Orange County NC Website
1 <br /> ORANGE COUNTY <br /> BOARD OF COMMISSIONERS <br /> ACTION AGENDA ITEM ABSTRACT <br /> Meeting Date: June 9, 2020 <br /> Action Agenda <br /> Item No. 2 <br /> SUBJECT: Discussion and Decisions of FY2020-25 Capital Investment Plan <br /> DEPARTMENT: County Manager and Finance and Administrative Services <br /> ATTACHMENT(S): INFORMATION CONTACT: <br /> A. FY2020-25 Capital Investment Plan Bonnie Hammersley, (919) 245-2300 <br /> Budget Amendment List Travis Myren, (919) 245-2308 <br /> (Any Updates to the list will be Gary Donaldson, (919) 245-2453 <br /> provided prior to the meeting) Paul Laughton, (919) 245-2152 <br /> PURPOSE: FY2020-25 Capital Investment Plan - Accept the Five Year Capital Investment Plan <br /> and Approve the Intent to Adopt Capital Funding for FY2020-21 . <br /> BACKGROUND: For over 20 years, the County has produced a Capital Investment Plan (CIP) <br /> that establishes a budget planning guide related to capital needs for the County as well as <br /> Schools. The current CIP consists of a 5-year plan that is evaluated annually to include year-to- <br /> year changes in priorities, needs, and available resources. Approval of the CIP commits the <br /> County to the first year funding only of the capital projects; all other years are used as a planning <br /> tool and serves as a financial plan. <br /> Capital Investment Plan — Overview <br /> The FY 2020-25 CIP includes County Projects, School Projects, and Proprietary Projects. The <br /> School Projects include Chapel Hill-Carrboro City Schools, Orange County Schools, and Durham <br /> Technical Community College — Orange County Campus projects. The Proprietary Projects <br /> include Water and Sewer, Solid Waste Enterprise Fund, and Sportsplex projects. <br /> The CIP has been prepared anticipating moderate economic growth of approximately 2% in <br /> property tax growth over the next five years, and 4% sales tax growth in Years 2-5. Sales Tax <br /> proceeds for Year 1 (FY 2020-21) are estimated to decline by 4.5% due to the current coronavirus <br /> pandemic. Many of the projects in the CIP will rely on debt financing to fund the projects. <br /> The items below include revisions made to the following Capital Projects since the presentation <br /> of the Manager's Recommended Capital Investment Plan on April 2, 2019: <br /> • At the May 14, 2020 Budget Work Session, staff included a revised Schools Capital <br /> Projects Summary reflecting adjustments made in regards to changes to the FY 2020-21 <br /> budgeted ADM percentages, based on changes made from the time of the original CIP <br /> presentation and the FY 2020-21 Manager's Recommended Operating Budget <br /> presentation. The impact of these numbers changed the CHCCS % from 60.14% to <br /> 59.99%, and changed the OCS % from 39.86% to 40.01%. <br />