Proposed FY 2019-2028 Capital Improvement Plan (CIP) · County Board Recessed Meeting Proposed FY 2019-2028 Capital Improvement Plan (CIP) Tuesday, May 22, 2018 @ 6:30 p.m. County

County Board Recessed Meeting

Proposed FY 2019-2028 Capital Improvement Plan (CIP)

Tuesday, May 22, 2018 @ 6:30 p.m.

County Manager’s Overview

Proposed FY 2019-2028 Capital Improvement Plan (CIP)County Manager's Overview 1

$2.8 billionover 10 years

TO PRIORITIZED CAPITAL INVESTMENTS

PUBLIC/GOVERNMENT FACILITIES PARKS &

RECREATION

TECHNOLOGY & PUBLIC SAFETY

MAINTENANCE CAPITAL

STORMWATER & UTILITIES

METRO

TRANSPORTATION & ROADS

COMMUNITY CONSERVATION


Priorities in this CIP

County Manager's Overview 2

FOUNDATIONAL INVESTMENTS

STATE OF GOOD REPAIR

EXISTING COMMITMENTS


What We Heard From the Public


3,000+respondents

4,000+comments

Schools

Maintenance ofexisting assets

Roads/paving, parks, community centers, water/sewer, libraries

(“Fix what we have first”)

Metro

Pedestrian safetySidewalks, crosswalks,

crossing signals, streetlights

Fiscal responsibilityNo “gold-plating” or “million-dollar bus stops”

Proposed FY 2019-2028 Capital Improvement Plan (CIP)County Manager's Overview 4

$2.8billion

over 10 years4%

PAY-AS-YOU-GO$114 million

Funded through annual operating budget

26%GENERAL OBLIGATIONBONDS (COUNTY)$709 million

7%STATE & FEDERAL1

$199 million

28%TRANSPORTATION

CAPITAL FUND (TCF)1

$771 millionNew Funding: $594 million

C&I Tax1 ($275 million)NVTA Regional1 ($237 million)

NVTA Local1 ($82 million)

6%PREVIOUSLY

APPROVED FUNDING1

$176 millionIncludes Authorized but Unspent, Issued but

Unspent, and Other Previously Approved funds

29%OTHER SOURCES1

$804 millionUtility Capital Funds1 ($151 million)Utility GO Bonds1 ($218 million)Developer Contributions1 ($126 million)Short-Term Finance ($102 million)Tax Increment Financing1 ($60 million)Sanitary District Tax1 ($33 million)Other Funding1 ($114 million)

Chart excludes revenues for Arlington Public Schools, estimated to total approximately $400 million over the next 10 years.1Restricted-use funding sources: Approximately 64% of the revenue for the CIP is collected for specific, pre-designated purposes and therefore is not available for discretionary funding purposes.

How We Pay for the CIP


• Significant increase in Metro obligation• Existing commitments to fulfill• Lower-than-expected tax revenues• Increased costs for current projects

o Such as Nauck Town Square; APS also seeing cost increases.o Using newer contracting tools like design-build and Construction Manager at

Risk to get price certainty.

Limited Flexibility in Near/Medium Term



Foundational Investments


METRO & TRANSIT• $54 million over 2 years, $293 million over 10 years

o Meets obligations under new regional funding agreement

o Highest funding level for Metro ever proposed

• Transit Development Plan (TDP) Columbia Pikeo $91 million over 10 years that fully funds operating costs of new services.

Maintain investments in transit stops, fleet and transitway extension

ARLINGTON PUBLIC SCHOOLS• Maintains last 8 years of funding level assumed in

previous CIP ($296 million)

• Includes close to $100 million in additional funding in final two years


PARKS & RECREATION• $30 million for synthetic turf replacements and additions• $81 million for major maintenance

o Includes replacement of athletic courts, picnic shelters and playgrounds, and trail modernization

State of Good Repair


TRANSPORTATION & ROADS• $138 million for paving over 10 years

o Maintains current Pavement Condition Index (PCI) level across 10 years, but does not increase it

• $46 million for ART fleet maintenance and replacement• $24 million for streetlights (20% increase from previous CIP)


State of Good Repair


PUBLIC/GOVERNMENT FACILITIES

• $83 million total over 10 yearso Includes $26 million in PAYG funding in future operating budgets

o Covers major maintenance, including new roofs and end-of-life replacement for core systems; more than 2 million square feet of owned facilities space

TECHNOLOGY & PUBLIC SAFETY

• $20.6 million for PC replacement and network maintenance

• $21.3 million for fire breathing apparatus, mobile data terminals (MDTs) and radio replacements


Existing Commitments


PUBLIC/GOVERNMENT FACILITIES

• Fire Station 8 ($21.0 million)o $14 million in 2018 referenda for construction

o $7 million in previous funding for planning, acquisition and design ($1.1 million from 2016 referenda, $5.9 million reallocated from other sources)

• Lubber Run Community Center ($47.9 million)o Approved and fully funded in 2016 bond referenda; no new funding

• Nauck Town Square ($6.1 million)o $4.9 million approved in 2016; $1.2 million of new funding being proposed


Existing Commitments


PARKS & RECREATION

• Jennie Dean Park ($18 million)o $1.8 million from 2016 referenda for planning and design

o $16.2 million proposed for 2018 referenda

• Long Bridge Aquatics and Fitness Facility ($71 million)o Approved previously by voters and County Board; no new funding

• Rosslyn Highlands Park ($9.8 million)o $2.0 million in Developer Contributions

o $760,000 in PAYG funds; planning and design previously spent

o $3.45 million proposed for 2018 referenda


Transportation


$160Mover 10 years

OUR TRANSPORTATION INVESTMENT PRIORITIES

Transit Development Plan (TDP)$91 million in dedicated transportation funds to support growing operating needs.

No TDP operating dollars were included in the previous CIP.

State of Good Repair$204 million from PAYG, NVTA Local, GO Bonds, TCF C&I

LOCAL TRANSPORTATION& Other County Projects METRO

Redirected under regional funding

agreement

New WMATA dedicated funding

requirement

$73Mover 10 years


Deferred, Reduced, or Not Funded


TRANSPORTATION & ROADS• Add’l Metro entrances: Crystal City, Ballston, East Falls Church ($230 million)

o Possibly at risk due to pending regional funding decisions; may require other prioritization decisions

• Paving investment will maintain but not improve pavement conditions

PUBLIC/GOVERNMENT FACILITIES• Buck and Carlin Springs properties

o Does not fund any interim improvements beyond $3 million at Buck and $1.5 million for demolition of existing buildings at Carlin Springs

• Courts/Police Building security, infrastructure & renovation ($12.5 million) of this almost 25-year-old facility

• North Side Salt Facility & site planningo No additional funding beyond previously allocated funding of $2.4 milliono Limits ability to address aging salt dome and additional improvements at site


Deferred, Reduced, or Not Funded


PARKS & RECREATION• Land acquisition for new parks ($15 million)

o May affect acquisition target of 30 acres of park land over the 10-year CIP as included in the draft Public Spaces Master Plan (PSMP). Available balances of $3.5 million.

COMMUNITY CONSERVATION• Neighborhood Conservation funding

o 10-year total scaled back from $60 million to $36 million

• Mosaic Park & Penrose Square o Second phases of both projects delayed dependent on redevelopment activities

TECHNOLOGY & PUBLIC SAFETY• Data center modernization ($9.7 million)


Ongoing Challenge


Near-Term Needs & Related Planning Processes• Strategies identified for ART transit storage and

maintenance facility needs• Many “back-of-the-house” needs not yet met• Limited investments for Buck & Carlin Springs pending

planning processes• Providing $1 million for needs and condition

assessment


Proposed 2018 Bond Referenda


TOTAL COUNTY $140.9 million

METRO & TRANSPORTATIONPaving, Metro, Streetlights, State of Good Repair

$74.6 million

PARKS & RECREATIONJennie Dean, Rosslyn Highlands, State of Good Repair

$29.3 million

GOVERNMENT FACILITIESFire Station 8, State of Good Repair

$31.8 million

COMMUNITY CONSERVATIONNauck Town Square, Neighborhood Conservation

$5.2 million


Adhering to Debt Policies


9.0% 9.3%9.7% 9.9% 9.9% 9.9% 9.9% 9.8% 9.9% 9.7%

0%

2%

4%

6%

8%

10%

12%

2019 2020 2021 2022 2023 2024 2025 2026 2027 2028

Debt Service as % of General Government Expenditures

NOT TO EXCEED

10%


Recent Ratings Review


• Adherence to adopted debt policies, including 10% ceiling on debt service

• Anticipated future fund balances and recent declines

• Future budgeting approaches and outcomes to maintain a balanced budget

TRIPLE-Aaa RATING AFFIRMEDHowever, agencies showed significant interest in our…


• Pressures likely to continue, but financial landscape remains uncertain

• Will have a chance to revisit and reexamine these decisions in two years when funding decisions at the State level will be revisited

Looking Ahead



CIP Review & Adoption Timeline


May 22 Proposed CIP presented to County Board

May-June Board Work Sessions• May 29: Schools• June 5: Technology Service, Public Safety, Stormwater Fund,

Utilities Fund• June 12: Government Facilities, Parks and Recreation, Community

Conservation• June 26: FAAC Report, Transportation, Metro, Debt Service

Public Engagement• May 30: Virtual Town Hall with County Manager• May 30-June 29: Online feedback form available

June 277:00 p.m., County Board Room

2100 Clarendon Blvd.Public Hearing

July 103:00 p.m., County Board Room

2100 Clarendon Blvd.Final Board Mark-Up

July 14 Board Adoption

Documents

Proposed FY 2019-2028 Capital Improvement Plan (CIP) · County Board Recessed Meeting Proposed FY 2019-2028 Capital Improvement Plan (CIP) Tuesday, May 22, 2018 @ 6:30 p.m. County