HomeMy WebLinkAboutAgenda 06-18-19 Item 8-e - Application for North Carolina Education Lottery Proceeds for CHCCS and Contingent Approval of Budget Amendment #11-B Related to CHCCS Capital Project Ordinances
ORD-2019-030
ORANGE COUNTY
BOARD OF COMMISSIONERS
ACTION AGENDA ITEM ABSTRACT
Meeting Date: June 18, 2019
Action Agenda
Item No. 8-e
SUBJECT: Application for North Carolina Education Lottery Proceeds for Chapel Hill –
Carrboro City Schools (CHCCS) and Contingent Approval of Budget
Amendment #11-B 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 2018-19
debt service payments for Chapel Hill – Carrboro City Schools (CHCCS), and to approve
Budget Amendment #11-B (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 $232,130. The attached application requests NCDPI to release lottery proceeds in
the amount of $225,000 to cover debt service for projects previously financed for the Chapel Hill
– Carrboro City School system.
Budget Amendment #11-B 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 2018-19 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 ($225,000):
Electrical Systems ($50,000) – Project # 53026 (Funds will be used for electrical upgrades at
various schools within the district).
Revenues for this project:
Current FY
2018-19
FY 2018-19
Amendment
FY 2018-19
Revised
From General Fund (PAYG) $1,013,852 $50,000 $1,063,852
2/3 Net Debt Bonds $225,000 $0 $225,000
Total Project Funding $1,238,852 $50,000 $1,288,852
Appropriated for this project:
Current FY
2018-19
FY 2018-19
Amendment
FY 2018-19
Revised
Electrical System Projects $1,238,852 $50,000 $1,288,852
Total Costs $1,238,852 $50,000 $1,288,852
Door, Hardware, and Canopies ($75,000) – Project # 53023 (Funds will be used for
miscellaneous repairs and replacements at various schools within the district)
Revenues for this project:
Current FY
2018-19
FY 2018-19
Amendment
FY 2018-19
Revised
From General Fund (PAYG) $328,000 $75,000 $403,000
Total Project Funding $328,000 $75,000 $403,000
Appropriated for this project:
Current FY
2018-19
FY 2018-19
Amendment
FY 2018-19
Revised
Construction $328,000 $75,000 $403,000
Total Costs $328,000 $75,000 $403,000
Parking Lot Improvements ($100,000) – Project # 54008 (Funds will be used for paving work
at the Transportation Center).
Revenues for this project:
Current FY
2018-19
FY 2018-19
Amendment
FY 2018-19
Revised
From General Fund (PAYG) $680,000 $100,000 $780,000
Total Project Funding $680,000 $100,000 $780,000
Appropriated for this project:
Current FY
2018-19
FY 2018-19
Amendment
FY 2018-19
Revised
Paving/Parking Lot/Driveway Projects $680,000 $100,000 $780,000
Total Costs $680,000 $100,000 $780,000
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Note: The Current FY 2018-19 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 $225,000.
SOCIAL JUSTICE IMPACT: There is no Orange County Social Justice Goal impact 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 #11-B receiving the Lottery Proceeds and the amended CHCCS Capital
Project Ordinances, contingent on NCDPI’s approval of the application.
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APPLICATION
PUBLIC SCHOOL BUILDING CAPITAL FUND
NORTH CAROLINA EDUCATION LOTTERY
Approved: ___________________
Date: ___________________
Form Date: July 01, 2011
County:
LEA:
Address:
Contact Person:
Title:
Phone:
Project Title:
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:
Estimated Costs:
Planning and Design Services
Purchase of Land
New Construction
Additions / Renovations
Repair
Debt Payment / Bond Payment
TOTAL
Estimated Project Beginning Date: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 $_________________________________ 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)
$
$
Orange County
Chapel Hill-Carrboro City Schools
P.O. Boc 8181 Hillsborough, NC
Gary Donaldson
Chief Financial Officer
(919) 245-2453
FY 2018-19 Debt Service (Limited Obligation Bonds - Series 2011)
Debt Service associated with the Limited Obligation Bonds -
Series 2011 (Morris Grove Elementary)
225,000.00
225,000.00
7/1/2018 6/30/2019
225,000.00
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