HomeMy WebLinkAboutAgenda - 06-07-2005-9bORANGE COUNTY
BOARD OF COMMISSIONERS
ACTION AGENDA ITEM ABSTRACT
Meeting Date: June 7, 2005
Action Agenda
Item No.
SUBJECT: Chapel Hill-Carrboro City Schools Hiqh School #3 Capital Project Ordinance
DEPARTMENT: ManagerlBudget/Attorney PUBLIC HEARING: (Y/N) No
ATTACHMENT(S): INFORMATION CONTACT:
Proposed Capital Project Ordinance John Link or Rod Visser, 245-2300
Donna Dean, 245-2151
Geof Gledhill, 732-2196
TELEPHONE NUMBERS:
Hillsborough 732-8181
Chapel Hill 968-4501
Durham 688-7331
Mebane 336-227-2031
PURPOSE: To consider approval of a revised capital project ordinance to fund construction of
Chapel Hill-Carrboro City Schools (CHCCS) High School #3.
BACKGROUND: At the County Commissioners' September 21, 2004 meeting, the Board
reviewed and discussed the conceptual design for the third high school in the Chapel Hill-
Carrboro school system, There was discussion about significant increases that are being
experienced in the construction industry for the costs of raw materials such as steel and
concrete. At the joint work session between the BOCC and the two school boards an
September 27, 2004, CHCCS staff outlined the then-anticipated financial impacts of materials
cost increases on the project budget, Documents from the project architect indicated a likely
overall project cost of $35.4 million and an anticipated project budget shortfall of about $4.5
million.
Construction bids for the third high school were opened in late April 2005 and were substantially
higher than the estimates discussed in September 2004, At their meeting on April 21, 2005, the
Chapel Hill-Carrboro Board of Education approved a resolution requesting that the BOCC
approve a capital project ordinance that would increase project funding for High School #3 by
an amount of $7,534,200, for a total of $39,176,200. At the May 5, 2005 work session, the
BOGC decided to allocate an additional $4,3 million of funding for this construction project,
That additional funding will come from alternative financing for the CHCCS Elementary School
#10 project that is already included in the BOGC-endorsed debt issuance schedule, but not
needed at this time for Elementary #10.
The BOCC's currently approved High School #3 project budget is $30,842,000, This includes a
base amount of $27,8 million, $1,9 million in additional funding related to CHCCS' incorporation
of project elements addressing smart growth initiatives, and an additional earmarking of $1,142
million in CHCCS school impact fees (to be "repaid" from future CHCCS pay-as-you-go capital
2
allocations) that were used to pay for additional costs of land acquisition for the project. There
is an additional $300,000 in alternative financing contemplated, assuming that CHCCS
accomplishes additional smart growth initiatives related to sidewalks, pedestrian and bicycle
access, or related improvements. With the $4 3 million reallocation approved by the BOCC, the
total project budget funded by County appropriations would increase to $35,442,000.
The scope, structure, and budget of the High School #3 project have to this point been
governed by an interlocal agreement between Orange County and CHCCS that was originally
approved in June 2003. Several changes in the cost and anticipated funding stream for the
project have taken place during the past two years that would necessitate amendments to the
interlocal agreement and its addenda. As an alternative, and in consultation with the Chair and
Vice Chair, the Manager recommends that the BOCC consider proposing to the Board of
Education that the interlocal agreement be superseded. Instead, the scope, structure, and
budget for the High School #3 project -including the previously agreed upon smart growth
provisions -would be governed hereafter by the attached capital project ordinance (or any
approved revisions thereto) for the life of that construction project.
If the BOCC approves the accompanying capital project ordinance, it will signal the Board's
commitment to provide $35,442,000 in County appropriated funding for the third high school
project (CHCCS has identified an additional $500,000 in non-County appropriated funds that it
intends to budget for the construction project). The Board of Education is tentatively scheduled
to approve the revised project budget and award construction bids at its meeting on June 16,
2005.
FINANCIAL IMPACT: The table below reflects the revised anticipated funding stream for' the
High School #3 construction project. The attached capital project ordinance incorporates these
revenues and would appropriate the funds needed by CHCCS to award the HS #3 construction
contracts.
2001 Bnnd Funds on mall earmarked for CHCCS Elementa #10 $12,800,000
Alternative Financing (not related to Smart Growth; originally earmarked far
renovations to older school facilities, as identified during the 2001 Capital Needs
Adviso Task Force rocess
2,500,000
Alternative Financin related fo Smart Growth 1,900,000
Pendin Alternative Financin related to Smart Growth 300,000
Alternative Financin redirected from Elementa #10 4,300,000
Accumulated Im act Fees collected riorto interlocal a reementado fion 6,100,000
"Future" Im act Fees collected since interlocal a reementado fion 3,200,000
Pay-As-You-Go (cash paid from accumulated impact fees for additional land
costs associated with Glover property, to be repaid from future CHCCS PAYG
allocations
1,142,000
Pay-As-You-Go (in accordance with Option 2 of 60-40 capital funding policy,• to
re lace Future Im act Fees earmarked for construction 3,200,000
Total BOCC A ro rioted Fundin for Hi h School #3 $35,442,000
NCDOT Funds 50,000
Sales Tax Reimbursements 450,000
Total Fundin Earmarked for Hi h School #3 $35,942,000
RECOMMENDATION(S): The Manager recommends that the Board of County Commissioners
approve the accompanying capital project ordinance.
PROPOSED 3
High School #3
Chapel Hill-Carrboro City Schools
Capital Project Ordinance
Be it ordained by the Orange County Board of County Conunissioners that pursuant to Section 1.3.2 of
Chapter 159 of the General Statutes of Norkh Carolina, the following capital project is hereby adopted.
Section i. The project authorized provides funds for the Chapel Hill-Can-boro City Schools to acquire
property for, and to design, construct, and equip a new high school facility to be located on
Rock Haven Road, in the vicinity of the intersection of Smith Level Road and Culbreth
Road.. Anticipated revenues for the'project consist of 2001 voter approved bond fields,
school construction impact fees, pay-as-you-go funding through sales tax receipts, and
alternative financing through a private placement loan or similar debt instruments.
Section 2. The officers of the County are hereby directed to proceed with the project within the budget
contained herein.
Section 3. The following revenue is arrticipated to complete this project:
200.3-04 FY 2004-OS 2004-OS
Sales Tax $0 $4,342,000 $4,342,000
School Construction
Impact Fees
$4,634,697
$4,665,303
$9,300,000
Altemarive Financing $0 $9,000,000 $9,000,000
2001 Bonds $0 $12,800,000 $12,800,000
Other $0 $0 $0
Total Fundin $4,634,697 $30,807,303 $35,442,000
Section 4. The following amount is appropriated for this project:
Tln-ough FY
2003-44
FY 2004-05 Through FY
2004-05
Construction $0 $26,697,803 $26,697,803
Site uisitirnr $3,531,697 $0 $3,531,697
Site Devel rt $0 $0 $0
Few $1,103,000 $1,059,500 $2,162,500
Funuslun $800,000 $800,000
Technology $0 $1,000,000 $1,000,000
Cor>shvction Contingency $0 $750,000 $750,000
One-Tirr~ Start Costs $0 $500,000 $500,000
Total Cos $4,634,697 $30,807,303 $35,442,000
Section 5. Although not a part of the County appropriation for the CHCCS high school #3 project, it is
noted here for reference purposes that the Chapel Hill-Carrboro Board of Education intends
to appropriate an additional $500,000 ($450,000 from sales tax reimbursements and $50,000
rROrosEn ~
in North Carolina Department of Transportation funds) from its own funding sources,
bringing the project total to $35,942,000.
Section 6. This ordinance supersedes the interlocal agreement dated August 7, 2003 (with subsequent
Addendum "A" and Addendum "B") as the controlling instrument regarding Phase I
(generally as described and defined in Addendum "A" of the August 7, 'L003 interlocal
agreement) of high school #3 project budget, scope, and timing. The following provisions
of the previously existing interlocal agreement and addenda remain expectations of the ' '
Orange County Board of Commissioners regarding smazt-growth promoting standards that,
the Chapel Hill-Canboro Board of Education will incorporate into the project scope, design,
and plans for Phase I and Phase II of CHCCS high school #3:
1. Transportation Standards. The building shall be located within % mile of arr existing or
planned trail, greenway, bikeway or bus line. The design of CHCCS high school #3 and its `
facilities shall provide bike racks and storage for 10% of the building occupants, provide
preferred pazlting for carpools and alternative vehicles and reduce parking lot size and its.
associated impervious surfaces by at least 35% from Orange County School Construction
Standards by providing no rnore than 420 spaces for Phase I and Phase II
student/teacher/staff/ visitor motor vehicle parking, all to be constructed with Phase L
2. Site Standards. The design of CHCCS high school #3 and its facilities shall (1)
preserve a minimum of 30% of the site in undeveloped space; azrd (2) provide shade on at
least 30% of non-roof impervious surface on the site within 5 yeazs or use azr open grid ,'
pavement system, with less than 50% impervious surface, for 50% of the parking area. The
site shall comply with the Town of Carrboro's new stream protection plan and irnplemenf a '
storm management plan that does not increase the rate or quality of runoff from the site:
3. Building Standards. The building design shall stress compact design features including
multi-story construction. The physical education and athletic facilities shall be designed to
minimize land disturbance.
4. Water Use Standards. Design standards shall have a goal of aggregate water reduction
of 20% of"the base, not including irrigation, after meeting EPA 1992 fixture performance
requirements with respect to irigation and reflect xeriscaping principles.
5. Shared Use Standards. Design standards shall provide the public with non-school hour
access to exterior spaces, including a vita track, cross country course designed and
maintained to increase environmental awareness and interior spaces for community use
including common areas, auditoria and meeting rooms.
6. CHCCS High Performance Standards. Design standards shall comply with the high ;
performance building design criteria in School Board Policy 9040.
7. Public Road Improvement Standazds. Endorse the timely construction of road
improvements to Smith Level Road and intersection improvements to the intersection of
Rock Haven Road and Smith Level Road which improvements have been endorsed by
Carrboro and Orange County and which improvements, if timely constructed, will reduce
PROPOSED
5
by as much as $250,000 the offsite road improvement cost to CHCCS in its construction of
CHCCS high school #.3.
8. Transportation Enhancement Standards. Reduce dependency on the automobile for
school functions and to reduce vehicle miles traveled related to school functions by
committing at least $300,000 of capital from the amount appropriated to the Construction
line item of Section 4 to:
a. the purchase of busses or shuttles to be owned by CHCCS or otherwise, in tazrdem
with the development of an enhanced transportation system, for school uses and
functions, including student, staff and teacher transportation to and from school and
student, staff, teacher and visitor transportation to and from preschool and afterschool
programs;
b. contributions of funds and expertise to the evaluation and development of the use
of Chapel Hill Area Transit and/or Orange Public Transportation to provide non-
automobile alternatives for transportation of students, staff, teachers and visitors to and
from school, preschool and afterschool programs;
c. the purchase of transit software to be used to reduce vehicle miles traveled in future
redistricting decisions;
d, promote walking to and from school and pre and after school programs by funding
with matching grants the construction of sidewalks in Can-boro and Chapel Hill
located within 1.5 miles of CHCCS high school #3 (the school "walk zone") which
sidewalks are likely to be constructed by Carrboro and Chapel Hill only in response to
matching grants;
e, promote bike riding to and from school and pre and after school programs by
funding with matching grants the construction of bike lanes in Carrboro and Chapel
Hill within the attendance district of CHCCS high school #.3 which bike lanes are
likely to be constructed by or at the request of Carrboro and Chapel Hill only in
response to matclvng grants;
f. promote bus and other transit transportation to and from school and pre and after
school programs by funding the construction of weatherproof shelters (considering
climate controlling them) at locations within the attendance district of CHCCS high
school #3 adjacent to or conveniently close to pazk and ride locations established by
CarrUoro, Chapel Hill and the University of North Cazolina.
Section 7. Tlus ordinance is effective .Tune 7, 2005, supersedes all previous High School #3 Capital
Project Ordinances, and will remain in effect through .Tune .30, 2008, unless sooner amended
or closed out.
Adopted this 7th day of Tune, 2005.
nxa.FT
ORANGE COUNTY
BOARD OF COMMISSIONERS
ACTION AGENDA ITEM ABSTRACT
Meeting Date: .June 7, 2005
1
Action Agenda b
Item No.
SUBJECT: Chapel Hill-Carrboro City Schools High School #3 Capital Project Ordinance
DEPARTMENT: Manager/Budget/Attorney
PUBLIC HEARING: (Y/N) No
ATTACHMENT(S):
Proposed Capital Project Ordinance
INFORMATION CONTACT:
John Link or Rod Visser, 245-2300
Donna Dean, 245-2151
Geof Gledhill, 732-2196
TELEPHONE NUMBERS:
Hillsborough 732-8181
Chapel Hill 968-4501
Durham 688-7331
Mebane 336-227-2031
PURPOSE: To consider approval of a revised capital project ordinance to fund construction of
Chapel Hill-Carrboro Gity Schools (CHCCS) High School #3.
BACKGROUND: At the County Commissioners' September 21, 2004 meeting, the Board
reviewed and discussed the conceptual design for the third high school in the Chapel Hill-
Carrboro school system. There was discussion about significant increases that are being
experienced in the construction industry for the costs of raw materials such as steel and
concrete. At the joint work session between the BOCG and the two school boards on
September 27, 2004, CHCCS staff outlined the then-anticipated financial impacts of materials
cost increases on the project budget. Documents from the project architect indicated a likely
overall project cost of $35.4 million and an anticipated project budget shortfall of about $4,5
million.
Construction bids for the third high school were opened in late April 2005 and were substantially
higher than the estimates discussed in September 2004. At their meeting on April 21, 2005, the
Chapel Hill-Carrboro Board of Education approved a resolution requesting that the BOCC
approve a capital project ordinance that would increase project funding for High School #3 by
an amount of $7,534,200, for a total of $39,176,200. At the May 5, 2005 work session, the
BOCC decided to allocate an additional $4.3 million of funding for this construction project.
That additional funding will come from alternative financing for the CHCCS Elementary School
#10 project that is already included in the BOCC-endorsed debt issuance schedule, but not
needed at this time for Elementary #10..
The BOCC's currently approved High School #3 project budget is $30,842,000. This includes a
base amount of $27.8 million, $1.9 million in additional funding related to CHCCS' incorporation
of project elements addressing smart growth initiatives, and an additional earmarking of $1.142
million in CHCCS school impact fees (to be "repaid" from future CHCCS pay-as-you-go capital
DRAFT
allocations) that were used to pay for additional costs of land acquisition for the project. There
is an additional $300,000 in alternative financing contemplated, assuming that CHCCS
accomplishes additional srnart growth initiatives related to sidewalks, pedestrian and bicycle
access, or related improvements. With the $4.3 million reallocation approved by the BOCC, the
total project budget funded by County appropriations would increase to $35,442,000.
The scope, structure, and budget of the High School #3 project have to this point been
governed by an interlocal agreement between Orange County and CHCCS that was originally
approved in June 2003. Several changes in the cost and anticipated funding stream for' the
project have taken place during the past two years that would necessitate amendments to the
interlocal agreerent and its addenda. As an alternative, and in consultation with the Chair and
Vice Chair, the Manager recommends that the BUCC consider proposing to the Board of
Education that they agree to terminate the interlocal agreement. Instead, the scope, structure,
and budget for the High School #3 project -including the previously agreed upon smart growth
provisions -would be governed hereafter by the attached capital project ordinance (or any
approved revisions thereto) for the life of that construction project.
If the BOCC approves the accompanying capital project ordinance, it will signal the Board's
commitment to provide $35,442,000 in County appropriated funding for the third high school
project (CHCCS has identified an additional $500,000 in non-County appropriated funds that it
intends to budget for the construction project). The Board of Education is tentatively scheduled
to approve the revised project budget and award construction bids at its meeting on June 16,
2005.
FINANCIAL IMPACT: The table below reflects the revised anticipated funding stream for' the
High School #3 construction project. The attached capital project ordinance incorporates these
revenues and would appropriate the funds needed by CHCCS to award the HS #3 construction
contracts.
2001 Bond Funds on inall earmarked for CHCCS Elementa #10 $12,800,000
Alternative Financing (not relafed fc Smart Growth; originally earmarked for
renovations to older school facilities, as identified during the 2001 Capital Needs
Adviso Task Force rocess
2,500,000
Alternative Financin relafed to Smart Growth 1,900,000
Pendin Alternative Financin relafed to Smart Growth 300,000
Alternative Financin redirected from Elemenfa #10 4,300,000
Accumulated Im act Fees collected riot to interlocal a reement ado ticn 6,100,000
"Future" Im act Fees collected since interlocal a reement ado tion 3,200,000
Pay-As-You-Go (cash paid from accumulated impact fees for' additional land
costs associated with Glover property, to be repaid from future CHCCS PAYG
allocaticns
1,142,000
Pay-As-You-Go (in accordance with Option 2 of 60-40 capital funding policy,• to
re lace Future Im act Fees earmarked for construction 3,200,000
Total BOCC A ro rioted Fundin for Hi h School #3 $35,442,000
NCDOT Funds 50,000
Sales Tax Reimbursements 450,000
Total Fundin Earmarked for Hi h School #3 $35,942,000
RECOMMENDATION(S): The Manager recomrends that the Board of County Commissioners
approve the accorpanying capital project ordinance.
DRAFT .3
High School #3
Chapel Hill-Carrboro City Schools
Capital Project Ordinance
Be it ordained by the Orange County Board of County Commissioners that pursuant to Section 13.2 of
Chapter 159 of the General Statutes of North Carolina, the following capital project is hereby adopted,
Section 1. The project authorized provides funds for the Chapel Hill-Carrboro City Schools to acquire
property for, and to design, construct, and equip a new high school facility to be located on
Rock Haven Road, in the vicinity of the intersection of Smith Level Road and Culbreth
Road. Anticipated revenues for the project consist of 2001 voter approved bond funds,
school construction impact fees, pay-as-you-go funding through sales tax receipts, and
alternative financing through a private placement loan or similar debt instruments.
Section 2. The officers of the County aze hereby directed to proceed with the project within the budget
contained herein,
Section 3. The following revenue is anticipated to complete this project:
lIl'U4~[rFY-
2003-04 -
FY 2004-05
2004-OS
Sales Tax $0 $4,342,000 $4,342,000
School Construction
Irnpact Fees
$4,634,697
_ $4,665,303
__ $9,300,000
Alternative Financing $0 $9,000,000 $9,000,000
2001 Bonds $0 $12,800,000 $12,800,000
Other $0 $0 $0
Total Fundin $4,634,697 $30,807,303 $35,442,000
Section 4. The following amount is appropriated for this project:
Through FY
2003-04
FY 2004.05 Through FY
2004-05
Constrvction $0 $26,697,803 $26,697,803
Site ' ition $3,531,697 $0 $3,531,697
Site bevel $0 $0 $0
Fees $1,103,000 $1,059,500 $2,162,500
Furnishings -- $800,000 $800,000
Technology $0 $1,000,000 $1,000,000
Construction Contingency $0 $750,000 $750,000
Oue-Tirr~ Start Costs $0 $500,000 $500,000
Total Cos $4,634,697 $30,807,303 $35,442,000
Section 5. Although not a part of the County appropriation for the High School #.3 project, it is noted
here for reference purposes that the Chapel Hill-Carrboro Board of Education intends to
appropriate an additional $500,000 ($450,000 from sales tax reimbursements and $50,000 in
DRAFT 4
North Carolina Department of Transportation funds) from its own funding sources, bringing
the project total to $35,942,000.
Section 6. This ordinance replaces the interlocal agreement dated August 7, 2003 (with subsequent
Addendum A and Addendum B) as the controlling instrument regarding the High School #3
project budget, scope, and timing. The following provisions of the previously existing
interlocal agreement and addenda remain expectations of the Orange County Board of
Commissioners regarding smart-growth promoting standards that the Chapel Hill-Carrboro
Board of Education will incorporate into the project scope, design, and plans:
L Transportation Standads, The building shall be located within'I/z mile of an existing or
planned trail, greenway, bikeway or bus line. The design of CHCCS high school #3 and its
facilities shall provide bike racks and storage for 10% of"the building occupants, provide
preferred parking for carpools and alternative vehicles and reduce pazking lot size and its
associated impervious surfaces by at least 35% from Orange County School Construction
Standaz~ds by providing no more than 420 spaces for Phase I and Phase II
student/teacher/staffl visitor motor vehicle parking, all to be constructed with Phase L
2. Site Standards. The design of"CHCCS high school #3 and its facilities shall (1)
preserve a minimum of" 30% of the site in undeveloped space; and (2) provide shade on at
least 30% of non-roof impervious surface on the site within 5 yeazs or use an open grid
pavement system, with less than 50% impervious surface, for 50% of the pazking area.. The
site shall comply with the Town of Carrboro's new stream protection plan and implement a
storm management plan that does not increase the rate or quality of runoff from the site.
3. Building Stazrdards. The building design shall stress compact design features including
multi-story construction. The physical education and athletic facilities shall be designed to
minimize land dishubance.
4. Water Use Standards. Design standazds shall have a goal of aggregate water reduction
of 20% of the base, not including irrigation, after meeting EPA 1992 fixture performance
requirements with respect to irrigation and reflect xeriscaping principles.
5. Shared Use Standads. Design standards shall provide the public with non-school hour
access to exterior spaces, including a vita track, cross country course designed and
maintained to increase environmental awareness and interior spaces for community use
including common areas, auditoria azrd meeting rooms.
6. CHCCS High Performance Standards. Design standards shall comply with the high
performance building design criteria in School Board Policy 9040.
7.. Public Road Improvement Standaz~ds. Endorse the timely construction of road
improvements to Smith Level Road and intersection improvements to the intersection of
Rock Haven Aoad and Smith Level Road which improvements have been endorsed by
Carrboro and Orange County and which improvements, if timely constructed, will reduce
by as much as $250,000 the offsite road improvement cost to CHCCS in its construction of
CHCCS high school #3
DRAFT
8. Transportation Enhancement Standards. Reduce dependency on the automobile for
school functions and to reduce vehicle miles traveled related to school functions by:
a. the purchase ofbusses or shuttles to be owned by CHCCS or otherwise, in tandem
with the development of an enhanced transportation system, for school uses and
functions, including student, staff and teacher transportation to and from school and
student, staff, teacher and visitor transportation to and from preschool and afterschool
programs;
b. contributions of funds and expertise to the evaluation and development of the use
of Chapel Hill Area Transit and/or Orange Public Transportation to provide non-
automobile alternatives for transportation of students, staff; teachers and visitors to and
from school, preschool and afterschool programs;
c. the purchase of transit software to be used to reduce vehicle miles traveled in future
redistricting decisions;
d, promote walling to and from school and pre and after school programs by funding
with matching grants the construction of sidewallcs in Carrboro and Chapel Hill
located within 1.S miles of CHCCS high school #3 (the school "walk zone") which
sidewallcs aze likely to be constructed by Cairboro and Chapel Hill only in response to
matching grants;
e, promote bike riding to and from school and pre and after school programs by
funding with matching grants the construction of bike lanes in Cazrboro and Chapel
Hill within the attendance district of CHCCS high school #3 which bike lanes are
likely to be constructed by or at the request of Cazrboro and Chapel Hill only in
response to matching grants;
f. promote bus and other transit transportation to and from school and pre and after
school programs by funding the construction of weatherproof shelters (considering
climate controlling them) at locations withn the attendance district of CHCCS high
school #3 adjacent to or conveniently close to park and ride locations established by
Carrboro, Chapel Hill and the University of North Carolina.
Section 7. Tlis ordinance is effective .Tune 7, 2005, supersedes all previous High School #3 Capital
Project Ordinances, and will remain in effect through June 30, 2008, unless sooner amended
or closed out.
Adopted this 7th day of June, 2005..