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FY2008 Recommended Capital Budget & FY2008-2017 Capital

Improvement Plan

June 19, 2007

Board of County Commissioners

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Presentation Outline

FY2008 Capital Budget Recommendation Summary

Project Prioritization Criteria

Recommended Capital Projects by Category

Capital Project Funding

Next Steps

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Recommendation Summary by Category

 Recommended for

FY08 Funding Not Recommended For FY08 Funding

Government Facilities $ 26,426,000 $ 239,753,000

Court Facilities 13,865,000 34,952,000

Law Enforcement Facilities 6,686,000 5,025,000

Storm Water 80,667,000 0

Park & Recreation 52,262,000 208,125,000

Library Facilities 4,259,000 45,021,000

Historic Landmarks 0 8,608,000

CPCC 46,500,000 35,250,000

CMS 616,709,000 0

Totals $ 847,374,000 $ 577,084,000

Note: Numbers rounded to the nearest $1,000.

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Recommendation Summary Recommendation is based on projects requiring funding in

FY2008

FY2009 or later projects will be considered in that year

An education facilities bond referendum is recommended for Fall 2007

Funding sources for proposed projects include: Bond referendum Pay-As-You-Go capital funds Certificates of Participation (COPs) 2/3 non-voted bonds, and Storm water fees

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Project Prioritization Criteria

1. Project Urgency in Order to Continue County Services

2. Risk Mitigation and Service Delivery

3. Submitting Agency Project Planning and Cost Estimating Reliability

4. Contributes to Achievement of 2015 Vision

5. Strategic Impact Issue Alignment

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Project Cost Escalation

All project costs include cost escalation except where noted.

Submitting agencies were provided with the following cost escalation guidelines:

Note: Storm Water used no escalation because 65% of budget is state and federal grants. CPCC used no escalation in years 1 & 2 and 4% for years 3-10.

Year 1-2 Year 3-5 Year 6-10

FY2008-2009 FY2010-2012 FY2013-2017

10% 8% 4%

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Recommended Projects by Category

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Legend

Strategy Rationale Proposed funding source

Projects √ = Recommended — = Deferred X = Not Recommended

Note – Numbers rounded to nearest 1,000

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Government Facilities - $26,426,000 Strategy

1) Make highest and best use of the County’s land at the Board’s directive.

2) Promote economic development.3) Fund through Paygo.

Projects√ Human Resources Relocation√ Brooklyn Village Infrastructure√ New Second Ward Park Phase I√ Freedom Mall Renovation Phase I (Planning & Design)√ MWSBE Relocation to Freedom Mall√ Watkins Center New Parking √ County Facilities Master Plan

Note: √ = Recommended; — = Deferred; X = Not Recommended.

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Government Facilities (cont.)

Projects─ Southeast Health Clinic Relocation

─ Tax Collection and YFS Relocation to Freedom Mall

─ Jail Diversion & Crisis Stabilization Center - Phase 1

─ Former Southeast Health Clinic Renovation

─ Youth & Family Services Expansion @ the County & Courts Office Building

─ Medic Headquarters Facility

─ Freedom Mall Renovation Phase 2 (Hal Marshall Relocation)

Note: √ = Recommended; — = Deferred; X = Not Recommended.

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Court Facilities - $13,865,000 Strategy

1) Utilize space in existing court facilities now that the new Courthouse is open.

2) Fund through Paygo.

Projects√ Public Defender & Guardian Ad Litem Relocation─ Court Support Agencies Expansion (Juvenile Justice &

Victim Assistance)─ Community Corrections Relocation─ District Attorney Expansion at Historic Courthouse

Phase II

Note: √ = Recommended; — = Deferred; X = Not Recommended.

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Law Enforcement Facilities - $6,686,000

Strategy 1) Postpone consideration of major jail expansion for one

year to complete Sheriff Facilities Master Plan.

2) Fund through Paygo.

Projects√ Annex at Jail North

√ McDowell Parking Deck (Electrical)

─ Sheriff’s Office Expansion

Note: √ = Recommended; — = Deferred; X = Not Recommended.

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Storm Water - $80,667,000

Strategy1) Leverage state and federal funds to address flood

mitigation, stream stability and water quality of major streams and creeks.

2) Fee funded.

Projects√ Flood Mitigation & Water Quality Improvements

Note: √ = Recommended; — = Deferred; X = Not Recommended.

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Park and Recreation - $52,262,000 Strategy

1) Postpone consideration of major Park & Recreation capital projects until new Master Plan is complete.

2) Fund only critical projects in FY2008.3) Fund through a land bond referendum, 2/3 bonds &

PAYGO.

Projects √ Park Land/Watershed/Nature Preserve Acquisition√ Little Sugar Creek Greenway Construction─ New Development (First Ward Neighborhood Park,

Greenway Construction, Evergreen Nature Preserve, District Park Development)

─ Facility Improvements (McDowell Campground Restrooms, Greenville & Sugar Creek Rec. Centers)

Note: √ = Recommended; — = Deferred; X = Not Recommended.

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Library Facilities - $4,259,000 Strategy

1) Fund only critical projects in FY2008. 2) Fund through COPs.

Projects√ Beatties Ford Road Reconfiguration√ Land Acquisition for Future Southwest Regional Library─ New Construction - Highland Creek Branch Library─ New Construction - Ballantyne Branch Library─ New South West Regional Library Construction─ Reconfiguration Projects at Plaza Midwood,

Independence, Mint Hill, & North County

Note: √ = Recommended; — = Deferred; X = Not Recommended.

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Historic Landmarks - $0 Strategy

1) HLC has a revolving fund and proceeds from projects currently being sold will help build up the fund balance.

2) Fund requested projects through the revolving fund and not through the capital budget.

Projects X Main Streets in Pineville, Huntersville, Matthews, and

DavidsonX Arthur Grier HouseX Thrift P&N Railroad Station, Monroe Road Pure Oil

StationX Torrence Lytle SchoolX Li’l Diner

Note: √ = Recommended; — = Deferred; X = Not Recommended.

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CPCC - $46,500,000

Strategy 1) Fund only critical capital projects and defer others. CPCC

should submit reserve projects in the FY09 capital reserve process.

2) Fund through a CPCC bond referendum ($25.0M), COPs ($21.0M) & PAYGO ($500,000).

Projects√ Campus Parking Deck√ Van Every Building Replacement√ Technology Infrastructure─ Land Acquisition for Future CPCC Campus─ GED and Adult High School Center, Citizens Center

Renovation, Advanced Technology Center RenovationX Renovations & Capital Upfits of Existing Facilities

Note: √ = Recommended; — = Deferred; X = Not Recommended.

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CMS - $616,709,000

Strategy1) Based recommendation on the Board of Education’s

approved CIP request. 2) Include land acquisition costs associated with projects. 3) Fund through a CMS bond referendum.

Recommend funding entire CMS Request - 54 Projects totaling $616,708,598 in escalated dollars, including $30M for land acquisition.

See CMS Tab for details.

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CMS Request Details

Type of ProjectNumber of

ProjectsCost

(Unescalated)Percent ofTotal Cost

Growth 21 $ 332,718,500 54.0%

Renovations 29 $ 162,317,744 26.3%

Mandates/Initiatives 6 $ 15,688,488 2.5%

Land Acquisition 1 $ 30,000,000 4.9%

Cost Escalation N/A $ 75,983,865 12.3%

Type of SchoolNumber of

New Schools

Number of New Classrooms per

New School Total Number of New Classrooms

Elementary 10 39 390

Middle 2 54 108

High 2 100 200

Pre-K 2 25 50

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Funding Summary

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Five Key Funding Strategies

1. Meet legal mandates for facilities.

2. Emphasize health and safety considerations for employee and customer safety.

3. Ensure critical space needs of County departments are met.

4. Land needs for specific projects should be included in the project costs.

5. Projects not proposing the use of FY08 funding were deferred to the FY09 capital budget year.

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Capital Funding SummaryProject Category PAYGO COPs Referendum* 2/3 Bonds Fees

Gov't Facilities $ 26,425,885        

Court Facilities 13,865,000        

Law Enforcement Facilities 6,686,000        

Storm Water         $ 80,667,320

Park & Recreation 6,271,584   $ 33,990,000 $ 12,000,000  

Library Facilities   $ 2,608,782 1,650,000    

Historic Landmarks          

Central-Piedmont Community College 500,000 21,000,000 25,000,000    

Charlotte-Mecklenburg Schools     616,708,598    

Totals $ 53,748,469 $ 23,608,782 $ 677,348,598 $ 12,000,000 $ 80,667,320

*There are 3 different bond referendums being recommended: CMS, CPCC & Land.

Red = CMS, Blue = CPCC, Green = Land.

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A Look Ahead – Potential FY09 Projects Government Facilities

Freedom Mall Renovation Phase II $67,000,000 Medic Headquarters Facility $57,000,000

Law Enforcement Jail Expansion $150,000,000

Public Library New Construction, Reconfiguration Projects $50,000,000

Park & Recreation Land Acquisition, Park Development & $200,000,000

Facility Improvements

Central Piedmont Community College New Facilities $35,000,000

Potential FY09 Costs $559,000,000

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Board Options

Accept County Manager’s Recommendationor Add/Delete Projects

Change Funding Source for Projects

Consequences to every choice Deferred capital needs Impact on future debt service costs

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Next Steps Adopt a Capital Budget

Number of Projects Funding Sources

Recognize need for Board discussion in a workshop setting Set up Capital Budget Workshops in July Board Meeting is July 10th

August 2nd: Deadline for: Deciding to have referendum Set an amount (can still be reduced, but not increased after this date)

September 5th: Last day bond order can be adopted for referendum

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www.MecklenburgCountyNC.gov

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Thank You

Citizens’ Capital Budget Advisory Committee Finance Department Real Estate Services Departmental Staff Strategic Organizational Improvement Staff