C APITAL
E XPENDITURES
C APITAL E XPENDITURES
C APITAL E XPENDITURES P LANNING
On March 1, 2010 the Amherst-Pelham Regional School committee adopted a policy for
developing a formal capital needs planning process. A capital improvement is a tangible asset or project with an estimated useful life of five (5) years or more, and a cost of $5,000 or more.
The Regional Capital Planning Committee, comprised of members of the Regional Budget and Finance Subcommittee, the Director of Finance and Operations, and the Director of Facilities and Maintenance, is charged with annually developing a five-year capital improvement plan, including the upcoming annual capital improvement budget and a four-year projection of capital needs and expenditures which details the estimated cost, description, and anticipated funding sources for capital projects. The FY2012 budget development cycle is the first time this policy has been implemented.
T HE C APITAL B UDGET
On January 11, 2011, The Amherst-Pelham Regional School District School Committee approved a Capital Improvement Plan for FY2012 totaling $996,000. The Plan calls for the following projects to be funded:
1 Replacement Windows at MS 785,000 2 Repoint Leaking Capstones at MS 50,000 3 Eliminate AC W indow Units at HS 25,000 4 Developmental Study Classroom at HS 10,000 5 Paint Exterior Steel C olumns at H S 50,000 Total funded with Bond Anticipation Note 920,000
6 Window Shades for H S Classrooms 30,000 7 Amortization of SEC Renovations 10,000 8 Wireless LAN Infrastructure 36,000 Total funded from Stabilization Fund 76,000 Total Approved Capital Improvements 996,000
1. To replace all windows in the Middle School as part of a green Initiative.
2. To hire a contractor to re-point leaking capstones at Middle School to mitigate water damage and preserve structural integrity.
3. To conduct architectural and engineering studies in anticipation of replacing aging window
8. To expand coverage and upgrade the wireless network from consumer to enterprise grade equipment and accommodate the bandwidth demanded by the increasing number of wireless devices.
F UNDING C APITAL E XPENDITURES
The plan calls for $920,000 to be funded with Short-term Borrowing, and $76,000 to be funded from the Stabilization Fund.
Short-Term Borrowing is available to the Regional District though Bond Anticipation Notes (BANS). BANS issued through the Department of Revenue (State House Loan Note Program) have a one year maturity and can be renewed for a total of five years. Payment of interest only is due at the maturity date of the BAN and the principal is renewed for another year. Principal payment is required in third year of borrowing of at least equal to the minimum payment that would have been required if temporary loan had been converted into permanent loan.
The Window Replacement project has been approved for a Green Initiatives Grant from the MSBA which will reimburse eligible costs at 59.8%. The reimbursement from MSBA should occur prior to the BAN maturity date in 12 months, reducing the rollover amount to a year 2 BAN.
Looking to the future of the Capital Plan, year two (2) projects would be funded with another BAN, and in year three (3) the two BANS would be rolled into a Long Term General Obligation Bond Issue along with the funding for the year three projects.
During the first two years of this plan the interest due on the BANS at maturity will be funded from the Stabilization Fund. Once the long term bond is issued, principal and interest payments will be assessed to member towns.
Principal and interest on bonds or other obligations authorized by vote of the Regional District School Committee to finance capital costs are apportioned to the Member Towns on the basis of the equalized valuation of each town as determined and reported by The Department of Revenue Division of Local Services in effect on the date such bonds or other obligations are authorized.
The proportion of the assessment does not change during the period the bonds or other obligations are outstanding.
A look at the current debt obligation (below) illustrates these assessments from prior bond issues.
C APITAL P LAN F ORECASTS FOR F IVE (5) Y EARS
FY12 Plan Adopted by the Regional C apital Planning Committee on 12/ 7/2010 Revised Plan Adopted by Regional Capital Planning C ommit tee on 1/4/2011
Approved by full School Committee on 1/11/2011
FY12 FY13 FY14 FY15 FY16 TOTAL
Buildings 960,000 1,035,000 680,000 529,000 2,065,000 5,269,000 Grounds - 25,000 - 500,000 - 525,000 Equipment 36,000 98,700 91,500 60,600 60,600 347,400
996,000
1,158,700 771,500 1,089,600 2,125,600 6,141,400
Funding Source
Appropriations - - - - - - Financing 920,000 1,096,500 741,500 - - 2,758,000 Special Revenue Funds 76,000 62,200 10,000 10,000 10,000 168,200 Grants (358,800) - - - - (358,800)
637,200
1,158,700 751,500 10,000 10,000 2,567,400
Amherst-Pelham Regional School District Capital Plan
Amherst-Pelham Regional School District Capital Plan Buildings
1/4/2011
Project N ame FY12 FY13 FY14 FY15 FY16 TOTAL
High School -
-
Develop mental Study Classroom (173) 10 ,000 100,000 110,000
Painted Exterior Steel Columns 50 ,000 50,000
Sha des 30 ,000 30,000
Interior Maintenance (ie. Paintin g, Flooring) 10,000 10,000 20,000
Locker Room Renova tions 15,000 15 0,000 165,000
Boiler Room Desgn 20,000 20,000
Burne r R eplacments (old burners 2) 25 0,000 250,000
Bleacher in Gym 60,000 60,000
Aud itorium C urtian 25,000 25,000
Exhaust Fans B,C,D,E Wings 90,000 90,000
Aud itorium Seats Refurbish 125,000 125,000
High AC e liminate W ind ow units 25 ,000 250,000 275,000
-
Middle School -
-
Repoint leakin g Capstones 50 ,000 50,000
Clauk Windows & Doors -
Replacement Windows & Doors 785 ,000 785,000
Security Lock / Crash Bar Upgrade 15,000 15,000
Asbestos Management 10,000 10,000 20,000
Sha des 30,000 30,000
Intercom Upgrades for Se curity 10,000 10,000
Exterior Fire Sta irs (redesign & bu ild for new england) 500,000 500,000
Interior Maintenance 10,000 10,000 20,000
Hot Water Upgrades (Showers / Bathrooms) 30,000 30,000
Locker Room Showers Renovations 15,000 15,000
Bleacher in Gym 60,000 60,000
Main Office Carpet 15,000 15,000
Mechan ical H VAC Pump Room R enovation 95,000 95,000
Balance Air Flow 150,000 150,000
Exhaust Fans 100,000 100,000
Poo l Leaks Repair 50,000 50,000
Poo l Heater Upgrad e 14,000 14,000
Poo l Re - Grout ing 60,000 60,000
Aud itorium Seats Refurbish 125,000 125,000
Electrical Service Upgrade 25 0,000 250,000
Roofs 75,000 1,500,000 1, 575,000
-
Districtwide -
-
Ene rg y Management 5,000 5,000 10,000
Amortization of SEC renovatio ns (10,000 x 10 yrs) 10 ,000 10,000 1 0,000 10,000 10,000 50,000
CO Modulars / Renovation / Disposal 2 0,000 20,000
-
TOTAL BUILDINGS CAPITAL
960 ,000 1, 035,000 68 0,000 529,000 2,065,000 5, 269,000Funding Source
App ro priations -
Financing 920 ,000 980,000 65 0,000 2, 550,000
Spe cial R evenue Funds 40 ,000 55,000 1 0,000 10,000 10,000 125,000
Grants (358 ,800) (358,800)
601 ,200
1, 035,000 66 0,000 10,000 10,000 2, 316,200
Amherst-Pelham Regional School District Capital Plan Grounds
12/7/2010
Project N ame FY12 FY13 FY14 FY15 FY16 TOTAL
High School -
-
Add itional Parking 100,000 100,000
Track Refinish 35,000 35,000
Court Yard Clean Up (crane ) 15,000 15,000
Lawn Sprinlker System Leveling 10,000 10,000
Parking Lot Sealing 50,000 50,000
Pave Gray St Ext. 25,000 25,000
North Field Regrading 75,000 75,000
-
Middle School -
-
Sidewalk Repair 25,000 25,000
Sou theast Storm D rain Repair 5,000 5,000
Perimet er Drainage 50,000 50,000
Tennis Court 135,000 135,000
-
Districtwide -
- -
TOTAL GROUNDS CAPITAL
- 25,000 - 500,000 - 525,000Funding Source
App ro priations -
Financing 25,000 25,000
Spe cial R evenue Funds -
Grants -
-
25,000 - - - 25,000
Amherst-Pelham Regional School District Capital Plan Equipment
1/11/2011
Project N ame FY12 FY13 FY14 FY15 FY16 TOTAL
FACILITIES
High School -
-
Middle School -
-
Districtwide -
Key Tracking 500 500 1,000
- TOTAL FACILITIES - - - 500 500 1,000
TRANSPORTATION
Districtwide -
- TOTAL TRANSPORTATION - - - - - -
INFORMATION SYSTEMS
High School
Projectors 39,000 3 9,000 6,500 6,500 91,000
Document Ca meras 16,500 1 6,500 2,750 2,750 38,500 Interactive W hite Boards 36,000 3 6,000 6,000 6,000 84,000
Replacement Network Switch -
Ot her 10,000 10,000 20,000
-
Middle School -
-
Document Ca meras 8,250 8,250 16,500
Interactive W hite Boards 18,000 18,000 36,000
Replacement Network Switch 8,600 8,600 17,200
-
Districtwide -
-
Wireless LAN In frastructure 36 ,000 7,200 43,200
- TOTAL IN FORMATION SYTEMS 36 ,000 98,700 9 1,500 60,100 60,100 346,400
TOTAL EQUIPMENT CAPITAL
36 ,000 98,700 9 1,500 60,600 60,600 347,400Funding Source
App ro priations -
Financing - 91,500 9 1,500 183,000
Spe cial R evenue Funds 36 ,000 7,200 43,200
Grants -
36 ,000
98,700 9 1,500 - - 226,200
1/4/2011
FY12 Plan Adopted by the Regional Capital Planning Committee on 12/7/2010 Revised Plan Adopted by Regional Capital Planning Committee on 1/4/2011
Approved by full School Committee on 1/11/2011
FY12 FY13 FY14 FY15 FY16 TOTAL
Buildings 960,000 1,035,000 680,000 529,000 2,065,000 5,269,000 Grounds - 25,000 - 500,000 - 525,000 Equipment 36,000 98,700 91,500 60,600 60,600 347,400
996,000
1,158,700 771,500 1,089,600 2,125,600 6,141,400
Funding Source
Appropriations - - - - - - Financing 920,000 1,096,500 741,500 - - 2,758,000 Special R evenue Funds 76,000 62,200 10,000 10,000 10,000 168,200 Grants (358,800) - - - - (358,800)
637,200
1,158,700 751,500 10,000 10,000 2,567,400
Financing @ 1.5% @2.0%
BAN 1 920,000
BAN 2 561,200
BAN 3 1,096,500
LT Bond 2,399,200
920,000
1,657,700 2,399,200
BANs 920,000
MSBA R eimbursement (358,800)
Roll to next year 561,200
Stabilization Fund
Beginning Balance 364,000 272,720 177,392 167,392 157,392
Capital Projects (76,000) (62,200) (10,000) (10,000) (10,000) BAN Interest (15,281) (33,128)
Assessments - - - - - Ending Balance 272,720 177,392 167,392 157,392 147,392
Amherst-Pelham Regional School District Capital Plan
C URRENT D EBT O BLIGATIONS
FY09 FY10 FY11 FY12 FY13 FY14 FY15 FY16
Debt Shedule
H igh School Roof
Principal (125,000) (125,000) (125,000) (125,000) (125,000) (125,000) (125,000) - Interest (32,188) (27,188) (22,188) (17,344) (12,500) (7,500) (2,500) - Total (157,188) (152,188) (147,188) (142,344) (137,500) (132,500) (127,500) -
H igh School Addition
Principal (1,180,000) (1,165,000) (1,145,000) (1,130,000) (1,115,000) (1,100,000) (1,095,000) (1,090,000) (1,090,000) Interest (454,619) (417,259) (374,700) (329,200) (284,300) (240,000) (190,625) (136,000) Total (1,634,619) (1,582,259) (1,519,700) (1,459,200) (1,399,300) (1,340,000) (1,285,625) (1,226,000) (1,171,500)
MS Renovation Project
Principal (80,000) (80,000) (80,000) (80,000) (80,000) (80,000) (80,000) (80,000) Interest (26,800) (23,600) (20,400) (17,300) (14,200) (11,000) (7,800) (4,600) Total (106,800) (103,600) (100,400) (97,300) (94,200) (91,000) (87,800) (84,600)
Total Debt Expense (1,898,606) (1,838,047) (1,767,288) (1,698,844) (1,631,000) (1,563,500) (1,500,925) (1,310,600) (1,248,000)
Assessment to Towns
Amherst 559,857 515,602 463,460 413,030 363,063 313,441 267,628 125,378 Pelham 46,032 42,365 38,041 33,859 29,716 25,602 21,805 10,443 Leverett 64,434 59,511 53,732 48,142 42,602 37,096 32,004 13,621 Shutesbury 57,638 53,123 47,808 42,668 37,575 32,516 27,843 12,713 Total 727,960 670,601 603,042 537,699 472,955 408,655 349,280 162,155
MSBA Payment 1,063,846 1,063,846 1,063,846 1,063,845 1,063,845 1,063,845 1,063,845 1,063,845 1,063,845
MS Project from Stabilization 106,800 103,600 100,400 97,300 94,200 91,000 87,800 84,600
Total Debt Support 1,898,606 1,838,047 1,767,288 1,698,844 1,631,000 1,563,500 1,500,925 1,310,600 1,248,000
Consolidated Debt Obligations
Beginning Balance 15,568,934 13,670,328 11,832,281 10,064,994 8,366,150 6,735,150 5,171,650 3,670,725 2,360,125
Payments
Principal (1,385,000) (1,370,000) (1,350,000) (1,335,000) (1,320,000) (1,305,000) (1,300,000) (1,170,000) (1,165,000) Interest (513,606) (468,047) (417,288) (363,844) (311,000) (258,500) (200,925) (140,600)
Ending Balance 13,670,328 11,832,281 10,064,994 8,366,150 6,735,150 5,171,650 3,670,725 2,360,125 1,112,125