Form revised April 13, 2004

 

FISCAL NOTE FOR CAPITAL PROJECTS ONLY

 

Department:

Contact Person/Phone:

DOF Analyst/Phone:

Parks and Recreation

Korie Voorheis 684-4135

Jan Oscherwitz 684-8510

 

Legislation Title: AN ORDINANCE relating to the Woodland Park Zoo; authorizing the Superintendent of Parks and Recreation to amend the Operations and Management Agreement between the City of Seattle and the Woodland Park Zoological Society.

 

 

Summary and background of the Legislation:

 

The amendments to the Operations and Management Agreement between the City of Seattle and the Woodland Park Zoological Society (WPZS) that are addressed by this legislation do the following:

  • Modify the dates by which the City and WPZS will develop a parking garage at the Woodland Park Zoo and provide 1,360 visitor parking spaces as soon as practical but no later than December 31, 2010;
  • Commit the City to providing funds in an amount not to exceed $16.2 million (plus inflation from August 1, 2004) by March 1, 2007, or later at the request of WPZS, toward the cost of constructing the parking garage. The agreement spells out a methodology for calculating inflation.  Payments will be made monthly based on invoices submitted by WPZS.  As in the original agreement, debt service payment on these funds (after application of net revenues from parking) will be split with the City covering 75% and WPZS covering 25%; 
  • Set the date of May 1, 2005 for the City and WPZS to agree on the costs of development, design, construction, garage operations and maintenance, major maintenance, transportation demand and on-street parking management plan, taxes, financing, including interest.  If agreement cannot be reached, WPZS may terminate the Agreement provided that notice of such termination occurs prior to August 1, 2005,
  • Delay the time in which the City would establish any Restricted Parking Zone for residents or other preferential parking for residents in the area within four blocks of the Zoo’s boundaries without the consent of WPZS from December 31, 2004 to the date the garage opens or December 31, 2010 whichever is earlier.  In the interim, both parties agree to study both short-term and long-term RPZ options; and

·        Change the date by which the City must adopt the Long-Range Plan from April 1, 2002 to December 31, 2004. In the event that such a Plan is not adopted by December 31, 2004, the amendments allow WPZS to terminate the Agreement, provided that such termination must occur prior to March 31, 2005.

 

This is companion legislation to the resolution that adopts the Long Range Physical Development Plan.  In that plan, future parking needs and a proposed parking solution for the Zoo are identified.

 

As early as 1988, the City and the Zoo recognized that existing Zoo parking was inadequate and that the overflow of Zoo patrons mixed with the increased housing development on Phinney Ridge was having an impact on neighborhood streets.  The pedestrian safety and other parking improvements provided in the 1985 King County Zoo bond issue added approximately 30 additional spaces, bringing the total number of visitor parking spaces to 654 today.  Parking and access was a key element of the 1995 Zoo Commission report and in the subsequent development of a new Long-Range Plan for the Zoo.

 

In 2002, the City of Seattle approved an Operations and Management Agreement (“Agreement”) effective March 1, 2002 which provided for the transfer of operational and management responsibility for Woodland Park Zoo (Zoo) for a twenty year period (Ordinance 120697).  Section 8 of that Agreement provided for the financing, construction and management of a parking structure to meet the Zoo’s current and future parking needs, subject to the adoption of a new long-range plan for the Zoo.  Section 1.27 anticipated that the new Parking Garage would bring the Zoo’s visitor parking spaces to a total of 1,450.  The revised Long-Range Plan states that there will be no fewer than 1,360 visitor spaces.

 

In 2002, DPR and WPZS developed a Long Range Physical Development Plan for the Zoo and an Environmental Impact Statement (EIS) for this Plan.  Subsequently, the City of Seattle Hearing Examiner concluded that this EIS was not adequate, and the City and WPZS prepared a revised draft EIS, which was followed by a 45-day public comment period where both written and verbal comments on the document were accepted.  The revised draft EIS examined the impacts of three different long-range zoo development scenarios, and seven different parking facility locations and configurations.  In response to public comment, a number of changes were made to the revised draft EIS and to the Long Range Physical Development Plan, and a Revised Final EIS was published in December 2003.  The Hearing Examiner rejected the only appeal of the Revised Final EIS, and further appeals were not pursued.

 

The Zoo’s original parking proposal as outlined in the Final Revised Environmental Impact Statement (FREIS), was estimated to be in the $30 - $45 million range.  Subsequently, WPZS, in collaboration with City staff, agreed upon a different parking proposal, one of the other alternatives examined in the Final Revised EIS.  WPZS revised the Long Range Physical Development Plan to reflect this new agreement regarding parking and alternative transportation.  The revised Long-Range Physical Development Plan is ready for review by the Seattle City Council, and the Revised Final EIS is available to assist the Council in considering environmental impacts. 

 

The proposed new parking structure will be located north of the existing West entrance to the Zoo on Phinney Avenue, and would provide approximately 700 additional spaces for Zoo visitors bringing the total number of visitor parking spaces to at least 1,360.  These additional parking spaces are anticipated to be available as soon as practicable but in no event later than December 31, 2010.

 

The City will refrain from instituting a restricted parking zone around the Zoo until the new parking structure opens except by mutual agreement with WPZS.  WPZS will continue to work with KC/Metro and SDOT to identify incentives and opportunities for increased transit, bicycle and pedestrian access to the Zoo, in addition to the Zoo employee trip reduction program already in place.  The parties will also study short-term and long-term RPZ options for the neighborhood around the Zoo.  If an RPZ is established, WPZS will pay for one permit fee per household within the RPZ for the first two years of the RPZ.

 

WPZS and the City will share the cost of debt service in excess of that covered by parking revenues as described in the original Agreement.  The debt-sharing ratio in the original Agreement was City (75%) and WPZS (25%).  For planning purposes, we have assumed that in the first full year of operation, the Zoo will generate $1,560,667 in parking revenues.  Of this amount, per the original agreement $537,713 will go toward Zoo general operations, $462,364 will go toward operations and maintenance of the parking structures, leaving $560,590 to allocate toward debt service.  Under these assumptions, the City would pay $712,138 toward debt service and WPZS will pay $237,379.  There are a number of outstanding issues on what is included in O&M costs related to parking.  The amendment stipulates that the parties must come to agreement on O&M costs by May 1, 2005 or WPZS may terminate the Agreement.

 

WPZS will be responsible for the design, construction and operation of the parking improvements consistent with an adopted Long-Range Plan.

 


Project Name:

Project I.D.

Project Location:

Start Date:

End Date

Woodland Park Zoo Parking Garage

TBD

5500 Phinney Avenue N.

March, 2007

2008

 

·                    Please check any of the following that apply:

 

_X__   This legislation creates, funds, or anticipates a new CIP Project. (Please note whether the current CIP is being amended through this ordinance, or provide the Ordinance or Council Bill number of the separate legislation that has amended/is amending the CIP.)   This CIP project will be included in the Mayor’s Proposed 2005-2010 CIP.

 

____    This legislation does not have any financial implications. (Stop here and delete the remainder of this document prior to saving and printing.)

 

_X___ This legislation has financial implications. (Please complete all relevant sections that follow.) 


 

Appropriations: 

 

Fund Name and Number

Department

Budget Control Level*

2004

Appropriation

2005 Anticipated Appropriation

TBD

Department of Parks and Recreation

 

K72440

 

$0

 

$0

TOTAL

 

 

$0

$0

Notes:  Appropriation won’t be needed until at least 2007. 

Spending Plan and Future Appropriations for Capital Projects: .

 

Spending Plan and Budget

2004

2005

2006

2007

2008

2009

Total

Spending Plan

$0

$0

$0

$17.8 M

$0.2 M

$0

$18.0 M

Current Year Appropriation

$0

 

 

 

 

 

 

Future Appropriations

 

$0

$0

$17.8 M

$0.2 M

$0

$18.0 M

Notes:   For planning purposes, the City has assumed it will issue 20-year debt in early 2007, for the amount equal to $16.2 Million (plus the accumulated inflation to that point as determined by the ENR 20 City Construction Cost Index, and issuance costs).  In this scenario, the City’s issuances costs are 3% and the total amount provided to WPZS is $17.5M plus inflation on the remaining balance through project completion.

 

WPZS intends to build a parking garage with approximately 700 spaces with three levels above grade and one level at grade, and plans to open it in 2008.  WPZS has estimated that this garage would cost $16.2M if it were built today (See Attachment 1 – Garage Development Costs).  WPZS intends to begin design of the garage in Fall 2005 and assumes it will obtain a construction line-of-credit for approximately $2 million for its use on the project until March 1, 2007 when the City makes its first payment.

 

If WPZS has incurred costs prior to March 1 2007, the City will pay those costs and the interim financing expense on March 1 2007.  The interim financing does not add to the City's total contribution, but comes out of the total of $16.2 million plus construction inflation. The City will make monthly progress payments thereafter.  The amount of the City contribution will continue to escalate with construction inflation, with the inflation applied to the unpaid balance.  If the City's contribution limit is reached before the garage is finished, any remaining costs will be borne by WPZS.  If the garage is finished but the City's contribution limit has not been reached, the balance will be used to pay a portion of the overall project's debt service in the first year.  The following table shows how the City payment and inflation calculation works (the numbers provide an example of payments to WPZS and do not represent the expected spending schedule for garage construction). 


 

 

Payment Date

Balance

before Payment (1)

Balance with Computed Inflation (2)

Payment

Balance after Payment (3)

1-Mar-07

16,200,000

17,503,739

2,000,000

15,503,739

1-Apr-07

15,503,739

15,542,499

1,000,000

14,542,499

1-May-07

14,542,499

14,578,855

1,000,000

13,578,855

1-Jun-07

13,578,855

13,612,802

1,000,000

12,612,802

1-Jul-07

12,612,802

12,644,334

2,000,000

10,644,334

1-Aug-07

10,644,334

10,670,945

3,000,000

7,670,945

1-Sep-07

7,670,945

7,690,122

3,000,000

4,690,122

1-Oct-07

4,690,122

4,701,847

2,000,000

2,701,847

1-Nov-07

2,701,847

2,708,602

1,000,000

1,708,602

1-Dec-07

1,708,602

1,712,874

1,500,000

212,874

1-Jan-08

212,874

213,406

213,406

0

Total

 

 

17,713,406

 

 

1) Assumes inflation begins August 1, 2004

2) Assumes 3% inflation per year

3) If any balance is available after final payment for garage, remaining funds go to pay debt service on the project

 

 

Funding source ( in $000s):

Funding Source (Fund Name and Number, if applicable)

2004

2005

2006

2007

2008

2009

Total

TBD (Bonds) – Includes 3% debt issuance costs on $16.2 M inflated from August 1, 2004

$0

$0

$0

$18,046

$0

$0

$18,046

Parking Revenue

$0

$0

$0

$0

$561

$571

$1,132

WPZS

$0

$0

$0

$124

$237

$235

$596

City Debt Service

$0

$0

$0

$372

$712

$704

$1,788

TOTAL

$0

$0

$0

$18,542

$1,510

$1,510

$21,562

 

Notes:


 

Bond Financing Required: 

 

Type

Amount

Assumed Interest Rate

Term

Timing

Expected Annual Debt Service/Payment

General Obligations Bonds

$17,503,739 + $542,616 (3% Issuance)

 

5.5%

20 Years

1st Qtr, 2007

$1,510,107

Split between City (75%) and WPZS (25%) after deducting net parking revenues

TOTAL

$18,046,355

 

 

 

$1,510,107

 

We’ve assumed for planning purposes that the City will issue 20-year general obligation debt for $17.5M plus issuance costs in early 2007.  We’ve also assumed level debt service with an interest only payment in 2007.  The term and structure of the debt are to be determined closer to the financing date.  The City may consider issuing debt for a longer period or modifying the debt structure to better match the revenue stream.  Attachment 2 provides the financing assumptions that are the basis for the 20 year operating pro-forma.

 

Uses and Sources for Operation and Maintenance Costs for the Project

 

O&M

2004

2005

2006

2007

2008

2009

Total

Uses

 

 

 

 

 

 

 

Start Up

0

0

0

0

0

0

0

On-going

0

0

0

0

$462,364

$473,920

$936,284

Sources (itemize)

 

 

 

 

 

 

 

 Parking Garage Revenue

0

0

0

0

$462,364

$473,920

$936,284

Notes:  This legislation assumes that the O&M for the Parking Garage will be paid for with revenues from the Parking Garage.  See Attachment 3 – Zoo Parking Garage 20 Year Operating Statement.  O&M costs include estimates for labor, utilities, insurance, supplies, ongoing repairs and maintenance, and sales tax on parking receipts.  The labor costs assume that there will be an attendant on site during all hours that the garage is open.  The O&M cost estimates shown here are subject to change based on future negotiations between WPZS and the City which will be completed by May 2005.


 

 

Periodic Major Maintenance costs for the project:  Estimate capital cost of performing periodic maintenance over life of facility.  Please identify major work items, frequency.

Major Maintenance Item

Frequency

Cost

Likely Funding Source

NA

NA

NA

NA

TOTAL

 

 

 

 

We assumed there would be no major maintenance costs in the pro forma because these costs were not addressed in the original Operations and Management Agreement, and are subject to future negotiations between WPZS and the City.  For planning purposes, WPZS has assumed a cost of $0.37 per square foot per year ($92,750) as an estimate for major maintenance costs, which is based on the mid-range of the national experience as reported in “Parking”, Weant and Levinson, Eno Foundation, 1990, p.84.

 

Funding sources for replacement of project: 

 

The anticipated life of the garage is 50 years, with periodic major maintenance over this time.  We anticipate that project replacement costs would be included as part of a future contract for Zoo operations.

 

Total Regular Positions Created Or Abrogated Through This Legislation, Including FTE Impact:  There will be no increase in City FTE’s as a result of this project.

Position Title and Department*

Fund Name

Fund Number

Part-Time/ Full Time

2004

Positions

2004 FTE

2005 Positions**

2005 FTE**

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

TOTAL

 

 

 

 

 

 

 

 

·        Do positions sunset in the future?  NA

 

·        What is the financial cost of not implementing the legislation:   Section 8.2 of the original Operations and Management Agreement required that the City provide financing for the Parking Garage by September 1, 2004, or WPZS could terminate the Agreement.  Without this amendment to the Agreement, WPZS may terminate the Agreement and return the Operations of the Zoo to the City. 

 

If a Parking Garage is not built, there will not be enough parking for visitors and the Zoo will lose revenue.  See Attachment 4 – Comparison of Garage Options Considered for estimated revenue impacts. 

 

The proposed parking structure construction will also generate sales tax revenue to the City. 

 

·        What are the possible alternatives to the legislation that could achieve the same or similar objectives?  

 

With the 1995 Zoo Commission, the Zoo began the process of examining its future, resulting in the governance change to non-profit management in 2002.  In 1999, the Zoo began an update to the 1976 Long-Range Plan.  Numerous community meetings and hearings were held, two environmental impact statements were produced and supporting traffic and transportation studies were conducted.  The result is the updated Long-Range Plan.  In conjunction with the revised Long-Range Plan, the FREIS examined seven parking mitigation alternatives to address the Zoo’s long-standing parking and transportation issues. These alternatives and their impacts are clearly outlined in the Final EIS issued on December 31, 2003.

 

In the spring of 2004, WPZS approached the City with a proposal to build a garage at the South end of the Zoo that would be five stories below the ground, one story at ground level and one story above ground.  The cost of this garage was estimated to be $28.3 Million.

 

Staff from the City’s Departments of Finance, Transportation, and Parks and Recreation evaluated this proposal and as well as two other larger, more costly, garage alternatives and did not recommend any of them due to the cost in comparison to the projected need and potential revenues associated with a larger garage.  These garage alternatives ranged from $28 to $41 million in construction costs.  Staff also considered one smaller garage costing $15.6 million, but did not consider it cost effective given its size and the projected need and potential revenue. (See Attachment 4 - Comparison of Garage Options Considered).

 

In addition, the Executive contemplated alternatives to a garage, with City transportation planners evaluating commute trip alternatives to solve the community congestion problems.  However, in the long term and with the projected growth at the Zoo, such measures could mitigate congestion and allow for the smaller sized garage proposed in this agreement, but were not sufficient to eliminate the need to construct a garage. 

 

·        Is the legislation subject to public hearing requirements:  Yes, this legislation is subject to a public hearing because it involves a capital project that will cost more than $5 million.  This hearing will be scheduled by the City Council, following a 10-day public notice period.

 

In addition, the City and WPZS have held numerous public hearings regarding the Long-Range Plan and the Environmental Impact Statement, both of which address the environmental impacts of various alternative parking garage locations and configurations.  Prior to construction of the garage, project-specific permitting and appropriate SEPA review would also take place.

 

·        What are the public benefits associated with this project?

 

Many public benefits of the Operations and Management Agreement are already being realized.  The City has been relieved of the increases in operating and maintenance costs for the Zoo.  The Zoo has continued to be a cherished community resource and offers award-winning education programs.  It offers recreation programs from wildlife adventures to summer day camps.  It provides a safe and unique venue for a variety of family and community celebrations, including concerts, public picnics, weddings and family reunions. The Zoo remains a leader in quality animal care; exhibit design, and wildlife conservation. The City accrues the direct economic benefits of increased tourism; visitor expenditures, tax revenues and job creation, estimated in a recent economic analysis at $292 million over a five-year period, not including induced or indirect economic benefits.  In spite of the general economic downturn, the Zoo has been able to maintain its workforce of family wage employees. The corporate and philanthropic community continues to support the Zoo’s efforts to create new attractions and education programming.

 

In order to keep up with rising costs, increase its programs and improve exhibits, the Zoo must accommodate the expected increase in visitors that parallels the growth expected in the region. Without this proposed parking structure, not only would the Zoo neighborhood continue to experience adverse impacts, the Zoo would suffer economically. Without adequate parking, the Zoo would stagnate financially and find it difficult to maintain its current level of programming, maintenance and positive visitor experience.

 

·        Other Issues (including long-term implications of the legislation):

 

This amendment requires the adoption of a new Long-Range Plan for Woodland Park Zoo that allows for the construction of a parking structure.  Failure to adopt a plan with a garage has the potential to jeopardize the Operations and Management Agreement between the City and WPZS.  

 

This amendment also requires the City and WPZS to study short and long-term RPZ options for the Zoo neighborhood.  To help relieve overflow parking in the neighborhood, WPZS will continue to develop an alternative transportation plan in conjunction with King County Metro and the Seattle Department of Transportation.

 

Please list attachments to the fiscal note below:

 

 

Attachment 1 – Zoo Parking Garage Development Costs

Attachment 2 – Woodland Park Zoo Parking Garage Structure Assumptions Related to 20-Year Debt Arrangement and the Impact for 2008 (Garage Opening Year)  

Attachment 3 – 20 Year Operating Statement

Attachment 4 – Comparison of Garage Options Considered

 

ATTACHMENT 1

ATTACHMENT 1 (of the Fiscal Note)

 

ZOO PARKING GARAGE DEVELOPMENT COSTS

 

WEST 4 LEVELS ABOVE GRADE

CONSTRUCTION HARD COSTS

 

CONTRACTOR CONSTRUCTION COSTS

 $                        11,492,083

 

 

SALES TAX ON CONTRACTOR CONSTRUCTION

 $                          1,011,303

OTHER HARD COSTS

 

DESIGN, ESCALATION  & CONST. CONTINGENCY (@ 11.5% OF CONTRACTOR CONSTRUCTION COST)

 $                          1,321,590

AUTOMATED PARKING EQUIPMENT

 $                             250,000

WAYFINDING, SIGNAGE & MONUMENT SIGNS

 $                             150,000

FURNITURE, FIXTURES & EQUIPMENT

 $                                30,000

SALES TAX ON OTHER HARD COSTS

 $                             154,140

TESTING & INSPECTIONS

 

 

GEOTECH

 $                                40,000

 

STRUCTURAL ENGINEER

 $                                50,000

 

 

 

 $                          1,995,729

TOTAL HARD COSTS

 $                        14,499,116

ARCHITECTURAL AND ENGINEERING

 

ARCHITECTURAL DESIGN SERVICES @ 5%

 $                             574,604

STRUCTURAL ENGINEER @ 1.5%

 $                             172,381

MECHANICAL ENGINEER @ .75%

 $                                86,191

PLUMBING

 $                                50,000

ELECTRICAL ENGINEER @ .5%

 $                                57,460

CIVIL ENGINEER @.7%

 $                                80,445

ARCHITECTURAL & ENGINEERING REIMBURSABLE

 $                                60,000

 

 

 

 $                          1,081,081

SPECIALTY CONSULTANTS

 

ACOUSTICAL  BASELINE NEIGHBORHOOD TESTING

 $                                10,000

PUBLIC INVOLVEMENT

 $                                25,000

LANDSCAPE DESIGN

 $                                60,000

GEOTECH ENGINEER

 $                                45,000

ENVIRONMENTAL ASSESSMENTS FOR PERMITS

 $                                25,000

SIGNAGE/GRAPHICS DESIGN

 $                                60,000

SITE SURVEY

 $                                20,000

TRAFFIC & TRANSPORTATION STUDY UPDATE & TMP

 $                                30,000

 

 

 

 $                             275,000

OTHER SOFT COSTS

 

PREDEVELOPMENT EXPENSES

 $                                45,000

PERMITS & FEES

 $                                35,000

PROJECT MANAGEMENT FEES

 $                             285,000

OWNER REIMBURSEMENTS

 $                                50,000

LEGAL:  AGREEMENTS & CONTRACTS

 $                                25,000

INSURANCE (BUILDER'S RISK)

 $                                30,000

COMMISSIONING & START-UP COSTS

 $                                30,000

 

 

 

 $                             500,000

PLANNING & DESIGN CONTINGENCY @ 5%

                         92,804

TOTAL SOFT COSTS

 $                          1,703,885

TOTAL DEVELOPMENT COSTS

 $                        16,203,001

 

 

 

ATTACHMENT 2

Attachment 2 to DPR Zoo Amendment MOA FISC

Woodland Park Zoo Parking Garage Assumptions Related to 20 Year Debt Arrangement

 

 

 

INTEREST RATE

5.5%

DEBT SERVICE TERM (20 YEARS)

20

PARKING LEVELS BELOW GRADE:

0

PARKING LEVELS AT GRADE:

1

PARKING LEVELS ABOVE GRADE:

3

NEW TOTAL FOR PUBLIC PARKING STALLS

1,360

PROJECT DEVELOPMENT/CONST. COSTS

  $16,200,000 

Inflation

  $1,303,739 

Estimated Cost of Debt Issuance (3%)

  $542,616 

ESTIMATED DEBT TOTAL

  $18,046,355 

 

 

ESTIMATED ANNUAL DEBT SERVICE

  $1,510,107 

 

 

CALCULATION OF IMPACT ON 2008:

 

ESTIMATED ANNUAL VISITORS IN 2008

  1,143,753 

ATTENDANCE ADJUSTED FOR MODE (96% BY CAR)

  1,098,003 

 

 

TOTAL CARS PARKING ANNUALLY

 

Based on 3.5 average vehicle occupancy

  313,715 

Less Net Lost Vehicles adjustment for # of stalls provided

  (1,581)

TOTAL CARS PARKING ANNUALLY

  312,133 

 

 

PARKING FEE PER STALL

  $5.00 

PROJECTED PARKING REVENUE

  $1,560,667 

LESS ESTIMATED OPERATING EXPENSES

  $(462,364)

NET OPERATING INCOME

  $1,098,303 

LESS CURRENT PARKING REVENUE (held by Zoo Society)

  $(537,713)

LESS RESERVE FOR MAJOR MAINTENANCE

 

CASH AVAILABLE FOR DEBT SERVICE PAYMENT

  $560,590 

UNCOVERED NET DEBT SERVICE

  $949,517 

CITY 75% ANNUAL DEBT SHARE

  $712,138 

ZOO 25% ANNUAL DEBT SHARE

  $237,379 

 

 

Note:  These annual debt share amounts will decrease as parking revenues increase over time.

 

 

 

 

ATTACHMENT 3

 

 

2007

2008 -Garage Opens

2010

 

 

 

 

2015

 

 

 

 

2020

 

 

 

 

2025

 

 

 

 

 

 

 

 

 

 

Debt YEAR 1

YEAR 2

YEAR 3

YEAR 4

YEAR 5

YEAR 6

YEAR 7

YEAR 8

YEAR 9

YEAR 10

YEAR 11

YEAR 12

YEAR 13

YEAR 14

YEAR 15

YEAR 16

YEAR 17

YEAR 18

YEAR 19

YEAR 20

YEAR 21

20 Yr Totals

Key Operating Assumptions:

 

 

OPERATING INCOME

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

PROJECTED ATTENDANCE

 

 not applicable

        1,143,753

       1,159,766

       1,176,003

       1,192,467

       1,209,161

       1,226,090

       1,243,255

       1,260,660

       1,278,310

       1,296,206

       1,314,353

       1,332,754

       1,348,747

       1,355,491

       1,362,268

       1,369,079

       1,375,925

       1,382,804

       1,389,718

       1,396,667

  

1.4% annually to 2020 (19% cum. From 2000); .5% thereafter

 

PROJECTED CARS PARKING ON-SITE

 

 not applicable

           312,133

          316,503

          320,935

          325,428

          329,985

          334,606

          339,292

          344,044

          348,863

          353,750

          358,705

          363,730

          368,094

          369,922

          371,759

          373,605

          375,460

          377,325

          379,199

          381,105

 

 96% visitors arrive by car; 3.5 vehicle occupancy; on-site capacity adj. 

 

 

PROJECTED INCOME PER STALL/CAR

 

 $               3.50

 $              5.00

 $             5.00

 $             5.00

 $             5.50

 $             5.50

 $             5.50

 $             6.00

 $             6.00

 $             6.00

 $             6.50

 $             6.50

 $             6.50

 $             7.00

 $             7.00

 $             7.00

 $             7.50

 $             7.50

 $             7.50

 $             8.00

 $             8.00

 

Increased at $.50 every 3 years

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 PROJECTED PARKING REVENUE

 

 not applicable

 $     1,560,667

 $    1,582,516

 $    1,604,673

 $    1,789,856

 $    1,814,919

 $    1,840,335

 $    2,035,754

 $    2,064,266

 $    2,093,178

 $    2,299,373

 $    2,331,582

 $    2,364,244

 $    2,576,661

 $    2,589,454

 $    2,602,311

 $    2,802,037

 $    2,815,953

 $    2,829,939

 $    3,033,596

 $    3,048,843

     42,631,312

 

 

 

 

 

 OPERATING EXPENSES

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 TAXES @ 9.27%

 

 not applicable

 $       (144,674)

 $     (146,699)

 $     (148,753)

 $     (165,920)

 $     (168,243)

 $     (170,599)

 $     (188,714)

 $     (191,357)

 $     (194,038)

 $     (213,152)

 $     (216,138)

 $     (219,165)

 $     (238,856)

 $     (240,042)

 $     (241,234)

 $     (259,749)

 $     (261,039)

 $     (262,335)

 $     (281,214)

 $     (282,628)

     (3,951,923)

 B&O and Sales Tax

 

 

 

 PROJECTED OPERATING EXPENSES

 

 not applicable

 $       (317,690)

 $     (327,221)

 $     (337,037)

 $     (347,148)

 $     (357,563)

 $     (368,290)

 $     (379,338)

 $     (390,719)

 $     (402,440)

 $     (414,513)

 $     (426,949)

 $     (439,757)

 $     (452,950)

 $     (466,538)

 $     (480,535)

 $     (494,951)

 $     (509,799)

 $     (525,093)

 $     (540,846)

 $     (557,071)

     (7,979,378)

 TDA estimate, escalated at 3%

 

 

 

 SUBTOTAL OPERATING EXPENSES

 

 not applicable

 $       (462,364)

 $     (473,920)

 $     (485,791)

 $     (513,068)

 $     (525,806)

 $     (538,889)

 $     (568,053)

 $     (582,076)

 $     (596,478)

 $     (627,665)

 $     (643,086)

 $     (658,923)

 $     (691,806)

 $     (706,581)

 $     (721,769)

 $     (754,699)

 $     (770,838)

 $     (787,428)

 $     (822,060)

 $     (839,699)

 $(11,931,301)

 

 

 

 

 

 NET PARKING INCOME

 

 not applicable

 $     1,098,303

 $    1,108,596

 $    1,118,883

 $    1,276,788

 $    1,289,113

 $    1,301,446

 $    1,467,701

 $    1,482,190

 $    1,496,701

 $    1,671,707

 $    1,688,496

 $    1,705,322

 $    1,884,854

 $    1,882,873

 $    1,880,543

 $    2,047,337

 $    2,045,115

 $    2,042,510

 $    2,211,535

 $    2,209,144

 $  30,700,011

 

 

 

 

 

 OFFSET FOR PRIOR LEVEL OF ZOO PARKING REVENUE

 

 not applicable

 $       (537,713)

 $     (537,713)

 $     (537,713)

 $     (537,713)

 $     (537,713)

 $     (537,713)

 $     (537,713)

 $     (537,713)

 $     (537,713)

 $     (537,713)

 $     (537,713)

 $     (537,713)

 $     (537,713)

 $     (537,713)

 $     (537,713)

 $     (537,713)

 $     (537,713)

 $     (537,713)

 $     (537,713)

 $     (537,713)

   (10,216,547)

 

 

 

 

 

 PARKING CASH AVAILABLE FOR DEBT SERVICE

 

                      -  

 $        560,590

 $       570,883

 $       581,170

 $       739,075

 $       751,400

 $       763,733

 $       929,988

 $       944,477

 $       958,988

 $    1,133,994

 $    1,150,783

 $    1,167,609

 $    1,347,141

 $    1,345,160

 $    1,342,830

 $    1,509,624

 $    1,507,402

 $    1,504,797

 $    1,673,822

 $    1,671,431

 $  20,483,464

  

 

 

 

 

 DEBT SERVICE PAYMENT ($18M bond, inc. issuance and inflation)

 (2)

 $         496,275

 $     1,510,107

 $    1,510,107

 $    1,510,107

 $    1,510,107

 $    1,510,107

 $    1,510,107

 $    1,510,107

 $    1,510,107

 $    1,510,107

 $    1,510,107

 $    1,510,107

 $    1,510,107

 $    1,510,107

 $    1,510,107

 $    1,510,107

 $    1,510,107

 $    1,510,107

 $    1,510,107

 $    1,510,107

 $    1,470,744

     28,692,031

  

 

 

 

  

 NET UNCOVERED DEBT SERVICE 

 

 $         496,275

 $        949,517

 $       939,224

 $       928,937

 $       771,032

 $       758,707

 $       746,374

 $       580,119

 $       565,630

 $       551,119

 $       376,113

 $       359,324

 $       342,498

 $       162,966

 $       164,947

 $       167,277

 $              483

 $           2,705

 $           5,310

 $     (163,715)

 $     (200,687)

 $    8,208,567

 

 

 

 

 

 75% DEBT SERVICE BY CITY 

 

 $         372,206

 $        712,138

 $       704,418

 $       696,703

 $       578,274

 $       569,030

 $       559,781

 $       435,089

 $       424,223

 $       413,340

 $       282,084

 $       269,493

 $       256,874

 $       122,224

 $       123,710

 $       125,458

 $              362

 $           2,029

 $           3,982

 

 $                 -  

 $    6,651,418

 Total Uncovered Debt Payments - City

 

 

 25% DEBT SERVICE BY WPZS  

 

 $         124,069

 $        237,379

 $       234,806

 $       232,234

 $       192,758

 $       189,677

 $       186,594

 $       145,030

 $       141,408

 $       137,780

 $         94,028

 $         89,831

 $         85,625

 $         40,741

 $         41,237

 $         41,819

 $              121

 $              676

 $           1,327

 

 $                 -  

 $    2,217,139

 Total Uncovered Debt Payments - Zoo

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(1) Pro forma based on assumptions in Attachment 2.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(2) First year debt service payment partial year interest only. Final payment principal and partial year interest. If the garage is finished but the City's contribution limit has not been reached, the balance will be used to pay a portion of the overall project's debt service in the first year. This proforma asssumes no balance is available. For modeling purposes, 20 year level debt at 5.5% interest is assumed. Term,structure and rate may vary.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

ATTACHMENT 3 - PART 1

Attachment 3 DPR Zoo Amendment to MOA FISC

Woodland Park Zoo Parking Garage 20 Year Operating Statement

 

 

 

2007

2008 -Garage Opens

2010

 

 

 

 

 

Debt YEAR 1

YEAR 2

YEAR 3

YEAR 4

YEAR 5

YEAR 6

YEAR 7

OPERATING INCOME

 

 

 

 

 

 

 

 

PROJECTED ATTENDANCE

 

 not applicable

        1,143,753

       1,159,766

       1,176,003

       1,192,467

       1,209,161

       1,226,090

PROJECTED CARS PARKING ON-SITE

 

 not applicable

           312,133

          316,503

          320,935

          325,428

          329,985

          334,606

PROJECTED INCOME PER STALL/CAR

 

 $               3.50

 $              5.00

 $             5.00

 $             5.00

 $             5.50

 $             5.50

 $             5.50

 

 

 

 

 

 

 

 

 

 PROJECTED PARKING REVENUE

 

 not applicable

 $     1,560,667

 $    1,582,516

 $    1,604,673

 $    1,789,856

 $    1,814,919

 $    1,840,335

 OPERATING EXPENSES

 

 

 

 

 

 

 

 

 TAXES @ 9.27%

 

 not applicable

 $       (144,674)

 $     (146,699)

 $     (148,753)

 $     (165,920)

 $     (168,243)

 $     (170,599)

 PROJECTED OPERATING EXPENSES

 

 not applicable

 $       (317,690)

 $     (327,221)

 $     (337,037)

 $     (347,148)

 $     (357,563)

 $     (368,290)

 SUBTOTAL OPERATING EXPENSES

 

 not applicable

 $       (462,364)

 $     (473,920)

 $     (485,791)

 $     (513,068)

 $     (525,806)

 $     (538,889)

 NET PARKING INCOME

 

 not applicable

 $     1,098,303

 $    1,108,596

 $    1,118,883

 $    1,276,788

 $    1,289,113

 $    1,301,446

 OFFSET FOR PRIOR LEVEL OF ZOO PARKING REVENUE

 

 not applicable

 $       (537,713)

 $     (537,713)

 $     (537,713)

 $     (537,713)

 $     (537,713)

 $     (537,713)

 PARKING CASH AVAILABLE FOR DEBT SERVICE

 

                      -  

 $        560,590

 $       570,883

 $       581,170

 $       739,075

 $       751,400

 $       763,733

 DEBT SERVICE PAYMENT ($18M bond, inc. issuance and inflation)

 (2)

 $         496,275

 $     1,510,107

 $    1,510,107

 $    1,510,107

 $    1,510,107

 $    1,510,107

 $    1,510,107

 NET UNCOVERED DEBT SERVICE 

 

 $         496,275

 $        949,517

 $       939,224

 $       928,937

 $       771,032

 $       758,707

 $       746,374

 75% DEBT SERVICE BY CITY 

 

 $         372,206

 $        712,138

 $       704,418

 $       696,703

 $       578,274

 $       569,030

 $       559,781

 25% DEBT SERVICE BY WPZS  

 

 $         124,069

 $        237,379

 $       234,806

 $       232,234

 $       192,758

 $       189,677

 $       186,594

 

 

 

 

 

 

 

 

 

(1) Pro forma based on assumptions in Attachment 2.

 

(2) First year debt service payment partial year interest only. Final payment principal and partial year interest. If the garage is finished but the City's contribution limit has not been reached, the balance will be used to pay a portion of the overall project's debt service in the first year. This proforma asssumes no balance is available. For modeling purposes, 20 year level debt at 5.5% interest is assumed. Term,structure and rate may vary.

 

 

 

 

 

 

 

 

 

 

 

 

ATTACHMENT 3 - PART 2

Attachment 3 DPR Zoo Amendment to MOA FISC

Woodland Park Zoo Parking Garage 20 Year Operating Statement

 

 

 

 

2015

 

 

 

 

2020

 

 

 

YEAR 8

YEAR 9

YEAR 10

YEAR 11

YEAR 12

YEAR 13

YEAR 14

YEAR 15

OPERATING INCOME

 

 

 

 

 

 

 

 

 

PROJECTED ATTENDANCE

 

       1,243,255

       1,260,660

       1,278,310

       1,296,206

       1,314,353

       1,332,754

       1,348,747

       1,355,491

PROJECTED CARS PARKING ON-SITE

 

          339,292

          344,044

          348,863

          353,750

          358,705

          363,730

          368,094

          369,922

PROJECTED INCOME PER STALL/CAR

 

 $             6.00

 $             6.00

 $             6.00

 $             6.50

 $             6.50

 $             6.50

 $             7.00

 $             7.00

 

 

 

 

 

 

 

 

 

 

 PROJECTED PARKING REVENUE

 

 $    2,035,754

 $    2,064,266

 $    2,093,178

 $    2,299,373

 $    2,331,582

 $    2,364,244

 $    2,576,661

 $    2,589,454

 OPERATING EXPENSES

 

 

 

 

 

 

 

 

 

 TAXES @ 9.27%

 

 $     (188,714)

 $     (191,357)

 $     (194,038)

 $     (213,152)

 $     (216,138)

 $     (219,165)

 $     (238,856)

 $     (240,042)

 PROJECTED OPERATING EXPENSES

 

 $     (379,338)

 $     (390,719)

 $     (402,440)

 $     (414,513)

 $     (426,949)

 $     (439,757)

 $     (452,950)

 $     (466,538)

 SUBTOTAL OPERATING EXPENSES

 

 $     (568,053)

 $     (582,076)

 $     (596,478)

 $     (627,665)

 $     (643,086)

 $     (658,923)

 $     (691,806)

 $     (706,581)

 NET PARKING INCOME

 

 $    1,467,701

 $    1,482,190

 $    1,496,701

 $    1,671,707

 $    1,688,496

 $    1,705,322

 $    1,884,854

 $    1,882,873

 OFFSET FOR PRIOR LEVEL OF ZOO PARKING REVENUE

 

 $     (537,713)

 $     (537,713)

 $     (537,713)

 $     (537,713)

 $     (537,713)

 $     (537,713)

 $     (537,713)

 $     (537,713)

 PARKING CASH AVAILABLE FOR DEBT SERVICE

 

 $       929,988

 $       944,477

 $       958,988

 $    1,133,994

 $    1,150,783

 $    1,167,609

 $    1,347,141

 $    1,345,160

 DEBT SERVICE PAYMENT ($18M bond, inc. issuance and inflation)

 (2)

 $    1,510,107

 $    1,510,107

 $    1,510,107

 $    1,510,107

 $    1,510,107

 $    1,510,107

 $    1,510,107

 $    1,510,107

 NET UNCOVERED DEBT SERVICE 

 

 $       580,119

 $       565,630

 $       551,119

 $       376,113

 $       359,324

 $       342,498

 $       162,966

 $       164,947

 75% DEBT SERVICE BY CITY 

 

 $       435,089

 $       424,223

 $       413,340

 $       282,084

 $       269,493

 $       256,874

 $       122,224

 $       123,710

 25% DEBT SERVICE BY WPZS  

 

 $       145,030

 $       141,408

 $       137,780

 $         94,028

 $         89,831

 $         85,625

 $         40,741

 $         41,237

 

 

 

 

 

 

 

 

 

 

(1) Pro forma based on assumptions in Attachment 2.

 

 

 

 

 

 

 

 

(2) First year debt service payment partial year interest only. Final payment principal and partial year interest. If the garage is finished but the City's contribution limit has not been reached, the balance will be used to pay a portion of the overall project's debt service in the first year. This proforma asssumes no balance is available. For modeling purposes, 20 year level debt at 5.5% interest is assumed. Term,structure and rate may vary.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

ATTACHMENT 3 - PART 3

 

 

 

2025

 

 

 

 

 

 

 

YEAR 16

YEAR 17

YEAR 18

YEAR 19

YEAR 20

YEAR 21

20 Yr Totals

Key Operating Assumptions:

 

 

 

 

 

 

 

 

 

 

 

 

       1,362,268

       1,369,079

       1,375,925

       1,382,804

       1,389,718

       1,396,667

  

1.4% annually to 2020 (19% cum. From 2000); .5% thereafter

          371,759

          373,605

          375,460

          377,325

          379,199

          381,105

 

 96% visitors arrive by car; 3.5 vehicle occupancy; on-site capacity adj. 

 

 $             7.00

 $             7.50

 $             7.50

 $             7.50

 $             8.00

 $             8.00

 

Increased at $.50 every 3 years

 

 

 

 

 

 

 

 

 

 

 

 

 $    2,602,311

 $    2,802,037

 $    2,815,953

 $    2,829,939

 $    3,033,596

 $    3,048,843

     42,631,312

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 $     (241,234)

 $     (259,749)

 $     (261,039)

 $     (262,335)

 $     (281,214)

 $     (282,628)

     (3,951,923)

 B&O and Sales Tax

 

 

 $     (480,535)

 $     (494,951)

 $     (509,799)

 $     (525,093)

 $     (540,846)

 $     (557,071)

     (7,979,378)

 TDA estimate, escalated at 3%

 

 

 $     (721,769)

 $     (754,699)

 $     (770,838)

 $     (787,428)

 $     (822,060)

 $     (839,699)

 $(11,931,301)

 

 

 

 

 $    1,880,543

 $    2,047,337

 $    2,045,115

 $    2,042,510

 $    2,211,535

 $    2,209,144

 $  30,700,011

 

 

 

 

 $     (537,713)

 $     (537,713)

 $     (537,713)

 $     (537,713)

 $     (537,713)

 $     (537,713)

   (10,216,547)

 

 

 

 

 $    1,342,830

 $    1,509,624

 $    1,507,402

 $    1,504,797

 $    1,673,822

 $    1,671,431

 $  20,483,464

  

 

 

 

 $    1,510,107

 $    1,510,107

 $    1,510,107

 $    1,510,107

 $    1,510,107

 $    1,470,744

     28,692,031

  

 

 

 

 $       167,277

 $              483

 $           2,705

 $           5,310

 $     (163,715)

 $     (200,687)

 $    8,208,567

 

 

 

 

 $       125,458

 $              362

 $           2,029

 $           3,982

 

 $                 -  

 $    6,651,418

 Total Uncovered Debt Payments - City

 

 $         41,819

 $              121

 $              676

 $           1,327

 

 $                 -  

 $    2,217,139

 Total Uncovered Debt Payments - Zoo

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

ATTACHMENT 4

Attachment 4 (of the Fiscal Note)

COMPARISON OF GARAGE OPTIONS CONSIDERED

 

Location/Option

Project Cost (Excluding Financing Costs)

Available Visitor
Parking Stalls

Hours of Unmet Demand(1)

Net Loss of
Vehicles (2.85 hours avg. length of stay)

Net Loss of
Visitors        (3.4 avg vehicle occupancy)

 Estimated
Annual Lost Revenue(2)

Currently Existing

Existing Parking               

(if RPZ is imposed)

$0

654

111,848

39,245

135,002

$1,554,350

Proposed Option

West Garage

(1@, 3 up)    

with reduced staff parking

$16,203,000

1,360

4,446

1,560

5,304

$61,158

Preferred by WPZS

South Garage w/West Lot        

(5 down, 1 @, 1 up)

$28,300,000

1,420

2,836

995

3,383

$39,008

 

West Garage           

(1 down, 1 @, 3 up)

$20,900,000

1,360

4,446

1,560

5,304

$61,158

 

West Garage  

(1 down, 1 @, 1 above)

$15,590,000

1,005

31,159

10,933

37,172

$428,615

 

West Garage       

(1@, 3 up)

$16,203,000

1,180

13,691

4,804

16,334

$188,340

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(2) Per Cap admissions and enterprise revenue = $10.06 (2004 rates).  Parking rate assumed at $5 per vehicle.

 

 This excludes any estimate of the impact of disgruntled visitors who may never return due to parking difficulties.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

CENTRAL STAFF ADDENDUM TO FISCAL NOTE:

Council Central Staff Addendum to Executive’s Fiscal Note for CB 115011

 

W. Alves – October 6, 2004

 

The Executive’s fiscal note accompanying their proposed version of this legislation shows no fiscal impacts in 2005 or 2006.  On September 29, the Council Parks, Neighborhood and Education Committee voted unanimously to require changes to the Woodland Park Zoo Operations and Management Agreement that call for the City and the Zoo Society to use their best efforts to complete a draft of a Parking Management Strategies Plan by September 1, 2005 (See section 2.4 of attachment 1 to this CB).  One purpose of this Plan would be to develop, and estimate the cost of, ways in which the Zoo visitor traffic and parking impacts on the neighborhoods surrounding the Zoo could be mitigated while waiting for the Zoo garage to be built (expected to open in 2008). 

 

In order to develop such a plan by this time, the Council may have to amend or reprioritize SDOT’s budget to provide that department with the capability to survey Zoo neighborhoods to evaluate the feasibility of establishing a modified RPZ or other mitigating measures.  The Zoo Society and the City (SDOT and DOF) are still negotiating the scope, cost, and allocation of costs among the parties and do not have the information needed to amend this legislation’s fiscal note yet.  The expected total 2005 total cost would likely be in the $50,000 to $150,000 range, to be shared between the Zoo Society and the City.  Once the Council has a proposal on the scope and sharing of the cost, Central Staff will review any needed changes to SDOT’s budget as a budget issue for Council consideration this fall.  If, at some later date, the City and the Zoo Society decide to implement some of the mitigating measures in 2006 or undertake further studies, there could be further SDOT budget changes needed in that year.