[PPT] - BOT/CBOC Special Joint Meeting Capital Facilities Financing Plan PowerPoint Presentation

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BOT/CBOC Special Joint Meeting Capital Facilities Financing Plan

Karen Michel, Chief Financial Officer Tom Calhoun, Chief Facilities Executive Paul Woods, Director of Planning and Construction January 12, 2015

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41,000 Students in

grades 7-12

22,000 Adult Learners
37 Campuses

throughout the cities of Chula Vista, Imperial Beach, National City, San Ysidro and San Diego

70%
f Sweetwater

students are Latino.

50%
f Sweetwater

Students speak a language other than English at home

Providing Facilities for Our Students

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Facilities Roles and Responsibilities

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Maintenance is responsible for maintaining

and repairing 4,000,000 square feet of buildings on 37 sites.

Planning and Construction is responsible

for project management:

Modernization of existing facilities

(including alterations)

Construction of new facilities (additions

and 2 new high schools and 1 new middle school)

Large Deferred Maintenance projects

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Under the Chief Facilities Executive:

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Project Flow Chart

COs

$

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The Capital Facilities Financing Program (CFFP)

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The Capital Facilities Financing Plan is

funded from three primary sources:

Local Bonds

 Prop BB passed in 2000  Prop O passed in 2006

Mello-Roos Community Facilities

District Funds (CFD) – 18 CFDs

State Funding (State School Facility

Program)

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Capital Facilities Financing Plan

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The Capital Facilities Financing Plan (CFFP) is

divided into three programs:

Section 1: Prop O Bond Program (includes

remaining Prop BB funds, State Funding and

ther supplemental funding sources)
Section 2: CFD Program (including State Funding

and other supplemental funding)

Section 3: Other Projects (all other projects such

as Deferred Maintenance or site funded projects)

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Capital Facilities Financing Plan

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 $1.1 billion program since 2006 (Prop O)

$464 million in Prop O bonds not yet sold
$458 million spent thru November 2014
$192 million remaining to be spent (plus any

future State funding)

$147 million for 2 new schools (CFD $)
$45 million in other current projects

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Capital Facilities Financing Plan Summary

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Section 1 Prop O Bond Program

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Phase 1 – Progress to date

10 Major Projects Small Projects

Prop O Program Project Locations

Solar Projects 11

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Prop O Program Overview

$187m Prop BB Prop O

Years

2002 2010 2006 2004 2008 2012 2014 2016 2018

A substantial investment in facilities with a substantial impact on students Propositions BB and O, along with State and other funding, will invest over $1 billion in capital improvement projects

$66.8m to date State Funds $138m $180m $644m $37.3m Authorization Bond Sale 1 Bond Anticipation Note Other Funds $13.5m to date

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Original Prop O Program Schedule

$180m Q1 2008 $200m 2011 $200m 2014 $64m 2018

Source: Board Action on general plan of action on March 13, 2007

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Bond Program Management

Harris Gafcon

Years

2002 2010 2006 2004 2008 2012 2014 2016 2018

Propositions BB and O, along with State and other funding, will invest over $1 billion in capital improvement projects

Gilbane/SGI SGI District Staff Prop BB Prop O $5.5 million per year (average) $1.5 million per year

14 23.85 FTE 12.7 FTE 19.50 FTE 4.35 FTE 12.25 FTE

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Program Manager Office Engineer Construction Manager AR/AP Manager Principal in Charge Scheduling Outreach Manager Planning/Design Manager Quality Manager Program Controls Manager Contract s Manager Doc. Controls Assistant

Safety Engineer - Virag

Project Manager Project Engineer Chula Vista Middle Project Engineer South- west High Project Manager Chula Vista High Sweet- water High Project Manager Project Engineer Hilltop High Project Engineer National City Middle Project Manager Mar Vista High Project Engineer Mont- gomery High Project Manager South- west Middle Project Manager

Project Engineer Estimating Move Coordination

Constructability Reviewer

Ortiz McGovern Alon Webb Almagro Compton Munro Evans Barrera Gutierrez Devine Keefer Bush Desai Blake Johnson Ruiz Haddad Ehm Elijah Gonzalez Kirsininkas Christman Rote

Gilbane/SGI Organization Chart

(2007-10) 19.5 FTE

Sweetwater Union High School District

Project Engineer

Munoz Lewis

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(2015) 12.25 FTE

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Bond Oversight

Years

2002 2010 2006 2004 2008 2012 2014 2016 2018

Prop O CBOC meets monthly
By-laws updated annually since 2012
Membership increased from 7 to 9 (2 more at-large)
Annual Reports produced since 2007-08
Human Resources recruits CBOC Members
Robust Prop O website

Voluntary Prop BB Bond Oversight Committee Prop O Citizens’ Bond Oversight Committee (CBOC) mandated by Prop 39

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Board of Trustees / CBOC Special Joint Meeting

Questions and Comments
Adjourn Joint Meeting

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Board Workshop Capital Facilities Financing Plan – Sections 2 and 3

Karen Michel, Chief Financial Officer Tom Calhoun, Chief Facilities Executive Paul Woods, Director of Planning and Construction January 12, 2015

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Sections 2 and 3 are the Mello-Roos Community Facilities District (CFD) Program and Other Planning Projects Program

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Mello-Roos Community Facility District (CFD) Taxes
Typically created by a land-owner vote
Funds infrastructure such as schools
18 CFDs so far
Other funding sources:

 Deferred Maintenance  Adult Ed funds  ASB funds  State Funds  General Fund  Special Reserve Fund

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Funding Sources

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CFD Special Taxes

The Rate and Methods of Apportionment (RMAs) of our Mello-

Roos CFDs call for an allowable 2% annual maximum adjustment

The 2%

adjustment in CFD taxes for 2013-14 was not approved. FY 2014-15 Levy increases CFD Special Taxes by 2% .

Facility needs for new schools will deplete the $120 million

current balance in the Capital Facilities Fund

No proposal for a statewide school facility bond in the

Governor’s 2014-15 budget

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CFD Finance Master Plan

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Allocate expenditures to all CFDs —reasonable formula based

upon expenditure type

Past accepted practice —all CFD expenditures in one “bucket”
Updated allocation plan includes:
Categorize and re-distribute 27 years of expenditures —

administrative, debt service and construction

Cost Allocation Plan Matrix from legal counsel for 18 CFDs
District has contracted with David Taussig & Associates to review:
CFD expenditures,
CFD revenue, and
The Proposed Cost Allocation Plan.

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CFD #18

CFD NO. 18

(Millenia)

18 CFDs to date

CFD #7 prepaid the CFD taxes under a mitigation agreement

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Phase 1 – Progress to date

New Schools (CFD) Small Projects (CFD)

CFD and Other Program Project Locations

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East Hills Academy

Other Projects

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CFD and Other Projects Program Overview

OLH S an Ysidro HS

Years

2002 2010 2006 2004 2008 2012 2014 2016 2018

Major Projects during the Prop BB and Prop O timeframe: 3 new high schools, 1 middle school, 1 special ed school

New Schools EHA

EHA addition OLH various

SYH SYH P2 ORH ELM

ELH upgrades

EastLake MS Otay Ranch HS Olympian HS Eastlake HS (1992) East Hills Academy (at OLH)

The Future

ELH Field ORH Field

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The Need for New Schools

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Historical:
Fast growth with a peak in 2007-08 then decline

and leveling off.

Short-term Projection:
5 year projection is almost back to the peak.
Long Term Projection:
2030 Development projections from SANDAG

indicate the need for:  2 new high schools  1 new middle school

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Demographics

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Enrollment Patterns and Demographics

Planning and Construction Department

9/4/14

5,000 10,000 15,000 20,000 25,000 30,000 35,000 40,000 45,000

42,300

20 Years of 7-12 Enrollment

1994-95 through 2013-14

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Stable enrollment at 40,400 28,800 2008 Recession Starts

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Enrollment Patterns and Demographics

Planning and Construction Department

9/4/14

39,000 39,500 40,000 40,500 41,000 41,500 42,000 42,500 43,000 08/09 09/10 10/11 11/12 12/13 13/14 14/15 15/16 16/17 17/18 18/19

7-12 Enrollment 7-12 6-year average 7-12 5-year average 7-12 4-year average 7-12 6-year weighted average 7-12 5-year weighted average 7-12 4-year weighted average

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40,335 Actual CalPADS Enrollment 41,700 5-year Projection

5-year Enrollment Projections

Cohort Survival Methods

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Enrollment Growth - 2030

+1,500 units +300 HS +130 MS +7,400 units +1,500 HS +17,400 units +3,500 HS +1,500 MS SANDAG 2030 Projections of residential units (rounded)

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Enrollment Growth - 2030

+17,400 units +3,500 HS +1,500 MS SANDAG 2030 Projections of residential units (rounded) MS12/HS14 2,000 HS 1,000 MS HS14 2,500 HS MS12 1,500 MS ORH OLH RDM ELH

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Planning and Construction Department Projects

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DSA Projects since 2008-09:
Submitted to DSA:

144 projects

Approved by DSA:

133 projects

(includes 6 projects submitted prior to 08-09)

Certified or closed:

170 projects

(includes 41 projects approved prior to 08-09)

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Workload

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Active DSA projects:
Planning stage:

20+/- projects

Submitted to DSA:

8 projects

Approved by DSA:

15 projects

Approved in closeout:

17 projects

Uncertified or on-notice: 47 projects
Total:

107 projects

About 50 non-DSA small projects (warranty

work, maintenance projects, etc.)

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Workload

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DRAFT CFFP Update for January BOT Meeting

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