HomeMy WebLinkAboutAgenda - 11-06-2014 - 7aORANGE COUNTY
BOARD OF COMMISSIONERS
ACTION AGENDA ITEM ABSTRACT
Meeting Date: November 6, 2014
Action Agenda
Item No. 7 -a
1
SUBJECT: Preliminary Information and Approval to Finance Various Capital Investment
Plan Projects and County Equipment
DEPARTMENT: Finance and Administrative PUBLIC HEARING: (Y /N) N�
Services
ATTACHMENT(S): INFORMATION CONTACTS:
1. Description of Projects to be Financed
2. Financing Schedule Clarence Grier, 919 - 245 -2453
Robert Jessup, 919 - 933 -9891
PURPOSE: To provide a preliminary finding and approve financing for capital investment
projects and equipment for the year.
BACKGROUND: As part of the FY2014 -19 Capital Investment Plan, several projects were
approved for equipment financing. Those projects included the following (see Attachment 1 for
additional information):
Projects Requiring Financing Needed in FY 2014 -15
Project Amount
County Projects:
Cedar Grove Community Center
Southern Orange Campus
HVAC
HVAC Projects (FY2012 -13)
Roofing
Information Technologies
Emergency Services Radio Systems
Communication Systems Improvements
Soccer.com Soccer Center
Lands Legacy
Total County Projects
$ 2,822,226
400,000
150,000
205,999
179,010
450,000
500,000
122,000
125,000
2,400,000
7,354,235
Water & Sewer Projects: (Paid w/ Article 46 Sales Tax Proceeds)
Efland Sewer to Mebane 4,581,400
Total Water & Sewer Projects 4,581,400
Sportsplex Projects:
Phase II - Pool Mezzanine 950,000
Total Sportsplex Projects 950,000
Solid Waste Projects:
Eubanks Road Solid Waste Convenience Center
Total Solid Waste Projects
Equipment/Vehicle Purchases:
Vehicle Replacement Fund
In -Car Cameras Replacements - Sheriff
Board of Elections - Voting Equipment
Board of Elections - Electronic Poll Books
Total Equipment/Vehicle Purchases
Grand Total FY 2014 -15 Financing
640,483
640,483
775,119
517,798
437,385
242,485
1,972,787
$ 15,498,905
Additionally, there are some previous year capital projects, although approved budgetary, for
which the financing was not issued due to the project schedule and decisions. The preliminary
schedule for the financing is attached to the abstract. County staff will be receiving bids from
financial institutions to secure the financing. Staff anticipates receiving $15.5 million in financing
for an average of 10 years at an interest rate of 2.30 percent, which will result in an average
annual debt service cost of $1,752,650.
FINANCIAL IMPACT: There is no financial impact related to this action. However, there will be
a financial impact in proceeding with the financing. A preliminary estimate of debt service
applicable to the financing would be $1,752,650. The tax rate equivalent for the annual debt
service payment is approximately 1.07 cents of the current property tax rate.
RECOMMENDATION(S): The Manager recommends the Board approve moving forward with
the financing of the stated capital project and equipment financing and provide feedback to staff.
Attachment 1 3
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Orange County, North Carolina
Description of Projects to be Financed
Cedar Grove Community Center: Financing for the Cedar Grove Community Center in the Northern Portion of
the County approved in FY2011.
Southern Orange Campus: Financing for the beginning phases and planning for the Southern Orange Campus
and master plan.
HVAC (FY2012 -13 and 2014 -15): Financing of various geothermal projects for County buildings and facilities.
Roofing Projects: Financing for various roofing projects of County Owned buildings and facilities such as Asset
Management Services Warehouse and the Blackwood Farm House.
Information Technologies: Financing for the annual upgrades for server replacements and upgrades, desktop
and laptop replacements, PC software upgrades, GIS software and hardware upgrades
Emergency Services Improvements: Financing for the projects and initiatives as outlined in the Emergency
Services Strategic Plan. FY2014 -15 financing will go to purchase additional towers.
Communication Systems Improvements: Financing to fund the purchase additional communication radios
and systems for Emergency Services and Sherriff Department.
Soccer.com Soccer Center: Financing for the investment in the current facility including restroom
improvements, purchase of adjoining land, construction of new artificial turf fields and other improvements.
Lands Legacy: Continued financing for the award winning Lands Legacy Program to conserve and protect the
County's most critical natural and cultural resources.
Sportsplex Projects
Pool Mezzanine: Financing and funding for the construction of a swimming pool mezzanine at the Orange
County Sportsplex.
Solid Waste Projects:
Eubanks Road Solid Waste Convenience Center: Financing for the improvements for the Eubanks Road Solid
Waste Convenience Center upgrades.
Equipment /Vehicle Purchases
Vehicle Replacement Fund: Financing for the annual purchases and replacement of County vehicles.
In -Car Cameras Replacements — Sheriff: Financing for the upgrading of the in -car cameras for the Sherriff
Department.
Sanford Holshouser LLP Attachment 2
www.Sanfordholshouserlaw.com
Orange County Installment Financing — Schedule
County Board provides informal approval of projects
BOCC meeting of Nov. 6
and general financing plan
County staff makes initial, informal contact with LGC
As soon as convenient
County sends out bank loan RFP
Week of Nov. 10
Publish notice of County public hearing
By Nov. 29 (must be at
least ten days' prior to
hearing date)
Bank proposals due back to the County
Dec. 1
County Board holds public hearing; adopts
BOCC of Dec. 9
preliminary resolution in support of application to
LGC
County makes filing with legislative joint committee
By Dec. 20 for LGC
approval in February
County's preliminary application due to LGC
By Jan. 6 for LGC
approval in February
County Board adopts resolution formally approving
BOCC meeting of Jan. 22
substantially final financing terms and documents
LGC approval
Feb. 3
Loan closing
Feb. 10 or thereafter