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5.1A. SR 02-07-2005 Item S.l.A. MEMORANDUM TO: Mayor and City Council FROM: Dave Potvin, Liquor Store Manager DATE: January 27, 2005 SUBJECT: Geothermal vs Conventional HVAC at Westbound Liquor Geothermal heating and cooling for Westbound was given much thought and research as an option. I spent time with Bob Donley from Econar in Elk River, toured his building, talked with Gary Lore, head of maintenance for the city, consulted with the engineer assigned to the project, called and talked with representatives of 2 similar sized buildings currently using geothermal systems (Ramsey Police Dept and Woodlands Bank, Onamia) and had several discussions with the city staff. Although geothermal would definitely cost more initially ($50,000 to $70,000) the potential to save money over the long run is promising. Still opinions were all over the board (Ramsey absolutely hated it, Woodlands bank loved it). The jury is still out on our own system at the Public Safety Building and there is no consistent, strong evidence that geothermal would be a trouble-free system. I also could not locate a liquor store, with its somewhat unique heating and cooling issues, that has installed geothermal. So, with the initial much higher cost and with payback and reliability questionable, I have decided to go with a conventional HV AC system. S:\OFFSlTE\UQUOR\Geothermal memo.doc WESTBOUND LIQUOR ELK RIVER, MINNESOTA DECEMBER 14, 2004 REVISED DECEMBER 15, 2004 REVISED JANUARY 24, 2005 PROPOSED PROJECT SCHEDULE December 27,2004 January 10, 2005 January 18,2005 January 25, 2005 February 7, 2005 February 9 & 16, 2005 February 11, 2005 March 8, 2005 March 17, 2005 March 21,2005 March 28,2005 October 14, 2005 October 14-27, 2005 October 28, 2005 City Submittal for 1/25/05 Planning Commission Submittal of Bid Packages for 1/18/05 Council Meeting City Council Meeting to Authorize to go out to bid Planning Commission Meeting for Approval of PUD/Project City Council Meeting Approval of PUD/Project Advertise for Bid in Elk River Star News Construction Documents Out To Bid Bids Due Submittal of Bids for 3/21/05 Council Meeting City Council Awards Bid Construction Starts Construction Complete Fixture and Stock Store Store Opens