CAPITAL EXPENDITURES

Transcription

1 CAPITAL EXPENDITURES 1

2 CAPITAL EXPENDITURES CAPITAL EXPENDITURES PLANNING On March 1, 2010 the AmherstPelham Regional School committee adopted a policy for developing a formal capital needs planning process. A capital improvement is a tangible asset or project with an estimated useful life of five (5) years or more, and a cost of $5,000 or more. The Regional Capital Planning Committee, comprised of members of the Regional Budget and Finance Subcommittee, the Director of Finance and Operations, and the Director of Facilities and Maintenance, is charged with annually developing a fiveyear capital improvement plan, including the upcoming annual capital improvement budget and a fouryear projection of capital needs and expenditures which details the estimated cost, description, and anticipated funding sources for capital projects. The FY2012 budget development cycle is the first time this policy has been implemented. THE CAPITAL BUDGET On January 11, 2011, The AmherstPelham Regional School District School Committee approved a Capital Improvement Plan for FY2012 totaling $996,000. The Plan calls for the following projects to be funded: 1 Replacement Windows at MS 785,000 2 Repoint Leaking Capstones at MS 50,000 3 Eliminate AC W indow Units at HS 25,000 4 Developmental Study Classroom at HS 10,000 5 Paint Exterior Steel Columns at HS 50,000 Total funded with Bond Anticipation Note 920,000 6 Window Shades for HS Classrooms 30,000 7 Amortization of SEC Renovations 10,000 8 Wireless LAN Infrastructure 36,000 Total funded from Stabilization Fund 76,000 Total Approved Capital Improvements 996, To replace all windows in the Middle School as part of a green Initiative. 2. To hire a contractor to repoint leaking capstones at Middle School to mitigate water damage and preserve structural integrity. 3. To conduct architectural and engineering studies in anticipation of replacing aging window AC units on top floor of High School with ducted chiller system housed on the roof. 4. To contract for remodeling/reconstructing a classroom at the High School as an Activities of Daily Living class/laboratory for special needs students. 5. To contract for stripping and repainting exterior steel support columns at the High School. 6. To install window shades in High School classrooms for security and energy efficiency. 7. To amortize the cost of interior renovations to accommodate the District s consolidated SEC program. The cost of renovations was born by the Town of Amherst, the owner of the building, with the understanding that the Regional District would amortize the cost over ten (10) years. 2

3 8. To expand coverage and upgrade the wireless network from consumer to enterprise grade equipment and accommodate the bandwidth demanded by the increasing number of wireless devices. FUNDING CAPITAL EXPENDITURES The plan calls for $920,000 to be funded with Shortterm Borrowing, and $76,000 to be funded from the Stabilization Fund. ShortTerm Borrowing is available to the Regional District though Bond Anticipation Notes (BANS). BANS issued through the Department of Revenue (State House Loan Note Program) have a one year maturity and can be renewed for a total of five years. Payment of interest only is due at the maturity date of the BAN and the principal is renewed for another year. Principal payment is required in third year of borrowing of at least equal to the minimum payment that would have been required if temporary loan had been converted into permanent loan. The Window Replacement project has been approved for a Green Initiatives Grant from the MSBA which will reimburse eligible costs at 59.8%. The reimbursement from MSBA should occur prior to the BAN maturity date in 12 months, reducing the rollover amount to a year 2 BAN. Looking to the future of the Capital Plan, year two (2) projects would be funded with another BAN, and in year three (3) the two BANS would be rolled into a Long Term General Obligation Bond Issue along with the funding for the year three projects. During the first two years of this plan the interest due on the BANS at maturity will be funded from the Stabilization Fund. Once the long term bond is issued, principal and interest payments will be assessed to member towns. Principal and interest on bonds or other obligations authorized by vote of the Regional District School Committee to finance capital costs are apportioned to the Member Towns on the basis of the equalized valuation of each town as determined and reported by The Department of Revenue Division of Local Services in effect on the date such bonds or other obligations are authorized. The proportion of the assessment does not change during the period the bonds or other obligations are outstanding. A look at the current debt obligation (below) illustrates these assessments from prior bond issues. 3

4 CAPITAL PLAN FORECASTS FOR FIVE (5) YEARS AmherstPelham Regional School District Capital Plan FY12 Plan Adopted by the Regional Capital Planning Committee on 12/7/2010 Revised Plan Adopted by Regional Capital Planning Committee on 1/4/2011 Approved by full School Committee on 1/11/2011 FY12 FY13 FY14 FY15 FY16 TOTAL Buildings 960,000 1,035, , ,000 2,065,000 5,269,000 Grounds 25, , ,000 Equipment 36,000 98,700 91,500 60,600 60, , ,000 1,158, ,500 1,089,600 2,125,600 6,141,400 Appropriations Financing 920,000 1,096, ,500 2,758,000 Special Revenue Funds 76,000 62,200 10,000 10,000 10, ,200 Grants (358,800) (358,800) 637,200 1,158, ,500 10,000 10,000 2,567,400 4

5 AmherstPelham Regional School District Capital Plan Buildings 1/4/2011 Project Name FY12 FY13 FY14 FY15 FY16 TOTAL High School Developmental Study Classroom (173) 10, , ,000 Painted Exterior Steel Columns 50,000 50,000 Shades 30,000 30,000 Interior Maintenance (ie. Painting, Flooring) 10,000 10,000 20,000 Locker Room Renovations 15, , ,000 Boiler Room Desgn 20,000 20,000 Burner Replacments (old burners 2) 250, ,000 Bleacher in Gym 60,000 60,000 Auditorium Curtian 25,000 25,000 Exhaust Fans B,C,D,E Wings 90,000 90,000 Auditorium Seats Refurbish 125, ,000 High AC eliminate W indow units 25, , ,000 Middle School Repoint leaking Capstones 50,000 50,000 Clauk Windows & Doors Replacement Windows & Doors 785, ,000 Security Lock / Crash Bar Upgrade 15,000 15,000 Asbestos Management 10,000 10,000 20,000 Shades 30,000 30,000 Intercom Upgrades for Security 10,000 10,000 Exterior Fire Stairs (redesign & build for new england) 500, ,000 Interior Maintenance 10,000 10,000 20,000 Hot Water Upgrades (Showers / Bathrooms) 30,000 30,000 Locker Room Showers Renovations 15,000 15,000 Bleacher in Gym 60,000 60,000 Main Office Carpet 15,000 15,000 Mechanical HVAC Pump Room Renovation 95,000 95,000 Balance Air Flow 150, ,000 Exhaust Fans 100, ,000 Pool Leaks Repair 50,000 50,000 Pool Heater Upgrade 14,000 14,000 Pool Re Grouting 60,000 60,000 Auditorium Seats Refurbish 125, ,000 Electrical Service Upgrade 250, ,000 Roofs 75,000 1,500,000 1,575,000 Energy Management 5,000 5,000 10,000 Amortization of SEC renovations (10,000 x 10 yrs) 10,000 10,000 10,000 10,000 10,000 50,000 CO Modulars / Renovation / Disposal 20,000 20,000 TOTAL BUILDINGS CAPITAL 960,000 1,035, , ,000 2,065,000 5,269,000 Appropriations Financing 920, , ,000 2,550,000 Special Revenue Funds 40,000 55,000 10,000 10,000 10, ,000 Grants (358,800) (358,800) 601,200 1,035, ,000 10,000 10,000 2,316,200 5

6 AmherstPelham Regional School District Capital Plan Grounds 12/7/2010 Project Name FY12 FY13 FY14 FY15 FY16 TOTAL High School Additional Parking 100, ,000 Track Refinish 35,000 35,000 Court Yard Clean Up (crane) 15,000 15,000 Lawn Sprinlker System Leveling 10,000 10,000 Parking Lot Sealing 50,000 50,000 Pave Gray St Ext. 25,000 25,000 North Field Regrading 75,000 75,000 Middle School Sidewalk Repair 25,000 25,000 Southeast Storm Drain Repair 5,000 5,000 Perimeter Drainage 50,000 50,000 Tennis Court 135, ,000 TOTAL GROUNDS CAPITAL 25, , ,000 Appropriations Financing 25,000 25,000 Special Revenue Funds Grants 25,000 25,000 6

7 AmherstPelham Regional School District Capital Plan Equipment 1/11/2011 FACILITIES Project Name FY12 FY13 FY14 FY15 FY16 TOTAL High School Middle School Key Tracking ,000 TOTAL FACILITIES ,000 TRANSPORTATION TOTAL TRANSPORTATION INFORMATION SYSTEMS High School Projectors 39,000 39,000 6,500 6,500 91,000 Document Cameras 16,500 16,500 2,750 2,750 38,500 Interactive W hite Boards 36,000 36,000 6,000 6,000 84,000 Replacement Network Switch Other 10,000 10,000 20,000 Middle School Document Cameras 8,250 8,250 16,500 Interactive W hite Boards 18,000 18,000 36,000 Replacement Network Switch 8,600 8,600 17,200 Wireless LAN Infrastructure 36,000 7,200 43,200 TOTAL INFORMATION SYTEMS 36,000 98,700 91,500 60,100 60, ,400 TOTAL EQUIPMENT CAPITAL 36,000 98,700 91,500 60,600 60, ,400 Appropriations Financing 91,500 91, ,000 Special Revenue Funds 36,000 7,200 43,200 Grants 36,000 98,700 91, ,200 7

8 AmherstPelham Regional School District Capital Plan 1/4/2011 FY12 Plan Adopted by the Regional Capital Planning Committee on 12/7/2010 Revised Plan Adopted by Regional Capital Planning Committee on 1/4/2011 Approved by full School Committee on 1/11/2011 FY12 FY13 FY14 FY15 FY16 TOTAL Buildings 960,000 1,035, , ,000 2,065,000 5,269,000 Grounds 25, , ,000 Equipment 36,000 98,700 91,500 60,600 60, , ,000 1,158, ,500 1,089,600 2,125,600 6,141,400 Appropriations Financing 920,000 1,096, ,500 2,758,000 Special Revenue Funds 76,000 62,200 10,000 10,000 10, ,200 Grants (358,800) (358,800) 637,200 1,158, ,500 10,000 10,000 2,567,400 BAN 1 920,000 BAN 2 561,200 BAN 3 1,096,500 LT Bond 2,399,200 BANs 920,000 MSBA Reimbursement (358,800) Roll to next year 561, ,000 1,657,700 2,399,200 Stabilization Fund Beginning Balance 364, , , , ,392 Capital Projects (76,000) (62,200) (10,000) (10,000) (10,000) BAN Interest (15,281) (33,128) Assessments Ending Balance 272, , , , ,392 8

9 CURRENT DEBT OBLIGATIONS AmherstPelham Regional School District Debt Payment Schedule Debt Shedule FY09 FY10 FY11 FY12 FY13 FY14 FY15 FY16 High School Roof Principal (125,000) (125,000) (125,000) (125,000) (125,000) (125,000) (125,000) Interest (32,188) (27,188) (22,188) (17,344) (12,500) (7,500) (2,500) Total (157,188) (152,188) (147,188) (142,344) (137,500) (132,500) (127,500) High School Addition Principal (1,180,000) (1,165,000) (1,145,000) (1,130,000) (1,115,000) (1,100,000) (1,095,000) (1,090,000) (1, Interest (454,619) (417,259) (374,700) (329,200) (284,300) (240,000) (190,625) (136,000) Total (1,634,619) (1,582,259) (1,519,700) (1,459,200) (1,399,300) (1,340,000) (1,285,625) (1,226,000) (1, MS Renovation Project Principal (80,000) (80,000) (80,000) (80,000) (80,000) (80,000) (80,000) (80,000) Interest (26,800) (23,600) (20,400) (17,300) (14,200) (11,000) (7,800) (4,600) Total (106,800) (103,600) (100,400) (97,300) (94,200) (91,000) (87,800) (84,600) Total Debt Expense (1,898,606) (1,838,047) (1,767,288) (1,698,844) (1,631,000) (1,563,500) (1,500,925) (1,310,600) (1, Assessment to Towns Amherst 559, , , , , , , ,378 Pelham 46,032 42,365 38,041 33,859 29,716 25,602 21,805 10,443 Leverett 64,434 59,511 53,732 48,142 42,602 37,096 32,004 13,621 Shutesbury 57,638 53,123 47,808 42,668 37,575 32,516 27,843 12,713 Total 727, , , , , , , ,155 MSBA Payment 1,063,846 1,063,846 1,063,846 1,063,845 1,063,845 1,063,845 1,063,845 1,063,845 1, MS Project from Stabilization 106, , ,400 97,300 94,200 91,000 87,800 84,600 Total Debt Support 1,898,606 1,838,047 1,767,288 1,698,844 1,631,000 1,563,500 1,500,925 1,310,600 1, Consolidated Debt Obligations Beginning Balance 15,568,934 13,670,328 11,832,281 10,064,994 8,366,150 6,735,150 5,171,650 3,670,725 2 Payments Principal (1,385,000) (1,370,000) (1,350,000) (1,335,000) (1,320,000) (1,305,000) (1,300,000) (1,170,000) (1, Interest (513,606) (468,047) (417,288) (363,844) (311,000) (258,500) (200,925) (140,600) Ending Balance 13,670,328 11,832,281 10,064,994 8,366,150 6,735,150 5,171,650 3,670,725 2,360,