HomeMy WebLinkAboutAgenda - 05-15-2007-4hORANGE COUNTY
BOARD OF COMMISSIONERS
ACTION AGENDA ITEM ABSTRACT
Meeting Date: May 15, 2007
Action Agenda
Item No.
SUBJECT: Application for State Public School Building Capital Funds and NC Education
Lottery Monies
DEPARTMENT: Budget PUBLIC HEARING: (Y/N) No
ATTACHMENT (S):
Attachment 1. Applications for Public
School Building Capital
Funds
(a) Carrboro High School
(b) Rashkis Elementary INFORMATION CONTACT:
(c) Cedar Ridge High Donna Coffey, 245-2151
School
Attachment 2. Applications for NC
Education Lottery
(a) Scroggs Elementary
(b) Gravelly Middle
School
PURPOSE: To approve applications to the North Carolina Department of Public Instruction to
release funds from Orange County's Public School Building Capital Fund and NC Education
Lottery account.
BACKGROUND:
Public School Building Fund
In 1987, the North Carolina General Assembly established the Public School Building capital
Fund (PSBCF) to assist county governments in meeting their public school capital needs. The
State uses a portion of its corporate income tax receipts (including interest earned) to fund the
PSBF. Monies from the fund are allocated to counties on an average daily membership (ADM)
basis but not specific to one school district or the other.
Since the creation of this fund by the State, Orange County has used its allocation to cover a
portion of the renovation costs at Ephesus Elementary, Chapel Hill High, Stanford Middle and
Hillsborough Elementary schools. More recently, in accordance with State guidelines and the
County's Capital Funding Policy, the County has used these funds to pay a portion of the debt
service associated with various school projects that are debt financed.
As of April 24, 2007, $1,065,593 has accumulated in Orange County's PSBFC account since
the last draw down of funds in June 2006. It is important to note that this amount does not
include additional monies anticipated from April and May 2007 interest earnings and May 2007
quarterly distribution of corporate income taxes. Staff plans to request that the State reimburse
all of the funds ($1,065,593 plus April and May allocations anticipated to be $350,000 based on
the average quarterly deposits this fiscal year) to Orange County.
Given the history of the State holding these funds in prior years along with uncertainty of the
State's current and future fiscal condition, staff recommends that the Board pursue the draw
down of these funds as quickly as possible to ensure that the County receives its
reimbursement prior to the end of our fiscal year on June 30, 2007.
The attached applications request that the State release all available funds for Orange County
to offset debt service related to Carrboro High.School, Rashkis Elementary School and Cedar
Ridge High School. Staff anticipates both Boards of Education to approve their respective.
applications at one of their May 2007 meetings.
NC Education Lottery Funds
In August 2005, the NC General Assembly approved the NC Education Lottery. Based on
recommendations from the NC Association of County Commissioners last spring, the Board
approved a funding plan for the current fiscal year that anticipated the receipt of $2.4 million in
NC Education Lottery Funds. For the current fiscal year, Commissioners dedicated the Lottery
proceeds to offset school related debt service. (Future years Lottery proceeds will be budgeted
in accordance with the County Capital Funding Policy adopted by the Board of County
Commissioners on Apri124, 2007.
Throughout the fiscal year, staff has updated the Board on the anticipated actual amount of
Lottery funds that we estimate receiving by fiscal year-end. Recent estimates from the NC
Department of Public Instruction anticipate that the County will receive $2,059,532, which is
$340,468 short of the original approved budget of $2.4 million. The State allocates Lottery
proceeds to each school district based on their average daily student membership, meaning
that of the $2,059,532, the amount anticipated for Chapel Hill Carrboro City Schools totals
$1,279,413 and $780,119 for Orange County Schools.
The attached applications request that the State release funds to offset debt service for
Gravelly Hill Middle and Scroggs Elementary Schools. As outlined above in the Public School
Building Capital Fund, staff anticipates both Boards of Education to approve their respective
applications at one of their May 2007 meetings.
FINANCIAL IMPACT: As approved in the County's Annual Operating Budget for fiscal year
2006-07, Public School Building Fund and NC Education Lottery monies are sources of monies
to repay School related debt payments; therefore these funds do not represent additional,
unanticipated funds for the County. It is important to note, however, that anticipated receipts
from the NC Education Lottery fall $340,468 short of the approved budget. Staff will analyze
the impact of this shortfall as year-end projections for all expenditures and revenues are fine-
tuned.
RECOMMENDATION (S): The Manager recommends that the Board of County Commissioners
approve, and authorize the Chair to sign, the applications for Public School Building Capital
Funds and NC Education Lottery proceeds, for the Chapel Hill-Carrboro-City and Orange
County Schools' share of debt service payment related to construction of Rashkis Elementary,
Scroggs Elementary, Carrboro High, Cedar Ridge High and Gravelly Middle schools.
3
Revised 10/5/06
APPLICATION
PUBLIC SCHOOL CAPITAL BUILDING FUND Approved:
ADM (Corporate Tax) FUND Date:
County: Orange County Contact Person: Donna Coffey
Address: Post Office Box 8181, Hillsborough NC 27278 Title: Budget Director
School Admin. Unit: Chapel.Hill-Carrboro City Schools Phone: (919) 245-2151
Project Title: 2006-07 Debt Service -Carrboro High School
Location: Chapel Hill NC
Type of Facility: High School
G.S. 115C-546.2(b) "Counties shall use monies in the Fund for capital outlay projects including the
planning, construction, reconstruction, enlargement, improvement, repair, or renovation of public school
buildings and for the purchase of land for public school buildings; for equipment to implement a local
schaol technology plan that is approved pursuant to G.S. 115C-102.6C; or for both. Monies used to
implement a local school technology plan shall be transferred to the State School Technology Fund and
allocated by that Fund to the local school administrative unit for equipment. As used in this section
'public school buildings' only includes facilities for individual schools that are used for instructional and_
related purposes and does not include centralized administration maintenance, or other facilities."
Short Description of Construction Project:
General Obligation Bonds issued in 2005 funded construction of Carrboro High School
Estimated Casts: State Local Total
Purchase of Land $ $ ~ $ 0.00
Planning $ $ $ 0.00
Construction $ $ $ 0.00
Renovation $ $ $ 0.00
Enlargement $ $ $ 0.00
Repair $ $ $ 0.00
School Technology ~ $ $ N%A $ 0.00
Debt Service/Bond Payment $ 722,590.00 $ 240,864.00 $ 963,454.00
Total $ 722,590.00 $ 240,864.00 $ 963,454.00
Bid DatesNendors:
Contracts signed/Dates:
Estimated date of beginning of construction:
Estimated date of completion:
Match: The matching funds of one dollar of local funds for every three dollars of state funds are from
(source): property tax
$ 240,864.00 of the matching funds have been expended for/date/description:
~uua-ub aeot service payments associates witn construaton or t;arrgoro nigh 5cnoo~
Reporting requirements: We, the undersigned, agree to submit a statement of state/local amounts
expended for this project within 60 days of 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 $ 722,590.00 from the Public School Building Capital
Fund. We.certify that the project herein described is within the parameters of 115C-546.2(b) and that
all of the match is available and designated as match of this project.
(Signature -Chair, County Commissioners)
(Date)
(Signature -Chair, Board of Education) (Date)
Revised 10/5/06
APPLICATION
PUBLIC SCHOOL CAPITAL BUILDING FUND Approved:
ADM (Corporate Tax) FUND ~ Date:
County: Orange County Contact Person: Donna Coffey
Address: Post Office Box 8181, Hillsborough NC 27278 Title: Budget Director
School Admin. Unit: Chapel Hill-Carrboro City Schools Phone: (919) 245-2151
Project Title: 2006-07 Debt Service - Ftashkis Elementary
Location: Chapel Hill NC
Type of Facility: Elementary School
G.S. 115G546.2(b) "Counties. shall use monies in the Fund for capital outlay projects including the
planning, construction, reconstruction, enlargement, improvement, repair, or renovation of public school
buildings and for the purchase of land for public school buildings; for equipment to implement a local
school technology plan that is approved pursuant to G.S. 115C-102.6C; or for both. Monies used to
implement a local school technology plan shall be transferred to the State School Technology Fund and
allocated by that Fund to the local school administrative unit for equipment. As used in this section
'aublic school buildings' only includes facilities for individual schools that are used far instructional and
related purposes and does not include centralized administration, maintenance, or other facilities."
Short Description of Construction Project:
General Obligation Bonds issued in 2003 funded construction of Rashkis Elementary School
Estimated Costs:
Purchase of Land
Planning
Construction
Renovation
Enlargement
Repair
School Technology
Debt Service/Bond Payment
Total
State
$
$
$ 607,380.00
$ 607,380.00
Bid Dates/Vendors:
Contracts signed/Dates:
Estimated date of beginning of construction:
Estimated date of completion:
Match: The matching funds of one dollar of local funds for every three dollars of state funds are from
(source): property tax
$ 202,460.00 of the matching funds have been expended for/date/description:
~uuo-uei gear seance payments assoaatea witn construcrton or tcasnKis Ciementary 5cnooi
Reporting requirements: We, the undersigned, agree to submit a statement of state/local amounts
expended for this project within 60 days of 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 $ 607,380.00 from the Public School Building Capital
Fund. We certify that the project herein described is within the parameters of 115C-546.2(b) and that
all of the match is available and designated as match of this project.
(Signature -Chair, County Commissioners)
Local
$ -
$ N/A
~ 2oz,4so.0o
$ 202,460.00
Total
0.00
$ 0.00
$ 0.00
$ 0.00
$ 0.00
$ 0.00
$ 0.00
$ 809,840.00
$ 809,840.00
(Date)
(Signature -Chair, Board of Education) (Date)
5
Revised 10/5/06
APPLICATION
PUBLIC SCHOOL CAPITAL BUILDING FUND
ADM (Corporate Tax) FUND
Approved:
Date:
County: Orange Contact Person: Donna Coffey
Address: Post Office Box 8181, Hillsborough, NC 27278 Title: Budget Director
School Admin. Unit: Orange County Schools Phone: (919) 245-2151
Project Title: 2006-07 Debt Service -Cedar Ridge High
Location: Hillsborough NC
Type of Facility: High School
G.S. 115C-546.2(b) "Counties shall use monies in the Fund for capital outlay projects including the
planning, construction, reconstruction, enlargement, improvement, repair, or renovation of public school
buildings and for the purchase of land for public school buildings; for equipment to implement a local
school technology plan that is approved pursuant to G.S. 115C-102.6C; or for both. Monies used to
implement a local school technology plan shall be transferred to the State School Technology Fund and
allocated by that Fund to the local school administrative unit for equipment. As used in this section
`public school buildings' only includes facilities for individual schools that are used for instructional and
related purposes and does not include centralized administration, maintenance, or other facilities."
Short Description of Construction Project:
Fiscal year 2006-07 debt service payment associated with 2001 private placement financing to construct Cedar
Ridge Hiah
Estimated Costs:
Purchase of Land
Planning
Construction
Renovation
Enlargement
Repair
School Technology
Debt Service/Bond Payment
Total
State
$ 1,237,202.00
$ 1,237,202.00
Bid Dates/Vendors:
Contracts signed/Dates:
Estimated date of beginning of construction:
Estimated date of completion:
Match: The matching funds of one dollar of local funds for every three dollars of state funds are from
(source): property tax
$ 412,401.00 of the matching funds have been expended for/date/description:
Reporting requirements: We, the undersigned, agree to submit a statement of state/local amounts
expended for this project within 60 days of 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 $ 1,237,202.00 from the Public School Building Capital
Fund. We certify that the project herein described is within the parameters of 115C-546.2(b) and that
all of the match is available and designated as match of this project.
(Signature -Chair, County Commissioners) (Date)
Local
$ NIA
$ 412,401.00
$ 412,401.00..
Total
$ 0.00
$ 0.00
$ 0.00
$ 0.00
$ 0.00
$ 0.00
$ 0.00
$ 1,649,603.00
$ 1,649,603.00
(Signature -Chair, Board of Education) (Date)
W
APPLICATION
PUBLIC SCHOOL BUILDING CAPITAL FUN
NORTH CAROLINA EDUCATION LOTTERY
county: Orange
LEA: Chapel Hill Carrboro City Schools
Address: P.O.. Box 8181, Hillsborough, NC 27243
Approved:
D
Date:
Contact Person: Donna CofFey
Title: Budget Director
Phone: 919-245-2151
Project Title: 2006-07 Debt Service -Scroggs Elementary
Location: Chapel Hill, NC
Type of Facility: Elementary School
North Carolina General Statutes, Chapter 18G, provides that a portion of the proceeds of the North
Carolina State Lottery Fund be transferred to the Public School Building Gapital Fund in accordance
with G.S. 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 locai.school
administrative units and to retire indebtedness incurred for school construction projects incurred on or
after January 1, 2003.
(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 for individual schools that
are used for, instructional and related purposes, and does not include central administration;
maintenance, or other facilities.
Short description of Construction Project: Fiscal year 2006-07 debt service payment associated with 2005
private placement financing to construct Scroggs Elementary School
Estimated Costs:
Purchase of Land
Planning and Design Services
New Construction
Additions /Renovations
Repair
Debt Payment /Bond Payment
1,331,463.00
TOTAL ~
Estimated Project Beginning Date:
,331,463.00
Est. Project Completion Date:
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 $ 1,331,463.00 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 - Ghair, Board of Education) (Date)
Form Date: Sept 1, 2006
7
APPLICATION
PUBLIC SCHOOL BUILDING CAPITAL FUND
NORTH CAROLINA EDUCATION LOTTERY
Approved:
Date:
county: Orange contact Person: Donna Coffey
LEA: Orange County Schools Title: Budget Director
Address: P.O. Box 8181, Hillsborough, NC 27243
Project Title: 2006-07 Debt Service -Gravelly Hill Middle School
Location: Efland. NC
Type of Facility: Middle School
North 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.S. 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 incurred on or
after January 1, 2003.
(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 for individual schools that
are used for instructional and related purposes, and does not include central administration,
maintenance, or other facilities.
Short description of Construction Project: Fiscal year 2006-07 debt service payment associated with
General Obligation bond financing to construct 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:
Phone: 919-245-2151
976,712.00
$ 976, 712.00
Est. Project Completion Date:
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 $ 976,712.00 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)
Form Date: Sept 1, 2006