• We will address the ventilation and air conditioning portions of our HVAC system by removing the 22 condensers currently mounted on the roof which are now well beyond their life expectancy and replacing them with a central chiller as well as upgrading the ventilation and air handling system to create a more energy efficient HVAC system.
• We will replace the existing shingles over the entire facility ($168,500).
• We will replace the current flat roof where the AC condensers are mounted as it is nearing the end of its life as well ($30,000).
• While we are repairing and replacing roof areas, we will also investigate the possibility of installing solar panels on the roof to reduce our energy consumption.
• We also intend to address some of the accessibility issues within our facility such as additional space for wheelchairs in the sanctuary and bathroom accessibility. 

• We asked Comprehensive Engineering (GR), which has considerable experience working with churches, Quality Air (GR), EV Construction, and Hoekstra Electric to review possible solutions with us. The determination is that the current boilers still have several years of useful life and that what is needed now is to replace the ventilation and air conditioning parts of our HVAC system. This approach
  • has least upfront costs, and
  • is the least expensive to maintain.
• We eliminated the possibility of addressing our needs through a geothermal system because it requires a larger footprint for an intake field than TRC has available without removing and then repaving our parking lot (adding up to an additional $300K to the costs). Geothermal is also a better design for buildings that are used more hours per week than our church.
• They investigated the possibility of phasing the installation over a number of years but determined there is not sufficient electrical power to run the new chiller and current air handling units simultaneously.
• There has also been discussion about installing a heat pump system. This decision was put on hold because we are not addressing heating as part of this project as the current boilers could have an additional decade of useful life if properly maintained. When the time comes to replace the boilers, it may make sense to install a heat pump system because of its reduced environmental impact and incentives available from the Holland BPW, but that decision will be made when that time comes.

Bids we’ve received for the HVAC system from DHE Plumbing and Mechanical, Control Net, and Elzinga & Volkers total $1,254,460

Estimates for roof repair and replacement total approximately $200,000

• Cost of equipment has dramatically increased in recent years due to supply chain disruption. 
• Elimination of older chemicals used in cooling systems demands new supply lines.
• Installation costs are high as rooftop units will demand a crane to remove and reinstall.
• Parts of the current system in the basement will have to be dismantled as they were assembled and installed in place and with enclosures built around them. 
• Because of this, contractors will also need to dismantle the new units in order to install them in the confined spaces and thus adding labor costs.

Once the design is finalized and details are known, we can better investigate the possibilities of any rebates or incentives from Holland BPW, State of Michigan, or federal sources.

• All units are working now, but the units are well beyond their lifespan (installed with early 1990s construction and thus now over 30 years old with the equipment having a 15-25 year lifespan).
  • Our current units were reviewed by Comprehensive Engineering, Inc., and show a significant amount of corrosion and wear and are ready for replacement.
  • Our current units utilize R-22 coolant which is no longer allowed for new equipment and the ability of service companies to get R-22 has expired.
• The church has 22 compressors on the roof; as they begin to fail, it creates a domino effect as others have to work harder leading to additional failure.
• The units which provide the air conditioning for the sanctuary are of 1984 vintage (thus almost 40 years old). If the AC units failed, the sanctuary windows don’t open for ventilation, and the organ is at risk due to moisture and temperature variation.
• We have also seen prices in this field increase dramatically in recent years. When we planned for this HVAC project just two years ago, the estimated costs were $900,000. Further delay will only increase the cost.

• Construction of the facility in early 1990s assumed air conditioning and thus in many sections of the building the windows are not operable (fellowship hall, library, office, lower level) leading to uninhabitable spaces in mid-summer with heat build up.
• People have come to expect air conditioning and a comfortable environment in public facilities today.
• It is important to preserve the functional integrity of the facility infrastructure. Dehumidification is another important dimension of this project. We’ve addressed the water in the basement issue, but overall moisture and temperature control remains important throughout the building.

• The organ is at least a $1M asset; replacement cost would be closer to $1.5M.
• The organ is tuned to a specific temperature; variation in temperatures will affect functionality of the instrument and the tuning won’t hold. 
• The organ is fundamentally a wooden instrument and wooden parts are affected by temperature; glue can fail.
• Humidity is inconsistent throughout the year without moisture control.
• These same factors are also true for our grand piano in the sanctuary.

The church is already on track to significantly reduce its energy usage through optimizing our Building Automation System.

The revised new HVAC system will be more efficient and lead to lower energy consumption by the church with corresponding reduction in energy costs as well. The extent of those savings can be better calculated when final equipment design is in place.

• The concept has been raised over the past couple years, but discussion and any evaluation was postponed until we could take care of the HVAC needs first.
• With roof work now also being considered as part of this project, this is a time to also revisit the solar panel discussion.
• While there is precedent in the Historical District for solar panels and we have received preliminary support from the City for the possibility, no evaluation of the return on investment or feasibility has yet taken place. That consideration will be part of the process of developing the roof replacement proposal.

• Wider doors (with automatic openers) for bathrooms along with higher toilets
• Additional space in sanctuary to accommodate wheelchairs and walkers

A housing task force appointed by Consistory determined that serving as landlord for two families associated with the congregation is not wise and that the church should not be in the landlord business.

The families placed in the houses are settled, so we are only assisting two families through this approach. We can be much more effective by providing a revolving fund to assist several families in getting into houses rather than serve just two families.

The church intends to hold the 13th St house because of its proximity to the church campus.

We see three components to our basic financing plan:

1. raising funds from congregational members through a fundraising campaign 
2. using available capital resources and revenue from the sale of the two houses on 14th and 16 Streets (total proceeds $450,000)
3. borrowing the remainder needed

The goal of this capital campaign is to raise $1,200,000 in gifts and pledges over a three-year period–three-quarters of the expected project total.

The church anticipates that selling two of the houses we own would generate funds, $100,000 of which could be set aside for a housing assistance fund with the balance then available for these projects.

We intend to borrow the remaining funds needed from the RCA Church Growth Fund which has rates more favorable than a commercial bank and the interest we pay gets recycled into other church growth projects.

We will also make available the possibility of notes held by members of the congregation to further reduce financing expense to the church.

Any financing costs will have to be absorbed within the annual operating budget. Thus, contributions made to the campaign help the church sustain rather than curtail future ministry budgets. If we must borrow, that interest expense would have to come out of the discretionary portion of the budget (primarily outreach and benevolence), or through staff and program reductions.

At current interest rates, borrowing at 7% (the current estimated interest rate) over 20 years would add the following financing costs to our annual budget:

• $250,000 over 20 years adds $23,500 annually.
• $500,000 over 20 years adds $46,500 annually.
• $750,000 over 20 years adds $70,000 annually.

Previous generations invested in the facility to provide the ministry center we now enjoy. This project is another pivot point in which the current congregation needs to invest in the facility to ensure an adequate space for future ministry.

Third has consistently been good stewards of the resources it has, maintaining its facilities and setting aside funds for future needs. Thus, we have been operating for the past decade with no debt and accumulating reserves for the future. Over the past decade, the church set aside funds to be used for this anticipated project, but those funds have been used instead for:

• The sanctuary AV project which helped us transition into Zoom broadcasting during Covid;
• Renovating the parsonage for the Boes family when they arrived;
• And improving the AV capabilities in the Fellowship Hall for the El Encuentro services.

While we continue to set aside $30,000 annually for building maintenance needs as part of our operating budget, those funds are not adequate for this need.

Through this campaign, we intend to address the facility needs we foresee in the coming decade.

The boilers have not reached the end of their useful life and, with proper maintenance, Comprehensive Engineering, Inc., believes that the boilers should last up to 10 more years.

When the time comes to address the “H” in our HVAC system, we can evaluate converting the heating system to heat pumps or an alternate technology. The work done in this campaign of upgrading the ventilation and air handling systems will function well with a change in heating systems.