposal packet showed just the outline of a building and parking spaces.

"The advantage of a new building is county ownership of the land and building," Atkinson said. "We would not have to 'condo-ize' and we would know what our expenses are."

He said the disadvantage was the loss of about 5,000 square feet compared to the community center site. However, architects would design the building to meet the agency's needs, including expansion in future years.

A chart prepared to compare the Kelly Road building, community center and new building showed the current location as the least expensive site over a 10-year period and a new building as the most costly move.

Atkinson's comparison of the agency's objectives put the Gateway Community Center on top by offering a better location for seniors, more room and opportunities to raise money. But he cautioned that its cost estimates included a lot of assumptions.

"I'd like to say that this is really speculative at this time," he said.

Responding to commissioner questions, Atkinson said he has noticed a lot of parking pressure and crowding during the noon meals served daily.

Commissioner Joe Brenneman said he couldn't see how the county could afford to move the agency to the mall, based on the figures presented. He said building a new facility was out of the question.

Atkinson agreed that moving was a costly venture.

"My question and concern is: Can we continue to do business in the location we have and meet our desire to serve the senior population?" he said.

He said the present building would not meet future demands. Atkinson said the projections were the worst-case scenario of costs without consideration of a grant payoff of the mall property.

Another tenant at the community center, Lori Botkin of the Flathead Food Bank, said she received a bid of $35,000 for painting their space. Volunteers and discounts from paint stores allowed them to paint the entire space for $350.

Commission Jim Dupont said he considered the Gateway Community Center a wonderful idea based on the camaraderie alone.

"As we get older, we like to go to the same places and see the same faces," he said. "I think it would be a wonderful thing as long as we have the money to do it."

Commissioners took no action on the proposal.

Reporter Candace Chase may be reached at 758-4436 or by e-mail at cchase@dailyinterlake.com.