July 24 , 2007 |
WCPSS ADMINISTRATORS DESCRIBE REAL ESTATE ACQUISITION PROCESS
At its July 17 meeting, WCPSS administrators reviewed the school system’s real estate acquisition process with the Board of Education.
Assistant Superintendent Mike Burriss told the board the 2006 CIP school building program included $42.9 million to acquire sites for 31 schools. Within the first eight months of the 2006 CIP, the school system has acquired 20 of those so far. Of the 11 remaining site targets, 8 have already been identified, are in negotiations, or searches are underway. Burriss said the 31 sites in the 2006 building program is more than double the 14 sites in PLAN 2004 because of the dramatic increase in students enrolling and expected to enroll in Wake County.
Burriss explained that WCPSS works with the NC State University ITRE/ORED staff and county and municipal planning staff to target areas of growth where schools will be needed and identify these areas with circles that allow the school system to talk with the community about a long range plan for school sites such as the growth management community engagement meetings.
WCPSS Real Estate Services assigned by draw real estate support services teams to identify property in these circle target areas for the needed schools. The real estate support services teams expedite site investigations, condense options, estimate costs, recommend sites, assist in negotiation of offers, and prepare for site plan submittals through concept planning.
WCPSS Real Estate Services works with the real estate support services teams as well as county and municipal partners in selecting sites for Board of Education approval and then expediting site plan approvals and readying sites for facility design and construction.
In reviewing circle target areas, WCPSS Real Estate Services looks for land availability of appropriate size and shape; the presence and accessibility of public utilities; known transportation, ingress or egress issues; limiting factors such as watershed designations, nuclear power plant rings, or power lines; potential joint partnerships with Wake County and municipalities for parks or facilities; and sellers with interest in selling or willingness to sell.
In looking at the suitability of potential sites, WCPSS Real Estate Services considers the presence of wetlands and stream buffers, topography and drainage, soil conditions; possible economies of development; site development for multiple function; use/ownership/control issues such as jurisdiction, zoning, existing land use, open space requirements, tree requirements; and raw land costs such as comparable historic sales with similar development potential, comparable sales under contract, availability and number of suitable alternative sites, current market pricing and market demand.
Once a site has been identified, WCPSS Real Estate Services negotiates terms for site acquisition, prepares sales contract with review by board legal counsel and prepares data for presentation to the Board of Education. When an approved contract is executed by the board and purchase funds are encumbered to pay for the property. WCPSS Real Estate Services obtains due diligence services to study streams and wetlands, boundary survey, topographic survey, Phase I environmental site assessment, soil borings, preliminary concept plan and where appropriate a traffic impact analysis. If these and other reviews indicate the site is acceptable, WCPSS Real Estate Services works with Wake County staff to prepare materials for presentation to the county commissioners.
Approval of WCPSS property purchases by the Wake County Commissioners requires first and second reading approvals. For first reading, WCPSS Real Estate Services provides identification of the circle target areas, the projected timeline for school opening, the site under contract, contract terms, assistance offered by real estate selection services teams, overview of the area including limiting or challenging factors, review of the site identification process, review of comparable historic sales in the area, comparable's sales range of price per acre, known recent appraisals of the property, location of available infrastructure and utilities, offsite infrastructure costs, surplus property opportunities and a concept plan demonstrating feasibility of the site to accommodate all necessary program elements. WCPSS Real Estate Services staff provides this information and an oral presentation to the commissioners. A similar presentation addressing any questions raised since the first reading is provided at the next county commissioner’s meeting at second reading. Approval by the county commissioners finalizes the purchase of the property.
Betty Parker of WCPSS Real Estate Services says school system staff is now working to address county commissioners’ request for inclusion of procurement of a property appraisal into the land acquisition process, as well as collaborative review with county staff of a draft pre-acquisition checklist, much of which information identified therein is already included in information the school system has been routinely providing to the county commissioners per established processes.
BOARD NAMES FIRM FOR PUBLIC-PRIVATE PARTNERSHIPS LEGAL SERVICES
At its July 17 meeting, the Board of Education named the law firm of Kilpatrick Stockton, LLP to provide legal support services in connection with public-private partnerships. The firm was recommended by a selection committee which met on May 22, 2007 to interview law firms that had expressed interest in this service. Staff negotiated terms of service with the firm. Funds are available in the Program Management line item of CIP 2006.
BOARD APPROVES CHANGE ORDER FOR SYCAMORE CREEK ELEMENTARY (E-17)
At its July 17 meeting, the Board of Education approved Change Order CM-01 to Barnhill Contracting Company for their Construction Manager at Risk contract to construct Sycamore Creek Elementary. This change order established a guaranteed maximum price (GMP) for the “Release 1” package, which includes eight of the 44 construction packages for this project. A future change order will be brought to the August Board meeting for the final packages to establish the GMP for the total project. The final GMP for this project is expected to be approximately $2,600,000 over budget, primarily due to site conditions and the accelerated work schedule needed to complete this project on time. The total project budget is $21,882,007 of which, $1,708,291 is from PLAN 2004 and $20,173,716 is from CIP 2006. Once the final packages are bid, a reallocation from CIP 2006 Program Contingency will be presented to provide the additional funds.
BOARD APPROVES RESOLUTION FOR CAPITAL OUTLAY PROJECTS
At its July 17 meeting, the Board of Education approved a resolution requesting an appropriation to Capital Outlay Projects for conversion of schools to year round ($1,562,320.85) and for an underground storage tank for the Transportation Department ($204,201.25). These are capital outlay funds that were closed into a restricted fund balance at fiscal year end June 30, 2007, and must be allocated for the new fiscal year 2007 – 2008.
BOARD APPROVES RESOLUTION FOR CAPITAL COLLABORATION PROJECTS
At its July 17 meeting, the Board of Education approved a resolution requesting an appropriation from the restricted fund balance to Morrisville Elementary ($11,506.80), Holly Springs High ($145,703.86), Brier Creek Elementary ($302,804.53), and Heritage High ($197,640.38). These are municipal collaboration funds that were closed into a restricted fund balance at fiscal year end on June 30, 2007, and must be allocated for the new fiscal year 2007 – 2008.
BOARD APPROVES RESOLUTION FOR CIP 2006 LONG-RANGE BUILDING PROGRAM FUNDING REALLOCATION
At its July 17 meeting, the Board of Education approved a resolution requesting reallocation of project funds from the CIP 2006 project at Elementary E-28 to Elementary E-21. The identified land at Randleigh Farm for E-28 will not be available for a 2009 school opening, but E-21 will be available as soon as the land is acquired. Both schools will serve the Eastern Raleigh/Wake County area. Total reallocation amount is $2,000,000.
BOARD SELECTS FIRM FOR MATERIALS TESTING SERVICES AT SYCAMORE CREEK ELEMENTARY (E-17)
At its July 17 meeting, the Board of Education selected S&ME, Inc. to provide construction materials testing and inspection services for Sycamore Creek Elementary School, in an amount not to exceed $143,772, in accordance with the Master Services Agreement for Geotechnical/Materials Testing Services and the Individual Project Proposal Agreement. The total project budget is $21,882,007 of which, $1,708,291 is from PLAN 2004 and $20,173,716 is from CIP 2006.
BOARD NAMES DESIGN CONSULTANT FOR E-31 ELEMENTARY
At its July 17 meeting, the Board of Education selected Small Kane Architects, PA, for the design of E-31 elementary, a new elementary school included in the CIP 2006 School Building Program. E-31 will be located in Garner and is scheduled to open in 2009. The form of agreement is the standard form approved by the Board attorney. The design contract is in the amount of $643,885.20 to Small Kane Architects, PA. Funding is available from the total project budget of $23,865,557, all of which is from CIP 2006. The project budget includes total proposed compensation for the design consultant of $715,428. A separate agreement, in the amount of $71,542.80, was previously issued for the early design.
The board approved a resolution to waive the traditional designer selection process and to select Small Kane Architects, PA. This resolution is in accordance with NCGS 143-64.32, which allows exemptions to the statutory designer selection process. The specific reason for this exemption is that this is a re-use of the Sycamore Creek Elementary prototype. This will shorten design time, reduce cost, and help expedite the project.
BOARD SELECTS CONSTRUCTION MANAGER FOR E-31 ELEMENTARY
At its July 17 meeting, the Board of Education selected Clancy & Theys Construction Company, for the construction manager’s pre-construction services only for E-31, a new elementary school to be located in Garner as part of the CIP 2006 School Building program. The form of agreement for Construction Management at Risk has been previously reviewed and approved by the Board. Modifications to this agreement have been approved by the board’s attorney. This contract includes reimbursable general conditions. These changes will all be incorporated into the next revision of the standard form of agreement. Small Kane Architects, PA, were previously selected as the designer for this project. Funding is available from the total project budget of $22,746,541, all of which is from CIP 2006. The project budget includes proposed compensation for the Construction Manager of $70,000 for pre-construction basic services.
BOARD SELECTS CONSTRUCTION MANAGER FOR E-27 ELEMENTARY
At its July 17 meeting, the Board of Education selected Clancy & Theys Construction Company, for the construction manager’s pre-construction services only for E-27, a new elementary school to be located in Fuquay-Varina as part of the CIP 2006 School Building program. The form of agreement for Construction Management at Risk has been previously reviewed and approved by the Board. Modifications to this agreement have been approved by the board’s attorney. This contract includes reimbursable general conditions. These changes will all be incorporated into the next revision of the standard form of agreement. Small Kane Architects, PA, were previously selected as the designer for this project. Funding is available from the total project budget of $22,991,311, all of which is from CIP 2006. The project budget includes proposed compensation for the Construction Manager of $70,000 for pre-construction basic services.
BOARD APPROVES CHANGE ORDER FOR HOLLY GROVE ELEMENTARY (E-18)
At its July 17 meeting, the Board of Education approved Change Order CM-CO-04 to Clancy and Theys Construction Company for their Construction Manager at Risk contract at Holly Grove Elementary School. This change order, a reduction of $108,605, is for unused plumbing and electrical allowances. The current project budget consists of $19,866,068 of funding from PLAN 2004.
BOARD APPROVES CHANGE ORDER FOR H-6 HIGH
At its July 17 meeting, the Board of Education approved Change Order GC-02 to Barnhill Contracting Company. This change order, in the amount of $240,000 is to fully fund their Construction Manager at Risk pre-construction phase agreement from Design Development phase to GMP. The Construction Manager had previously been authorized to provide services through the preparation of the Design Development phase. Funding is available from the total project budget of $73,255,556, of which $1,000,000 is from PLAN 2004 Start-Up and $72,255,556 is from CIP 2006. This change order will bring the total Construction Manager at Risk pre-construction phase fees for this project to $360,000.
BOARD APPROVES CHANGE ORDER FOR AVERSBORO ELEMENTARY
At its July 17 meeting, the Board of Education approved Change Order GC-03 to Skanska USA Building, Inc., for their Construction Manager at Risk contract at Aversboro Elementary School. This change order, in the amount of $3,306,264, is to establish a guaranteed maximum price (GMP) for the final 13 packages, which are part of the 42 construction packages for this project. The GMP to date is $16,955,326. This is the total GMP for this project. Funding is available from the total project budget of $21,066,323, of which $978,228 is from PLAN 2004 and $20,088,095 from CIP 2006.
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