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Agenda 02/24/2015 Item #16F1 2/24/201516.F.1. EXECUTIVE SUMMARY p.-. Recommendation to review information related to the use of General Government Buildings Impact Fees Ior the purchase of a building located at 3750 Enterprise Avenue to be used by the Supervisor of Elections. OBJECTIVE: That the Board of County Commissioners(Board)reviews supplemental information related to the use of General Government Buildings Impact Fees for the purchase of a building located at 3750 Enterprise Avenue to be used by the Supervisor of Elections. CONSIDERATIONS: On July 8,2014,(Item 11.D)the Board approved a Purchase Agreement for an office and warehouse facility located at 3750 Enterprise Avenue. There are two buildings on the subject property with 15,000 square feet of office space and 14,746 square feet of warehouse area. On September 9, 2014, the Board approved the financing and expenditures associated to the purchase and renovation of the subject property. Included as part of the financing package is the use of General Government Buildings Impact Fees to repay loans over time, as such impact fees become available. During the Budget Hearing on September 18, 2014,the Board requested additional information be provided with respect to the use of General Government Buildings Impact Fees for this purchase. Collier County is mandated to provide adequate office space for the Constitutional Officers and Judiciary. This can be accomplished through both leased and owned space. However, the most benefit to the taxpayer is derived from owned space. Collier County, as the owner of the space, must retain the flexibility to manage office space as the organization, and the functions within, expand and contract. This allows for the correct ,yrtilization of the inventory of office space. The Supervisor of Elections is currently housed on the Main Campus and utilizes a combination offsite storage sites to meet its space needs. The purchase of the property at 3750 Enterprise Avenue will facilitate the housing of the entire Supervisor of Elections operation at one site. Further, the space being vacated by the Supervisor of Elections will be used to house another department/governmental entity in order to provide expanded space,move from lease space,etc. The proposed building purchase is an appropriate use of General Government Buildings Impact Fees as it provides for the purchase of a new asset that is an expansion of the current inventory. This acquisition does not constitute a replacement. The purchase provides a reasonable connection between the expenditure of the fees and the benefit to the public and new development and it is consistent with the Board's direction to minimize leased space,in order to best serve the taxpayers of Collier County. FISCAL IMPACT: Since this project is impact fee eligible, the full amount of the purchase including renovations or$5,522,770 is considered a loan to the General Governmental Building Impact Fee Fund(390). GROWTH MANAGEMENT IMPACT: The information provided is consistent with Objective 2 of the Capital Improvement Element (CIE) of the Collier County Growth Management Plan (GMP) states: "Future development will bear a proportionate cost of facility improvements necessitated by growth." LEGAL CONSIDERATIONS: This item has been reviewed by the County Attorney, is approved as to form and legality,and requires majority vote for approval. -JAK Packet Page-621- 2/24/2015 16.F.1. RECOMMENDATION: That the Board of County Commissioners accepts the supplemental information provided related to the use of General Government Buildings Impact Fees for the purchase of a building located at 3750 Enterprise Avenue to be used by the Supervisor of Elections. Prepared by: Mark Isackson,Director, Corporate Financial and Management Services Amy Patterson, Office of Management and Budget and Capital Project Planning, Impact Fee and Program Management Attachments: 1)2014 AUIR Summary—Government Buildings Facilities /' ■ Packet Page-622- 2/24/2015 16.F.1 . COLLIER COUNTY Board of County Commissioners Item Number: 16.16.F.16.F.1. Item Summary: Recommendation to review information related to the use of General Government Buildings Impact Fees for the purchase of a building located at 3750 Enterprise Avenue to be used by the Supervisor of Elections. Meeting Date: 2/24/2015 Prepared By Name: PattersonAmy Title: Manager-Impact Fees&EDC,Business Management&Budget Office 1/16/2015 10:00:34 AM Approved By �., Name: UsherSusan Title: Management/Budget Analyst, Senior, Office of Management&Budget Date: 1/20/2015 3:55:44 PM Name: KlatzkowJeff Title: County Attorney, Date: 2/12/2015 9:19:28 AM Name: OchsLeo Title: County Manager, County Managers Office Date: 2/16/2015 12:46:07 PM Packet Page-623- 2/24/2015 16.F.1 . 2014 AUIR SUMMARY GOVERNMENT BUILDING FACILITIES Facility Type: General Government Buildings (Category B) Level of Service Standard (LOSS): 1.7 sq.ft./capita* Unit Cost: $345.58 per sq.ft.** Using the Countywide Peak Season population, the following is set forth: Square Feet Value/Cost Available Inventory as of 9/30/14 894,889 $309,255,741 Required Inventory as of 9/30/19 766,165 $264,771,301 Proposed AUIR FY 2014/15 - FY 2018/19 0 0 5-year Surplus or(Deficit) 128,724' $ 44,484,440 Expenditures Proposed AUIR FY 2014/15- FY 2018/19 $ 0 Debt Service Payments for 2010, 2010B, 2011 &2013 Bonds $ 31,298,310 Total Expenditures $ 31,298,310 Revenues Impact Fees $ 8,828,686 Interest $ 52,000 Available Cash for Future Projects/Payment of Debt Service $ 3,331,400 Loan from General Fund (for Property Appraiser's Bldg) $ 2,240,000 Loan from Countywide Capital Projects(General Fund) $ 16,846,224 Total Revenues $ 31,298,310 Surplus or(Deficit) Revenues 5 0 Revenues needed to maintain existing LOSS none Recommendation: That the BCC approve the proposed Government Buildings AUIR for FY 2014/15- FY 2018/19. Notes: * BCC adopted Level of Service Standard is 1.7 sq. ft. per capita. LOSS identified within BCC- approved December 20, 2011 Impact Fee Study is 1.52 sq. ft. per capita. The 1.7 sq. ft per capita only covers owned facilities and does not cover leased facilities which currently meet approximately 4%of the space required. ** The unit cost utilized is based upon actual project costs for representative projects divided by the total square footage and is rounded to the nearest cent. The calculated average unit cost on the Capital Improvement Plan (CIP) is skewed higher due to the cost of the Emergency Services Center(ESC). The CIP future costs are based on preliminary individual estimates, not on past costs. Although there are no representative projects since the economic downturn, the utilized sq.ft. cost represents a 5% reduction from the comparable(Courthouse Annex)project for the proposed future buildings. *** The 5-year surplus in available square footage does not represent a limitation on adding capacity/expansion of space. There is no requirement that all existing capacity be consumed before expanding as the use of impact fees allow jurisdictions to stay ahead of the demands created by growth. 193 Packet Page-624-