“BACK TO BASICS” November 2, 2010 CITY BOND ELECTION Facilities & Infrastructure Municipal Court Courthouse (Proposition 401) Municipal Services Maintenance Facility (Proposition 402) Street / Utility Improvements (Proposition 404) Public Safety/City Operations Communication System (Proposition 403)

City Seeks Direction from Voters on Four Bond Community Improvement Projects  The four projects total $86.22 Million in project costs. – $74.22 million allocated to General Obligation Bonds with $12 million allocated to Revenue Bonds.  There will be no increase in secondary property tax for this bond.  Project amounts represent cost estimates for the time of project implementation and bond issuance. Municipal Court Courthouse (Proposition 401) Municipal Services Maintenance Facility (Proposition 402) Street / Utility Improvements (Proposition 404) Public Safety/City Operations Communication System (Proposition 403)

Project Evaluation Criteria What is Placed on the Ballot Matters!  Is it consistent with our message of focusing on core services?  Does it solve a problem persistent in good and bad economic times?  Can it not be accomplished in a pay-as-you go method?  Does it avoid cost shifting of ongoing expenditures?

Project Selection Process  City Council – Review of proposed project list (24 projects) – Selected Bond Advisory Task Force – Forwarded recommended projects to Task Force (8 projects)  Citizen Input – Bond Advisory Task Force public meetings – Three open house presentations – Public input at City Council meetings – Citizen Surveys provided at open house meetings  Bond Advisory Task Force – Review of proposed project list (24 projects) – Accepted/reviewed public input on proposed projects – Bond Advisory Task Force forwarded recommendation of 5 projects.

Project Implementation Timeframes  Projects will be phased in over the next 10 years  Project implementation will be determined by: – City Council with public input – Other Factors  Land Availability & Acquisition Negotiations  Environmental Permitting Processes  Utility Relocations  Weather  Design and Construction Lead Time  Property values stabilize

Funding Source:  Impact of bonds to Flagstaff residents – No increase to current secondary property tax rate – $ per $100 assessed valuation  Projects – Municipal Court Courthouse & Parking Garage- $23 Million – Municipal Services Maintenance Facility - $42 Million – Public Safety/City Operations Radio System - $4.72 Million – Streets/Utility Improvements - $16.5 Million  Repayment – General Obligation Bonds/Secondary Property Tax – New projects started as previously issued bonds paid off General Obligation Bonds

Financial Implications Existing Secondary Property Tax rate is $ $300,000 home = $ annually Combined City Property Tax RatesSecondary City Property Tax Rate Current rate, Capacity used, Max legal capacity

Municipal Court Courthouse (Proposition 401)  The safety of the public is a significant problem as the existing facility lacks appropriate security, prisoner holding, public areas, parking and staff accommodations.  The existing Municipal Court Facility no longer meets the space and functional demands of a courthouse.  Existing facility is seriously overcrowded without any opportunity to gain internal space by reconfiguration or renovation.  Current and future space needs for a new Municipal Court Facility can be met with approximately 40,000 sq.ft. Project to include an approximate 175 space parking garage. Total Project Cost: $23 Million

Municipal Services Maintenance Facility (Proposition 402)  Existing maintenance facility was constructed as a horse barn in Converted to a maintenance facility in the early 1930’s.  Current facility covers seven acres located in a predominately residential neighborhood. Operations include the transporting of heavy equipment throughout the day seven days per week. During snow removal, crews often work on 24 hour shifts.  City maintenance operations have outgrown the facility requiring the storage of equipment at scattered locations throughout the City, negatively impacting productivity and costs.  The age and condition of the facility has created terrible work conditions. Most heavy equipment does not fit in maintenance bays, this requires the repair of equipment to be done outdoors in the elements. Total Project Cost: $42 Million

Public Safety/City Operations Communications System (Proposition 403)  The current radio system is over ten years old and has become obsolete.  The manufacturer of our existing system has discontinued this model and no longer makes replacement parts.  As parts and components of existing system fail, we must rely on a dwindling stock of replacement parts.  The current system does not comply with new federal guidelines and recommendations for interoperable communications among public safety and city operations personnel.  The new digital communications system will enable first responders to better coordinate their activities when dealing with emergency situations. Total Project Cost: $4.7 Million

Street & Utility Improvements (Proposition 404)  City of Flagstaff infrastructure includes 634 lane miles of asphalt streets and 686 combined miles of water and sewer pipelines.  Based on Overall Condition Index (OCI) 124 street lane miles (19%) are in severe condition requiring immediate treatment, estimated to be $19.5 million.  26.6 miles of waterline and 11.3 miles of sewer line are over 60 years of age and need to be replaced at an estimated cost of $37.9 million.  Maintenance funds have shown steady decline over the past several years. Funds are not available to properly maintain this failing infrastructure. Total Project Cost: $16.5 Million

QUESTIONS? Remember…Tuesday, November 2 nd is a Polling Place election! Please go out and vote!!