Item 8-a - Minutes - Laserfiche WebLink

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13 1 it is part of the 50% design cost; the transition of some unknowns that were in contingency in 2 April 2017; value engineering decisions to accommodate the changes within the budget, which 3 remains at $2.476 billion. 4 Commissioner McKee clarified that the $90 million, and any other additional expenses, 5 have been off set by value engineering and or reductions in other areas. 6 John Tallmadge said yes. 7 Commissioner McKee asked if there are any surprises on the radar. He said there is a 8 huge amount of infrastructure between Chapel Hill and Durham, and asked if this will lead to 9 any surprised. 10 John Tallmadge said the risk assessment, which Travis Myren described, includes FTA 11 assessment of whether there is sufficient contingency left in the budget currently. He said this 12 is a potential change that is hanging out there. 13 Commissioner McKee said the Board is aware of the Transportation Infrastructure 14 Finance and Innovation Act (TIFIA) loans that will be required, and asked if there is any 15 possibility that the proceeds for the loans will be considered part of the federal reimbursement, 16 or cash support. 17 John Tallmadge said no; the capital investment grant (CIG) program allows for up to 18 80% of the project costs to come from federal sources, but only 50% can come from the CIG 19 grant. He said this allows a TIFIA loan to be brought in, as well as other grant sources. 20 Commissioner McKee repeated that there is no possibility that TIFIA loans will reduce 21 the cash outlay from the federal government. 22 John Tallmadge said from the information that he has, and the conversations that 23 GoTriangle has had with the FTA, he does not see this as a possibility. 24 Commissioner McKee said this project is working on a razor's edge, and he will support 25 this action tonight though he thinks this is a boondoggle. He said he is not sure Durham will be 26 able to pick up anther shortfall, and he is worried with the continual evolution of this project and 27 the escalation of costs that there will come a time where costs cannot be value engineered out. 28 Commissioner McKee asked if GoTriangle is still standing by its sales tax projections. 29 John Tallmadge said Moody's did the original projections, and will be going back to them 30 for refreshed projections; but as of now, yes. 31 Commissioner Rich referred to the public comment, which identified this project as the 32 FTA's lowest rated project. She asked if this is accurate. 33 John Tallmadge said he has not heard that, and the information being submitted 34 currently, is part of the FTA's annual report, where all projects are reviewed and scored. He 35 said scores have not changed since last year. 36 Commissioner McKee said arrived late this evening, but he intended to petition to have 37 Davenport look at the sales tax projections, and overall financial outlook, again. He said he will 38 not make that petition. 39 Commissioner Marcoplos proposed a friendly amendment in order to ask what is the 40 state of Orange County's sales tax revenue, and if it is a problem, have a reassessment of the 41 projections. 42 Commissioner McKee agreed, and said he wants to make sure the County does not find 43 itself in a corner from which it cannot escape. He referred to the private fundraising, and asked 44 if there is an update, and how much is in cash. 45 John Tallmadge said this campaign remains active, and since this is a private non-profit, 46 he does not feel comfortable divulging this information, but there has been great interest in the 47 project. 48 Commissioner McKee said he is disappointed that the Board cannot at least get an idea 49 of the fundraising efforts.