News Saugatuck/Douglas Commercial Record

City nixes old hospital move, for now

By Scott Sullivan

Editor

Don’t expect Douglas to move city services into the empty “old hospital” building bought last summer for $1.5 million soon.

City council Feb. 6 declined to hire Troy-based ABM Building Solutions for $7.8 million to design and build the project at 415 Wiley Road by a 6-1 vote. 

Members will hold a workshop Tuesday, Feb. 20, at 5:30 p.m. to explore alternative options for the 7.8-acre site, which includes a one-story, 18,000-square-foot brick building.

Much of that structure could be retrofitted to house city hall, the police department and public works offices.

ABM’s proposal did not include public works outbuildings such as garages and storage structures, put on hold already due to cost constraints.

Most council members Monday felt the $7.8 million didn’t fit into their next year’s budget. They cited other costly projects, including state-mandated waterline replacements, as priorities.

Councilman Neal Seabert dissented, noting Douglas “committed to this move for good reason. We have major facilities needs. Putting it off will not make it cheaper.”

Douglas has for years looked at consolidating services at one site. It now operates city hall from the 1875-built Dutcher’s Lodge at 86 Center St., police in small one-story brick building at 47 W. Center, and public works department at 486 Water St., on the corner of Wiley Road.

Douglas hired Troy-based ABM in 2020 to complete an investment grade audit of its facilities. The firm has provided the city with a plan to rehab its 18,000-square-foot former Douglas Hospital to relocate police and city hall there, plus public works offices.

Design-build work for public works buildings, such as garages and storage areas, had already been put on hold due to cost constraints.

“It is important,” said city manager Lisa Nocerini after last week’s meeting, “to acknowledge the considerable efforts put forth by ABM in presenting their proposal and dedication to making the project a reality.

“The decision not to move forward with the rehab project was reached after thorough consideration of various factors, with cost being a significant concern,” she continued. 

“While the proposal showcased potential benefits, including consolidation of municipal services into a single location, the associated financial requirements were deemed prohibitive at this time. 

“Furthermore, the city is currently facing pressing capital needs across multiple areas, necessitating a strategic allocation of resources. We must prioritize projects that directly address critical infrastructure and service delivery demands to ensure the well-being and safety of our residents,” Nocerini said.

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