Title
Resolution to Accept a $500,000.00 LWCF Grant for Buhr Park Outdoor Ice Arena Improvements, Approve a Project Agreement with MDNR, and Appropriate $1,000,000.00
Memorandum
This resolution accepts $500,000.00 in federal Land and Water Conservation Fund (LWCF) grant funds administered through the Michigan Department of Natural Resources Grants Management, with additional $500,000.00 from the City committed as local match, for accessibility and sustainability improvements to the Buhr Park Outdoor Ice Arena. Because LWCF disburses grant funds as reimbursements only, the full $1,000,000.00 must be initially appropriated.
In 2023, City Council approved resolutions R-23-084 and R-23-315, which supported the City's 2023 LWCF grant application for the project described here. Due to heavy grant competition, the City did not receive a grant award for the 2023 cycle. Under resolution R-24-0178, staff resubmitted in the 2024 cycle with some improvements to enhance grant scoring. The City was notified at the end of 2024 that their application was recommended for award, but received the official notice of award and project agreement only at the end of July 2025. The $1,000,000.00 associated with this grant is not expected to cover all project expenses; Council will see this project and its costs again in the future when approving design and construction contracts.
Grant Description:
The Land and Water Conservation Fund (LWCF) is a National Park Service grant that is administered in part through the Michigan Department of Natural Resources. The Land and Water Conservation Fund was established by Congress in 1964 to safeguard natural areas, water resources and cultural heritage, and to provide recreation opportunities to all Americans. Grant amounts range from $30,000.00 to $500,000.00 and require a 50% match from local funds.
Background:
The Buhr Park ice arena is an outdoor covered rink, and one of two ice arenas owned by the City, the other being Veterans Memorial Park ice arena. The Buhr Park ice arena is open November through February (weather permitting) and offers public ice skating, drop-in hockey and rental hours, locker rooms, vending machines, restrooms and skate rentals, and sharpening services.
The facility is located in the southeast part of the City which is characterized by higher racial diversity and lower median incomes. It is located adjacent to the Hikone neighborhood which is one of the Ann Arbor Housing Commission public housing communities, as well as the Hikone Community Center operated by the Community Action Network which provides support to families in need.
The Buhr Park ice arena functions as a neighborhood gathering place providing outdoor recreation opportunities at low cost during Michigan’s long winter season. The ice arena has experienced increased usage since the beginning of the COVID-19 pandemic when community members sought ways to recreate and gather safely outdoors.
The Buhr Park ice arena original floor and refrigeration plant were constructed in 1991 and the chiller system is an indirect R22 system. R22 refrigeration systems were constructed from the early 1970s through approximately the year 2000, and were known for low energy usage and their capability to produce high quality ice surfaces. However, their use was effectively eliminated when the EPA determined that R-22 is a major contributor of greenhouse gas emissions and ozone depletion, and instituted regulations to curtail its use. As of January 1, 2020, U.S. production and import of R-22 ended, forcing existing systems to use recycled or stockpiled sources. The EPA noted that supply will decline over the next few years, and prices are likely to increase, making planning for replacing these systems important. While switching to alternative refrigerants can significantly improve energy efficiency, it necessitates retrofitting or replacing equipment at significant cost.
Project Description:
This Land and Water Conservation Grant award assists with the necessary capital to replace the entire refrigeration system, significantly reducing energy consumption and operating costs. Additionally, as part of the refrigeration replacement project, the City will undertake additional improvements related to accessibility and operations. This includes work related to Americans with Disabilities Act (ADA) requirements, as well as going beyond those minimums towards the principals of Universal Design. The ice arena will be evaluated for opportunities to improve access for all. Additional improvements such as adding rubber flooring around the rink to better accommodate circulation on skates will be considered as well.
The preliminary concept for improving the Buhr Park ice arena include:
• Demolition of old refrigeration plant and installation of new refrigeration plant $830,000.00 to $1,210,000.00
• New dasher boards and accessories $250,000.00 to $300,000.00
• Rubber Flooring around rink $150,000.00 to $ 225,000.00
• ADA and Universal Design Improvements $65,000.00 to $100,000.00
• Project contingency (20%) $250,000.00 to $350,000.00
• Engineering fees $120,000.00 to $165,000.00
Based on the scope above, the total cost of the project could vary between $1,665,000.00 and $2,350,000.00 depending on the options chosen and market conditions at the time of bidding.
The ice arena’s role as a community gathering place, its location providing recreation to underserved populations within our city, and the necessity to transition to a new refrigeration system, have all led to this being a high priority project for the park system. Additionally, the City is currently undergoing an ADA Accessibility Transition Plan and has made a commitment to improving accessibility across the park system. Therefore, this project will combine necessary mechanical/refrigeration infrastructure work with improvements that will enhance the accessibility and operations of the facility.
Budget/Fiscal Impact: Funding beyond the LWCF Grant award amount would be drawn from a combination of fund balance and the Park Maintenance and Capital Improvement budget. Some elements like the new dasher boards, accessories, and the new rubber flooring will need to be funded separately as a secondary project.
Staff
Prepared by: Rosie Pahl Donaldson, Land Acquisition Supervisor
Reviewed by: Josh Landefeld, Parks & Recreation Services Manager
Derek Delacourt, Community Services Area Administrator
Milton Dohoney Jr., City Administrator
Body
Whereas, The Buhr Park ice arena functions as a neighborhood gathering place providing outdoor recreation opportunities at low cost during Michigan’s long winter season;
Whereas, The ice arena has experienced increased usage since the beginning of the COVID-19 pandemic when community members sought ways to recreate and gather safely outdoors;
Whereas, The Buhr Park ice arena refrigeration system was constructed in 1991 and uses R-22 refrigeration, which is a major contributor of greenhouse gas emissions and ozone depletion;
Whereas, Switching to alternative refrigerants can significantly improve energy efficiency but necessitates retrofitting or replacing equipment at significant cost;
Whereas, The City would undertake additional improvements related to accessibility and operations at the ice arena;
Whereas, The ice arena’s role as a community gathering place, its location providing recreation to underserved populations within our city, and the necessity to transition to a new refrigeration system, have all led to this being a high priority project for the Park System;
Whereas, A Land and Water Conservation Grant would significantly ease the burden of the transfer of this refrigeration system;
Whereas, the Michigan DNR has awarded the City a grant, which requires the City to execute a Project Agreement stating the terms under which the grant funds will be provided;
Whereas, City Council passed resolutions R-24-0178 at the March 4, 2024 meeting approving a 2024 grant application submission and contingent fund allocation for the this project; and
Whereas, The City commitment to the project is $500,000.00 with funding to be drawn from a combination of fund balance and any current year capital funding for Buhr rink available in Park Maintenance and Capital Improvement budget at the time of the project;
RESOLVED, That City Council hereby accepts a Land and Water Conservation Fund (LWCF) grant award in the amount of $500,000.00, with $500,000.00 committed in local matching funds;
RESOLVED, That City Council appropriates $500,000.00 to the Parks FY25 Major Grants Programs Fund expenditure budget with the source of revenue being the Michigan Department of Natural Resources LWCF grant award;
RESOLVED, That City Council appropriates $500,000.00 in matching funds to the Parks FY25 Major Grants Programs Fund expenditure budget with the source of revenue being the Park Maintenance and Capital Improvement Fund;
RESOLVED, That all amounts appropriated herein are without regard to fiscal year;
RESOLVED, That City Council approves a project agreement between the Michigan Department of Natural Resources and the City of Ann Arbor for improvements to the Buhr Park outdoor ice arena;
RESOLVED, That the Mayor and City Clerk are authorized and directed to execute the project agreement after approval by the City Administrator and City Attorney; and
RESOLVED, That the City Administrator is authorized to take all appropriate actions to implement this resolution and the agreement, including exercising all determinations and authority delegated to the City under the project agreement.