public schools overcrowding & repair needs...

AGENDA

PUBLIC SCHOOLS OVERCROWDING & REPAIR NEEDS COMMITTEE (As authorized by Senate Bill 411 of the 2015 Legislative Session)

October 9, 2015 – 9 a.m. Washoe County Complex; 1001 E. Ninth Street; Building A, Caucus Room (2nd Floor); Reno, NV

1. Opening Items – Chairman

a. Call to Order

b. Roll Call & Introductions

2. Public Comment*

3. Items for Discussion and Possible Action

a. Approval of the Minutes of the September 25, 2015 Meeting – ChairmanCarey (For Discussion And Possible Action)

b. Discussion and possible action to select future meeting dates – ChairmanCarey (For Discussion And Possible Action)

c. Presentation on Economic Development Update – EDAWN CEO Mike Kazm-ierski (For Discussion Only)

d. Presentation, discussion and possible action to accept the information pre-sented on current and proposed tax revenue projections for the potentialballot question to fund school construction as authorized and explained bySenate Bill 411– Chief Financial Officer Tom Ciesynski and Marty Johnson ofJNA Consulting Group, LLC (For Discussion And Possible Action)

e. Presentation, discussion and possible action to accept the information pre-sented on estimated cost of school construction in the Washoe CountySchool District– Pete Etchart, Chief Operating Officer (For Discussion AndPossible Action)

f. Presentation and discussion on current enrollment and projected enrollmentand potential changes to school operations as directed by Washoe CountySchool Board Policy - Pete Etchart, Chief Operating Officer (For DiscussionOnly)

g. Requests for future agenda items (For Discussion Only)

4. Public Comment*

5. Adjourn Meeting

∗ Comments from the public are invited at this time on topics not specifically addressed elsewhere in the agenda. A yellow “Citizen’s Request to Speak” card should be filled out and submitted to the Committee before speaking during the Public Comment section. Individuals are limited to three minutes per item. The Panel is precluded from discussing or acting on items raised by Pub-lic Comment, which are not already on the agenda. The Panel may impose reasonable re-strictions on the format allowed for public comment. Written comments submitted for public comment may be submitted to the Panel and will be attached to the minutes of the meeting.

** Please note: • Items on this agenda may be taken out of order; • The Committee may combine two or more agenda items for consideration; and • The Committee may remove an item from the agenda or delay discussion relating to an

item on the agenda at any time.

Members of the public wishing to request supporting materials for this meeting or who are disabled and require special accommodations at the meeting should contact Dena Sonnenburg in writing at 7495 South Virginia St., Reno NV 89511, or by calling 775-851-5672 prior to the meeting date.

This agenda has been posted at the following locations:

• Washoeschools.net• State of Nevada: notice.nv.gov• Washoe County School District Central Administrative Building• Washoe County Administration Building• Washoe County Courthouse• Incline Library• Reno City Hall• Sparks City Hall• Sparks Library• Pyramid Lake Paiute Tribe Administration Building• Reno Sparks Indian Colony Administrative Office

Public Schools Overcrowding & Repair Needs Committee2015-16 Meeting Schedule - Dates subject to change (Updated 8/13)

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December 2015 June 2016

October 2015

November 2015 May 2016

April 2016

March 2016September 2015

July 2015 January 2016

August 2015 February 2016

PSORN Meetings 9 amHeld at Washoe County

School District not in session Holiday

Agenda Item 3b

Public Schools Overcrowding & Repair Needs Committee

Mike Kazmierski, President and CEOSeptember 9, 2015

Agenda Item 3c

• Tesla / Switch• Record Job Attraction• Significant Rebranding Efforts• Revitalization of Downtown• Housing Boom Driven By Real Demand• Significant Entrepreneurial Energy• Unprecedented Connectivity

The New Reno-Sparks

What’s Coming!

0

3

6

9

12

15

2012 Ave 7.8

2014 Ave 10.92013 Ave 9.8

2015 Ave 10.3

2011 Ave 4.2

Jobs Announced – Continued Increase

FY 2015 Goal-2,400

0200400600800

10001200140016001800200022002400260028003000

Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun

2008/11 AveFY 2011/12FY 2012/13FY 2013/14FY 2014/15FY 2015/16

2012

2013

2014

2015

2008-11

4

Tesla: Wow!

The Largest Deal In The U.S. In 2014 - Changes Our Brand

Overnight!

More Than Jobs: Puts Us on The Radar For: Manufacturing, Business, Entrepreneurs, Creative

Class, Research & Development, Investors . .

• Switch, The Developer Of SUPERNAP DataCenters Is Expanding To Northern Nevada

• Is Building A 3 Million Sq-ft Data Center; WillBring $3 B Of Investment and 400+ Jobs

• Switch's Development Of A Fiber OpticNetwork Loop Will Connect Reno, Las Vegas,Los Angeles And San Francisco

• SUPERLOOP Will Dramatically Increase TheSpeed Information Can Travel Among TheCities

EDAWN Luncheon Sept 24 - SWITCH

Types Of Companies Relocated FY2014

Distribution 24%Service

16%

Data Center8%

Manufacturing 52%

2015 EDAWN Assisted ProjectsIndustry Company Jobs From HQ

Service Blackridge Technology 30 CA XManufacturing Immy, Inc. 30 CAManufacturing Seeco Switch 10 NCData Center Switch 400 NVService Koch Industries, Inc 50 KSManufacturing Planetary Pinball 10 CA XService Grand Rounds 200 CAManufacturing Cascade Designs 100 WAManufacturing Industrial Lighting 60 FLDistribution Meri Meri 10 CADistribution Etailer Inc. 15 WI

2015 EDAWN Assisted Projects

Industry Company Jobs From HQManufacturing So. Prosthetic Supply 20 GAManufacturing Indy Hangar 20 INManufacturing Angie’s Artisan Treats 160 MNManufacturing Aqua Metals 70 CAService Teleperformance 500 UTManufacturing BI Nutraceuticals 120 CAManufacturing Deceuninck 80 OHTotal 1,885 2

Pending AnnouncementsIndustry Job Count HQ Confidence Relocation State

Service 300 Very Likely NYManufacturing 100 Very Likely TAIWANDistribution 50 Very Likely UTManufacturing 50 Very Likely OHDistribution 500 Very Likely NVManufacturing 50 Very Likely TXService 50 Very Likely TXDistribution 5 Very Likely CAManufacturing 50 X Very Likely CA

Total 1,155 1

Industry Job Count HQ Confidence Relocation StateService 500 Finalist CAService 120 Finalist GADistribution 200 Finalist NYManufacturing 150 Finalist DEManufacturing 300 Finalist CAService 200 Finalist CAManufacturing 100 Finalist GAManufacturing 2,800 Finalist PA / VAManufacturing 1,000 Finalist ILManufacturing 200 Finalist INService 100 X Finalist CAData Center 80 Finalist TXService 62 Finalist WI

Total 5,812 1

Hot Prospects!

• Company Visits – 184• Growing 84• Future Growth 68 • Flat 29• Declining 3

• Seven Assisted Expansions = 1,340 New Jobs• Business To Business Connections Made = 36• Two Industry Sector Councils • 53 Companies In Existing Industry Awards• Issues Addressed = 25

Retention Results / Initiatives

83% Growing

12

Entrepreneurial Development Success!Entrepreneur.com on NBCNews.com3 Alternative Tech Startup Cities With Less Traffic, More Housing (Infographic)

Three Western locales previously considered vacation destinations are now alternatives to Silicon Valley life at a much more affordable price.

3 Alternative Tech Startup Cities Three Western locales previously considered vacation destinations are now alternatives to Silicon Valley…..….

13

Explosive Growth Is Coming!

160,000170,000180,000190,000200,000210,000220,000230,000240,000250,000260,000 Tesla Job Growth

EDAWN Job GrowthHistoric Employment

Rapid Growth 2.2%

4.5% Growth

14Historic Growth 1.2% / Year

The EPIC Report(Economic Planning Indicators Committee) Unprecedented Growth Is Projected For The Region:

Tesla/Switch & Nearly 100 Other Announcements What Are The Impacts Of This Growth On: Housing,

Transportation, Workforce, Public Service Etc.? Multiple Planning Organizations Were Providing

Varying Projections On Job & Population Growth Oct ‘14 EPIC Formed To Initiate The Coordination Of

(Public / Non-profit / Private) Agencies To Develop ASingle Consensus Report

EPIC Technical Committee Met Weekly With RCGEconomics To Gather Data & Provide Feedback

Scenario Job Growth PopulationA 56,600 46,200 B1 52,400 42,400B2 52,400 64,700 C 47,400 37,800

EPIC Job Forecast Scenarios(Five Years: 2015-2019) Rounded

EDAWN Projected Most Likely Scenario

Major Roads EPIC ZonesActive Tentative Map(TM) BoundariesPlanned Unit Development (PUD) Vacant – ResidentialPotential Incorporated Areas

Washoe County Residential Potential Map 2015

11,000 Lots Ready NOW!50,000 Available Soon

Housing GrowthMcCarran Loop

Questions?

Prepared byJNA Consulting Group, LLC

October 2015

Public Schools Overcrowding and Repair Needs Committee Presentation

Agenda Item 3d

JNA Consulting Group, LLC

BACKGROUNDThe following tables have been provided to help demonstrate the potential funding from various revenue sources and the impact of various sunsets on the bonding capacity.Funding capacity is made up of bonding capacity and pay‐as‐you‐go. A brief discussion of each follows. Bonding capacityDetermined by bond term, desired repayment structure, coverage, interest ratesBond term and revenue term may be different (bonds issued 5 years into a 30year revenue stream must be repaid in 25 years)

Must expect to spend the proceeds within 3 years of issuance Pay‐as‐you‐goDetermined by annual debt service (fixed when bonds are issued) and futurerevenue growth

PAYG component of Rollover program will end in 2025 unless renewed

1


Funding Matrix – Sales Tax

2

• The table showsthe total fundinggenerated over thespecified life of thetax revenue.

• Assumes bonds areissued in a lumpsum when taxcollections begin.

• Assumes 1.25x’scoverage on bonds.

Projected Annual

Rate Revenue (FY18) Bond Term (years)=> 10 15 20 30

0.25% $20,299,643

Bonding 125,398,769 163,007,447 186,268,244 217,682,262PAYG 40,599,286 60,898,929 81,198,572 121,797,857Total Funding 165,998,055 223,906,376 267,466,816 339,480,120Total Interest Paid 36,998,374 80,588,268 138,526,043 269,509,167

0.50% $40,599,286


0.75% $60,898,929

Bonding 376,196,308 489,022,341 558,804,732 653,046,787PAYG 121,797,857 182,696,786 243,595,715 365,393,572Total Funding 497,994,165 671,719,127 802,400,447 1,018,440,360Total Interest Paid 110,995,122 241,764,803 415,578,128 808,527,502

1.00% $81,198,572

Bonding 501,595,077 652,029,788 745,072,976 870,729,050PAYG 162,397,143 243,595,715 324,794,286 487,191,430Total Funding 663,992,221 895,625,503 1,069,867,262 1,357,920,479Total Interest Paid 147,993,496 322,353,071 554,104,170 1,078,036,669


Funding Matrix – Property Tax

3




ProjectedRate Revenue (FY18) Bond Term (years)=> 10 15 20 30

$0.01 $1,605,843

Bonding 11,809,421 15,351,216 17,541,800 20,500,213PAYG 764,687 1,147,031 1,529,374 2,294,061Total Funding 12,574,108 16,498,246 19,071,174 22,794,274Total Interest Paid 3,484,320 7,589,395 13,045,681 25,381,009

$0.02 $3,211,686


$0.03 $4,817,528


$0.04 $6,423,371


$0.05 $8,029,214



Funding Matrix – Real Property Transfer Tax

4





$0.50 $4,635,066


$1.00 $9,270,133



Funding Matrix – Governmental Services Tax

5

• The table shows the total funding generated over the specified life of the tax revenue.

• Assumes bonds are issued in a lump sum when tax collections begin.

• Assumes 1.25x’s coverage on bonds.


$1.00 $9,267,198



Funding Matrix – Room Tax

6





1.00% $3,070,516



Funding Matrix – Total vs Annual Funding

7

• The table shows the total funding generated between FY16 to FY24.

• Annual funding is an average and is provided for illustrative purposes only.

• Projected funding from Rollover bonds is:Total: $316,000,000Avg: $35,000,000

Bond Term (years)=> 10 15 20 30Sales Tax

0.25%Total Funding 161,938,127 199,546,804 222,807,601 254,221,620Annual Funding 17,993,125 22,171,867 24,756,400 28,246,847


0.75%Total Funding 778,129,237 890,955,271 960,737,661 1,054,979,717Annual Funding 86,458,804 98,995,030 106,748,629 117,219,969

1.00%Total Funding 647,752,506 798,187,217 891,230,404 1,016,886,479Annual Funding 71,972,501 88,687,469 99,025,600 112,987,387

Property Tax

$0.01Total Funding 12,497,639 16,039,434 18,230,018 21,188,432Annual Funding 1,388,627 1,782,159 2,025,558 2,354,270





Real Property Transfer Tax



Governmental Services Tax


Room Tax


Estimated Cost of School Construction

Public Schools Overcrowding and Repair Needs Committee

October 9, 2015

Agenda Item 3e

Currently Utilized WCSD Estimated Cost of School Construction

• Elementary Schools: $23 million

• Middle Schools: $55 million

• High Schools: $110 million

2

WCSD Benchmark Cost AnalysisWCSD Projects Escalated to October 2016 (Cumming Corporation)

• Elementary Schools: ≈$30 million*– Based on 61,000 sf Hall ES & Sepulveda ES model

– $35.4 million for 72,000 sf elementary school

• Middle Schools: ≈$60 million*– Based on 187,000 sf, 6-8th grade Depoali Middle School model

• High Schools: ≈$120 million*– Based on 285,000 sf North Valleys HS & Spanish Springs HS model

* Excluding land acquisition and water rights

4

School Construction Cost ComparisonAverage of Six Western States (Cuningham Group)

• Elementary Schools: ≈$23 million

• Middle Schools: ≈$65 million

• High Schools: ≈$115 million

6

CCSD School Construction Cost Comparison2015 Capital Improvement Plan - $4.1 billion

• Elementary Schools: $32 million (90,000 sf - $355/sf)

– $25.6 million for 72,000 sf elementary school

• Middle Schools: $62.5 million• High Schools: $125 million

– Small Career and Technical Academy: $110 million– Large Career and Technical Academy: $150 million

7

Comparison of Estimated Costs of School Construction

8

SCHOOL LEVEL Current WCSD Estimate

Past WCSD Inflation Adjusted

Six Western States CCSD

ELEMENTARY $23 M $35.4 M $23 M $25.6 MMIDDLE $55 M $60 M $65 M $62.5 MHIGH $110 M $120 M $115 M $125 M

Questions ?

9

WCSD Mission: “Every Child, By Name And Face, To Graduation”

Current enrollment, projected enrollment, and potential changes to school operations

Public Schools Overcrowding and Repair Needs Committee

October 9, 2015Agenda Item 3f

WCSD Enrollment

• 2012/13 = 62,424 (+204 students)

• 2013/14 = 62,986 (+562 students)

• 2014/15 = 63,108 (+122 students)

• 2015/16 = 63,724 (+616 students)

– 1.0% enrollment growth

2

http://www.google.com/url?sa=i&rct=j&q=&esrc=s&source=images&cd=&cad=rja&uact=8&ved=0CAcQjRxqFQoTCJny_9OroccCFYmWiAoda3cIsg&url=http://www.eblencharities.org/2014/08/tools-for-schools-readies-for-sixth-event-this-wednesday/elementary-school-students-raising-hands-in-classroom/&ei=LxTKVdmeF4mtogTr7qGQCw&bvm=bv.99804247,d.cGU&psig=AFQjCNFnMJ-hue7TbyMUHqtqZrvEZ2zzXA&ust=1439393162635693

http://www.google.com/url?sa=i&rct=j&q=&esrc=s&source=images&cd=&cad=rja&uact=8&ved=0CAcQjRxqFQoTCKnm1MvRoccCFYEqiAodOo8FNg&url=http://micheleborba.com/blog/mobilizing-bystanders-to-stand-up-to-bullies/&ei=9jvKVamTG4HVoAS6npawAw&bvm=bv.99804247,d.cGU&psig=AFQjCNFd4cjtXUwo440AYf5dqqhmqv2U3g&ust=1439403257131809

Washoe County Growth Projections • Economic Planning Indicator Committee (EPIC) - 1.7%

avg. population growth to 2019– 5,318 new students by 2019; 10,765 new students by 2024– EDAWN utilizing 2.4% average population growth

• Pre-Recession Student Enrollment Growth Rates (1988-

2004) – 3.5% average with 5.1% peak

3

Projected School Enrollment and Classroom Needs

4

Administrative Regulation 6111

“School Calendars/Schedules to Relieve Overcrowding”

5

Multi-Track Year Round (MYTR) School Calendar

A MTYR school calendar is a method to increase an elementary school’s capacity by having four (4) separate calendar tracks for each grade level at a school. The MTYR school calendar is designed so that only three (3) tracks are present at the school at any one time functionally decreasing the current school enrollment by 25%.

6

https://www.google.com/imgres?imgurl=http://www.ewa.org/sites/main/files/imagecache/medium/main-images/bigstock-children-studying-on-computers-3916008.jpg&imgrefurl=http://pics-about.space/4th-grade-astronomy-test?p=1&h=600&w=900&tbnid=Mhpud4z_6cM4UM:&docid=imzt7E0l9knd7M&ei=0Yf4VZ2IHdihyAS6oIugAg&tbm=isch&ved=0CE4QMyhLMEs4rAJqFQoTCN20sLP4-ccCFdgQkgodOtACJA

Admin. Reg. 6111• Plan Elementary School: 105% capacity

projected for following three years– School Overcrowding Meeting– School and parent representatives prepare a “School Overcrowding

Management Plan” (SOMP) based on District’s “Educational Philosophy”

– Superintendent makes recommendation to Board by December/January if SOMP requires Board action (funding or conversion to MTYR)

– SY 2016/17: 35 elementary schools– SY 2024/25: 50 elementary schools

7

Conversion Threshold

8

Definitions of Terms • Base Design Enrollment Capacity – This is the maximum

enrollment capacity for a school (not including portable classrooms). It is based on full capacity for the various grade levels at the school based on the latest educational specifications and classroom standards for students per grade level.

9

http://www.google.com/url?sa=i&rct=j&q=&esrc=s&source=images&cd=&cad=rja&uact=8&ved=0CAcQjRxqFQoTCJCq96Ty-8cCFQqaiAodfYkJqg&url=http://www.cie.org.uk/programmes-and-qualifications/cambridge-primary/&psig=AFQjCNFzWxaPUF6bPeuJjT7aFaX9h5spPg&ust=1442504490368186

Definitions of Terms • Conversion Threshold – The Conversion Threshold is an established

percentage over an elementary school’s base design enrollment capacity. When an elementary school exceeds (and is projected to remain above) the Conversion Threshold percentage, the school would automatically convert to a Multi-Track Year Round school calendar at the determined Implementation Date.

10

Conversion Threshold• 120% Conversion Threshold * SY 2016/17: 5 elementary schools SY 2025/26: 15 elementary schools

11

http://www.google.com/url?sa=i&rct=j&q=&esrc=s&source=images&cd=&cad=rja&uact=8&ved=0CAcQjRxqFQoTCKjGkdrx-ccCFcQwiAodwH4AEQ&url=http://nutritiouslife.com/5-things-you-can-do-at-the-playground-to-get-a-full-body-workout/&psig=AFQjCNH6dRtt4LJYMW35aQhaGdy3nDOhNQ&ust=1442435657902606

Conversion Threshold Implementation Date

12

• School Year 2017/18 Exception: Those elementary schools above the Conversion Threshold

for School Year 2016/17 will develop a School Overcrowding Plan (as per Administrative Regulation 6111) for School Year 2016/17

Questions ?

13

WCSD Mission: “Every Child, By Name And Face, To Graduation”

Future Agenda Items As Requested by the Public Schools Overcrowding & Repair Needs Committee

As of October 5, 2015

Suggested agenda item Status Tax Analysis - overview of sources, rates, revenue, debt service, and regional comparisons

Presented 9/25 Continuation on 10/9

National landscape of alternative school models including efficiencies, multitrack, and out of the box thinking

Scheduled on 10/23

Update on current and projected enrollment and expected policy & operational implications

Scheduled 10/9

Cost of School construction from a policy perspective (building codes, essential building standards for shelter in place, durability, standardized systems to lower maintenance, and cost of local government standards. How to build them cheaper, are we building the right model schools in the face of changing city zoning and density Other counties models to fund school construction and how our tax efforts compare

Presented 9/25

Academic impact of overcrowding – national and local perspective Impacts to schools if no additional funding is provided EDAWN economic update Scheduled 10/9 Potential and need for corporate partnerships Fiscal impact of the 2015 legislation session – new revenue for academic programs (full day k, class size, zoom schools, mental health professionals

Presented 9/25

Overview of NRS 281A.520 and SB 380 from the 2015 Legislative Session regarding District involvement in ballot questions Campaign Questions

• Analysis of the likelihood of success• If failure, then what?• Sensitivity of the public to taxes• And how to increase the likelihood of success• Who’s the opposition• Ability and desire for polling• Analysis of a yes vote vs. no vote• Sample ballot questions

Agenda Item 3g

2015 Meeting Agenda Forecast (dates tentative pending committee action)

Meeting Possible agenda items October 23, 2015

National landscape of alternative school models and possible options for Washoe County School District by The Cuningham Group Feasibility of Public Private Partnerships

November 6, 2015

Additional discussion and finalization of total school construction needs for the Washoe County School District

November 20, 2015

Committee discussion of feasibility of revenue sources as presented to address the agreed upon need

December 4, 2015

Additional discussion or presentation of polling

December 18, 2015

public schools overcrowding & repair needs...

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