Joint Board Facilities and Finance Committees Meeting Agenda/Notes 3/14/19

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Agenda
March 14, 2019 Joint Board Facilities and Grounds/Finance and Audit Committee Meeting
10:30 a.m. - Meeting Room C
Panorama Village Administrative Center
240 Villa Crest Drive
State College, PA  16801

I.       Call to Order

II.     Memorial Field Update
            A. Bid Results (attachment II-A)
            B. Alternate Field Locations (attachment II-B)

III.    Capital Financing Update

IV.     Solar Discussion

V.       Public Comment  Each individual will be limited to comments of five (5) minutes as time permits for items on this agenda or related to Board business.

VI.     Future Agenda Items
            CRPR Basefields
            Demographic Update
            Student design for memorial at MF

VII.    Adjournment


March 14, 2019 Joint Board Facilities and Grounds/Finance and
Audit Committee Meeting Notes                                                      Accepted Notes
10:30 a.m. - Meeting Room C
Panorama Village Administrative Center
240 Villa Crest Drive
State College, PA  16801

I.     Call to Order
Ms. Bedell began the Joint Facilities and Grounds/Finance and Audit Committee meeting at 11:30 a.m. and noted they needed to vote for a new Committee Chairperson. Ms. Concepcion moved and Ms. Bedell seconded to nominate Gretchen Brandt as the new Committee Chair. All committee members present voted aye with a voice vote. (Ms. Fozard was absent.) The motion passed unanimously. Ms. Brandt called the meeting to order at 11:35 a.m. and turned things over to Mr. Poprik to begin with Item II-A.

Committee Members Present: Lori Bedell, Gretchen Brandt, Amber Concepcion
Absent: Scott Fozard
Others:  Amy Bader, Randy Brown, Anna Child, Mary Jenn Dorman, Dan Duffy, Tim Jones, Jim Leous, Nabil Mark, Bob O’Donnell, Ed Poprik, Chris Rosenblum, Will Stout, Chris Weakland, Laurel Zydney

A copy of  all materials distributed to committee members for discussion is included with the official notes, unless otherwise indicated.

II.    Memorial Field Update
Bid Results -
Mr. Poprik spoke on Value Engineering that was presented at the Board meeting. Beginning with Item #1 on the sheet, he noted if it was a bigger number, he would eliminate and could have worked on the sidewalk to get from side-to-side. Item #2 was  Jacob’s Ladder that is a landscaping buffer, otherwise, would be looking under the elevated sidewalk, a very shaded area. Item #3 is the handicapped ramp and can do the best solution with this. All three together totals $415,000. He spoke on other scope related items: second ticket booth and concession area, and Items #4 and #6 are engineering issues, no Board input is needed. They can work something out and can be brought as credit change orders. Other items noted: The classroom is in the base project, to remove would save $46,800, and Mr. Brown noted that is not being recommended; classroom will have cubbies and finishes but no chairs; and the visiting locker room situation is dependent on the classroom for larger games. Mr. Poprik reviewed the Bid Scenarios 1-4 and cost associated with each against the MCMS estimate based on the long schedule.

Alternate Field Locations
Mr. Poprik spoke on the schedule with end of summer completion 2020. He explained either the short or long option includes closing Memorial Field for at least one spring sport season and events would be relocated to the North and South Track Fields. There have been two options developed in an effort to host home sporting events for varsity football during the construction schedule. The first option is hosting at North Field and explained enhancements for this to happen; and the second option includes access to Memorial Field and other fall sports during the month of October 2019 that would require additional construction and phasing costs. This option would shift the construction calendar by one month to October 2020, and reviewed the potential cost issues. Mr. Jones then referred to a graphic provided of Memorial Field showing part of Memorial Field totally off limits (Red), getting areas ready to go (Yellow), and usable space (Green). They will be building a ramp on the parklet side that will be in various stages of construction; this will be inside fencing but not block views; foundations for the walkway on the south side; field level will be protected by contractors with mats removed for field use; the ramp will be maintained for field access but it will be modified to let the band still walk down; and no real issues with PA system, scoreboard and lights but all might need moved and hooked up to temporary generators to run them. There would be a makeshift pressbox. Dr. O’Donnell added they are trying to give consideration to the student experience with Homecoming and Senior Night, October has the games with largest attendance, and Mr. Poprik noted the cost of $130,000-$160,000 for what was just explained. This is based on normal conditions to open for the projected date in 2020. Various items were discussed by committee members and clarifying questions asked for a better understanding trying to use North Field and have games at Memorial Field. It was noted there would be NO bleachers on the home side at Memorial Field. There were two scenarios for North Field improvements that were reviewed, and the grand total of Memorial Field construction costs and North Field Scenarios were also reviewed. For the option of October games at Memorial Field, it was noted that no practices would take place there, impact would be extra clean-up, Mr. Jones noted it would be better to go straight through but this is doable for October 2019, and if Memorial Field did not open on time, that could be true with any option, and still have the west-side bleachers. More than a cost issue, it is a risk and/or desire issue and would affect two classes of students instead of one. This will be on the March 11 Board meeting for Information and Discussion…. long schedule, short schedule and now hybrid schedule. It was noted that all away games option has been taken off the table, and is no longer being considered.

III.    Capital Financing Update
Mr. Brown reviewed the preliminary debt service analysis for Memorial Field project and the assumptions made for the purpose of this analysis. Based on earlier conversations, there were four modeled scenarios that addressed two alternative sizings of $10 and $15 million and two alternatives amortization periods of 10 and 20 years. Mr. Brown provided a chart summarizing the analysis in terms of issue size, proceeds available to spend on the project, True Interest Cost and Average Annual Debt Service. The North and old CTC areas were taken out of the project and $2 million that was projected is not enough due to already spending for the gym bleachers. The athletic storage designed is going to another location, and various things that were going to the High School are not going there. $2.6 million is needed in funding, do not want to push Park Forest Middle School out any further, and the $10 or $15 million borrowing for 10 or 20 years pay back shows interest is higher for 20 years. Discussion occurred on getting a loan and not having to do bonds; Mr. Brown will check with Mr. Beckett for any bonds coming due for refinancing; the amount that has been borrowed the last three-years; originally not talking about lights at North Field, Memorial Field being over $10 million, and South Track; amount for Park Forest Middle School might not be high enough due to the years out and trying to know exactly; and playgrounds and phasing options with the amount vs. the amount planned. Mr. Brown explained traditional playground operating cost being different from the new design on our property that becomes a physical plant maintenance problem. Mr. Poprik does not have a landscape crew and this will be discussed at a future meeting.

IV.    Solar Discussion
Mr. Brown noted he connected with our energy consultant with Premier Power. Both College and Ferguson Township left Premier. The representative from Premiere is willing to come in and talk with the District. He is familiar with the RFP for Penn State and their interest in talking with us. He would like to bring this to the next Finance Committee meeting; not saying he is not continuing on with COG discussion, but initially, this is a District conversation. This is not just solar but other renewals. He has concerns about the timing of the process, COG has a history of working together, bring others in and have a separate agreement.    Dr. O’Donnell noted this impacts us the most and they are looking to us to be the point; we have the most to save or loose; and we are needed to get the benefit. Mr. Brown added we are very pleased with what we are getting with Premier as our energy consultant and have not asked to change that.

V.     Public Comment
There was no public comment.

VI.    Future Agenda Items
There were no questions regarding the three items under Future Agenda Planning: CRPR Baseball Fields, Demographic Update, and Student design for memorial at MF. A committee member wanted to have a very general discussion regarding LERTA and the related one for the Borough. Ms. Concepcion noted the Borough wants to develop a zone for LERTA. There were 21 properties in the 1982 history mapping project in the Borough and now it is down to 20. There are also some properties in Boalsburg, Lemont and Pine Grove Mills areas. The Borough’s motivation for this is due to buildings being purchased, demolished, and highrises going up. They would like to create a tax incentive for adaptive reuse of buildings; the inside can be completely renovated while keeping the exterior of the building the same that would cap the height. The Borough believes the District would receive more tax revenue since the property would be improved as compared to remaining status quo. Committee members discussed, asked questions for clarity and better understanding. Dr. O’Donnell spoke on depressed areas that bought into this, need to meet the “distressed” category and renovate inside, reviewed the process and noted the buildings they are talking about are not vacant. As further information becomes available, Mr. Brown can provide board members with an update.

VII.    Adjournment
Ms. Brandt adjourned the Joint Facilities and Grounds/Finance and Audit Committee meeting at 1:00 p.m.

Submitted by,

Mary Jenn Dorman
Board Secretary