HomeMy WebLinkAboutAgenda - 04-13-1999 - 2ORANGE COUNTY
BOARD OF COMMISSIONERS
ACTION AGENDA ITEM ABSTRACT
Meeting Date: April 13, 1999
Action Agenda
Item No.
SUBJECT: Presentation of 1999-2009 Capital Investment Plan (CIP)
DEPARTMENT: County ManagerBudget
PUBLIC HEARING: (Y/1~ No
ATTACHMENT(S): INFORMATION CONTACT:
1999-2009 CIP Rod Visser, ext 2300 or Donna Dean, ext 2151
(distributed under separate cover)
Tentative Budget Work Session
Schedule/Topics
TELEPHONE NUMBERS:
Hillsborough 732-8181
Chapel Hill 968-4501
Durham 688-7331
Mebane 336-227-2031
PURPOSE: To receive the Manager's presentation of the recommended CIP for 1999-2009.
BACKGROUND: Each year, the County Manager and staff update the County's ten-year Capital
Investment Plan (CIP). The CIP is a multi-year plan that addresses County and school needs for long-
lived assets. Items typically included in the CIP are construction, refurbishment, or purchases of
buildings; land acquisition or improvement; and major equipment and vehicle acquisition and financing.
This process offers an opportunity to review long-term capital needs and enables timely acquisition and
phased financing of major assets.
The Manager will make a brief presentation on significant aspects of the proposed 1999-2009 CIP at the
April 13 work session and respond to any Commissioner comments or questions. The Board is not
expected to make any decisions on project allocations at this meeting.
The Commissioners have established a public hearing date of Apri120, 1999 to receive citizen comments
on the CIP. Further discussion and major CIP decisions are slated for the May 11 work session. The
tentative budget work session schedule also allows for final CIP discussion, if needed, at the June 8 work
session.
FINANCIAL IMPACT: There is no direct financial impact from the presentation of the CIP. However,
the Board will make allocation decisions, for both County and school capital projects, involving several
million dollars later this spring. These Board funding decisions for FY 1999-2000 will be enacted
through capital project ordinances that will be adopted at the June 21, 1999 Commissioners' meeting.
RECOMMENDATION(S): The Manager recommends that the Board receive the presentation for
information only at this time.
TENTATIVE SCHEDULE/TOPICS
BUDGET WORK SESSIONS FOR APRIL-JUNE 1999
Meeting Date Topic(s)
April 13 CIP presentation (CIP public hearing scheduled for April 20 regular
meeting
1999-2000 BOCC goals -discussion and possible adoption
April 21 Pay plan
New staff resources
Apri126 New staff resources
May 11 Finalize new staff resources
Finalize CIP
Other budget issues
May 27 Budget presentation and first public hearing (Battle Courtroom)
June 3 Second budget public hearing (Southern Human Services Center)
June 8 Schools
^ Manager's presentation
^ OCS presentation
^ BOCC/OCS dialogue
^ CHCCS presentation
^ BOCC/CHCCS dialogue
Outside agencies
Fire departments (if needed)
Update on revenue picture
CIP (if needed)
June 15 County department focus (major budget, policy, operational issues)
Follow-up on earlier BOCC questions
BOCC provides further direction to staff
June 21 Budget adoption (approval of budget ordinance, grant and capital
project ordinances, classification and pay plan, personnel ordinance
changes, as part of regular BOCC meeting)
Orange County
Capital Investment Plan
1999-2009
Ten Year Projects Total
$148.5 Million
Orange County ~~ 5 M
Schoob
Public Bidgs &
Equl p
531.6 M
Publ(c Safety .56,3 M
PuWlcWorlac 57.SM
Chapel H18 Carrboro
CkySchoola Rec6 ParkFac8lties 56.6 M
~ 548.6 M
VUs1er, Land, Sewer 53,0 M
1
1997 Bond Update
> Sale of first installment anticipated for winter
1999 2000
> First sale will be primarily associated with
construction and renovation projects for the two
school systems
> Proposals for C ounty projects will be forthcoming
as work groups formulate recommendations
> Board decisions regarding projects included in the
first sale must be made in Autumn 1999
Major Chapel Hill-Carrboro City
Schools Projects
> Anticipate opening Mary Scroggs
Elementary School and East Chapel Hill
High School addition for the 1999-00
school year
> Opening of Smith Middle School projected
for 2000-01 school year
> Renovations of o~Ider school facilities
continue
1
Major Orange C ounty Schools
Projects
> Anticipate opening new elementary school
for 2000-O1 school year
> New high school expected to come on-line
for 2001-02 school year
> Renovations of older school facilities
continue
New County Projects
> Agricultural Resources Center
> I~rearms Training Facility
> Orange County Center for Family Living
2
On the Horizon
> Future Needs
> Student Enrollment Growth
> An Aging Population
> Desire for Recreational Facilities
> Increasing Need for a New Justice Facility
CIP Review and Public Hearing
Presentation April 13
Public Hearing April 20
Deliberation and Possible May 11
Approval
Final Discussion, if necessary June 8
Adoption of Capital Project June 21
Ordinances
3
Orange County
Capital Im~estment Ptan
1999-2009
Ten Year Projects Total
$148. S Million
Orange County ~ 5 M
Schools
Public Bldge &
Equip
531.6 M
Publc Safety 56.3 M
Pubic Worla E7 9 M
Chapel Nill Carrboro
CkySehoob RecB ParkFadlkies SB.6 M
:46.6 M
Water, Land, Sewer s3.0 M
Total 10 Year Revenue
Projections
1/2 Cent Sales Tax $106.0 million
Earmarked Property Tax $ 93.2 million
1997 Bond Proceeds $ 56.0 million
Impact Fees $ 15.0 million
Public School Building $ 8.5 million
Funds
Total Available Revenue $283.5 million
Less Debt Service Payments 135.0 million
Funding Available for $148.5 million
Projects 10
2
School/Parks Capital Reserve Fund
> Established in 1995 to fund site acquisition
for schools and/or recreation facilities
> No monies have been appropriated from
this reserve
> Projected balance of reserve fund on
6/30/99 is between $2.3 and $2.4 million
> Consider defining specific purposes for use
of accumulated funds
1999-2009 CIP Recommendation for
Earmarked One-Cent
> Beginning in fiscal year 1999-00
> Earmarked one cent be used to assist in
preserving our existing County facilities
3
Two-Thirds Net Debt Reduction
> Orange County will not issue any new
bonded debt in the current fiscal year
> Board has authority, subject to formal
approval by the Local Government
Commission, to issue approximately $2.8
million intwo-thirds bonds
> Use the bonds to fund renovations at
Whiffed and Northern Human Services
Centers
Benefits of Two-Thirds Bonds
> Lowest possible interest rates
> Most secure, backed by "full faith and credit" of
Orange County
> Lower administrative and issuance costs resulting
from "piggybacking" the sale of 2/3 bonds and
1997 bonds
4
1997 Bond Update
> Sale of first installment anticipated for winter
1999-2000
> First sale will be primarily associated with
construction and renovation proj ects for the two
school systems
> Proposals for County projects will be forthcoming
as work groups formulate recommendations
> Board decisions regarding projects included in the
first sale must be made in Autumn 1999
Major Chapel Hill-Carrboro City
Schools Projects
> Anticipate opening Mary S croggs
Elementary School and East Chapel Hill
High School addition for the 1999-00
school year
> Opening of Smith Middle School projected
for 2000-01 school year
> Renovations of older school facilities
continue
5
Major Orange County Schools
Projects
> Anticipate opening new elementary school
for 2000-01 school year
> New high school expected to come on-line
for 2001-02 school year
> Renovations of older school facilities
continue
Priority Projects for Schools
> Board of Commissioners may wish to explore how
the scope, timing, and/or priorities of both school
systems have changed from the previously
approved CIP
> How are savings from projects that are under budget
being re-directed?
> How are priorities related to new space, renovations,
and equipment needs being addressed?
6
Skills Development Center
> Center opened January 1999
> Purchased and renovated using private placement
funding
> Offers citizens aone-stop center for training and
employment
Senior Centers
> Board recently reached agreement with the owner
of the Galleria to extend lease through June 2006
> Recommended CIl' establishes reserve to
accumulate funds to off-set the cost of replacing
the Galleria and/or other Senior Centers in the
County
7
New County Projects
> Agricultural Resources Center
> Purchase land and construct a learning center to
accommodate the community's interests
> Relocate agriculture related departments from the
Planning and Agriculture Center to the new facility
> Allows Planning, ERCD, Environmental Health to take
full advantage of space at the Planning and Agriculture
Center on Revere Road
> Livestock Scales
> Maintains funding for permanent location of livestock
scales to be used by area farmers
New County Projects
> Orange County Center for Family Life
> Emerging concept brought forward by the Department
of Social Services and Cooperative Extension
> Proposed site for the Center is the small dwelling on the
Southern Human Services site
> Center would promote healthy family life by offering
education in such areas as parenting, gardening, and
food preparation in a "home like" atmosphere
> In the upcoming year, plans will be explored and
finalized for presentation to the Board
New County Projects
> Firing Range
> Collaborative project with Orange County, Chapel Hill,
Carrboro, Hillsborough and all local law enforcement
agencies
> Provides funds to purchase land and construct a
firearms training facility
> Anticipated major funding sources
> One time revenues received by the Sheriff for housing State
inmates
> Contributions from the municipalities
On the Horizon
> Future Needs
> Student Enrollment Growth
> An Aging Population
> Desire for Recreational Facilities
> Increasing Need for a New Justice Facility
> County Facilities Maintenance Reserve
> Total of $10.3 million accumulates in the last six
years of the plan
> Provides Board with flexibility to respond to future
capital needs as they become clearer
9
CIP Review and Public Hearing
Presentation April 13
Public Hearing Apri120
Deliberation and Possible May 11
Approval
Final Discussion, if necessary June 8
Adoption of Capital Project June 21
Ordinances
10