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HomeMy WebLinkAboutAgenda 08-14-2001 - 9e ORANGE COUNTY BOARD OF COMMISSIONERS ACTION AGENDA ITEM ABSTRACT Meeting Date: August 14, 2001 Action Agenda Item No. SUBJECT: Outstanding Budget and Capital Planning/Funding Issues Discussion DEPARTMENT: County Manager and Budget PUBLIC HEARING: (YIN) No ATTACHMENT(S): Attachment 1. Outstanding Budget and INFORMATION CONTACT: Capital Planning/Funding Issues John Link or Rod Visser, extension 2300 Attachment 2. Potential Funding Options , Donna Dean, 245-2151 for Needs Presented to Capital Needs Advisory Task Force TELEPHONE NUMBERS: Attachment 3. Student Population Hillsborough 732-8181 Projection Data (under separate cover) Chapel Hill 968-4501 Attachment 4. Capital Needs Advisory Durham 688-7331 Task Force Recommendations for Mebane 336-227-2031 November 2001 Bond PURPOSE: To review outstanding budgetary and capital planning and funding issues for the County and both school systems and decide appropriate work session dates to discuss and finalize the issues. BACKGROUND: This past spring, the Board discussed many budget and capital planning/funding topics related to the County and each school system. Staffs recollection of the outstanding issues at the end of the fiscal year is provided on Attachment 1 of this abstract. Commissioners may recall other topics that need to be discussed further and finalized. Attachment 1 outlines the two categories of outstanding issues: Category 1 —Those items that require further discussion at the Board's upcoming August 30 work session. For the most part, these items are. directly related to the upcoming November 2001 bond referendum. For example, while the Board has committed to the total amount of bond funds designated for School projects, the specific projects to include are still outstanding. The same is true for the Parks and Open Space portion of the bond. Category 2 — Category 2 items are those that do not require immediate attention or final decisions until after the August 30 work session. The Board has several work sessions scheduled between September and January. Following tonight's discussion and L I 2 direction from the Board, staff can program the items identified in this category as future + work session topics over the next few months. FINANCIAL IMPACT: There is no immediate financial impact related to this agenda item. RECOMMENDATION(S): The Manager recommends that the Board of County Commissioners discuss the topics noted and provide appropriate direction to staff. 3 Attachment 1. Outstanding Budgetary and Capital Planning/Funding Issues Preliminary List Category Item 1. November 2001 Bond a. Schools • Original recommendation from the Capital Needs Advisory Task Force provided $52 million for schools • Amount approved by BOCC in June 2001 totals $47 million • Which projects remain on the November 2001 bond 1 • Proposed alternative funding options for other identified high priority projects b. Parks and Open Space • Which projects are included on the November 2001 bond referendum and which ones are funded with other alternative funding options 1 2. Outline/timeline for November 2001 bond and potential future bond referenda based on current and future County and School needs 3. Prioritization of County and School capital needs identified in the Capital Needs Advisory Task Force process but not included in 1 bond a. New construction b. Renovation of older facilities 4. Identification and discussion of alternative revenues to fund County and School projects not included on November 2001 bond referendum a. Currently identified pay-as-you-go revenues • '/Z cent sales taxes • Increased impact fees 1 • Actual debt service for most recent bond sales b. Additional options for pay-as-you-go revenues • School Special District tax • Close out of previously approved capital projects ("vacuum cleaner approach") • Other 5. Update on Fund Balance picture a. Schools 2 i. CHCCS ii. OCS b. Count 2 6. Impact of local tax rates on residents 2 7. Update from CHCCS regarding Elementary#9 (including community use gymnasium) J 8. Further discussion of questions raised by Capital Needs Advisory 4 Task Force and Innovation and Efficiency (1 & E) Committee a. Why does Orange County fund two separate school systems b. Potential for sharing school facilities 2 i. Sharing within a school district ii. Sharing between the two districts c. Chapel Hill Strategic Plan Initiative — Given the issues above, should this be approached on a comprehensive basis involving both schools stems and the County? 9. Further discussion of School Capital Needs Task Force Report a. Determination of best methodologies to project future student 1 membership (See Abstract Attachment#3) i. Current Membership — 2nd month membership not enrollment ii. Consideration of charters iii. Future projections - Use one "tool" or comparison of various methodologies 2 b. How to best incorporate comments from Task Force members (Roger Waldon was only submission) and BOCC members (Commissioners Jacobs and Gordon) 2 c. Other Task Force Recommendations i. Inflation factor to use for future projects 2 ii. Special allowances (permits, water/sewer lines, etc. 10.Other issues regarding School facilities a. Implications of Schools Adequate Public Facilities Ordinance . 2 b. Potential for"flex space" that would allow space to be used by various grade levels c. Potential for co-locating elementary/middle/high schools on one campus 11.Outstanding budget issues a. Impact of final State budget decisions i. 6% sales tax on liquor sales is state planning on taking entire 6% or are they planning to take 4% and give the locals their 2% local option? 2 ii. Civil service process fee increases (Sheriffs Department) iii. Additional %z cent local option sales tax 1. Would require BOCC to enact local resolution in fall 2001 2. 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(D 17 11 Attachment 4. 2001 Capital Needs Advisory Task Force Recommendation for Bond Package O 0.c Amount of Task Force E Description Request Recommend Renovations to Older Schools and 7,010,000 4,553,000 Facilities New Elementary School#9 13,556,000 13,556 000 New Elementary School#10 14,349,000 14,349,000 $ High School Expansion/Planning for New Hi h School 7,883,000 6,000,000 New Middle School 20,000,000 20,000,000 Orange High School Renovations 950,000 950,000 Hillsborough Elementary and Central 3,090,000 3,032,000 Office , rn m Affordable Housing 14,000,000 4,000,000 Q = L ` ac Senior Centers 6,000,000 4,000,000 U Carrboro Greenway Development 2,000,000 750,000 Carrboro G mnasium Site Acquisition 250,000 250,000 Smith Middle School Park 250,000 250,000 Y Chapel Hill Greenway Development 2,500 000 1,000,000 a Homestead Park Aquatics Center 3,500,000 3500,000 Southern Community Park 5,000 000 2,000,000 Cedar Grove District Park 1,210,000 1,210 000 Efland-Cheeks Park Phase II 750,000 750,000 Fairview Park 4,000,000 850,000 y U J cc Lands Legacy cz) 12,825,000 4,000,000 J Total $119,648,000 $85,000,000 Potential Tax Impact(in cents per 100 11.67 8.29 valuation) (1) Other additional funding appears to be available. (Z) County to allocate funding based on adopted policy