CBOC Meeting May 17, 2012

CBOC Meeting May 17, 2012

Goals for todays meeting:
1. Outline the objectives and timelines for CBOCs summer work.

2. Update CBOC on the status of the approved bond program including financial information.
3. Share the projected amount of remaining bond proceeds after the completion this summers work. 4. Provide an overview of the options the District has regarding unspent bond funds. 5. Answer any clarifying questions

CBOCs Summer Work

Overall Objectives: To educate members of CBOC with the options available to the District regarding the unspent bond funds. To provide the School Board with a recommendation on a course of action related to the unspent bond funds.

CBOCs Summer Work

Second Meeting (two hours) Provide CBOC with information on the options related to the use of the unspent bond funds.

Third Meeting (two hours) Take public testimony. CBOC would then engage in a process that results in a recommendation for the School Board. (More meetings may be necessary.)
Fourth Meeting (This would be a Board Meeting) Present a recommendation to the School Board.

2008 Construction Bond Update

May 17, 2012

General Overview
Measures of Success Program Update:
New Construction Repair and Renovation Financial Plan Impact to Marion and Polk County Economies A Look Ahead

Construction COMPLETION UPDATE

New schools
Planning Completed 75% Complete

Complete

West Schools Opened East and South Construction Commenced May 2011

Opened Fall 2011 Kalapuya Elementary and Straub Middle School

Opening Fall 2012 Battle Creek and Chavez Elementary Schools

Repair and Renovation

48 of 65 schools needed repair. Repairs conducted in the summers of 2009, 2010 & 2011. This summer, 14 schools will be fully shut down for repairs including one comprehensive high school.

CONSTRUCTION COMPLETION UPDATE

REPAIR AND RENOVATION PROJECTS
Year
100% 2012

Number of Projects Scheduled

Total Number of Projects Completed 54 136 201

Percent Complete

74%

2011

2009 2010

54 82 65 70

20% 51% 74%

51%

2010

2011 2012

20%

2009

48 Schools with Repairs R&R Annual Totals By Project

Projects Ceiling Tile Electrical Exterior Floor Coverings HVAC Interior Walls Parking Lots Playground Plumbing Roofs Exterior Seals Siding Stadium Bleachers

2009 0 2 6 2 0 0 8 7 2 10 10 1 4

2010 6 3 0 13 7 8 5 2 9 11 6 3 0

2011 2 11 1 6 6 5 4 2 7 7 7 2 0

To Date 8 16 7 21 13 13 17 11 18 28 23 6 4

Windows Annual Totals

2 54

9 82

5 65

16 201

2012 Summer Repair and Renovation Work

($17 Million dollar investment in existing schools)

McKay Area Schools Fruitland Pre-K Program HVAC, exterior seal, windows, siding, plumbing Hayesville Elementary School exterior seal, siding, gym floor Swegle Elementary School exterior seal, windows, siding, flooring, ceiling tile McKay High School parking lot (part 2), windows McNary Area Schools Gubser Elementary School HVAC, flooring Keizer Elementary School replace roof overhang, flooring, intercom system, fire alarm Kennedy Elementary School flooring McNary High School fire alarm North Salem Area Schools Auburn Elementary School fire alarm Bethel Pre-K Program exterior seal, windows, siding Eyre gym floor Four Corners Elementary School fire alarm Grant Elementary School HVAC, exterior seal, windows, siding, flooring, plumbing Highland Elementary School exterior seal, ceiling tile, plumbing, electrical North High School fire alarm

South Salem Area Schools Hoover Elementary School exterior seal, flooring, ceiling tile, plumbing Morningside Elementary School windows, siding, flooring, plumbing, master clock upgrade Sprague Area Schools Crossler Middle School HVAC Judson Middle School exterior seal, windows, flooring, ceiling tile, plumbing, parking lot Schirle Elementary School fire alarm Sprague High School HVAC (Part 2), flooring, parking lot, plumbing Salem Heights Elementary School windows, siding, flooring, RR partitions, plumbing, parking lot Sumpter Elementary School HVAC, flooring West Salem Area Schools Walker Middle School roof Chapman Hill Elementary School intercom West High School - HVAC

Schools in bold font will be closed for summer construction

It Takes A Team
Custodial Services Maintenance Services Technology and Information Services Repair and Renovations Support Mapped and photo inventoried nearly 1,300 rooms Disconnected, packed, unpacked, reconnected almost 2,500 computer workstations Shut down and restored 11 entire network systems New Construction Support Installed 620 computers, 41 printers, 61 document cameras and 124 phones Other support departments contributed in significant ways: Finance and Budget, Communications, Auxiliary Services, Curriculum, Food Services, Instructional Services, Student Services, Security, Transportation and Executive Administration

Repair and Renovations Support Over 5,508 hours to prepare schools for opening on time New Construction Support Over 1,820 hours to open Kalapuya Elementary and Straub Middle Schools District-wide Summer Support 100,000 pieces of classroom furniture moved and cleaned 3,500,000 square feet of flooring cleaned 200,000 window panes cleaned 740,000 square feet of gym floors recoated

Repair and Renovations Support 2,300 hours of regular summer maintenance done early, in preparation for construction
District-wide Summer Support Cleaned 105 acres of roof systems Serviced 1,600 fire extinguishers Changed 6,000+ HVAC filters Mowed 550 acres of grass (twice weekly) Serviced 360+ pieces of kitchen equipment Inspected/repaired 10,000+ lockers 2,500 hours inspecting boilers

Bond Measures of Success

Work has been completed on time. Work has been completed within budget. Work performed has been within scope and of high quality.

Lets talk about Finances!

Projected Bond FINANCIAL plan

250

242.1

200

203.2 190.6

160.6
150

138.1

Millions

100

104.6

50

54.5 31.3

0 Bond Budget Expenditures

2012-13 Estimated

3.6

4.3
2009-10 54.5 31.3 2010-11 138.1 104.6 2011-12 203.2 160.6 2012-13* 242.1 190.6

2008-09 3.6 4.3

Projected New Construction Financial Plan

120

122.4

100

100.4 84.8

97.8

80

70.5 Millions
60

53.8
40

33.5
20

11.5
0 Bond Budget Expenditures
*2012-13 Estimated

2008-09 0 0.8

0.8

2009-10 33.5 11.5

2010-11 70.5 53.8

2011-12 100.4 84.8

2012-13* 122.4 97.8

Projected REPAIR & RENOVATION Financial Plan

120

119.7

102.8
100

92.8
80

75.8
67.6 Millions
60

50.8
40

21
20

19.8
3.6 3.5
2008-09 3.6 3.5 2009-10 21 19.8 2010-11 67.6 50.8 2011-12 102.8 75.8 2012-13* 119.7 92.8

0 Bond Budget Expenditures

*2012-13 Estimated

Helping Our Local Economy

Over $79 million in construction contracts have been awarded to General Contractors Businesses Awarded: Capital Repair and Renovation: Over $21 million awarded New Construction: Over $50 million awarded Local Architects and Consultants: Over $8 million 52 Percent of Contracts Awarded to Contractors within Marion and Polk Counties Local Impact of Dollars Spent: Between $237 - $474 million ($3-$6 for each dollar spent)

Marion & Polk County BUSINESSES contributing to bond work

All Safe Fire All Star Glass American Vault & Shelter Anderson Shirley Architects, Inc. Arbuckle Costic Architects, Inc. B & T Striping and Curbing B&K Masonry Bear Electric Bell Hardware Bohnstedt Construction Branch Engineering Capitol City Glass Carlson Veit Architects Cascade Paving Cherry City Electric CJ Hansen Clem Fleck Masonry Code Electric Cross Town Movers Creative Solutions Dalke Construction Co Dallas Glass Davidsons Masonry DC Electric DeSantis Landscaping DGS Construction, Inc DKS Associates Emery and Sons' Encore Glass Fernwood Environmental Forgue's Painting F&W Fence Garrett Hemann Robertson PC GELCO Gene McMurrin Green Acres Greenthumb Landscape Guernsey Stone Company H & H Paving Henkes Electrical Industrial Concrete J&S Masonry Johnson and Ray Investments JT Stephens Construction Judson's K&E Excavating Knife River Kelly Pence Kuhlman Enterprises LCG Pence Lemon's Lile Moving and Storage LP Company McGilchrist & Sons North Santiam Paving Co Northside Electric Nugent Masonry Oregon Cascade Plumbing & Heating Pacific Painting Paragon Construction Phil-Am Enterprises Pro-D River City Robert Lloyd Sheet Metal Roy L. Houck Construction Saafeld and Griggs PC Salem Fire Alarm Salem Heating Santiam Heating Service Master Thomas Kay Southtown Glass Triplett Wellman Vaughn's Services, Inc West Coast Roofing & Building WH Pacific Willamette Plumbing Willamette Sheet Metal Youngman Locke Zilverberg Silver Mountain

Lets Bond!

Bond Totals
(Projected)
Bond Series
Amount 2009 A/B $178,715,187 2009C $31,760,000 2011 Totals $31,620,000 $242,095,187

Premiums Interest Earned Totals

$6,248,840

$3,763,732

$10,012,572

$5,172,089

$63,538

$5,235,627

$ 190,136,116

$31,823,538

$35,383,732 $257,343,386

Unspent funds (Projected)

Source Amount (in millions)

Bonds Premiums Interest Earned Total

$51.5 $10.0 $5.2 $66.7

Why we have unspent funds

Dramatic change to the economy Competitive bid environment Lower inflation factor

Premiums and interest earnings

Strong management of the program

Potential Allocation
Allocation
Board commitment of $2.5 million per year for the next 6 years for school infrastructure needs.

Amount (in millions)

$15.0 $10.0 $41.7 $66.7

Program Reserves Repair & Renovation

Total

Next Meeting
Staff will provide information regarding the options the District has regarding unspent bond funds. Those options include: Continue with repairs/renovations as outlined in ballot title. No additional work. Use the remaining funds to and pay down the debt to the maximum extent possible. Ask the voters to amend the ballot title to include new projects. A combination of any of the above options.