Title
a. Receive a status report on the Board Referral 2020.12 "Consider funding options to increase the Pavement Condition Index of County roads to at least a 'Fair' standard over the next ten years"; and
b. Provide appropriate direction to staff.
Report
RECOMMENDATION:
It is recommended that the Board of Supervisors:
a. Receive a status report on the Board Referral 2020.12 "Consider funding options to increase the Pavement Condition Index of County roads to at least a 'Fair' standard over the next ten years"; and
b. Provide appropriate direction to staff.
SUMMARY:
BOARD REFERRAL
The County Administrative Office (CAO) and the Public Works, Facilities, and Parks Department (PWFP) received Board Referral 2020.12 on March 3, 2020, to consider funding options to increase the Pavement Condition Index of County roads to at least a "Fair" standard over the next ten years. The Board Referral is included as Attachment A. Upon receiving the Board Referral, staff began researching options and consulted with the County's municipal advisor, KNN Public Finance (KNN), to identify funding/financing strategies within the context of the Road Fund existing revenue sources. Staff reviewed financing tools that the Board has mentioned in the past, starting with iBank, then the Total Road Improvement Program (TRIP), and lines of credit. KNN performed extensive research and analysis of potential financing options and security structures to leverage existing Road Fund revenues. Based on this collective research and evaluation, the primary financing options available are: 1) revenue bonds, non-General Fund backed; and 2) certificates of participation (COPs), General Fund backed.
Based on this research and estimated Road Fund legally available revenues to support debt service, the approximate range of bond financing proceeds was estimated between $87.0 million to $257.0 million.
At the September 13, 2021 Capital Improvement Committee (CIC) meeting, staff and KNN presented the...
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