Board of Directors Finance Committee Meeting North Carolina - PowerPoint PPT Presentation

Board of Directors Finance Committee Meeting North Carolina Turnpike Authority June 20, 2018

Underwriter Procurement David Roy Director of Finance 2

Underwriter Procurement Request for Qualifications • Select an underwriting team to support the financing of Phase I of the Complete 540 project • Similar to the process used for the Monroe Expressway financing in 2016 • The RFQ was posted on May 29 th 3

Underwriter Procurement Evaluation Criteria Pricing Experience of 15% Firm's Primary Personnel 25% Credit/Marketing Analysis 20% Experience with Similar Transactions Plan of Finance 20% Discussion 20% 4

Underwriter Procurement Selection Process The Selection The Selection Hold Interviews Committee will RFQ Posted Proposals Due Committee will for shortlisted meet to select a meet to shortlist firms firm May 29 th June 20 th June 27 th July 11 th July 11 th Selection Committee: − Evan Rodewald, NCDOT CFO − David Roy, NCTA Director of Finance − David Miller, PFM − Wally McBride, Hunton Andrews Kurth 5

Anti-Money Laundering Policy David Roy Director of Finance 6

Anti-Money Laundering Policy AML Procedures • Reporting requirement under the Bank Secrecy Act (BSA) • BSA officer assigned to oversee the AML program • All prepaid accounts are subject to weekly monitoring for operating above the following thresholds: – A balance over $2,000 for any one associated transponder – A credit of more than $10,000 in a single day • Accounts that breach one or both of these thresholds are subject to further monitoring 7

Anti-Money Laundering Policy AML Risk Factors • Personal account • Address outside of North Carolina • Address outside of the United States • North Carolina address with over 75% of account funds accessed through an interoperability partner over the course of two months • Funds exceeding the threshold loaded via cash or money order over the course of 48 hours • Fleet account (associated with over 300 vehicles) 8

Anti-Money Laundering Policy Annual Audit and Training • Audit: – On an annual basis, a third party or an officer or employee of NCTA (other than the BSA officer) will conduct independent testing of the AML Program • Training: – BSA officer and other key stakeholders are subject to annual training – Training will incorporate developments and changes to the BSA, internal policies, procedures, processes and monitoring systems 9

Toll Revenue Collection David Roy Director of Finance 10

Toll Revenue Collection FY17 Toll Revenue Collection FY17 Statistics 0-30 days • ~82% ($32.4 million) (23.0%) of tolls collected within 30 days • ~91% collected within 90 days 31-60 days (6.2%) 61-90 days NC Quick Pass (2.5%) (58.7%) 91-120 days (1.4%) Over 120 days (3.6%) Tolls Outstanding (4.5%) *Data as of April 27, 2018 11

Complete 540 Procurement Update Rodger Rochelle, P.E. Chief Engineer 12

Complete 540 Procurement Update Complete 540 • R-2721A • 4.6 mile new location • ~ 190 parcels • R-2721B • 4.9 mile new location • ~ 210 parcels • R-2828 • 8.6 mile new location • ~ 250 parcels 13

Complete 540 Procurement Update Current Project Schedule • Record of Decision: June 6, 2018 • Corridor Permit Application: Summer 2018 • Right of Way Plans for R-2721A & R-2721B: Fall 2018 • Anticipate Permits: Late 2018/Early 2019 (phased for R-2828 & construction for R-2721A and R-2721B) • Design-Build Contract Letting – R-2828: November 2018 – R-2721B: February 2019 – R-2721A: April 2019 – R-2829: Future (2027) • Complete Project Finance Early 2019 14

Complete 540 Procurement Update Status and Next Steps R-2828 R-2721B R-2721A  April 16 Advertisement July 2 September 4  May 11 SOQ Due Date July 31 October 2  May 24 Shortlist Date August 14 October 18 Issue 1 st Draft RFP  May 24  Week of June 4 Debrief Teams 1 st Meeting with Teams  June 7 Issue 2 nd Draft RFP June 26 2 nd Meeting with Teams July 10 15

July Finance Committee Meeting David Roy Director of Finance 16

July Finance Committee Meeting July Finance Committee Meeting Date: July 18, 2018 Time: 9:30am Location: NC Quick Pass Customer Service Center 200 Sorrell Grove Church Road Morrisville, NC 27560 17