HomeMy WebLinkAboutParks and Trails Bond Fund Capital Improvement Plan_Part9
Commission Memorandum
REPORT TO: Honorable Mayor and City Commission
FROM: Chris Kukulski, City Manager
Anna Rosenberry, Finance Director
SUBJECT: Adoption of the Parks & Trails Bond Fund Capital Improvement Plan
(CIP) for FY14-18
AGENDA ITEM TYPE: Consent
MEETING DATE: December 17, 2012
RECOMMENDATION: Adoption of the Parks & Trails Bond Fund Capital
Improvement Plan (CIP) for FY14-18.
BACKGROUND: Each year, the City Manager is required to prepare a 5 Year Capital
Improvements Plan and submit it to the Commission by December 15th.
During General Fund Capital Improvement Plan discussions on December 3, 2012, it was noted
that the Parks & Trails Bond Fund was an important part of the city’s future capital plans. At this
point in time, we do not have written plans or timeframes to fund specific projects with the $15
Million that was approved by the voters this fall. It is our intent to develop those plans within
the next few months and potentially issue our first series of bonds in the spring. The schedule
notwithstanding, it is our recommendation that this effort be tracked as its own separate portion
of the City’s Capital Improvement Plan. A very basic form of that plan is attached.
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UNRESOLVED ISSUES: The exact timing of bond issuance and specific Parks & Trails
projects have not been chosen for funding. The methods and process for those determinations
will be made at future meetings of the City Commission.
ALTERNATIVES: As suggested by the City Commission.
FISCAL EFFECTS: This step in the process has no fiscal effect. Once adopted, the
Capital Improvements Plan becomes the basis of the City Manager’s Recommended Budget for
FY14.
Report compiled on: December 10, 2012
Attached: Parks & Trails Bond Fund CIP
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Parks & Trails Bond FundCapital Improvement PlanFinancial Summary Current YearFY13 FY14 FY15 FY16 FY17 FY18UnscheduledProjected Beginning Reserve Balance Dedicated to CIP‐$ ‐$ ‐$ ‐$ ‐$ ‐$ Plus: Revenues from Bond Sales 3,000,000$ 3,000,000$ 3,000,000$ 3,000,000$ 3,000,000$ ‐$ ‐$ Less: Scheduled CIP Costs (3,000,000)$ (3,000,000)$ (3,000,000)$ (3,000,000)$ (3,000,000)$ ‐$ ‐$ Projected Year‐End Cash Dedicated to CIP‐$ ‐$ ‐$ ‐$ ‐$ ‐$ Assumptions Made for Revenue Estimates: Current YearFY13 FY14 FY15 FY16 FY17 FY18Bond Issuance 3,000,000$ 3,000,000$ 3,000,000$ 3,000,000$ 3,000,000$ ‐$ Total Estimated Revenues 3,000,000$ 3,000,000$ 3,000,000$ 3,000,000$ 3,000,000$ ‐$ Current Revenues Dedicated to CIP % 100.0% 100.0% 100.0% 100.0% 100.0% 0.0% Plus: Increase (Decrease) Dedicated to CIP 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% Total % Dedicated to CIP 100.0% 100.0% 100.0% 100.0% 100.0% 0.0%TtlEti tdRDdi tdtCIP3 000 000$3 000 000$3 000 000$3 000 000$3 000 000$$ProjectedProjectedTotal Estimated Revenues Dedicated to CIP3,000,000$ 3,000,000$ 3,000,000$ 3,000,000$ 3,000,000$ ‐$ Note: City of Bozeman Voters approved a $15 Million Bond for the purchase of open space, trails, and parks. At this point, it is notknown exactly when the bonds will be issued, and what projectswill be funded. It is the intention of the City to establish a programfor evaluation and funding decisions in early 2013, and to identifyand purchase $15 million of Park & Trail assets within the time‐frames of this Capital Improvement Plan.3,500,0003,000,0002,500,0002,000,0001,500,0001,000,000500,0000Parks & Trails Projects 89
CIP PROJECT FUNDPROJ.DEPARTMENPROJECT NAMEFY14FY16UnscheduledFY15FY17FY18Parks & Trails BondPT01PARKSPARKS AND TRAILS BOND PROJECTS$3,000,000$3,000,000$3,000,000$3,000,000Summary for Parks & Trails Bond (1 item)Totals by year:$3,000,000 $3,000,000$3,000,000FY14FY15FY16UnscheduledFY18$3,000,000FY1790
CIP Project Fund
Parks & Trails Bond
PROJECT NUMBER
PT01
DEPARTMENT
PARKS
PROJECT NAME
PARKS AND TRAILS BOND PROJECTS
FY14
$3,000,000
FY15
$3,000,000
FY16
$3,000,000
Unscheduled
DESCRIPTION OF PROJECT
This project plans for the purchase of parks, trails, and open space assets according to the 2012 voter approved bond.
The voters approved the issuance of up to $15 Million "for the purpose of paying the costs of designing, constructing or
equipping on open-space lands trails, parks and natural areas or multi-use recreational fields and facilities, or employing such lands
in the preservation or enhancement of water quality, and acquiring rights to or interests in or improving open-space lands in or
near the City (such as lands for trails in and around the Bridger Mountain foothills), to include necessary or related infrastructure
for the use, enjoyment, or functioning of such lands or facilities and the operation, maintenance, repair, management, or planning
of such lands or facilities; and paying costs associated with the sale and issuance of such bonds"
ALTERNATIVES CONSIDERED
Do not move forward with the voter-authorized sale of bonds. Or, move forward with less than $15 Million in total bond issued.
ADVANTAGES OF APPROVAL
More Park, Trail and Open Space areas can be purchased for citizen use. Funds can be made available to match with other grants
or funding sources for larger property purchases, etc.
ADDITIONAL OPERATING COSTS IN THE FUTURE, IF FUNDED
Annual Operating and Maintenance costs are not funded by this bond issue. Depending on exactly what is purchased, operating
costs could vary widely. This will need to be analysed with each project purchased.
FUNDING SOURCES
100% General Obligation Bonds, issued by the City and paid-off with an annual tax levy, for a term up to 20 years. We expect to
issue our first series of bonds in FY13, with the remaining bonds issued in FY14-18. For simplicity sake, we have scheduled $3M
issued in each year. However, it may be more advantageous to the taxpayers to issue the bonds in different sums at different
times.
New
Replacement
Equipment
Project
FY17
$3,000,000
FY18
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