Agenda Item #25
Payment of COP Debit Service with Impact Fees
Educational Facilities Impact Fees are restricted as to use (new capacity only), location (can only be used in the Benefit District in which they were collected) and time (must be returned, if requested, if not used within six years after collection). Using Impact Fees to pay Certificate of Participation (COP) debt service on qualifying projects would make the Capital Outlay ad valorum tax budgeted to pay the COP debit service available for other appropriate Capital Outlay uses.
Payment of COP debt service with Impact Fees is permitted by Paragraph 2.4 of our Interlocal Agreement with Brevard County for Educational Facilities Impact Fees. School districts in Lake County, Orange County and Volusia County use Educational Facilities Impact Fees for the payment of COP debt service.
There is currently $5,276,923 of unencumbered Impact Fees. These are being reserved for Elementary School "U" ($1,511,864) and Middle School "EE" ($3,765,059). These funds would be available for the payment of COP debt service for qualifying projects in their respective Impact Fee Benefit Districts (examples: Titusville HS and Merritt Island High School) if the projects do not proceed or are funded with other sources -- note that Elementary "U" is shown in the 10-Year Long Range Plan in the proposed 2008/09 - 2012/13 Tentative Facilities Work Program; Middle School "EE" (Space Coast) is not included in the 5-Year, 10-Year or 20-Year Long Range Plans.
For FY2008/09 - FY2014/15, up to $54.8 million of the $59 million of projected Impact Fees would be available to pay COP debt service, based on the following assumptions:
Note that this Agenda Item authorizes the concept only. No specific request is being made at this time. Facilities Services will work in conjunction with Financial Services and the Educational Facilities Impact Fee Benefit District Advisory Committees to develop and implement a process for the recommendation, approval and payment of COP debt service with qualifying Impact Fees on appropriate projects. Agenda Items will be brought to the Board for approval of specific Impact Fee use.
The Office of Financial Services has reviewed and approved this Agenda Item.
Attachment: Projected Capital Revenue - Sources and Uses, dated 8/25/08 (for Impact Fee projections).
Authorize staff to pursue the concept of paying Certificate of Participation (COP) debt service with qualifying Educational Facility Impact Fees.
Information - 9/9/2008
Consent after Information9/23/2008
Authority for Action
Involves Expenditure of Funds Directly in the Classroom
Source of Funding
Agenda Item will not Require the Expenditure of Funds
Ed Curry x451
Attachment: Sources and Uses 8-25-08.pdf