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Approve Budget Ordinance Amendments to Recognize Capital Financing Proceeds for FY 2017-18.
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Staff: |
Department: |
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Kenneth C. Pennoyer, Director |
Business Management |
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Amy Oland, Assistant Director |
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Overview: The Town recently completed the issuance of $12.5 million of General Obligation referendum bonds. In order for these funds to be available to spend on the identified capital projects, Council must enact budget ordinance and project ordinance amendments recognizing the receipt of these funds.
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Recommendations: |
That the Council enact the attached budget ordinance amendment to adjust the Stormwater Management Fund; and
That the Council enact the attached project ordinance amendments to adjust the 2015 Parks and Recreation Improvements Bond Fund and the 2015 Streets and Sidewalks Bond Fund.
Key Issues:
• Referendum Bonds (see affected funds below): On April 19, 2018, the Town closed on $12,500,000 of G.O. referendum bonds. The total amount of the proceeds, including a bid premium (amount received over the value of the bond as a result of a higher yield than the current interest rate), is $13,099,788, of which $12,933,538 is for capital projects and $166,250 is to pay costs associated with the financing. The proceeds will be split among three bond orders as follows:
o 2015 Stormwater Bond Fund $2,829,554
o 2015 Parks & Recreation Improvements Bond Fund 4,506,327
o 2015 Streets & Sidewalks Bond Fund 5,763,907
Enactment of the attached Budget Ordinance Amendment for the 2015 Stormwater Management Fund will appropriate $2,700,000 in bond proceeds and the additional $129,554 of proceeds from the bid premium for the Elliott Road Storage project. In addition, this budget ordinance amendment will reimburse the temporary appropriation of $205,000 of Stormwater Management Fund fund balance that was appropriated earlier this year for preliminary design expenditures.
Enactment of the attached Project Ordinance Amendment for the 2015 Parks and Recreation Improvements Bond Fund will appropriate $4,300,000 in bond proceeds to pay the outstanding debt on the American Legion property and the additional $206,327 of proceeds from the bid premium will be allocated for costs related to the development of the property.
Enactment of the attached Project Ordinance Amendment for the 2015 Streets and Sidewalks Bond Fund will appropriate $5,500,000 in bond proceeds for various projects, with the additional $263,907 of proceeds from the bid premium also allocated to street and sidewalk projects. In addition, this amendment recognizes and appropriates $508,000 in federal Congestion Mitigation & Air Quality grant funds for the Estes Road Bike/Ped from MLK to Caswell for the Right of Way portion of the project.
Where is this item in its process?
Council Goals:
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Create a Place for Everyone |
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Develop Good Places, New Spaces |
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Support Community Prosperity |
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Nurture Our Community |
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Facilitate Getting Around |
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Grow Town and Gown Collaboration |
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Attachments: |
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• Budget Ordinance Amendment - 2015 Stormwater Management Bonds |
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• Project Ordinance Amendment - 2015 Parks and Recreation Improvement Bonds |
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• Project Ordinance Amendment - 2015 Streets and Sidewalks Bonds |
AN ORDINANCE TO AMEND “THE ORDINANCE CONCERNING APPROPRIATIONS AND THE RAISING OF REVENUE FOR THE FISCAL YEAR BEGINNING JULY 1, 2017” (2018-05-02/O-4)
BE IT ORDAINED by the Council of the Town of Chapel Hill that the Budget Ordinance entitled “An Ordinance Concerning Appropriations and the Raising of Revenue for the Fiscal Year Beginning July 1, 2017” as duly adopted on June 12, 2017, be and the same is hereby amended as follows:
This the 2nd day of May, 2018.
AN ORDINANCE TO AMEND THE 2015 PARKS AND RECREATION IMPROVEMENTS BOND FUND FOR CAPITAL IMPROVEMENT PROJECTS (2018-05-02/O-5)
BE IT ORDAINED by the Council of the Town of Chapel Hill that pursuant to Section 13.2 of Chapter 159 of the General Statutes of North Carolina, that the following capital project is hereby amended for Parks and Recreation Improvements funded from 2015 General Obligation Bonds approved by the voters in November 2015.
“SECTION I
The capital projects as authorized by bond referenda approved in November 2015, and as determined by the Town Council, includes park and recreation facility capital improvements extending beyond one year.
SECTION II
The Manager of the Town of Chapel Hill is hereby directed to proceed with implementation of these projects within terms of funds appropriated here.
SECTION III
Revenues anticipated to be available to the Town to complete the project are as follows:
SECTION IV
Amounts appropriated for capital projects are as follows:
SECTION V
The Manager is directed to report annually on the financial status of the project in an informational section to be included in the Annual Budget, and shall keep the council informed of any unusual occurrences.
SECTION VI
Copies of this amended projects ordinance shall be entered into the minutes of the Council and copies shall be filed within five days of adoption with the Manager, Business Management Director and Town Clerk.”
This the 2nd day of May, 2018.
AN ORDINANCE TO AMEND THE 2015 STREETS AND SIDEWALKS BOND FUND FOR CAPITAL IMPROVEMENT PROJECTS (2018-05-02/O-6)
BE IT ORDAINED by the Council of the Town of Chapel Hill that pursuant to Section 13.2 of Chapter 159 of the General Statutes of North Carolina, that the following capital project is hereby amended for Streets and Sidewalk Improvements funded from 2015 General Obligation bonds approved by voters in November 2015:
“SECTION I
The capital projects as authorized by bond referenda approved in November 2015, and as determined by the Town Council, includes streets and sidewalks capital improvements extending beyond one year.
SECTION II
The Manager of the Town of Chapel Hill is hereby directed to proceed with implementation of these projects within terms of funds appropriated here.
SECTION III
Revenues anticipated to be available to the Town to complete the project are as follows:
SECTION IV
Amounts appropriated for capital projects are as follows:
SECTION V
The Manager is directed to report annually on the financial status of the project in an informational section to be included in the Annual Budget, and shall keep the council informed of any unusual occurrences.
SECTION VI
Copies of this amended projects ordinance shall be entered into the minutes of the Council and copies shall be filed within five days of adoption with the Manager, Business Management Director and Town Clerk.”
This the 2nd day of May, 2018.
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The Agenda will reflect the text below and/or the motion text will be used during the meeting. |
presenter
By enacting the ordinances, the Council adjusts the Stormwater Management Fund, the 2015 Parks and Recreation Improvements Bond Fund and the 2015 Streets and Sidewalks Bond Fund in order for recently issued General Obligation referendum bonds to be available to spend on the identified capital projects.