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Home My WebLink AboutAgenda - 10-04-2011 - 5go~~- aoi~-o3~ ORANGE COUNTY BOARD OF COMMISSIONERS ACTION AGENDA ITEM ABSTRACT Meeting Date: October 4, 2011 Action Agenda Item No. ~_ SUBJECT: Applications for North Carolina Education Lottery Proceeds for Chapel Hill - Carrboro City Schools and Orange County Schools and Contingent Approval of Budget Amendment #2-B Related to School Capital Project Ordinances DEPARTMENT: Financial Services PUBLIC HEARING: (Y/N) No ATTACHMENT(S): INFORMATION CONTACT: Attachment 1. CHCCS -Debt Service Clarence Grier, (919)245-2453 Application Attachment 2. OCS -Debt Service Application Attachment 3. CHCCS Board of Education Resolution Attachment 4. OCS Board of Education Resolution PURPOSE: To approve applications to the North Carolina Department of Public Instruction (NCDPI) to release funds from the NC Education Lottery account related to FY 2011-12 debt service payments for Chapel Hill -Carrboro City Schools and Orange County Schools, and to approve Budget Amendment #2-B (amended School Capital Project Ordinances), contingent on the State's approval of the applications. BACKGROUND: Both School Systems have presented approved resolutions (see Attachments 3 and 4) from their respective Boards requesting that the County modify its Capital Funding Policy by applying accumulated lottery funds for debt service payments, and permitting current year withdrawals immediately after the State's quarterly lottery fund allocations. This expedites both the application process and the receipt of funds for the school systems. Currently, the accumulated available lottery funds for Chapel Hill-Carrboro City Schools (CHCCS) is $839,629, and $524,292 for Orange County Schools (OCS). The attached applications request the State to release lottery funds to cover debt service for both school systems. Budget Amendment #2-B receives the Lottery Funds, contingent on State approval of the applications, and substitutes the amount of Lottery Funds approved for debt service to both districts as additional Pay-As-You-Go (PAYG) funds for FY 2011-12 for capital needs and projects, and amends the budgets for the following school capital projects: Chapel Hill-Carrboro City Schools ($839,629): Mobile Classrooms ($9,629) -Project # 54007 Revenues for this proiect: Current FY 2011-12 FY 2011-12 Amendment FY 2011-12 Revised From General Fund PAYG $343,067 $9,629 $352,696 Total Project Fundin $343,067 $9,629 $352,696 Aoorooriated for this proiect: Current FY 2011-12 FY 2011-12 Amendment FY 2011-12 Revised Mobile Units/Construction $343,067 $9,629 $352,696 Total Costs $343,067 $9,629 $352,696 Athletic Facilities ($295,000) -Project # 54002 Revenues for this project: Current FY 2011-12 FY 2011-12 Amendment FY 2011-12 Revised From General Fund PAYG $295,000 $295,000 $590,000 Total Project Fundin $295,000 $295,000 $590,000 Appropriated for this project: Current FY 2011-12 FY 2011-12 Amendment FY 2011-12 Revised Athletic Facilities $295,000 $295,000 $590,000 Total Costs $295,000 $295,000 $590,000 Indoor Air Quality ($220,000) -Project # 54005 Revenues for this project: Current FY 2011-12 FY 2011-12 Amendment FY 2011-12 Revised From General Fund PAYG $231,340 $220,000 $451,340 Total Project Fundin $231,340 $220,000 $451,340 Appropriated for this project: Current FY 2011-12 FY 2011-12 Amendment FY 2011-12 Revised Construction $231,340 $220,000 $451,340 Total Costs $231,340 $220,000 $451,340 Fire/Safety/Security ($20,000) -Project # 54004 Revenues for this project: Current FY 2011-12 FY 2011-12 Amendment FY 2011-12 Revised From General Fund PAYG $285,000 $20,000 $305,000 Lotte Proceeds $80,000 $0 $80,000 Total Project Fundin $365,000 $20,000 $385,000 Appropriated for this project: Current FY 2011-12 FY 2011-12 Amendment FY 2011-12 Revised Emer enc /Securi S stem $365,000 $20,000 $385,000 Total Costs $365,000 $20,000 $385,000 Parking Lot Improvements ($295,000) -Project # 54008 Revenues for this project: Current FY 2011-12 FY 2011-12 Amendment FY 2011-12 Revised From General Fund PAYG $25,000 $295,000 $320,000 Total Project Fundin $25,000 $295,000 $320,000 Appropriated for this project: Current FY 2011-12 FY 2011-12 Amendment FY 2011-12 Revised General Renovations $25,000 $295,000 $320,000 Total Costs $25,000 $295,000 $320,000 Orange County Schools ($524,292): HVAC Upgrades/Improvements ($524,292) -Project # 51013 Revenues for this oroiect: Current FY 2011-12 FY 2011-12 Amendment FY 2011-12 Revised From General Fund PAYG $0 $524,292 $524,292 Total Project Fundin $0 $524,292 $524,292 Annrnnriated for this oroiect: Current FY 2011-12 FY 2011-12 Amendment FY 2011-12 Revised HVAC S stems $0 $524,292 $524,292 Total Costs $0 $524,292 $524,292 FINANCIAL IMPACT: The total Lottery Fund amounts requested from the State for Chapel Hill- Carrboro City Schools is $839,629, and $524,292 for Orange County Schools. RECOMMENDATION(S): The Manager recommends the Board approve, and authorize the Chair to sign, the applications for NC Education Lottery Proceeds; and approve Budget Amendment #2-B receiving the Lottery Funds and. the amended School Capital Project Ordinances, contingent on the State's approval of the applications. APPLICATION Approved: PUBLIC SCHOOL BUILDING CAPITAL FUND NORTH CAROLINA EDUCATION LOTTEf~Y Date: County: Orange County LEA: Chapel Hill-Carrboro City Schools Address: P.O. Box 8181, Hillsborough, NC Contact Person: Clarence Grier Title: Phone Project Title: FY 2011-12 Debt Service (2006 Private Placement) Location: Type of FaciNty: (919) 245-2453 North Carolina General Statutes, Chaptet 18C, provides that a portion of the proceeds of the North Caroliha Stafe Lottery Fund. betransferred to the Public School Building Capital Fund. in accordance with G.S. 115C-546.2. ` Further, G.S. 115C-546:2`(d) has`beer. amended to include the following: (3) No county shall have to provide matching funds... (4) A county may use monies in this Fund to pay for school. construction projects in local school administrative units and to retire indebtedness incurred for school. construction projects. (5) A countymay not use monies in thisFund to pay for school technology needs. As used in this section, "Public School Buildings" shall include only facilities for individual schools thaf are used for instructional and related purposes, and does hot include cen#ral administration, maintenance, or other facilities. Applications must be submitted within one' yearfollowing the date of final payment to the Contractor or Vendor. Short description of Construction Project: Debt Service associated with 2006 Private Placement -issued December 2006 for Carrboro Hioh School Estimated Costs: Purchase of Land Planning and Design Services New Construction Additions !Renovations Repair Debt Payment /Bond Payment TOTAL Estimated Project Beginning Date: July 2011 839,629.00 $ 839,629.00 Est. Project Completion Date: June 2012 We, the undersigned, agree to submit a statement of state monies expended for this project within 60 days following completion of the project. The County Commissioners and the Board of Education do hereby jointly request approval of the above project, and request release of $ 839,629.00 from the Public School Building Capital Fund (Lottery Distribution). We certify that the project herein described is within the parameters of G.S. 115C-546. (Signature -Chair, County Commissioners) (Date) (Signature -Chair, Board of Education) (Date) Financial Services Director 5 Form Date: July 01, 2011 APPLICATION PUBLIC SCHOOL BUILDING CAPITAL FUND NORTH CAROLINA EDUCATION LOTTERY County: Orange County LEA: Orange County Schools A+4~~- ~. Approved: Date: Contact Person: Title: Clarence Grier Financial Services Director Address: P.O. Box 8181, Hillsborough, NC Phone: (919) 245-2453 project Title: Location: FY 2011-12 Debt Service (G.O. Bonds) Type of Facility: Noith Carolina General Statutes, Chapter 18C, provides that a portion of the proceeds of the North Carolina State. Lottery Fund be transferred to the Public School Building Capital Fund in accordance with G:5' 115C-546.2: 'Further, G.S. 115C-546.2. (d) has been amended to include the following: (3) No county shall have to provide matching funds... (4) A county may use monies in this Fund to pay for school construction projects in local school administrative units and to retire indebtedness incurred for school construction projects. (5) A county may not use monies in this Fund to pay for school technology needs.- As used in this section, "Public School Buildings".shall include only facilities formdividual schools that are used. for instructional and related purposes, and does nc3tt include central administration, maintenance, or other facilities. Applications must be submitted within one year following the date of final payment to the Contractor orYendor. Short description of Construction Project: Debt Service associated with G.O. Bonds -issued September 2005 for Gravelly Hill Middle School Estimated Costs: Purchase of Land Planning and Design Services New Construction Additions /Renovations Repair Debt Payment /Bond Payment TOTAL Estimated Project Beginning Date: July 2011 524,292.00 $ 524,292.00 Est. Project Completion Date: June 2012 We, the undersigned, agree to submit a statement of state monies expended for this project within 60 days following completion of the project. The County Commissioners and the Board of Education do hereby jointly request approval of the above project, and request release of $ 524,292.00 from the Public School Building Capital Fund (Lottery Distribution). We certify that the project herein described is within the parameters of G.S. 115C-546. (Signature -Chair, County Commissioners) (Date) (Signature -Chair, Board of Education) (Date) s Form Date: July 01, 2011 ."-k 3 7 ~-L~I'EL HILL- ~t: ~ C~R~ ~'~ CITY SCHOOLS Board Resolution: Be it, therefore, resolved that the Board of Education approves of the amended CIP for the 2010-2011 projects as presented and requests the County to modify its Capital Funding Policy by (a) applying. to use accumulated lottery funds for debt payments provided an equal amount of funding is transferred to the districts 2010-11 CIP and (b) permitting current year withdrawals immediately after the States quarterly deposit. Passed unanimously on August 12, 2010 Lincoln Center, 750 S. Merritt Mill Road Chapel Hill, NC 2 757 6-2878 • {919) 967-8271 • www.chccs.kl2.nc.us Orange County Board of Education Resolution to Amend the Orange~County Capital tinprovement P(ari Funding Policy WHEREAS, The Orange County Government is considering an amendment to its capital improvement plan funding policy for the 2D10-2011 fiscal year, BE IT, TWEREFORE, RESOLVED, the Orange County Board of Education requests the County to modify its Capital Funding Policy by (a) applyingto use accumulated lotteryfunds for debt service payments provided an equal amount of funding is transferred fo the district's 2010-2011 CfP and {b) permitting current year withdrawals immediately after the state's quarterly lottery fund deposit. This-the 1~ day of November, 2010. ~'t ~ Tony McKnight, Chair Orange County Board of Education f-~ ..~-~.~, L ~~ G. Patrick Rhodes Secretary to the Board of Education