Ryszard Kott

Polish Home Expansion Project
Progress Report
June 5, 2008

The Project

Our goal is to construct an extension to the Polish Home building that will improve functionality of the building by adding space for new rooms and an elevator. This is the Phase #1 of the Master Plan. More info about the Master Plan and the project can be found in a brochure available at the Polish Home and on the internet at www.PolishHomeFoundation.org.

The fundraiser so far

To date, we have received pledges from about 230 families, organizations and individuals, overall pledging over $400,000 to the Expansion Project, including about $69,000 in professional service pledges. To date, the Foundation has received over $240,000 in cash for the project from donations, event income and interest income. The current cash balance is about $190,000. About $50,000 has been spent mostly on the parking lot expansion and permits.

In May, the Polish Home hosted two very successful fundraisers for the project. On May 10, the Pierogi Fest brought crowds even bigger than last year. Besides the core event of All You Can Eat Pierogi, there was a cultural program – movies, a performance by the Podhale group, workshops, demonstrations, children activities and a book sale. The event, organized by the Polish Home Foundation and the Ladies Auxiliary raised $4,700 for the Expansion Project.

On May 31, there was another very popular event, a Biesiada concert with new program Vivat Amore! About 180 people had a great evening of wining, dining and singing along. This event, organized by the Polish Choir Vivat Musica, Ladies Auxiliary and the Polish Home Foundation, raised about $6,500 - $7,000 (this is not included in the totals above).

Project progress during the spring of 2008

The “shell” project approved for execution

In May 2008 the PHA Board of Trustees approved a proposal from the PHA Building Commission for the reduced scope of the construction work in 2008. The “shell” variant to be built according to this proposal includes: the complete building structure under the roof, fully enclosed exterior including doors, windows and siding and a functioning elevator. What’s left out is all the interior work on second and third floors with their installations. The total budget for the “shell” variant is estimated between $350,000 and $400,000. The Board felt that adopting the variant was the best way to bring immediate benefit of a working elevator to the Polish Home while making progress in the project implementation.

Financing for the “shell” project approved

The PHA Board of Trustees approved financing for the Expansion Project for the summer & fall of 2008. Given that the current pledges cover the whole cost of the “shell” project and that the cash on hand covers half of the cost, the Board decided to approve a loan proposal to finance the reminder. The proposal from Mr. and Mrs. Ron & Martha Golubiec offers to provide the balance of the cash needed for the “shell” project, on as needed basis, up to $200,000 to be paid in 5 years. This is a private non-collateral loan (it is not a lien against the Polish Home) with the interest rate being the same as the Merrill Lynch variable equity rate (currently 4%). The Board decided that the cash available through the PHF and the PHA would be used first before drawing on this private line of credit. The Board expects to pay off the debt through fundraising within the next 3 to 5 years.

Building Permit received

The Polish Home received the final Building Permit from the City of Seattle in May 2008. The permit is valid for the next 2 years.
 

Plans for the summer of 2008- construction starts in July

Contracts to sign in June, construction to start in July

As the financing of the “shell” project has been approved by the Board, the Building Commission asked the general contractor, Shinstine Assoc., to solicit subcontractor bids and prepare a contract for the “shell” project to start in July. As of this writing this is an ongoing process that is expected to be finished in June or early July. The construction should start as soon as the contract for the “shell” project and a contract for the private line of credit are approved by the Board of Trustees and signed by the Polish Home management.

More fundraising - we need your money now!

With the actual construction starting in July, the PHF Fundraising Committee decided to skip the usual summer break and will continue fundraising efforts for the project. A new mass mailing campaign is planned for June 2008 along with a continued effort of contacting individual members of our community for support throughout the summer and fall.

Volunteers needed

There will be no scheduled Expansion Project meeting during the summer. However, volunteers are still needed to help with fundraising and with running the project. If you would like to help, please contact Mr. Golubiec or Mr. Kott.