New Public Works Building Approved By Village Board

After months of debate, Whitefish Bay officials have decided to build a new Department of Public Works building on the southeast corner of Lydell and Fairmount avenues.

Currently, the Whitefish Bay Public Works Department operates out of a nearly 100-year-old building at 5055 Lydell Avenue. The building costs the village $276,000 per year, which includes rent, utilities and Glendale taxes.

To make the transition from renter to owner, Village Manager Patrick DeGrave has proposed Whitefish Bay construct its own 40,000-square-foot public works building across the street, on the site of a makeshift soccer field and deteriorating parking lot.

The board agreed to the idea of a new DPW building on the condition that it could be financed for the same amount the village currently pays in rent.

Cost projections show the new building could be built for $3.5 million – which when financed over 20 years – is still $500,000 more than the cost of renting for the next 20 years. To make the project break even, DeGrave proposed the village reduce borrowing costs by borrowing only $3 million and funding the remaining $500,000 with money from the village savings account.

At a Monday night meeting, the Village Board agreed to DeGrave's financing proposal and approved the new building on a 5-2 vote. Trustees Carl Fuda and Jay Miller voting against the project.

Fuda said the village's current month-to-month rental bill on the property doesn't provide an "apples to apples" comparison with the cost of financing a new building. As an alternative, he suggested the village do away with its month-to-month lease and negotiate a longer-term lease at a lower price and with requests for building improvements.

"If we offered a long-term extension to a lease, there is a good shot we'd get a better deal than $276,000," Fuda said. "That would make the lease more cost-effective."

Trustee Jay Miller voted against the new building because he thought the village should wait two to four weeks to see if the lease could be renegotiated.

Construction on the new facility is expected to begin on July 15, and the building would be ready for occupancy by December. DeGrave has set an accelerated timetable for the project in order to take advantage of low interest rates this year, while the weather still allows for construction.