City of Claremont Police Facility Ad Hoc Committee AGENDA
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1 City of Claremont Police Facility Ad Hoc Committee AGENDA Hughes Center- Padua Room Wednesday, June 28, 6:00 p.m. COMMITTEE MEMBERS CHAIR MARCIA HOROWITZ FRANK BEDOYA JACK BLAIR GAR BYRUM BETTY CROCKER HELAINE GOLDWATER CAROLYN GONZALES HAL HARGRAVE JIM KEITH STIG LANESSKOG SALLY SEVEN MICHAEL SHEA JESS SWICK PAUL WHEELER EX-OFFICIOS: COREY CALAYCAY EDGAR W. REECE 1. SIZE AND FUNCTIONALITY 2. UPDATED BUDGET 3. UPDATE ON DISCUSSIONS WITH THE COLLEGES 4. UPDATED FINANCING OPTIONS 5. ELECTION DATES 6. COMMITTEE RECOMMENDATIONS 7. ADJOURNMENT
2 Police Facility Ad Hoc Committee June 28, 2017
3 Tonight s Agenda 1)Size and Functionality 2)Updated Budget 3)Update on Discussions with the Colleges 4)Updated Financing Options 5)Election Dates 6)Committee Recommendations
4 Size and Functionality
5 Approximately 26,000 SQFT Overall Site Plan
6 Ground Floor
7 Ground Floor North Half
8 Ground Floor South Half
9 Second Floor
10 Second Floor North Half
11 Second Floor South Half
12 North from Ashbury Drive
13 West Bound from Cornell
14 Aerial from SW Corner
15 Aerial from NW Corner
16 NW Patio Detail
17 Aerial from SW Corner
18 Street View from Berkeley
19 Street View from Bonita
20 Entrance Plaza looking West
21 Entrance Plaza Looking East
22 Street Level View from NE Corner
23 Street Level View from NW Corner
24 Street Level View from SE Corner
25 Street Level View from SW Corner
26 BUDGET
27 Updated Budget Building Costs $ 12,000,000 Site Development $ 3,500,000 Total Architectural and Engineering Fees $ 1,500,000 Technical Construction Consulting $ 1,400,000 Construction Management $ 1,000,000 Signage (NO Art and Monuments ) $ 40,000 Environmental Review $ 100,000 Site Services (sewer, gas, electricity) $ 75,000 Moving or Relocation Costs $ 10,000 Fixtures, Furniture and Equipment $ 1,500,000 Radio Equipment $ 725,000 Cost Escalation 2 years at 5% per year $ 1,600,000 Contingency 10% $ 1,550,000 Total Estimated Project Costs $ 25,000,000
28 College Contribution
29 College Contribution Discussions with the Colleges about a contribution has been on going. At this time there is no firm commitment from the Colleges. Now that the Council held its priority workshop and the new presidents begin the new year July 1, a follow up meeting will be scheduled to consider overlapping goals and priorities and identify joint opportunities. Specific to the Police station, the president council has indicated that any contribution will be a max of the percentage of the project that is equal to the percentage of calls for service the Colleges represent. Based on analysis , the colleges represented 3% of calls for service.
30 Financing Options
31 General Obligation Bonds Bonds issued by the City and repaid through increased property taxes. Most common form of debt issued by local governments. The City issued G.O. Bonds to fund the acquisition of Johnson s Pasture in City must place a measure on the ballot at either a special or regularly scheduled election to obtain voter approval to issue bonds. A two-thirds vote is required since the proceeds of the financing will be used for a specific purpose. Property owners pay an ad valorem tax to repay bonds Amount is set annually and based on the assessed value of property. Ad valorem tax stays in place until bonds are repaid (i.e. 25 years).
32 Parcel Tax Debt issued by the City and repaid through a special tax. City must place a measure on the ballot at either a special or regularly scheduled election to obtain voter approval to levy the special tax. A two-thirds vote is required. Property owners could pay a fixed rate per square foot of improvements on their property. A parcel tax can also be structured with a flat rate per parcel. Tax can be approved with a specified term (i.e. 25 years) to coincide with the repayment of debit.
33 Assumptions Scenario 1: $25.0 million in proceeds Scenario 2: $23.5 million in proceeds $1.5 million General Fund contribution for furniture, fixtures & equipment (FF&E) Financing scenarios assume: Financing terms of 25 years No Federal grants currently available No College contribution Any College contribution would be applied to the FF&E costs to reduce the impact to the General Fund Reserves
34 General Fund Contribution FF&E cost is estimated at $1.5 million A $1.5 million General Fund contribution would reduce the size of the debt issue from $25.0 million to $23.5 million The contribution would have to come from the City s General Fund Reserve Current balance is $7,461,063 representing 29.4% of General Fund expenditures Reserve policy requires 25% A $1.5 million contribution would reduce the reserve balance to $5,961,063, representing 23.5% of General Fund expenditures
35 $25 M Annual Debt Service Debt Service Costs G.O. Bond vs. Parcel Tax G.O. Bond Parcel Tax Difference $1.53 Million $1.63 Million $96,000 Total Debt Service $38.34 Million $40.76 Million $2.41 Million $23.5 M Annual Debt Service $1.44 Million $1.53 Million $91,000 Total Debt Service $36.06 Million $38.33 Million $2.27 Million G.O. Bond Parcel Tax Rate Per $100,000 in Assessed Value $ $25 M Rate Per Square Foot of Improved Area cents Flat Rate Per Parcel $ Rate Per $100,000 in Assessed Value $ $23.5 M Rate Per Square Foot of Improved Area cents Flat Rate Per Parcel $146.02
36 Assessed Value G.O. Bond and Parcel Tax Annual $25 M Annual Assessment Example Assessments $23.5 M Annual Assessment $300,000 $99.12 $93.24 $400,000 $ $ $500,000 $ $ $600,000 $ $ $700,000 $ $ $800,000 $ $ $900,000 $ $ $1,000,000 $ $ ,500,000 $ $ ,000,000 $ $ Square Footage $25 M Annual Assessment $25 M Annual Assessment $23.5 M Annual Assessment Flat Rate Per Parcel $ $ $23.5 M Annual Assessment 1,000 $53.49 $ ,500 $80.24 $ ,000 $ $ ,500 $ $ ,000 $ $ ,500 $ $ ,000 $ $ ,000 $ $251.52
37 $25M G.O. Bond vs. Parcel Tax (SQFT) Annual G.O. Bond Payment Annual Parcel Tax Payment (SqFt) Annual Difference 25 Year Cost Difference Colleges $17,015 $197,447 $180,432 $4,510,815 Non-Profits $25,144 $51,829 $26,685 $667,125 Residential $1,325,489 $1,111,570 ($213,919) ($5,347,975) Commercial $151,413 $269,364 $117,951 $2,948,775 Vacant $14,699 - ($14,699) ($367,471) Total $1,533,760 $1,630,210 $96,450 $2,411,269 $23.5M Annual G.O. Bond Annual Parcel Tax Payment(SqFt) Annual Difference 25 Year Cost Difference Colleges $16,003 $185,704 $169,701 $4,242,525 Non-Profits $23,649 $48,746 $25,097 $627,425 Residential $1,246,632 $1,045,457 ($201,175) ($5,029,375) Commercial $142,406 $253,343 $110,937 $2,773,425 Vacant $13,824 - ($13,824) ($345,600) Total $1,442,514 $1,533,250 $90,736 $2,268,400
38 Commercial Property Owners (SQFT) Property Owner Annual Difference $25 Million Debt Issue $23.5 Million Debt Issue 25 Year Difference Annual Difference 25 Year Difference Claremont Toyota $17,881 $447,029 $16,817 $420,433 Claremont Triangle Business Park (1420 N Claremont Blvd) $10,222 $255,557 $9,614 $240,357 Claremont Heights/Vons Center $8,124 $203,096 $7,641 $191,014 Claremont Courtyard Condominium Management Services Next to DoubleTree (601 W. Foothill Blvd) Claremont Town Center /Stater Bros. (1011 W. Foothill Blvd) $6,936 $173,407 $6,524 $163,094 $6,812 $170,306 $6,407 $160,178 Peppertree Square $6,265 $156,637 $5,893 $147,317 All American Mini Storage (711 & 717 S. Mills Ave) $5,264 $131,609 $4,951 $123,782 Reliable Self Storage (1485 Andrew Drive) $4,907 $122,675 $4,615 $115,378 StorQuest Self Storage (454 W. Base Line Rd) $4,764 $119,095 $4,480 $112,007 Corey Nursery (1650 Monte Vista Ave) $4,676 $116,907 $4,398 $109,956
39 Non-Profit Property Owners (SQFT) Property Owner $25 Million Debt Issue $23.5 Million Debt Issue Annual Difference 25 Year Difference Annual Difference 25 Year Difference Church of Jesus Christ of Latter Day Saints $11,356 $283,895 $10,681 $267,035 Webb School of California $4,329 $108,216 $4,072 $101,789 First Baptist Church of Claremont $2,504 $62,596 $2,355 $58,879 Foothill Country Day School $2,241 $56,032 $2,108 $52,705 Congregational Homes $1,764 $44,090 $1,659 $41,471 Archdiocese of Los Angeles $1,628 $40,711 $1,532 $38,293 Western Assemblies Homes $1,460 $36,499 $1,373 $34,329 Claremont Presbyterian Church $1,258 $31,450 $1,183 $29,582 Claremont Methodist Church $1,126 $28,146 $1,059 $26,475 Western Christian Schools $1,040 $25,994 $978 $24,451
40 Election Dates
41 Election Dates November 7, Election Day Last Regular Council meeting to place measure -July 25, 2017 Last Special Meeting to place a measure - August 10, 2017 June 5, Election Day Last Regular Council meeting to place measure - February 27, 2018 Last Special Meeting to place a measure - March 8, 2018
42 Committee Recommendations
43 Committee Recommendations 1.Committee Recommendations on the size and functionality 2.Committee Recommendations on the financing mechanism 3.Committee Recommendations on the date of the ballot measure
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