Library demolition to start soon as city receives $4.7 million insurance payout

What you need to know:

• The old Palmer Public Library is set for demolition next week. A new 20,000-square-foot library is scheduled for completion by spring 2027. The building will be used for firefighter training before the project starts.
• Demolition was previously delayed due to a protracted insurance settlement process for the building, which was damaged when its roof collapsed under a heavy snow load in early 2023. The city received a $4.73 million payout. The new building is expected to cost $15 million.
• The library project’s estimated cost of $716 per square foot has sparked controversy on social media. Some residents said the cost is excessive compared to other recent building projects in the area. Architect Gary Wolf, who designed the new facility under a contract with the city, called the comparisons “ridiculous,” citing significant differences between the projects.

PALMER -- Demolition of the old Palmer Public Library building is set to begin soon, city officials announced this week, marking the first major visible step in construction of a new facility.

The work was initially targeted for last fall but was delayed by a protracted insurance negotiation, officials said. A section of the building was removed in September 2023 due to safety concerns.

The city reached a $4.73 million insurance settlement for the building last week, City Manager Kolby Zerkle said during a regular Palmer City Council meeting Tuesday. City officials initially estimated the payout would fall between $2 million and $3 million, according to city documents.

The building was severely damaged when its roof partially collapsed under a heavy snow load in early 2023. A new 20,000-square-foot library is slated to open on the property in spring 2027, with construction likely beginning this fall.

Rather than simply tearing down the old 12,000-square-foot building, the city is first using the structure to conduct a pair of large-scale firefighter exercises with engines from across the region. One such training was held early this week, and the second is scheduled for Monday, city fire officials said.

Demolition on what’s left of the structure will begin as soon as next week after the fire exercise is complete, Zerkle said during the meeting.

New library construction costs explained in council briefing

City officials plan to pay for the new two-story facility with a combination of the insurance settlement, grants, donations, taxpayer funding, and voter-approved bond sales.

The project is currently estimated at $15 million and likely to cost about $716 per square foot, architect Gary Wolf told the council Tuesday. His firm, Wolf Architecture, was awarded a $1.23 million contract for the design and construction bid process in early 2024.

But the process continues to be a source of controversy within the city. Wolf appeared before the council to explain how those costs were calculated in response to recent social media posts questioning why his estimates are higher than those of other new projects in Mat-Su, including the new Mat-Su Central School near Palmer, which cost about $480 per square foot, and a new event space on the state fairgrounds, projected to cost about $300 per square foot.

Wolf defended his pricing and said the projects are not comparable due to differences in materials, purpose, location and timing.

“You can’t look at a school and say, ‘Oh, that school — it’s going to cost as much as a library.’ It’s two totally different buildings,” Wolf said. “People, obviously on social media, think that the new bathroom facility at the Alaska State Fair is going to cost as much as the new building and library in downtown Palmer. It’s absolutely ridiculous.”

While the volatile cost of building supplies could ultimately push some portions of the project higher, Wolf said his plans include the option to eliminate certain features to keep the total cost at or below $15 million. For example, tile in an entryway could be replaced with a less expensive material, he said.

Wolf said former city Community Development Director Brad Hanson directed him to keep the cost under $15 million, despite council action earlier this year that raised the ceiling to $16.5 million.

Construction of the new library is expected to go out to bid this summer. The facility is likely to be complete in spring 2027, Wolf said at a City Council meeting in May.

-- Contact Amy Bushatz at contact@matsusentinel.com