HomeMy WebLinkAboutAgenda - Item 8-f - Application for North Carolina Education Lottery Proceeds for CHCCS and Contingent Approval of Budget Amendment #10-A Related to CHCCS Capital Project Ordinances
ORD-2018-026
ORANGE COUNTY
BOARD OF COMMISSIONERS
ACTION AGENDA ITEM ABSTRACT
Meeting Date: June 19, 2018
Action Agenda
Item No. 8-f
SUBJECT: Application for North Carolina Education Lottery Proceeds for Chapel Hill –
Carrboro City Schools (CHCCS) and Contingent Approval of Budget
Amendment #10-A Related to CHCCS Capital Project Ordinances
DEPARTMENT: Finance and Administrative
Services
ATTACHMENT(S): INFORMATION CONTACT:
Attachment 1. CHCCS – Lottery
Proceeds Debt Service
Application
Paul Laughton, (919) 245-2152
Gary Donaldson, (919) 245-2453
PURPOSE: To approve an application to the North Carolina Department of Public Instruction
(NCDPI) to release proceeds from the NC Education Lottery account related to FY 2017-18
debt service payments for Chapel Hill – Carrboro City Schools (CHCCS), and to approve
Budget Amendment #10-A (amended School Capital Project Ordinances), contingent on the
NCDPI’s approval of the application.
BACKGROUND: Both County School Systems have previously presented approved
resolutions from their respective Boards requesting that the County modify its Capital Funding
Policy by applying accumulated lottery funds to debt service payments, and permitting current
year withdrawals of lottery proceeds immediately after the State’s quarterly lottery fund
allocations. This policy expedites both the application process and the receipt of funds for both
school systems.
Currently, the accumulated available lottery proceeds for Chapel Hill – Carrboro City Schools
(CHCCS) is $220,488. The attached application requests NCDPI to release lottery proceeds in
the amount of $220,000 to cover debt service for projects previously financed for the Chapel Hill
– Carrboro City School system.
Budget Amendment #10-A provides for the receipt of the Lottery Proceeds, contingent on
NCDPI’s approval of the application, and substitutes the amount of Lottery Proceeds approved
for debt service as additional Pay-As-You-Go (PAYGO) funds for FY 2017-18 for CHCCS long-
range capital needs and projects, and amends the budgets for the following CHCCS capital
projects:
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Chapel Hill – Carrboro City Schools ($220,000):
Abatement Projects ($45,000) – Project # 54001 (Funds will be used to complete Phase 1
floor tile replacement at Phillips Middle School.)
Revenues for this project:
Current FY
2017-18
FY 2017-18
Amendment
FY 2017-18
Revised
From General Fund (PAYG) $690,080 $45,000 $735,080
Total Project Funding $690,080 $45,000 $735,080
Appropriated for this project:
Current FY
2017-18
FY 2017-18
Amendment
FY 2017-18
Revised
Abatement Projects $690,080 $45,000 $735,080
Total Costs $690,080 $45,000 $735,080
Energy Efficiency Renovations ($125,000) – Project # 54003 (Funds will be used to complete
conversion of analogue to digital HVAC systems at McDougle Elementary and conversion of
lighting systems to LED products.)
Revenues for this project:
Current FY
2017-18
FY 2017-18
Amendment
FY 2017-18
Revised
From General Fund (PAYG) $350,000 $125,000 $475,000
2/3 Net Debt Bonds $17,677 $0 $17,677
Total Project Funding $367,677 $125,000 $492,677
Appropriated for this project:
Current FY
2017-18
FY 2017-18
Amendment
FY 2017-18
Revised
.Energy Management $367,677 $125,000 $492,677
Total Costs $367,677 $125,000 $492,677
Fire/Safety/Security ($50,000) – Project # 54004 (Funds will be used to continue conversion
of analogue cameras to digital, as well as expanding access controls.)
Revenues for this project:
Current FY
2017-18
FY 2017-18
Amendment
FY 2017-18
Revised
From General Fund (PAYG) $1,080,000 $50,000 $1,130,000
2/3 Net Debt Bonds $100,000 $0 $100,000
Lottery Proceeds $80,000 $0 $80,000
Total Project Funding $1,260,000 $50,000 $1,310,000
Appropriated for this project:
Current FY
2017-18
FY 2017-18
Amendment
FY 2017-18
Revised
Emergency/Security Systems $1,260,000 $50,000 $1,310,000
Total Costs $1,260,000 $50,000 $1,310,000
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Note: The Current FY 2017-18 Budgets represent the cumulative budgeted funds for these projects
in the Chapel Hill-Carrboro City Schools district since 2009, which is the last time completed projects
funds were closed out. Staff plans to bring recommendations to the Board of County Commissioners
in a future BOCC meeting for closing out completed school and county capital projects.
FINANCIAL IMPACT: The total Lottery Proceeds requested from the NCDPI for Chapel Hill–
Carrboro City Schools is $220,000.
SOCIAL JUSTICE IMPACT: There is no Orange County Social Justice Goal associated with
this item.
RECOMMENDATION(S): The Manager recommends that the Board approve, and authorize
the Chair to sign, the application for North Carolina Education Lottery Proceeds; and approve
Budget Amendment #10-A receiving the Lottery Proceeds and the amended CHCCS Capital
Project Ordinances, contingent on NCDPI’s approval of the application.
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C!
APPLICATION
PUBLIC SCHOOL BUILDING CAPITAL FUND
NORTH CAROLINA EDUCATION LOTTERY
County:
LEA:
Orange County
Chapel Hill - Carrboro City Schools
Address: P.O. Box 8181, Hillsborough, NC
Approved:
Date:
Contact Person: Gary Donaldson
Title: Chief Financial Officer
Phone: (919) 245 -2453
Project Title: FY 2017 -18 Debt Service (2006 COPS - Series 2015 Refunding)
Location:
Type of Facility:
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.
(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. Applications must be submitted within one year following the
date of final payment to the Contractor or Vendor.
Short description of Construction Project: Debt Service associated with the 2006 COPS - Series 2015
Refunding issued June 2015 (Carrboro High School)
Estimated Costs:
Purchase of Land
Planning and Design Services
New Construction
Additions / Renovations
Repair
Debt Payment / Bond Payment
TOTAL
Estimated Project Beginning Date: 7/1/17
E5
220,000.00
220,000.00
Est. Project Completion Date: 6/30/18
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 $ 220,000.00 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: July 01, 2011