HomeMy WebLinkAboutAgenda Item 2 - Discussion of Manager’s Recommended FY 2019-24 Capital Investment Plan
ORANGE COUNTY
BOARD OF COMMISSIONERS
ACTION AGENDA ITEM ABSTRACT
Meeting Date: April 9, 2019
Action Agenda
Item No. 2
SUBJECT: Discussion of Manager’s Recommended FY 2019-24 Capital Investment Plan
(CIP)
DEPARTMENT: County Manager and Finance and Administrative Services
ATTACHMENT(S): INFORMATION CONTACT:
Attachment A. Overall CIP Summary,
County CIP Projects Summary, and
Proprietary CIP Projects Summary
Previously Provided Under Separate
Cover – Also Available Online:
Manager Recommended FY2019-24
County Capital Investment Plan
http://www.orangecountync.gov/714/Count
y-Budgets
Bonnie Hammersley, (919) 245-2300
Travis Myren, (919) 245-2308
Gary Donaldson, (919) 245-2453
Paul Laughton, (919) 245-2152
PURPOSE: To discuss the Manager’s Recommended FY 2019-24 Capital Investment Plan.
BACKGROUND: Each year, the County produces a Capital Investment Plan (CIP) that
establishes a budget planning guide related to capital needs for the County as well as Schools.
The current CIP consists of a 5-year plan that is evaluated annually to include year-to-year
changes in priorities, needs, and available resources. Approval of the CIP commits the County
to the first year funding only of the capital projects; all other years are used as a planning tool
and serves as a financial plan.
Capital Investment Plan – Overview
The FY 2019-24 CIP includes County Projects, School Projects, and Proprietary Projects. The
School Projects include Chapel Hill-Carrboro City Schools, Orange County Schools, and
Durham Technical Community College – Orange County Campus projects. The Proprietary
Projects include Water and Sewer, Solid Waste Enterprise Fund, and Sportsplex projects.
The CIP has been prepared anticipating moderate economic growth of approximately 2% in
property tax growth and 4% in sales tax growth annually over the next five years. Many of the
projects in the CIP will rely on debt financing to fund the projects.
Tonight’s discussion will focus on County and Proprietary CIP projects. See Attachment A for
the Overall CIP Summary, County CIP Projects Summary, and the Proprietary CIP Summaries.
Discussion of the Schools CIP projects is scheduled for the April 23, 2019 Joint County/School
Boards Meeting. Durham Technical Community College – Orange County Campus new
academic building project will also be discussed at the April 23rd meeting.
Discussion will also be directed to recommended Future Capital Projects in Years 2-5 of the
CIP (FY 2020-21 through FY 2023-24); discussion and review of the Debt Service and Debt
Capacity – General Fund (page 200), the Water and Sewer Debt Service requirements paid
with Article 46 Quarter Cent Sales Tax proceeds (page 201), and Debt Service requirements for
Solid Waste (page 202) and Sportsplex (page 203).
FINANCIAL IMPACT: There is no immediate financial impact associated with discussion of the
FY 2019-24 Capital Investment Plan. It is a long-range financial planning tool with a financial
impact in FY 2019-20, if the first year of the CIP is approved by the Board of County
Commissioners with the adoption of the Annual Budget.
SOCIAL JUSTICE IMPACT:
There is no Orange County Social Justice Goal Impact associated with discussion of this item.
RECOMMENDATION(S): The Manager recommends the Board review and discuss the
Manager’s Recommended FY 2019-24 Capital Investment Plan and provide direction to staff.