Board approves $38.1 million to jumpstart McCoy Health Headquarters

November 10, 2016

Aerial image of Health Department Headquarters, November 2016

Multnomah County Commissioners today authorized $38.1 million to begin construction and begin procurements on the new Gladys McCoy Health Department Headquarters.

At a briefing Nov. 3, the design and construction team presented an update on their plans to obtain design approval and permits and begin excavating and building foundations on the site on NW 6th Avenue between NW Irving and NW Hoyt.

The project team, with Shiels Obletz Johnsen as the Owner's Representative, has completed an early work package on a nine-story building just east of the Bud Clark Commons. The building is designed by ZGF Architects and JE Dunn is the general contractor.

The early work package is expected to be about 60 percent of the total construction costs, but is meant to save money in the long-run by mitigating the rising cost of construction and workforce shortages in Portland’s hot development market.

Steve Cruzen of Shiels Obletz Johnsen said the work includes the elevator, excavation and foundation construction work, and trade partners including mechanical, electrical, plumbing, and fire protection, structure steel package value.

The revised project schedule, is to begin actual construction  in early January of 2017 with completion scheduled in 2018 and move in during the first quarter of 2019, Cruzen said.

The estimated total cost is $92.7 million with $11.1 million in contingency. The project costs will in part be covered by $26.9 in tax increment funds, $9.5 million from the Portland Development Commission agreement, and an estimated $5 million from the sale of the McCoy.

Commissioner Diane McKeel thanked the team for their process, which will include another report to the Board in February 2017.