Star-Journbal Editor
When Hillsboro officials heard it could cost $440,000 to repair fire damage at its uninsured Hillsboro Business Development Complex, their collective gasp pulled so much air from the council chambers, it felt almost like City Hall itself was on fire.
Figuratively speaking, it was.
An astonished look showed that the gi-normous bid offered by aptly-named National Catastrophe Restoration, Inc. (NCRI) of Wichita had triggered a silent alarm in the head of Hillsboro Mayor Delores Dalke.
Certainly, this was a false alarm, a mistake. Four hundred, forty thousand dollars?
"I think we need some time to think about this, and look at it," she said.
The estimated repair bill comes after revelations that the city had decided not to insure the 80,000- square foot AMPI building when it was purchased in 2002 from Associated Milk Producers, Inc.
When it seemed as if the April 25 had caused only minor damage, Dalke said it seemed as though the city had been smart by not paying more than $103,000 in premiums over the past four and a half years to insure the building.
Before the first repair bill came in, Dalke had said, "It was a risk we were willing to take."
But on Monday, as city building inspector Martin Rhodes presented the estimate from NCRI of Wichita during a special meeting of the Hillsboro City Council, it seemed as if the big gamble might not have been such a good one, after all.
"I think this is going to take a little thinking on our part about what we're going to do about this," Dalke said, as she shuffled the report's papers. "We don't have $440,000. I think that we need to see the other estimates."
Rhodes said, "I think based on my experience that you're going to see the other contractors come in pretty close to NCRI's bid."
According to Dalke, when the city purchased the property in 2002, it paid $75,000 for the land and the natural gas pipeline, which runs under ground. The city didn't want the building, but it came with the deal.
"We didn't see a need to insure the building," Dalke said, "because we saw the value in the land we purchased there."
The city had had no big plans for the building, until a few months ago when USD 410 asked the city to consider leasing part of the building and grounds to the school district to house its main office, bus parking, and maintenance facilities, if voters approve the $6.625 million bond referendum on June 5.
Before the fire, the district and the city were in the middle of working out the details of a long-term lease agreement that would benefit everyone.
After the fire, USD 410 superintendent Gordon Mohn expressed hope that the fire would not stop the proposed lease agreement. Dalke said that because the space the district wants to lease includes the fire-damaged area, repairs should be made as soon as possible.
Because insurance costs needed to be figured into the agreement, the city began to look into the cost of insuring the building about six weeks ago, after the school district requested cost estimates for a long-term lease.
The council asked the city's insurance broker to find out what it would cost to add the building to its existing property insurance coverage. But insurance estimators said it would cost $8.8 million in today's dollars to replace the 62-year-old building.
The premium costs for so much coverage was sky-high, Dalke said.
Council member Bob Watson asked the city's insurance agent to get a quote for a single policy to cover the AMPI building with a "major catastrophe insurance."
That quote is pending.
So what kind of mess did the contractor discover in the rubble of what was considered to be relatively minor fire that prompted him ask for almost a half million dollars to clean up?
Simply put, soot.
Rhodes explained as he handed out copies of a one-page report he'd written entitled, "Overview of Hillsboro Business Development Complex Fire." He also passed along glossy photos of the damage.
The report begins, "The nature of this fire is probably the most time consuming type of fire to clean up. The main fuel was plastic, which emits a very sticky kind of soot
Which explains why, on April 25, firefighters found themselves surrounded by black smoke that stunk like burning plastic, and stung the eyes, nose, and throat.
Firefighters in face masks and air tanks carried a thermal imaging camera into the building, but dense smoke made it difficult to pinpoint the fire.
Over the next 90 minutes, firefighters entered the building five times through five different doors before finding the flames.
The fire was found behind closed doors in a room that once had been used to refrigerate cheese, but now was used as a storage area by Golden Heritage Foods, Inc. The source of the black smoke turned out to be scorched plastic bottles of honey and bundles of flat cardboard, as well as thick insulation from the walls and ceiling.
Rhodes told the council that according to NCRI, soot residue from this type of fire can only be removed by a two-step process.
"1). All metal surfaces in the four rooms that are damaged the most must be blasted with corncob or walnut shell blasting media.
"2). Power wash all surfaces to remove any blasting media from the surfaces in preparation for aluminum paint, which seals all surfaces that will emit smoke odor in the future."
After firefighters had returned to the station, the fire rekindled for a second two-hour battle later that afternoon. Flames were coming from the roof, above the room where the fire had been doused earlier. Firefighters on the roof had to pry metal flashing out of the way to get water on the flames. They also used a metal-cutting chain saw to cut through the roof.
In the aftermath of the fire, investigators from the state fire marshal's office in Topeka, and the federal Bureau of Alcohol, Tobacco and Firearms in Wichita, searched the damaged area for clues to the fire's origin.
As of Monday, Hillsboro fire chief Ben Steketee said investigators hadn't called him with the cause.
After NCRI estimators examined the damage, Rhodes report states, "Before any cleaning can begin, in three of the four rooms, the existing ceiling must come down to expose the metal roof bar joists.
"All of these joists must be blasted and then power washed. Also, much debris must be removed from the building before any cleaning can begin."
In addition to the structural damage, Rhodes reports, "There is moderate sooting in approximately 70 percent of the remaining building, which must be power washed.
"All of the basement floors have a layer of soot which has to be removed by power washing."
Asked to prioritize the repair project, Rhodes said the hole in the roof needed to be fixed as soon as possible, before more damage is done.
"We're already starting to see some oxidation of the metal from the fire, because the fire generates acids and it's beginning to work on the metal decks and I-beams," he said.
"I highly recommend that we do something quickly about that to stop this."
The local subcontractor who supplied NCRI with an estimate for basic roof repairs as part of the overall $440,000 project, would be willing to fix the roof as a direct contractor for the city, for $29,897, which is the same price he quoted to NCRI, Rhodes said.
Dalke said the repairing the roof was an important first step that must be taken, soon.
"I don't want to wait until the end of the month, though. If we have to call a special meeting on this we'll do it."
Rhodes put together a bid that showed if the city were to tackle the job in-house, the estimated cost for repairs would be $86,608.75.
"I've had lots of experience dealing with these kinds of things, and I'm perfectly willing to see this job finished, but you know I must have your support in getting the people to help me to do it.
"Other than the one guy we have on staff, I'm looking for at least four more people. I broke it down in man hours as to what it's going to take to do it.
"And it's a nasty, filthy, dirty job," he said.
But Dalke told the council that she would prefer that the city not attempt the cleanup itself, adding that the city's insurance agent had given her the name of another contractor, experienced in this type of restoration.
In other business,
— The council got more bad news from Rhodes regarding damaged pipes and equipment at the Hillsboro Family Aquatics Center, which apparently was not winterized last season.
According to Dalke, the damaged pipes were discovered this spring after city workers were unable to turn on the sprinkler system for grass surrounding the facility.
Dalke also told the council that the concession stand had not been properly cleaned at the end of the season last year. Food and condiments were left out, and bugs were everywhere.
Dalke called in an outside crew to clean, disinfect, and exterminate the snack bar a few weeks ago. But before they could begin their work, Rhodes spent two days repairing pipes left with water in them that had frozen, and then broke.
Asked who was to blame for the broken pipes and bug-infested concession stand, Dalke refused comment.
When the new aquatics center closed last summer after its first year of operation, pool manager Jodi Stutzman resigned and left on a mission trip to Korea.
In the chain of command, Stutzman reported directly to former city administrator Steve Garrett, who was let go in January.
Apparently lost in the shuffle were the tasks of winterizing the pool and its pipes, and cleaning up the snack bar.
The latest damage report came Monday, when Dalke told the council that the freezing weather that broke the pipes also broke the new ice machine, which cost a cool $1,825.
"It hadn't been shut down properly," Dalke said, scowling.
After some discussion, the council voted to purchase a new ice machine, which had gone up in price in the past year to $1,997.
Council member Shane Marler said he would vote to purchase a new ice machine only "Under the stipulation that it gets taken care of by the time it gets cold."
Dalke said, "If we get a new machine, it's not going to stay out there this winter.
"I don't care if [the concession area] is properly closed down, we're going to move it somewhere where it's warm."
— After a brief overview by city accountant Scot Loyd, the council approved the amended 2007 budget amendment, clearing the way for the revised document to be published and presented in a public hearing.
— The council said yes to Linda Ogden, director of the Marion County chapter of Community in Schools, who asked the city to reinstate its long-held practice of donating $1,000 a year to the organization, which sponsors drug prevention awareness and other programs in Marion County.
— At the mayor's request, these six current members of the Hillsboro Museum Advisory Board were approved to serve additional terms:
Aleen Ratzlaff, Jonah Kliewer, Willie Ensz, Evan Yoder, Dale Honeck, and Anna Loewen-Raymond. The seventh member of the board, Mary Regier, was appointed in April.
