PUBLIC HEALTH & 2016 SAFETY BOND. San Francisco Department of Public Health. Full Health Commission February 21 st, 2017

Transcription

1 PUBLIC HEALTH & 2016 SAFETY BOND San Francisco Department of Public Health Full Health Commission February 21 st, 2017

2 Topics & Presenters Introduction to Bonds Mark Primeau Quarterly Highlights Terry Saltz Budget/Bond Sales Mark Primeau Construction Schedule Summary Joe Chin 2

3 Introduction to Bonds & City s Debt Program City Capital investments are funded by the 4 following financial instruments: General Obligation Bonds Voter approved by 66 & 2/3% required, 20 year terms, debt service funded by property taxes Revenue Bonds 10, 20 year terms, debt service paid from City s General Fund (GF) and revenues from fees, taxes or surcharges imposed by users of the project i.e. SFPUC, Sewer/H20 Changes Certificates of Participation (COP) Term varies, depending upon project, debt service paid from City s General Fund or revenues from fees/taxes General Fund (GF) Called Pay-as-you-go Program Funds pre-bond activities, small annual capital improvements, and project development needs feasibility studies, etc City Limits amount of debt that can be issued G.O Bonds cannot increase voters long term property taxes rates above FY 2006 Levels New G.O Bonds are issued as existing are approved and issued debt is retired The city will maintain the percentage of the G.F. spent on debt service at or below 3.25% of discretionary revenues. Financing instruments will only be used when existing GF debt is retired and/or the City s General Fund grows 3

4 Introduction to Bonds & City s Debt Program General Obligation Bonds Past/Future Since 2007, Seven G.O. Bonds were successfully approved by voters G.O. Bond Schedule anticipates rotating bond programs every six years The following table shows the City s Capital Plan proposed G.O. Bond Program for the next 10- years including the recently approved DPH, June Bond for $350M G.O Bond Debt Program (Dollars in Millions) Proposed Debt Issuance Amount Jun 2016 Public Health $350 Nov 2018 Parks and Open Space $185 Nov 2020 Earthquake Safety & Emergency Response $290 Nov 2022 Public Health $300 Nov 2024 Transportation $500 Jun 2024 Parks and Open Space $185 G.O. Bond Debt Total $1,810 4

5 Overview OVERVIEW OF PHS SCOPE AND BUDGET - $350M DPH ONLY - $272M Projects Bond Authorization Bond Budget* Includes Finance ZSFG BUILDING 5 $222M $218.7M COMMUNITY HEALTH $50M $49.5M ZSFG BUILDING 5 DPH BOND COMPONENTS $218.7M AMBULANCE DEPLOYMENT NEIGHBORHOOD FIRE $58M $57.11M SOUTHEAST HC $30M HOMELESS SERVICE SITES $20M $19.7 M OVERSIGHT AND COST OF - $4.99M* Total: $350 M $350 M COMMUNITY HEALTH CENTER $19.5M OVERSIGHT & COST OF $3.8M ISSUANCE* $272 Million Total * Estimates Only (Source: Previously Presented to BOS) 5

6 FIRST BOND SALE BUDGET AND ALLOCATION * $17.4M pre-bond funding appropriation from General Funds will be reimbursed out of the First Bond Sale 6

7 Quarterly Highlights Urgent Care: OSHPD approved. Started construction ZSFG OSHPD vacancy plan: OSHPD approved Seismic Retrofit: 100% CD completed Maxine Hall HC: Structural Assessment completed Castro Mission HC: Structural Assessment completed 1st Bond Sale Total: Not to exceed $176 Million 6H Office Surge Space: Submit to OSHPD for review Seismic Retrofit: OSHPD backcheck comments in Feb SEP 2016 OCT 2016 NOV 2016 DEC 2016 JAN 2017 Southeast Health Center (SEHC): Bid package complete Physical Therapy: Submitted to OSHPD for review IT Infrastructure: Basis of design developed Maxine Hall HC: Conceptual design completed Dialysis: 100% DD completed IT Infrastructure: Design consultant contract initiated Public Health Lab: 100% DD completed 6H Office Surge Space: 50% CD completed Hybrid OR 8 7

8 Bond Sales 1st Bond Sale Jan nd Bond Sale Jul Total Sale Amount (Not to Exceed) $173,120,000 $176,880,000 $350.0 M % Rate 2.99% % % Budget $146,500,272 $125,499,728 $272,000,000 Expended/Encumbered $9.9M 1 $ $ % Expended/Encumbered 6.7% 0% 0% 1 $9.9 Million pre bond funding from the total of $16,620,000 appropriated by DPH 2 Timing for the 2 nd Sale may change depending upon bond market conditions 8

9 ZSFG, EXISTING MAIN HOSPITAL, BLDG. 5 Existing Main Hospital, Building 5 Start construction for seismic work 3 rd Qtr Start construction for fire/life safety, other renovations 2 nd Qtr Construction for fire/life safety, other renovations Total Budget Pre-Bond Funding Allocation: $10.3M 1 st Bond Sale Allocation: $112.1M Recent Accomplishments 4 th Qtr $222 M OSHPD Plan Review initiated - Seismic Retrofit Project and Physical Therapy Relocation Project 100% DD Completed for Public Health Lab (Dec 2016) and Dialysis (Jan 2017) Upcoming Milestones/Activities Project Development/Programming Phase TB Clinic (complete in Feb 2017) Design Phase Dialysis (50% CD in March 2017); Public Health Lab (50% CD in Feb 2017); Seismic Enabling- 6H (100% CD in Feb 2017) Construction Phase Urgent Care Phases 1 and 2 (Complete in June 2017); Seismic Project (3 rd Quarter 2017) 9

10 DPH SOUTHEAST HEALTH CENTERS Southeast Health Center Start construction for renovation (Phase 1) Feb 2017 Construction for dental clinic renovation 2 nd Qtr Start construction for addition (Phase 2) 3 rd Qtr Construction for addition complete; move in 4 th Qtr Total Budget $30 M Pre-Bond Funding Allocation: $2.7M 1 st Bond Sale Allocation: $18.2M Recent Accomplishments NTP Issued for Phase 1 (renovation scope) Feb 2017 Upcoming Milestones/Activities Construction Phase: Phase 1 (Completion by 2 nd Quarter 2017) Design Phase: Phase 2 (Addition) - Completion of Schematic Design by Spring

11 DPH COMMUNITY HEALTH CENTERS Other Health Clinics Start planning and design 3 rd Qtr Start construction Maxine Hall Health Center Castro Mission Health Center Complete construction*; move-in *phase construction occurs at multiple sites Maxine Hall Health Center Castro Mission Health Center Total Budget Pre-Bond Funding Allocation: $3.6M 1 st Bond Sale Allocation: $16.2M 4 th Qtr th Qtr nd Qtr th Qtr $20 M Recent Accomplishments Completion of seismic hazardous assessment for Castro Mission and Maxine Hall. Preliminary results indicate a seismic hazardous rating (SHR) of 3 to 4. SHR-4 Potential for partial/total collapse. Upcoming Milestones/Activities Castro Mission - Completion of 100% CD by July 2017 Maxine Hall Completion of 50% DD by March 2017 Chinatown Public Health Targeting to initiate project development/programming phase by Spring

12 Construction Budget: ZSFG, Building 5 Total Budget: $222 Million Budget Encumbrances as of 12/31/16 % Expended/ Encumbered Forecast Purchase, Construction & Mobilization $154,720,000 $102, % $ Project Control $65,280,000 $7,613, % $ Other Program Costs $ $0 0% $ Finance Costs $2,000,000 $0 0% $ Total $222,000,000 $7,715, % $ *Finance Costs include Underwriter's discount, cost of issuance, GO oversight committee fee, Controller's audit fee 12

13 Construction Budget: Community Health Centers Total Budget: $50 Million Budget Encumbrances as of 12/31/16 % Expended/ Encumbered Forecast Purchase, Construction & Mobilization $34,700,000 $ % $ Project Control $15,000,000 $2,136, % $ Other Program Costs $ $0 0% $ Finance Costs $300,000 $0 0% $ Total $50,000,000 $2,136,701 4% $ *Finance Costs include Underwriter's discount, cost of issuance, GO oversight committee fee, Controller's audit fee 13

14 Program Schedule Summary *Estimated Dates as of January 2017 Bldg 5 Projects include Seismic Improvements & Out-Patient services 14

15 Questions? San Francisco Department of Public Health February