HomeMy WebLinkAboutAgenda - 10-18-2005-5dORANGE COUNTY
BOARD OF COMMISSIONERS
ACTION AGENDA ITEM ABSTRACT
Meeting Date: October 18, 2005
Action Agenda
Item No. 5-d
SUBJECT: Approval of School and County Capital Project Ordinances
DEPARTMENT: Budget PUBLIC HEARING: (YIN) No
ATTACHMENT (S):
Attachment 1. County Capital Project
Ordinances
Attachment 2. School Capital Project
Ordinances by School
District
(under separate cover)
INFORMATION CONTACT:
Donna Dean 245-2151
PURPOSE: To approve Schcol and County capital project ordinances for fiscal year 2005-06.
BACKGROUND: On June 23, 2005, the Manager presented recommended 2005-15 Capital
Investment Plans (CIPs) for the County as well as both School systems, While the Board
discussed the plans during budget deliberations throughout June, there were a number of
capital and debt related matters that the Board chose to discuss further at a fall 2005 work
session. To that end, Commissioners approved some Level 1 County and school capital
projects for fiscal year 2005-06 on June 23, 2005, while delaying action on other capital matters
until fall 2005, Items deferred to the fall work session included additional review of the County's
capital funding policy, revised fiscal year 2005-06 funding recommendations far County capital
projects, and an updated debt issuance schedule and debt capacity charts.
As a point of clarification, the Board of Commissioners' November 2001 capital funding policy
defines project "levels" as follows:
• Level 1 projects are those that involve a relatively small scope of work -thereby allowing
the Commissioners to approve the entire project ordinance at one time.
• Level 2 projects are major projects that require several phases to complete. For these
projects the Board of County Commissioners approves afour-phase appropriation
process to include:
o Concept/Pre-Planning Phase -includes preliminary programming and design work
that would result in conceptual drawings and preliminary cost estimates,
o Planning Phase -includes siting and infrastructure
o Design and Construction Approval Phase -includes final design, equipment,
furnishings, non-recurring start up cost, technology and contingency
z
o Final Accounting Phase -Upon completion of the project, school and county staff
will reconcile actual project expenditures with approved budget and provide the
BOCC with a "final accounting" of the project,
Many of the Level 1 capital project ordinances approved by the Board in June did not involve
new funding appropriations, but merely extended the project timelines through June 30, 2006.
Other County and school projects received new funding for the current fiscal year where
appropriations needed to be in place in order to accomplish work during summer 2005.
At the September 13, 2005 Board work session, Commissioners approved fiscal year 200.5-06
County capital funding appropriations along with 2004 two-thirds net debt reduction bond
allocations for County capital projects. Both school systems have requested Commissioner
approval of the remaining Level 1 projects that the Board deferred in June,
As stated earlier, approval of Level 2 projects, those projects that require several phases to
complete, will be requested at the appropriate times in accordance with the Board's adopted
School Planning and Funding Policy over the life of the major project, Examples of Level 2
projects include OCS Middle School #3 and CHCCS High School #3.
With regard to County owned vehicles and equipment, the County has historically funded those
through its ten year Capital Investment Plan (CIP). Examples of the types of purchases made
with annually appropriated monies include replacement of same portion of the Sheriffs vehicle
fleet and Emergency Services vehicles, including ambulances, as well as replacement of other
County department vehicles and major equipment (not including Information Technology-related
equipment).
For the current fiscal year, the BOCC-approved CIP includes plans to purchase County
equipment and vehicles through a combination of alternative financing arrangements as well as
pay-as-you-go-funding. Over the coming months, the Manager and Budget Staff will work with
individual departments to explore various options far meeting departmental equipment and
vehicle needs. The Manager will approve all individual vehicle and equipment purchases prior
to the items being ordered, At this time, staff anticipates the need to pursue funding
arrangements that include athirty-six month period and another for a period of fifty-nine
months. The life expectancy and cost of the equipment or vehicle would determine whether it
was financed for the shorter or longer-term period. Staff also plans to explore options for
alternative fuel vehicles and incorporate those options as feasible.
FINANCIAL IMPACT: The financial impact is included on the individual County and School
capital project ordinances,
RECOMMENDATION(S): The Manager recommends that the Board of County Commissioners
approve the attached County and School Capital Project Ordinances.