Ozaukee County - Lasata CBRF Request for Proposals_2-22-2024_FINAL.pdf

Request for Proposals

(RFP)

For

Construction Management as Advisor Services

Construction of a Community Based Residential Facility

(CBRF)

at

Ozaukee County’s Lasata Senior Living

Campus

Proposals will be received by the Ozaukee County Administrator’s Office at 121 W Main Street, Port Washington, WI 53074 until 4:00 PM, CDT, on Thursday, March 14, 2024, and shall be addressed and marked as follows:

Ozaukee County County Administrator’s Office Attn: Lasata CBRF Construction Management PO Box 994 121 W Main Street Port Washington, WI

Issued: February 22, 2024 By: Ozaukee County

Request for Proposals Notice for Construction Management as Advisor Services for the Construction of a Community Based Residential Facility (CBRF) at the

County-Owned Lasata Senior Living Campus in Cedarburg, WI

Official Public Notice 2/22/24 & 2/29/24

Proposals will be received by Ozaukee County at its office at 121 W Main Street until 4:00 PM, CDT, on Thursday, March 14, 2024, for Construction Management as Advisor Services for the construction of a CBRF at our Lasata Senior Living Campus, located at W76 N677, N Wauwatosa Rd, Cedarburg, WI 53012.

Proposed construction of the new CBRF is to be approximately, 18,000 sf, consisting of 24 private resident bedrooms, support service spaces, and resident amenity spaces.

Design should incorporate ADA standards for all rooms. Estimated budget for construction management, architecture & engineering, and construction is approximately $4.5 million. An architecture & engineering firm will be selected following the selection of construction management services.

The successful consultant will be required to comply with all applicable federal regulations related to the ARPA act. Please refer to Lasata CBRF Construction Management on all correspondence relating to this project.

This Request for Proposals is available on our website at www.ozaukeecounty.gov or at the County Clerk’s Office at 121 W Main St, Port Washington, WI 53074. Copies of the Request for Proposals may also be obtained from Ozaukee County, by calling

(262) 284-8324 between 8:30 and 4:30 or by email: jwittek@ozaukeecounty.gov mailto:jwittek@ozaukeecounty.gov

Request for Proposals

(RFP)

For

Construction Management as Advisor Services for Construction of a Community Based Residential Facility (CBRF) at Ozaukee County’s Lasata Senior Living

Campus

Ozaukee County

February 22, 2024

Table of Contents

1.0 Introduction 4

2.0 Project Description 5

3.0 Scope of Services 6

4.0 Proposal Content 7

5.0 Selection Criteria 13

6.0 Timeline 15

Attachments

• Lasata CBRF Concept Design – AG Architecture

• Lasata CBRF Strategic Planning (Financial/Market Assessment, Project

Cost Estimate) - CLA

1.0 Introduction

Ozaukee County, Wisconsin has been awarded federal funding from the American Rescue Plan Act (ARPA). Ozaukee County invites interested and qualified firms to submit written Proposals for Construction Management as Advisor Services (CMaA).

Ozaukee County intends to use the results of this RFP to evaluate and select a firm in order to award a fixed price contract for the below listed CMaA Services.

Ozaukee County is issuing this RFP for CMaA services relating to the construction of an approximately 18,000 sf 24-unit CBRF. CMaA firm will be part of a collaborative team made up of County staff, an architectural and engineering consultant to be determined by RFP, and construction firm.

Ozaukee County seeks CMaA services from qualified firms who have knowledge or experience in understanding the needs of building a CBRF and or public construction.

Ozaukee County would like to begin construction by the fall of 2024, and maintain the ability to complete the project by end of 2025. Proposal must comply with the requirements of the American Rescue Plan Act (ARPA).

Ozaukee County has been researching the feasibility of constructing a CBRF since 2019, engaging in pre-design services to include; function program and space allocation analysis, and conceptual building footprint and site plan, project timeline, and cost estimation. Financial modeling services have also been engaged in 2021 and 2023, to assess the market and current condition as they relate to the long-term operational and financial success.

These construction management services will be conducted under a contract with Ozaukee County.

The contract will be regulated according to the provisions of all Federal, State and local laws and ordinances that are applicable. The Ozaukee County Board has authorized the County Administrator’s Office by resolution to engage in selection of construction management, architectural and engineering, and construction services, and has budgeted $4.5 million to complete.

2.0 Project Description

(1) Construction of a Community Based Residential Facility

With the support of ARPA funds, Ozaukee County will expand its current Lasata Senior Living Campus, to construct an approximately 18,000 sf, 24 resident bedroom facility. The property is located in Cedarburg, WI, and owned by Ozaukee County.

Ozaukee County has proposed building a CBRF located on our Lasata Senior Living Campus, adjacent and connected to the Lasata Care Center, located at W76 N677, N Wauwatosa Rd, Cedarburg, WI 53012. Ozaukee County has budgeted $4.5 million to complete construction of this project. Proposed construction of the new CBRF is to be approximately, 18,000 sf, consisting of 24 private resident bedrooms, support service spaces, and resident amenity spaces. Design should incorporate ADA standards for all rooms. Federal funding is provided by American Rescue Plan Act (ARPA) funding provided to Ozaukee County.

The construction of a CBRF will close the loop in providing a continuum of care to our seniors, and current residents, who desire to transition to assisted living and memory care assisted living, all within the Lasata Senior Living Campus.

3.0 Scope of Services

Ozaukee County intends to retain a third-party Construction Manager as Advisor and act as an owner’s representative. The Construction Manager will assist in providing cost estimates, attend all Work Team meetings, participate in the design process and assist with value engineering as outlined below. During Project construction, the Construction Manager will take the lead on all construction progress meetings including meeting minutes, advise the County on all change order requests during construction and act as an owner’s representative, and provide full time staffing during construction to update the County as the work progresses. The Construction Manager will not be allowed to bid on the project and self-perform work.

The scope of the Construction Manager’s basic services will follow as summarized below:

Phase I – Pre-Construction Services

a. Work with and assist in selection of architect and engineering services to be retained by the County as the designer to prepare plans for construction.

b. Attend all Work Team Meetings.

c. Construction Manager shall review the schedule and construction budget furnished by the County to ascertain the requirements of the project and shall arrive at mutual understanding of these requirements with the County.

d. The selected Construction Manager, and their consultants shall meet with County staff (County Administrator’s Office, Lasata Senior Living Campus Director, etc.), architect and engineering firm as required to confirm the prepared program information (preliminary plans and cost estimates), and to develop the desired program and features for the facility, and methods of project delivery, to include potential performance evaluations of alternative materials and systems.

e. Assist the architect and County in developing project budget for construction costs, miscellaneous expenses (utilities, survey, testing, etc.), furnishings and contingency.

f. Prepare preliminary cost estimates for program requirements based on early schematic designs. Update and revise construction estimates as the architect progresses through 30, 60, 90 design development, and construction documents.

g. Construction Manager will advise the County and architect if it appears the construction cost may exceed its portion of the approved project budget and make recommendations for corrective actions.

h. Make recommendations whenever design details adversely affect constructability, cost, or construction schedule.

i. Construction Manager shall periodically update the project schedule for the design team’s review and the County’s acceptance.

j. Neither the Construction Manager nor their firm nor other business in which they may hold an interest may submit bids on any contracts for the Project.

If the bid prices exceed budget amounts, the Construction Manager and the project design team and owner may select alternate bid items or redesign the buildings and improvements to bring the bid prices for the Project to within budget. The County will not provide additional compensation to the Construction Manager or project design team for this effort.

k. The architect shall be responsible for obtaining approvals of building plans and site improvements from appropriate municipal bodies.

Phase II – Construction Phase – Administration of the Construction Contract

l. The Construction Manager shall prepare all necessary bid documents for solicitation of construction contracts in consultation with the County and architect.

m. Construction Manager shall provide full-time superintendent on-site during construction.

n. The Construction Manager shall act as an Owner’s Representative during construction in cooperation with the architect and County, and provide cost and schedule updates and forecasts to the County and architect.

o. The Construction Manager shall develop and implement procedures for review and processing of applications for payment from the Contractors.

The Construction Manager will review those payment applications with the County.

p. The Construction Manager will take the lead on all construction progress meetings including meeting minutes, advise the County on all change order requests during construction, and regular meetings with the County’s Health and Human Services Committee and act as an owner’s representative.

Information to be made available by the County includes:

• Lasata CBRF Concept Design – AG Architecture

• Lasata CBRF Strategic Planning (Financial/Market Assessment, Project

Cost Estimate) - CLA

4.0 Proposal Contents and Selection

1. Proposal Cover Letter

a. Statement of interest

b. Certification that the information and data submitted is true and complete to the best knowledge of the individual signing the letter.

c. The name, address, telephone number and e-mail of the individual to contact regarding the submittal.

d. The letter shall be signed by an authorized principal or partner of the firm.

e. If you propose a team of two or more firms explain on an additional page the proposed work of each firm.

2. Project scope statement describing the work to be undertaken, include the services outlined in the solicitation, any modifications or expansion of the scope provided to deliver appropriate construction managements service.

a. Briefly describe how your firm performs the following services:

• Cost estimating

• Cost control

• Quality control

• Drawing and specification review

• Scheduling in preconstruction and construction phases

3. Project work plan indicating mechanisms proposed to coordinate the work effort with Ozaukee County.

a. Please provide an example of how your firm develops and issues periodic progress reports that describe key events, changes and performance relative to schedule and budget.

b. Please provide examples of how your firm tracks, monitors and replies to requests for:

• project information

• value engineering decisions

• design change decisions.

c. Please differentiate when communication is documented (email) or delivered verbally (telephone or face to face meeting.)

d. Please explain how your firm provides periodic updates to construction schedules identifying critical path analysis, milestones, project requirements, approvals, and start and finish dates for all major activities.

4. Proposer’s profile and a clear concise statement with:

a. Examples indicating past performance and familiarity with the type of work detailed in the solicitation.

b. Provide 3 written references from previous clients with similar projects and all references give excellent response on quality of service. (Attach references and contact information)

c. A list of client references for which Proposer provided similar services as described in the RFP.

5. Project team statement indicating the professional and technical qualifications of the key persons who will be assigned to the project and their responsibilities within the Scope of Services including the team leader.

a. The individual’s experience with similar or related projects of this size and scope, including references.

b. Specific work assignments of each individual that included CBRF construction or other public sector projects and references that could comment on the quality of the work performed.

c. For each individual note years of experience and number of years that the individual has been with the firm under its current name and ownership.

d. Indicate primary work location for these individuals.

e. Identify any proposed sub-contractor(s) and include a description of the arrangement and their role in the project.

f. Provide written assurance that the key individuals listed and identified will be performing the work and not be substituted with other personnel or reassigned to another project without the County’s approval.

g. Identify the function/responsibility of each individual assigned to work on this project (e.g., project manager, technician, etc.) along with their role/responsibilities on this project. Experience summaries of these key individuals shall be provided and the amount of time to be allocated to this project. If applicable, include a description of sub-consultants, indicating what portion of the work is to be done by them. Include in your proposal a chart of personnel similar to the following:

6. Detailed fee proposal for Construction Management as Advisor Services.

a. In a separate sealed envelope marked “Construction Management Service

Fees”, provide a table identifying your staffing requirements, estimated hours, associated costs and reimbursables for a total not to exceed fee for the construction management services described in this RFP. The envelope should be identified with the name of this project and the name of your company

b. The table should include the following columns: phase, task, staff member (hourly rates), total staff costs, and reimbursable expenses. Include estimated hours for staff members based on each phase and task.

c. Identify total time & material not to exceed cost for each phase. Provide a separate “Professional Service Fees” table for recommended additional scope items not included in Section 3.0 Scope of Services.

d. The total proposal cost, indicated as a not to exceed fixed fee, shall delineate the cost for each of the two (2) phases of service as detailed under Section 3.0 Scope of Services. Fees for each phase to include costs for all personnel whether on the job site, in the home office, or as a consultant hired by the Construction Manager.

e. The cost proposal shall include description and listing of any anticipated reimbursable expenses.

f. All costs associated with site surveying, inspection, utilities shall be paid by Ozaukee County

g. The total of all charges for Phases I, and II, including reimbursable costs, will be used in evaluating the cost portion of this proposal.

h. Any additional work beyond the scope of services must be authorized in writing by the Ozaukee County before additional costs may be incurred.

These fees will be determined prior to commencement of work and will be based on the hourly rates as shown in the following table.

Personnel Hourly Rate Estimated Hours for this Project

Project Function

Experience Related to this Project

Proposal placed in the same order as described in above. The Proposal Cover Sheet must be signed by the submitter or authorized representative and dated. Proposals are not to exceed 20 pages. The pages of the Proposal must be numbered in consecutive order and should not exceed the maximum sheet size of 8.5” x 11.”

• Ozaukee County will consider proposals from contractors with experience completing CBRF or public construction projects.

• Responsible proposal will demonstrate the ability to provide the Construction Management scope of services, and collaborate as part of a team.

If awarded, a firm fixed-price contract award shall be made in writing. Ozaukee County can, however, decide not to make the award to any of the proposers. Ozaukee County may reissue the project under certain conditions (i.e., proposals are not responsible, or the proposals do not contain information necessary to evaluate the proposals).

If you have any questions regarding this Request for Proposals, please contact: Jason Wittek, jwittek@ozaukeecounty.gov or 262-284-8324.

Other Conditions of Proposal Submittal

1. Only one Proposal will be accepted from any person, firm, or entity.

2. No proposal will be accepted from any person, firm or entity that is in arrears for any obligation to Ozaukee County, is debarred from contracting for federally funded projects, or that otherwise may be deemed irresponsible or unresponsive by Ozaukee County or the elected officials of Ozaukee County, Wisconsin.

3. All proposals submitted become public information and may be reviewed by anyone requesting to do so at the conclusion of the evaluation process.

4. Requirements and conditions of employment and contracting to be observed for compliance with any federal ARPA regulation, and state, and local laws.

5. No Davis-Bacon Prevailing Wage requirements or Buy America requirements are required by the ARPA federal funding.

Directions for Proposal Submission

Complete proposals must be delivered to Ozaukee County Administrator’s Office in a sealed envelope on or before 4:00 pm Thursday, March 14, 2024. Proposals that arrive in the office after 4:00 pm Thursday, March 14, 2024 will be rejected.

Proposers must submit the following:

One (1) original plus five (5) hard copies of the RFP One (1) copy of “Professional Service Fees” in a separate sealed envelope.

One (1) electronic copy (via usb drive) of all materials required for acceptance of their proposals on or before 4:00 p.m. CST time on March 14,2024.

Direct submissions to:

Ozaukee County County Administrator’s Office Attn: Lasata CBRF Construction Management PO Box 994 121 W Main Street Port Washington, WI

Ozaukee County reserves the right to reject any and all Proposals not meeting the requirements of this Request for Proposals for Construction Management as Advisor services.

Persons requesting ADA assistance accommodations for hearing and speech impaired may contact Jason Wittek, Policy & Budget Analyst at 262-284-8324 or jwittek@ozaukeecounty.gov Individuals/firms interested in being considered for this project must submit a Proposal detailing qualifications, technical expertise, management, and staff capabilities, related prior experience, and a detailed cost estimate for the Scope of Services described above.

The objective of the sealed Proposal process is to objectively select the most responsive and responsible Proposal.

Contact Information

For Request for Proposal packages, all interested persons and firms should go to ozaukeecounty.gov or contact Jason Wittek, Policy & Budget Analyst between the hours of 8:30 am to 4:30 pm, Monday-Friday, at 262-284-8324 or jwittek@ozaukeecounty.gov, to ask questions or request additional information, as needed.

Companies that intend to submit a Proposal should send notification of intent to Ozaukee County with the person’s/firm’s name and contact information in case of addenda or other changes. Additionally, the Request for Proposals may be sent to those companies that are included on the Ozaukee County contact list specifically created for this solicitation.

Those who Ozaukee County has sent a Request for Proposal and those who have provided contact information through a request for a copy of the Request for Proposals or through a notification of intent will receive all information regarding the Request for Proposals. The information may include, but is not limited to, any Addendums to the Request for Proposals, answers to inquiries received regarding the Solicitation, or changes to the schedule.

Interested proposers have the responsibility of understanding what is required by this Request for Proposals. During the review of the solicitation, if the proposer discovers any errors, omissions, or ambiguities within the solicitation, they should identify them in writing and call them to the immediate attention of Ozaukee County prior to the Request for Proposals submission deadline. Ozaukee County shall not be held responsible for any person’s/firm’s lack of understanding of the project.

Questions for clarification concerning this Solicitation must be in writing via email to Jason Wittek, Policy & Budget Analyst on or before 4:00 pm, March 6, 2024. After this date, questions involving the content or intent of the proposal will not be answered. All questions will be responded to by Jason Wittek, Policy & Budget Analyst, County Administrator’s Office, in writing via email, and provided to all parties requesting a Request for Proposals packet for which Ozaukee County has the contact information and treated as an addendum to the Request for Proposals packet.

No pre-submittal conference will be held for this RFP. Ozaukee County makes no representations as to the conditions of the project other than those representations made herein, and no employee or any other representative of Ozaukee County has the authority to make any oral or written representations as to the conditions of the project. Companies should only contact the person designated above regarding this Solicitation and should not contact Ozaukee County’s other staff or County Board members, or any other government staff for clarification on this Request for Proposals.

Addenda Interpretations If it becomes necessary to revise any part of this Request for Proposals, a written addendum will be provided. Ozaukee County is not bound by any oral clarifications changing the scope of the work for this project. All addenda issued by Ozaukee County will become part of the official Request for Proposals and will be emailed to all Proposers of record based upon contact information on record at the original time of issuance or subsequently provided.

5.0 Selection Criteria

A committee selected by Ozaukee County will evaluate the submitted Proposals and award to the most responsive and responsible proposal when all evaluation criteria are considered.

Right to Reject Proposals The evaluation committee reserves the right to reject any and all proposals.

Responses will be reviewed based on the following criteria:

1. Project Coordinator/Lead's Experience Maximum 20 Points

A. Qualifications, experience, and ability of project coordinator 20 points exceed what is required

B. Qualifications, experience, and ability meet what is required 15 points C. Qualifications, experience, and ability less than required 10 Points D. Less than 1 year experience in project coordination 5 Points E. No experience/inadequate 0 Points

2. Firm’s Project Completion Background & Capabilities Maximum 20 Points

A. Direct experience with CBRF projects within proposed time 20 points frame & budget

B. Comparable or similar projects or public construction 15 Points C. Demonstrates competence but no direct CBRF or public 10 Points construction experience D. Working on a similar project; not yet completed 5 Points E. No work on a similar project 0 Points

3. References from Similar Projects Maximum 20 Points

A. Respondent lists 3 previous clients with similar projects 20 Points and all references give excellent response on quality of service

B. Respondent lists 2 previous clients 15 Points C. Respondent lists 1 previous client 10 Points D. Respondent lists no previous references 0 Points

4. Project Understanding, Responsiveness to Scope Maximum 25 Points

A. Needs of project are fully addressed in Proposal 25 Points B. Needs of project are somewhat addressed in Proposal 15 Points C. Needs of project are not addressed/resolved in Proposal 0 Points

5. Budget Maximum 15 Points

A. Budget within Ozaukee County’s 15 Points capacity as proposed

B. Budget slightly above Ozaukee County’s 10 Points capacity as proposed; potentially feasible with modest adjustment

C. Budget not reasonably within Ozaukee County’s 0 Points capacity as proposed; would require extensive adjustment to be feasible

Selection Criteria Details:

1. Project Coordinator/Lead’s Experience:

i. Qualifications, experience, and abilities of project manager assigned to this project with consideration given to project experience within CBRF and public construction.

ii. Demonstrated ability to communicate effectively with municipalities, other key stake holder groups formed around the Project and the public.

2. Firms Project Completion Background and Capabilities:

i. The extent to which the Proposer offers qualified personnel, including any subcontractors, with necessary training, communication skills, experience, technical and resource capacity, equipment, and facilities necessary to perform the work, including qualifications, experience and abilities

ii. Documentation of staffing levels necessary to meet the timetable most desirable to the County.

3. References from Similar Projects:

i. Direct experience with CBRF construction or similar public construction projects in the 15,000 to 25,000 square foot range of new building experience.

ii. Success in completing comparable CBRF or public sector projects on schedule and within budget.

iii. The extent to which the Proposer has demonstrated competence in performing similar work.

iv. The extent the Proposer has demonstrated that work has been completed on schedule and to the satisfaction of former clients.

4. Project Understanding and Approach:

i. The extent to which the Proposer’s proposal addresses key technical criteria and tasks identified in the Scope of Services; and demonstrates a thorough understanding of the Project scope.

ii. The proposed project timeline and extent to which the Proposer outlines a detailed and reasonable schedule of key milestones and action steps to be completed.

5. Fees – Detailed fee proposal (as described in Section 4.6) within County’s

Budget

6.0 Timeline & Selection Process Schedule

Ozaukee County anticipates authorizing a contract for this work and issuing a notice to proceed no later than April 3, 2024. The scope of services will take place over a twelve-fifteen month period. Ozaukee County’s goal is to have the CBRF completed, no later than the summer of 2025, if possible. Responding persons/firms should comment on the above schedule as part of their proposal and state how realistic it is to achieve substantial completion of the work by August 30, 2025.

RFP Issuance Date February 22, 2024

Last Day for Submitting Written Questions March 6, 2024

E-mail and post addenda to firms, which March 9, 2024 Include answers to questions, supplements, and/or revisions to RFP

Proposals due by 4:00 pm March 14, 2024

Evaluate Proposals/Interview firms if needed March 18-22, 2024

Notice of Intent to Award (HHS Committee) March 26, 2024

Notice to Proceed/Award (County Board) April 3, 2024

CMaA Firm under Contract by April 13, 2024

Bright Vision. Bold Communities

Lasata Care Center Concept Design Proposed CBRF

PRESENTED BY: Andrew Lee Alden, Senior Associate

September 2023

FUNCTIONAL PROGRAM

& SPACE ALLOCATION

LASATA CARE CENTER

Cedarburg, WI

SITE ANALYSIS

CONCEPT DESIGN

RENDERINGS

We’ll get you there.

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©2022 CliftonLarsonAllen LLP

Potential CBRF Development

Lasata Care Center

©2022 CliftonLarsonAllen LLP

INTRODUCTION

Management ("Management") of Lasata Care Center (the "Organization“ or “Lasata”) is in the process of conducting the preliminary analysis of a variety of strategies that it may choose to explore further (along with understanding the effect of changes in key assumptions on the operations of the Organization).

The planning dashboards and analyses included herein have been assembled from information provided by and reviewed by Management and are intended to provide a framework and analysis of the anticipated financial performance of the Organization, including the estimated impact of a number of strategic options and or strategies. The scenarios and analyses included herein are not intended to be a complete analysis of all factors impacting the future financial performance of the Organization. These analyses are intended for the internal use of the Organization and should not be read by or relied on by other third-party users for any purpose.

The scenarios are based on assumptions concerning the impact of key assumptions and strategies on future financial performance. The assumptions disclosed herein, while not all-inclusive, are those that Management believes are significant to assess the anticipated financial performance of strategies and are key factors upon which the future financial results depend. In our presentation we may include prepared projected financial statements or the partial presentation of prepared financial projections (the “Prepared Projections"). The Prepared Projections omit the summary of significant accounting policies and may be in the form of a partial presentation that may omit balance sheets or statements of cash flows, and do not purport to be presented in accordance with Generally Accepted Accounting Principles. We have not compiled or examined any of the financial data utilized in the analyses and the Prepared Projections and express no assurance of any kind on it. Furthermore, even if the assumptions disclosed herein were to materialize, there will be differences between projected and actual results, because events and circumstances frequently do not occur as expected, and those differences may be material.

2For Internal Use Only | Private and Confidential | Unexamined - No Assurance Provided

We’ll get you there.

CLA (CliftonLarsonAllen LLP) is an independent network member of CLA Global.

See CLAglobal.com/disclaimer. Investment advisory services are offered through

CliftonLarsonAllen Wealth Advisors, LLC, an SEC-registered investment advisor.

©2022 CliftonLarsonAllen LLP

CPAs | CONSULTANTS | WEALTH ADVISORS

Master Planning Project Assumptions

4For Internal Use Only | Private and Confidential | Unexamined - No Assurance Provided

Concept Design

5For Internal Use Only | Private and Confidential | Unexamined - No Assurance Provided

Concept Design

• 24 CBRF licensed resident rooms

• Amenity Space

• Service Space

For Internal Use Only | Private and Confidential | Unexamined - No Assurance Provided

Project Cost Summary

7For Internal Use Only | Private and Confidential | Unexamined - No Assurance Provided

The construction cost was verbally updated in December 2022 to add $350,000 without impact to project contingencies.

Project to be funded with cash.

Total construction cost $4,337,073

Project Modeling Assumptions

Operating expense assumptions:

• Operating expenses are estimated to be 60% of revenue.

• In the initial model these are illustrated as wages, however a full staffing model will be developed in the next phases.

• It is expected that a portion of the operating expenses will be classified as dietary, supplies and other operating expenses.

For Internal Use Only | Private and Confidential | Unexamined - No Assurance Provided

Project Operating Margin Income Statement

Years Ending December 31

($ in Thousands) 2025 2026 2027 2028 2029 2030

OPERATING REVENUES

Independent Living - - - - - - Assisted Living 1,036 1,971 2,030 2,091 2,154 2,218 Skilled Nursing - - - - - - Home Health - - - - - - Amortization of Entrance Fees - - - - - - Other Income - - - - - - Adult Day Health - - - - - - Not Used - - - - - - 0 - - - - - -

Total Operating Revenues 1,036 1,971 2,030 2,091 2,154 2,218 Operating Revenue % Change Dues - Membership % of Revenue

OPERATING EXPENSES

Labor and Benefit Expense 622 1,182 1,218 1,254 1,292 1,331 Non Labor Expense - - - - - - Real Estate Taxes - - - - - - Management Fee - - - - - - Lease Expense - - - - - - Allocated Corporate Expenses - - - - - - Other Expense - - - - - -

Total Non Capital Expenses 622 1,182 1,218 1,254 1,292 1,331

Operating EBIDA 415 788 812 836 861 887

Depreciation 157 161 165 169 173 177 Amortization of Issuance Costs - - - - - - Amortization of Bond (Premium) Discount - - - - - - Interest Expense - - - - - -

Total Operating Expenses 778 1,343 1,383 1,423 1,465 1,507

Operating Margin 258 628 647 668 689 711 Operating Margin %

9For Internal Use Only | Private and Confidential | Unexamined - No Assurance Provided

Project Cash Flow ($ in Thousands) 2025 2026 2027 2028 2029 2030

CASH FLOWS FROM OPERATIONS

Change in Unrestricted Net Assets 74 450 491 535 582 631 Add: Depreciation 157 161 165 169 173 177 Bond Issuance Amortization - - - - - - Amortization of Premium (Discount) - - - - - - Net Working Capital Needs (Sources) (11) (10) (1) (1) (1) (1) Amortization of Entrance Fees - - - - - - Net Cash Received Entrance Fees - - - - - - Initial Cash Received Entrance Fees - - - - - - Adjustments to Net Cash Flows: Strategies - - - - - -

Net Cash Flows from Operations 220 601 655 703 754 807

CASH FLOWS FROM INVESTING ACTIVITIES

Capitalized Property & Equipment - - - - - - Routine (61) (63) (65) (67) (69) (69) With Construction Funded in 2014 YE - - - - - - Projects - - - - - - Existing Construction Funds Used - - - - - - Other Changes in Noncurrent Assets & Liabilities - - - - - -

Net Cash Flows from Investing Activities (61) (63) (65) (67) (69) (69)

CASH FLOWS FROM FINANCING ACTIVITIES

Existing Long Term Debt - - - - - - Project Long Term Debt - - - - - - Proceeds from New Long Term Debt - - - - - - Net Transfers (to) from Project Funds - - - - - - Payment of Financing Costs - - - - - - Funds Transferred to Debt Reserve Funds - - - - - -

Net Cash Flows from Financing Activities - - - - - -

Total Net Change in Cash and Reserves 159 538 591 637 685 738

10For Internal Use Only | Private and Confidential | Unexamined - No Assurance Provided

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