FISCAL NOTE FOR CAPITAL PROJECTS ONLY

Department:	Contact Person/Phone:	DOF Analyst/Phone:
Department of Parks and Recreation	Donald Harris / 684-8018 Andy Sheffer / 684-7041	Jennifer Devore / 615-1328

Legislation Title:

AN ORDINANCE authorizing the Superintendent of Parks and Recreation to enter into an Agreement with the Arboretum Foundation and the Associated Recreation Council on behalf of the Japanese Garden Advisory Council, relating to the implementation of the Washington Park Arboretum - Japanese Garden Entry Gatehouse Project; authorizing acceptance of funds from the Arboretum Foundation for such purpose; and increasing the expenditure authority in the Department of Parks and Recreation’s 2008 Adopted Budget, all by a three-fourths vote of the City Council.

Summary and background of the Legislation:

This proposed legislation authorizes the Superintendent of Parks and Recreation (Superintendent) to enter into an agreement with Arboretum Foundation (Foundation), the Associated Recreation Council (ARC) and the Japanese Garden Advisory Council (JGAC).  The JGAC is under the umbrella of ARC and was established to manage membership, volunteer programs, raise funds, and provide public information services for the Washington Park Arboretum Japanese Garden.  The Foundation is a private non-profit corporation established to manage membership, volunteer programs, raise funds, and provide public information services for the Washington Park Arboretum (Arboretum). 

The scope of the project is to expand the Japanese Garden entrance to approximately 1,400 square feet to include a resource and meeting room, ticket booth, gift shop, restrooms, and a maintenance area that includes office, storage and work areas.  The JGAC needs a place for material and equipment storage to support public events, which is accessible from the exterior of the facility.  There is a wide variety of public uses in the Japanese Garden, many associated with some aspect of Japanese culture.  These uses would all be enhanced by having a meeting room and/or classroom to be used in conjunction with the experience of the garden itself.  The entry gate will include a covered area where visitors will be able to assemble. 

The estimated total project cost is $1,441,000.  The JGCA and the Foundation have confirmed funding sources totaling $891,000 to complete the Project; the remainder of the funding includes $450,000 in 2000 Levy Funds and $100,000 in funds from the Pendleton and Elizabeth Miller Charitable Trust.

Project Name:	Project I.D.	Project Location:	Start Date:	End Date
Washington Park Arboretum – Japanese Garden Entry Gatehouse	K733251	Washington Park Arboretum	April 2008	October 2008

· Please check any of the following that apply:

__ _ This legislation creates, funds, or anticipates a new CIP Project.

____ This legislation does not have any financial implications.

__X__ This legislation has financial implications.

Appropriations: 

Fund Name and Number	Department	Budget Control Level	2008 Appropriation	2009 Appropriation
2000 Parks Levy (33850)	Parks and Recreation	K723003	$891,000	$0
TOTAL			$891,000	$0

Notes:  The Foundation will reimburse the City for the total donation amount of $891,000.

Spending Plan and Future Appropriations for Capital Projects:

Spending Plan and Budget	2008	2009	2010	2011	2012	2013	Total
Spending Plan	$1,150,000	$0	$0	$0	$0	$0	$1,150,000
Current Year Appropriation		$0	$0	$0	$0	$0	$0
Future Appropriations	$100,000	$0	$0	$0	$0	$0	$100,000

Notes:  The Entry Gatehouse Project is currently in design phase and construction is anticipated to start in April 2008 and be completed in October 2008.  The project currently has appropriation authority of $450,000 (all of which is from the 2000 Parks Levy) in the Washington Park Arboretum – Improvements Project (K733251).  This legislation provides $891,000 of appropriation authority that will be reimbursed by the Foundation.  An additional donation of $100,000 from the Pendleton and Elizabeth Miller Charitable Trust will be addressed in a supplemental ordinance later this year.

Funding source:

Funding Source (Fund Name and Number, if applicable)	2008	2009	2010	2011	2012	2013	Total
2000 Parks Levy Fund (33850)	$891,000	$0	$0	$0	$0	$0	$891,000
TOTAL	$891,000	$0	$0	$0	$0	$0	$891,000

Notes:  The donation funding is being provided by the Foundation and is specifically designated for the Japanese Entry Gatehouse Project which is a part of the overall Washington Park Arboretum Improvement Project (K733127). The project currently has $450,000 of appropriation authority.

Bond Financing Required: NA

Type	Amount	Assumed Interest Rate	Term	Timing	Expected Annual Debt Service/Payment
TOTAL	NA

Uses and Sources for Operation and Maintenance Costs for the Project:

O&M	2008	2009	2010	2011	2012	2013	Total
Uses
Start Up
On-going	$10,995	$51,413	$54,669	$55,762	$56,877	$58,015	$287,731
Total Uses	$10,995	$51,413	$54,669	$55,762	$56,877	$58,015	$287,731
Sources (itemize)
Parks and Recreation Fund (10200)	$10,995	$51,413	$54,669	$55,762	$56,877	$58,015	$287,731
Total O&M	$10,995	$51,413	$54,669	$55,762	$56,877	$58,015	$287,731

Notes: This project expands the Japanese Garden entrance to approximately 1,400 square feet to include a resource and meeting room, ticket booth, gift shop, restrooms, and a maintenance area that houses office, storage and work areas.  The O&M estimates above reflect the additional operation and maintenance costs needed to care for the ongoing maintenance and implementation of this project.  O&M estimates also assume the comfort station will only be open during Garden hours or by event.  Landscaping will require significantly higher maintenance than normal facilities, as this is the entrance to a specialty garden.

Maintenance includes custodial work for comfort stations, garbage collection, litter pickup, irrigation, leaf removal, mulching, plant replacement, weeding, and maintenance of a demonstration terrace with seating wall. 

The online date for O&M estimates is October 2008.  Note that a 2% inflation factor has been used for each successive year.  The O&M costs will be funded through the Parks and Recreation Fund.

Periodic Major Maintenance costs for the project: (Note:  Estimates are in 2007 $)

Major Maintenance Item	Frequency	Cost	Likely Funding Source
Exterior Painting	15 years	$30,000	CRF
HVAC	10 Years	$16,000	CRF
TOTAL		$46,000

Total Regular Positions Created Or Abrogated Through This Legislation, Including FTE Impact:  NA

Position Title and Department*		Fund Name	Fund Number	Part-Time/ Full Time	2008 Positions	2008 FTE	2009 Positions**	2009 FTE**
	TOTAL

Notes:  None

· Do positions sunset in the future: N/A

· What is the financial cost of not implementing the legislation:  Without this legislation the City will not be able to accept the Foundation’s donation to be able to construct the first phase of the Project.  This donation has been raised through a far-reaching private fund raising campaign.  The successful funding and implementation of this project will provide an incentive for additional fund raising to be used for improvements to the Arboretum.  By not accepting this donation the City would risk losing future donations for the Arboretum.

· What are the possible alternatives to the legislation that could achieve the same or similar objectives:  An alternative would be for the City to identify a public funding source.  Without this donation there is currently no additional funding identified for the completion of this project.

· Is the legislation subject to public hearing requirements: No.

· Other Issues:  None.

Please list attachments to the fiscal note below:  None.