AGENDA #1b
MEMORANDUM
TO: Mayor and Town Council
FROM: W. Calvin Horton, Town Manager
SUBJECT: Capital Improvements Program Priorities
DATE: March 22, 2006
The attached resolution would refer the Preliminary Report on the 2005-2020 Capital Improvements Program to Town advisory boards for review and recommendations. Comments from tonight’s forum would be referred to the Manager.
BACKGROUND
The Capital Improvements Program is a 15-year plan for financing the Town’s major capital and infrastructure requirements. The plan identifies and prioritizes capital projects and potential funding sources, including the Capital Improvements Fund, bonds, State and federal grants, and other sources.
The recommended 2006-21 Capital Improvements Program includes a $1.7 million Capital Improvements Fund budget for 2006-07. This report provides detail as to how the preliminary 2006-21 Capital Improvements Fund budget was prepared and how projects have been prioritized.
DISCUSSION
The Preliminary Capital Improvements Program includes two Capital Improvements Fund scenarios for 2006-07: a “base budget” and a $1.7 million budget. The base budget reflects only those projects which the Town is contractually obligated to fund in the next fiscal year. The $1.7 million budget was based on the capital program budget projection in the adopted 2005-06 budget.
We developed the preliminary $1.7 million Capital Improvements Fund budget based on our assessment of the most urgent capital needs and the priorities of the Council. The capital projects we identified emphasize repairs to Town facilities, including buildings, greenways and parking lots. Other projects address safety issues, energy efficiency, provide required local matching funds, and replace aging systems.
The preliminary capital budget for 2006-07 is highlighted below. The preliminary capital budget and projected future expenditures are detailed in the following tables:
CAPITAL IMPROVEMENTS FUND
In the tables below we prioritize Capital Improvements Fund projects we identified for funding in the Preliminary Capital Improvements Program.
Chart 1a: Base Budget, $283,000
The Town is contractually obligated to fund the following in 2006-07. The $283,000 funding level would meet contractual obligations only.
|
Priority Ranking |
Project Name/Description of Need |
Preliminary CIP: 2006-07 |
Running Total |
|
1 |
Roof Replacements Town Hall, Fire Stations #2 and #3 $265,000 10-year installment financing paid for roof repairs completed at Town Hall and Fire Stations 2 and 3 in 2004. This is the third payment of 10 installments. |
$37,000 |
$37,000 |
|
1 |
IFC Shelter – Exterior Capital Repairs: Installment Debt Payments $450,000 10-year installment financing funded a number of exterior repairs completed in August 2004, including roof repairs and replacement of windows at the Old Town Hall/IFC Shelter. This is the third payment of 10 installments. |
$56,000 |
$93,000 |
|
1 |
Museum Roof: Capital Repairs – Installment Debt Payments $60,000 10-year installment financing funded the replacement of the roof on the Chapel Hill Museum in 2002. This is the third payment of 10 installments. |
$8,000 |
$101,000 |
|
1 |
Hargraves Center/A.D. Clark Pool Capital Repairs $1,200,000 10-year installment financing funded the renovation of Hargraves Community Center and the A.D. Clark pool facility in 2003. This is the fifth payment of 10 installments. |
$152,000 |
$253,000 |
|
1 |
Tennis & Basketball Court Capital Repair Installment Payments $240,000 10-year installment financing funded repairs made to tennis and basketball courts at Cedar Falls, Community Center, Hargraves, Umstead, Homestead, and Oakwood parks. Work was completed in 2004. This is the third payment of 10 installments. |
$30,000 |
$283,000 |
Chart 1b: Capital Program Priorities
The table below lists projects in addition to those shown in the base budget (Table 1) in recommended order of priority. The priority ranking emphasizes funding capital repairs and maintenance of Town facilities, including buildings, parks and greenways.
|
Priority Ranking |
Project Name/Description of Need |
Preliminary CIP: 2006-07 |
Running Total (continued) |
|
1 |
BASE BUDGET (See Table 1) |
|
$283,000 |
|
2 |
Extraordinary Maintenance, Emergency Repairs The Town frequently must make unanticipated repairs at Town facilities such as roof repairs, HVAC system repairs, and swimming pool mechanical system repairs. Comment: Extraordinary maintenance funds are critical to Town operations. For example, these funds were used to make major repairs to the Town Hall air conditioning system. |
$90,000 |
$373,000 |
|
3 |
Curb Cut Improvements - ADA Compliance The Town is retrofitting curb ramps by installing truncated domes that alert pedestrians with vision impairments of their approach into a street. The inclusion of funds in the Town’s annual CIP confirms our commitment to meeting ADA requirements as presently interpreted to include truncated domes. We also believe that this plan satisfies legislative intent. Comment: The Town is legally required to complete these projects. |
$25,000 |
$398,000 |
|
4 |
Community Center Capital Repairs – Installment Debt Payments $224,000 included in the 2005-06 CIP represents the cash outlay for building design. The first annual payment on $1.776 million in installment financing which would pay for repairs and building improvements, including the addition of HVAC for the gymnasium would be paid in 2006-07. Comment: The project would address needs at a popular community facility that is in poor condition. |
$276,000 |
$674,000 |
|
5 |
Jay Street Paving The project would pave a currently unpaved portion of a Town maintained street. A reduction in air-borne dust pollution could also be achieved by this project. Comment: The Town Council approved a paving petition for Jay Street in March 2004. |
$16,000 |
$690,000 |
|
6 |
Town Hall: Replacement of HVAC Units The 16-year-old rooftop HVAC units are at the end of their life cycle; HVAC units typically are replaced every 15 years. Repairs to the units are being made more frequently. There is an opportunity to use an additional $90,000 in Energy Bank Bonds to add a computer-controlled energy management system. Comment: The new units likely would require fewer costly repairs compared to the existing system; it also would improve energy efficiency at Town Hall. The total yearly savings that could be achieved through the installation of this system is approximately $15,000 to $20,000. |
$280,000 |
$970,000 |
|
7 |
Town Hall Vestibule Doors |
$135,000 |
$1,105,000 |
|
8 |
Mobile 800 MHz Radios for Fire Apparatus and Command Vehicles Project provides for the purchase of sixteen (16) 800 MHz radios to complete the transfer to an 800 MHz system. This will result in greater radio dependability and interoperability and allow for better and safer communications by allowing multiple channels for operations and capability to communicate with other agencies in the county and region. Comment: The current radio infrastructure is failing and is no longer dependable. |
$70,000 |
$1,175,000 |
|
9 |
Fire Station #3 Capital Maintenance Project includes replacement of the overhead door, HVAC duct replacement, and foundation repairs. Comment: These repairs will help to eliminate moisture infiltration and mold in the building. |
$95,000 |
$1,270,000 |
|
10 |
Fire Station # 2 Capital Maintenance Project includes replacement of the overhead door, foundation repairs and new interior paint. Comment: The overhead door is of particular concern given that its malfunction can adversely impact response times. |
$163,000 |
$1,433,000 |
|
11 |
Small Park Improvements Projects include improvements, repairs and replacement of equipment in Town parks. Examples: bleacher replacements, replacement of playground equipment and turf repairs at athletic fields. Comment: This funding is critical to maintaining park facilities. |
$60,000 |
$1,493,000 |
|
12 |
Building Condition Assessment Program This would update the Town’s inspection/assessment study of the Town's buildings, last conducted in 2000. Comment: The 2000 Facility Condition Assessment is outdated; updating the list of deferred maintenance items will be important to programming capital funds. |
$65,000 |
$1,558,000 |
|
13 |
Parking Lots/Bike and Pedestrian Paths/Greenway Trails Funds would pay for repair and maintenance of existing paved pedestrian paths, trails and parking lots; needs have been identified at fire stations, Parks and Recreation facilities and other locations. Comment: Proposed funding level would address only a small portion of the backlog of existing asphalt repair needs. |
$75,000 |
$1,633,000 |
|
14 |
Greenways Funding would help repair greenways. Comment: Funding has helped restore trails with natural surfaces and will be used to replace aging stairs and bridges on the Tanyard Branch and Battle Branch Trails. |
$47,000 |
$1,680,000 |
|
15 |
Cemetery Restoration Funding would help supplement cemetery improvements approved by the Council on December 6, 2004. |
$20,000 |
$1,700,000 |
OTHER FUNDS:2006-07 PROJECTS
Chart 2: Other Sources
Following are projects for which we anticipate using funding in 2006-07 from sources other than the Capital Improvements Fund and the Town’s 2003 Bonds.
|
Project Name/Description of Need |
Preliminary CIP: 2006-07 |
Running Total |
|
Wallace Parking Facility Capital Maintenance Funding for various larger maintenance projects, including cleaning, sealing and re-striping parking surfaces. Funds are from the Parking Fund. |
$204,000 |
$204,000 |
|
Comprehensive Public Housing Renovations Funding for renovation of housing units at the North Columbia Street neighborhood. Funding from HUD Capital Fund Grant. |
$601,700 |
$805,700 |
|
Camelot Village Hazard Mitigation Project Funding to purchase flood-prone properties along Bolin Creek. Funding from federal Hazard Mitigation Grant. |
$1,500,000 |
$2,305,700 |
|
Park and Ride Lot 15-501 North Funding for land acquisition and design and engineering for a park and ride lot along the 15-501 corridor. Funding from Federal Transit Administration. |
$288,400 |
$2,594,100 |
|
Park and Ride Lot 15-501 North Same as above. Funding from NCDOT. |
$36,100 |
$2,630,200 |
|
Park and Ride Lot 15-501 North Same as above. Funding would be the local funds share of this phase of the project. |
$36,100 |
$2,666,300 |
|
Automatic Vehicle Locator System Funding for real time passenger information system that would use GPS technology to provide vehicle location status and arrival information for transit users. Funding from federal earmark grant. |
$624,000 |
$3,290,300 |
|
Automatic Vehicle Locator System Same as above. Funding from NCDOT. |
$357,000 |
$3,647,300 |
|
Dry Creek Trail (Phase 3) Funding for design of the Dry Creek greenway trail from Perry Creek Rd. to Eastowne Drive. Funding from State Department of Transportation funds. |
$64,000 |
$3,711,300 |
|
Pritchard Park/Art Garden Funding for design and development of Pritchard Park and the proposed art garden associated with the Park. Funding from parking lease payments. |
$20,000 |
$3,731,300 |
|
Sport Art Gymnastics Building and Grounds Funding for building and grounds maintenance at the Carolina Sport Art building. Examples of pending work include installation of gutters and downspouts and sidewalk improvements. Funding from rental proceeds. |
$14,000 |
$3,745,300 |
Chart 3: Bond Funds
Following are projects for which we anticipate using funding in 2006-07 from the Town’s 2003 Bonds.
|
Project Name |
Preliminary CIP: 2006-07 |
Running Total |
|
Town Hall Replacements of HVAC Units Funding for an energy management and control system to upgrade the proposed new heating, ventilation and air conditioning system for Town Hall (see related project in the Capital Improvements Fund). Funding from the Energy Bank (Public Building Bond). |
$90,000 |
$90,000 |
|
Downtown Improvements – Streetscape Funding for improvements related to the Streetscape Master Plan. Possible expenditures could include revised plans for streetscape improvements and lighting as well as specific construction and lighting projects. Funding from the Sidewalks and Street Improvements Bond. |
$1,000,000 |
$1,090,000 |
|
Neighborhood Traffic Calming, Pedestrian and Bicycle Improvements Funds to implement the Town’s traffic calming plan in residential neighborhoods. Funding from the Sidewalks and Street Improvements Bond. |
$100,000 |
$1,190,000 |
|
Pedestrian Amenities at Town Owned Signalized Intersections Upgrades to existing traffic signals to include pedestrian amenities and larger signal heads and actuation (e. g., Rosemary Street intersections). Funding from the Sidewalks and Street Improvements Bond. |
$100,000 |
$1,290,000 |
|
Open Space Acquisition Funding for partial payment of 2005 acquisition of land along Erwin Rd. and in the Northside neighborhood and along 15/501 South. Funding from the Open Space Bond. |
$800,000 |
$2,090,000 |
|
Bolin Creek Trail (Phase 3) Funding for design of the phase of the Bolin Creek greenway trail beginning at Martin Luther King, Jr. Blvd, continuing to Seawell School Road including a connection to the Northside Neighborhood. Funding from Parks and Recreation Bond. |
$500,000 |
$2,590,000 |
|
Dry Creek Trail (Phase 3) Funding for construction of the greenway trail from Perry Creek Rd. to Eastowne Dr. Funding from Parks and Recreation Bond. |
$200,000 |
$2,790,000 |
|
Morgan Creek Trail Funding for construction of greenway trail from the intersection of Culbreth Rd. and 15/501 to Smith Level Rd. Funding from Parks and Recreation Bond. |
$200,000 |
$2,990,000 |
|
Total Other Sources Including 2003 Bonds |
|
$6,851,224 |
STORMWATER MANAGEMENT FUND PROJECTS
Chart 4: Stormwater Management Funds
The stormwater projects were selected based on a staff assessment of needs which pose the highest risk for a hazardous or potentially otherwise dangerous situation to the public if left unaddressed.
|
Project Name |
Preliminary CIP: 2006-07 |
Running Total |
|
Camelot Village Hazard Mitigation Grant Project This project would pay for three condo buildings in Camelot Village that are partially or wholly within the FEMA floodway. This project is part of the Town’s participation in the National Flood Insurance Program. |
$1,500,000 |
$1,500,000 |
|
Upgrade Booker Creek Road Double Corrugated Metal Pipes This project would pay for engineering design for upgrading the existing double corrugated metal pipes northeast of intersection with Foxwood Drive which are marginally operational. Failure of the pipes would result in possible road failure and hazardous traffic conditions. |
$20,000 |
$1,520,000 |
|
Willow Drive/Estes Drive Drainage Improvements The funding would pay for design work for installing a storm sewer on Willow Drive from Estes Drive to Connor Drive and making improvements to the storm sewer infrastructure at the intersection of Willow and Estes Drives. Intersection floods during frequent rain event causing hazardous driving conditions. |
$30,000 |
$1,550,000 |
|
Rosemary Street Junction Box and Network Replacement This funding would pay for the engineering design work associated with replacing the pipe network and junction boxes in the Rosemary Street right-of-way near Pritchard and Church Streets. Replacement would prevent failure of the pipe network, which would result in significant impact on traffic circulation on a major arterial. |
$20,000 |
$1,570,000 |
|
Curb and Gutter/Drainage Infrastructure Improvements This level of funding on an annual basis would pay for projects to improve drainage infrastructure throughout the Town. |
$30,000 |
$1,600,000 |
PUBLIC FORUM COMMENTS
On January 25, 2006, the Council held a public forum on the budget and capital program needs. At that time, the Council received advisory board comments.
FUTURE STEPS
The Manager’s Recommended Capital Improvements Program will be submitted to the Council on Monday, April 24, 2006. On Wednesday, May 10, 2006, a public hearing will be held to receive citizen comments on the Recommended Capital Improvements Program. The Town Council is scheduled to consider adopting the Budget and Capital Improvements Program on Monday, June 26, 2006.
RECOMMENDATION
We recommend that the Council adopt the attached resolution referring this document to Town advisory boards and refer comments from tonight’s forum to the Town Manager.
TABLES
Table 1: Capital Improvements Fund Projects (p. 12).
Table 2: Other Sources (p. 14).
Table 3: 2003 Approved Bond Schedule (p. 16).
Table 4: Stormwater Management Fund Projects (p. 17).