In January 2015, the Board received and approved the Jacobs Group Strategic Space Utilization Study indicating specific space and infrastructure needs of Yolo County. In November 2015, the Board received and approved the inaugural, rolling three-year Capital Improvement Plan identifying specific projects and investments for capital improvement. In April 2016, the Board received a presentation from KNN Public Finance of conceptual bond financing scenarios to address the priority capital improvement projects, and in May 2016, the Board reviewed several project scopes and gave staff feedback to incorporate into the capital planning process.
The Capital Improvement Committee (CIC) now brings to the Board of Supervisors the updated Capital Improvement Plan, reflecting the next three-year rolling cycle of this planning tool, for fiscal years 2016-17 through 2018-19. The 2017- 2019 CIP, (Attachment A to this staff report) details first the projects completed during fiscal year 2015 - 2016, such as perimeter fencing at the Yolo County Airport, the justice campus bus stop, and the new trailer space on the Community Services Corp Yard, as examples. The 2017- 2019 CIP also provides updates for ongoing and forthcoming projects, such as the Sheriff's Expansion projects at Monroe and Leinberger, and includes a refined capital maintenance list and schedule.
For the first time, the CIP Finance Plan is featured as an appendix to the 2017 - 2019 CIP. The Finance Plan highlights the final scope of projects recommended for a lease-revenue bond financing approach. The CIC has also done research into additional financing and funding options for individual and specific projects. As these and other projects approach final development, the CIC has identified a resource toolkit of options to assist those projects not identified for funding through the bond issuance recommended in the CIP Finance Plan.
The Finance Plan recommends the following projects be included for funding and a specific bond strategy brought to the Board for approval. As presented to the Board of Supervisors in May 2016, some of these projects have already been individually approved and are beginning grant-funded construction. Cash flow needs on these projects in combination with peak favorable market conditions make the timing right for the CIC to pursue a conservative bond issuance at this time.
PROJECTS
(Table A) |
Bonded Construction Costs |
Estimated Annual
Debt Service (25 yr.) |
| Sheriff Expansion: Monroe (approved) |
$4,000,000 |
$256,200 |
| Sheriff Expansion: Leinberger (approved) |
$5,000,000 |
$320,250 |
| Historic Courthouse |
$5,000,000 |
$320,250 |
| Yolo Library* |
$1,460,000 |
$88,423 |
| TOTALS |
$15,460,000 |
$985,123 |
*Yolo Library is in the preliminary design stage. Estimates for various designs range from $1,460,000 - $2,900,000. Final project approval will be sought upon finalization of design.
Total Estimated Annual Debt Service after bond issuance: $985,123
Total Estimated Debt: $15,460,000
Other projects that are identified as priority needs or are being explored include:
PROJECTS
(Table B) |
County Construction
Cost Range |
Estimated Annual
Debt Service
(25 yr. and MAX cost) |
| Adult Day Health Center |
$0 - $6,000,000 |
$384,300 |
| Animal Shelter |
$0 - $4,551,000 |
$291,462 |
| Gonzales Building* |
TBD |
TBD |
| Library Archives |
$2,000,000 |
$128,019 |
| TOTALS |
$0 - $12,551,000 |
$803,781 |
* Gonzales Building project is identified for the bond issuance should a purchase agreement come to fruition and debt service would be from HHSA funds currently used for lease payments. Estimates are withheld at this time as negotiations have not yet been initiated.
Additionally, the Library is in the process of completing a Facilities Master Plan which will include recommendations on the timing of construction for libraries in South Davis and West Sacramento. Should the master plan determine a viable library project which includes financing beyond County debt, that facility(ies) would be included in the 2018-20 CIP.
These projects will be supported toward alternative financing strategies once final project plans are developed. As a reference, project descriptions are included in the staff report, while detailed project narratives are contained in the 2017- 2019 CIP in Attachment A.
- Sheriff's Detention Expansion: Monroe (Total Cost: $44,940,000; Financed: $4,000,000) Renovation and expansion of the existing jail facilities, which includes a new housing addition, new kitchen and laundry facility, new health and mental health treatment areas and other improvements. This amount will fund the additional cash needed for security electronics, furniture and other supplemental items not funded through the grant. This project has Board of Supervisors' approval.
- Sheriff's Detention Expansion: Leinberger (Total Cost: $45,000,000; Financed: $5,000,000) Replaces the Leinberger Center with a modernized facility better able to accommodate inmate programs for a population of individuals with long-term sentences. This amount will fund the County's required grant match. This project has Board of Supervisors' approval.
- Historic Courthouse (Total Cost: $5,000,000; Financed: $5,000,000) This amount is being refined, as General Services currently has a contractor assessing the work needed to remodel the historic Courthouse to make the space suitable for both public access and the ongoing housing of the Probation department staff.
- Library Archives (Total Cost: not to exceed $2,000,000; Financed: $2,000,000) This amount will renovate the Library Archives current facility to meet the adequate environmental control needs to best preserve the County’s archived collection.
- Yolo Library (Total Cost: $1,460,000; Financed: $1,460,000) Plans for the replacement of the condemned historic Yolo Library building are still being developed. Different design options include expanded community and meeting space. Current design estimates range from $1,460,000 - $2,900,000.
- Gonzales Building (Cost Estimates are withheld due to negotiations yet to be initiated) The Gonzales Building is ongoing expense to the County as a leased facility. An analysis completed indicates that the outright purchase of this building could result in annual cost savings of minimally 65% over a 50 year period.
- Animal Shelter (Total Cost: $18,500,000; Financed: $0 - $4,551,000)The funding amount indicate reflects the total cost of the estimated new facilities, based on current animal population intake needs. The initial needs assessment is currently undergoing a peer review process with a shelter medicine expert not on contract for the initial shelter design. The funding amount reflects the County’s proportion of the shared service model for the Animal Shelter and does not contemplate any charitable donations to the project.
- Adult Day Health Center (Total Cost: Up to $6,000,000) The Adult Day Health Center continues to be a priority focus and a team of CAO staff continue to examine multiple, diverse potential solutions for this facility. The project remains on the primary CIP project scope despite being largely undeveloped to reflect the priority and attention being given to this need in our community. Should a feasible solution be pushed forward for consideration, an adequate funding plan will be included.
Staff recommends that the Board receive and approve the updated Capital Improvement Plan for fiscal years ending 2017 - 2019. Approval of the 2017 - 2019 CIP does not approve any specific plan contained within the report. Individual projects still require project approval from the Board of Supervisors. The CIP Finance Plan contained in Appendix A of the 2017- 2019 CIP in Attachment A to this staff report is a description of the overall strategy to financing. Staff also recommends the Board of Supervisors approve the CIP Finance Plan contained in Appendix A of the 2017 - 2019 CIP. Approval of the Finance Plan will allow staff and the CIC to pursue next steps in securing a single-issuance lease-revenue bond financing with the intention of funding the projects in Table A. A final financing plan will be brought back for Board of Supervisors' approval at a future date. |