Minutes 04-25-2013 - Laserfiche WebLink

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needs to be an effort to fight back against what is happening and to educate the public about the value of quality public education. Commissioner Price asked if anything has been done to support legislative efforts to help with the situation. Superintendent Rhodes said the CHCCS has passed several resolutions in opposition of many bills and Representative Foushee has been very supportive. Commissioner Price asked about the Board of County Commissioners sending a letter or resolution expressing their viewpoint on the situations. Chair Jacobs said this viewpoint was expressed at the legislative breakfast but a letter can also be sent. CHCCS Chair Brownstein said the legislative delegation is aware of this but their efforts have been frustrated. Commissioner Price suggested that a letter be sent to the governor and other counties be made aware of this effort in hopes that they join. Chair Jacobs suggested the board consider a petition at agenda review. CHCCS Board Member Gregory McElveen suggested that efforts to impact legislation should leverage the link to the business community. He said changes have an impact on the appeal of the state to those considering bringing jobs to here. Culbreth Science Wing Debt Financing Scenarios Chair Jacobs recognized the members of the public wearing yellow t-shirts in support of this science wing. Paul Laughton, with Orange County Finance Administrative Services, reviewed attachments D1 and D2 included in the packets. He said, at the last CIP work session, the Board of County Commissioners requested that staff bring back two scenarios in reference to the science wing addition. CHCCS has included this in the unfunded new school facilities section of their budget. He said that the CHCCS CIP calculates pay as you go funds, lottery funds, and article 46 sales tax funds. He said anything above that will be items that need financing and will be listed as unfunded. Paul Laughton referenced attachment D1 and the 15% annual debt service policy. He said this policy states that the county strives to maintain annual debt services cost at a level no more than 15% of general fund revenues. He reviewed how this amount is formulated and reviewed the numbers from the Total Annual Debt Service, which includes current debt service and stretches through a five year plan. He stressed that this is a planning tool and said that it is re-evaluated each year. He noted the projected growth of 1.5% each year until it goes to 2% in year 5. Paul Laughton said the projects listed on this sheet are those projects currently in the CIP. He said this sheet adds the Science Wing. He noted that the current recommended CIP reflects a $1.2 million dollar debt capacity overage in year 2017-18; however, with the Science Wing inclusion and all else remaining the same, this overage number grows to $1.74 million over debt capacity (15.89%). Paul Laughton referred to the salmon colored sheet- attachment 2D-which lists option 2. He said this option puts the science wing in the years the schools have requested. He said this also adds the science wing with 6 classrooms. With these classrooms added, CHCCS says the need for middle school #5 could be delayed for 2 years, until 2016-17. This option creates a debt capacity of 14.23%, which leaves $1.5 million in available debt capacity. He said these scenarios take the district through year 5; however the overage in year 6, for option 1, is $5.1 million and for option 2 the overage is $2 million.