1. DES Deputy Director Bob Covington Sellen/ZGF Project Manager Victoria Buker Senate Ways and Means Presentation 1063 Capitol Way Block Replacement Project February 12, 2015 1

2. The 2013 Capital Budget required DES to: Remove the Capital Park Building and GA Parking Garage Build 200,000-225,000 gross square feet High-performance multi-tenant office building Design-build procurement (RCW 39.10) Five-year performance guarantee on energy, operations, and maintenance Tenant lease cost no more than $26/GSF Project Overview & Purpose 2

3. 3 GA Building 1063 Block

4. 4

5. Project Highlights Corner of Capitol & 11th

6. Authorizing Legislation: ESSB 5035 Section 1109 $13 M State Bonds Section 7014 (2)(b) $69 M Cert. of Participation Total Project Funding $82 Million Estimate $8.1M of $13M appropriation spent by June 30, 2015 Funding 6

7. Tenant Space Current Locations 1063 Program Agency Owned /LeasedCurrent AddressCityRSF Washington State PatrolLeased321 Cleveland Ave SE, Ste ATumwater 15,370 Washington State PatrolLeased403 Cleveland Ave SE, Ste ATumwater 2,694 Washington State PatrolLeased3310 Capitol Blvd SWTumwater 13,164 Washington State PatrolOwned210 11th Avenue SWOlympia 79,537 Washington State PatrolLeased3000 Pacific AveOlympia 22,765 Subtotal 133,530 140,678 Office of Financial ManagementOwned210 11th Ave SWOlympia 36,022 Office of Financial ManagementOwned1110 Capitol Way SOlympia 6,797 Subtotal 42,819 22.914 Legislative - JTC/LEAPLeased3309 Capitol BlvdOlympia 6,919 Legislative - JLARCLeased1300 Quince StreetOlympia 6,904 Legislative - JLSCLeased2404 Chandler CourtOlympia 15,778 Subtotal 29,601 26,088 Shared campus conference room 11,650 Vacant 5,525 Total Rentable SF 205,950 206,855 1063 Block FTE’s: 735 FTE’s with current space planning 7

8. Project Metrics Gross Square Feet Rentable Square Feet Building Area 215,000 206,855 Total Costs$/GSF$/RSF Shell & Core$42,098,096$196$204 Tenant Improvements$15,229,200$71$74 MACC (Maximum Allowable Construction Cost) $57,327,296$267$277 Design/Build Contract$65,500,000$305$317 Project Costs$82,000,000$381$396 Class A Office Shell & Core State of Washington without site improvements $165/GSF – $200/GSF 8

9. FY18 Projected Lease Costs – $3.6 Million COP total for Equipment and Furnishings - $9.2 Million One time costs for relocation and Equipment - $2.9 Million Operational Impacts Other Cost Impacts 9

10. Operational Impacts Life Cycle Costs 10 50 ear

11. Operational Impacts Life Cycle Costs 11

12. 1063 Exterior Corner of Capitol Way & Union 12

13. Consolidate 19 Divisions that are currently scattered throughout various locations in Thurston County - WSP Provide for critical adjacencies between divisions that will help to provide collaborative work efforts. Have a building designed for business needs, as opposed to fitting into existing spaces. Move agencies out of an old, outdated building and into efficient, modern space. Universal workstations that allow for easy movement of people. Maintain a strong presence on the capital campus. 1063 Design Attributes Efficiencies and Improved Business Needs 13

14. Energy Performance 1063 Block Building energy costs are $60,000/yr less than a current Washington code building 14

15. Building Efficiencies Slide 87 Slide 88 Slide 91 Efficient Workplace 95% workstations have natural daylight 100% outside air ventilation 35% reduction of potable water through efficient fixtures Open Vertical Circulation Low Operating Costs Geothermal wells Hydronic Mechanical systems One year of training 15

16. Made in Washington Over 50 Washington State subcontractors and suppliers $.75 of every $1.00 supplied by Washington businesses 330 Construction jobs $1.00 in new construction generates $1.99 in economic activity throughout the State 16

17. Schedule & Process Aug. 15, 2013 Eco Charrette / Visioning Meeting w/ Tenants Sept. 18, 2013 Issue Design-Build(DB) Request for Qualifications Sept. 26, 2013Pre-submittal/info meeting in Olympia Sept. 30, 2013Pre-submittal/info meeting in Seattle Oct. 17, 2013 DB Statements of Qualifications (SOQs) due Oct. 29, 2013 Notification of Finalists Nov. 27, 2013 Issue Request for Proposals (RFP) to Finalists Feb. 20, 2014 Designs & Proposals Due July 1, 2014Notice to Proceed on Design July 15, 2015 Notice to Proceed on Construction - 65%Design Aug. 15, 2017 Complete construction 17