1. State University of New York Residence Hall Program Capital Plan Request – Spring 2016

2.  Res Hall Capital Program  Appropriation & Article VII Legislation  Cash Sources  Cash Flow Bonding  Update on Recent/Ongoing activities  Questions ?  Capital Plan Request  Overview of Worksheets  Changes to 2016 Request  Questions ?  Capital Plan Reminders / Events  Capital Plan and upcoming bond sale.  Questions? Agenda 2

3.  Appropriation - Authority to let State supported contracts and disburse cash, established in State budget  Hard Dollar Capital Appropriation Revolving Loan/Campus Reserves - 074 - $50M in 2016-17Revolving Loan/Campus Reserves - 074 - $50M in 2016-17 Annual Transfer Limits – $80M from DIFR(330) to Rehab(074)Annual Transfer Limits – $80M from DIFR(330) to Rehab(074)  2013-14 Article VII Legislation – Part B of the Education, Labor and Family Assistance (ELFA) Bill  The residence hall program was restructured in the 2013-14 budget, with future debt issuances being removed from the State bond cap. The bill allows for $944M in bonding and will eliminate the need for future capital bonded appropriations, allowing the program to plan over multi-year periods. Res Hall – Appropriation & Article VII 3

4.  Campus Hard Dollars – 074 Funds  Recommended that projects use 074 funds not operating 330  074 Account can be funded from operating account or System Admin Revolving Loan program  Follow State purchasing guidelines  ** May be used to fund DASNY managed projects  Bond Proceeds  Choice of either 15 or 30 year bonds  Campuses pay debt service  ** May be used for Res Hall Campus Let. Under new program contractors are paid directly by DASNY using bond proceeds Res Hall – Cash Sources 4

5.  From the 2008 Bond Sale forward  Annual bond sale issued to provide cash for 12-15 months  Bond sale $$ based on projections developed from the Capital Plan  Pool of bond funds used by active projects as needed until funds are depleted  Campuses don’t “own” portion of bonds  Once all proceeds from a sale are disbursed, the debt service charged to each campus is revised to reflect actual bond proceeds disbursed Res Hall – Cash Flow Bonding 5

6.  2015B Bond Refunding  Refunding of $127m in old debt finalized in December, resulted in a cash savings of $13m.  No campuses debt was extended beyond its original maturity.  Savings from the refunding have been added to the “Current Debt Service” Schedule in the 2016 Capital Plan.  2012 and 2013 Bond Sale Status Update  2012 Bond Sale has been finalized and all adjustments are included in the debt service schedules provided by the UCO and included in the Capital Plan  2013 Bond Sale will be finalized in the upcoming months and it is anticipated that the adjustments attributable to this sale will be completed in the 2017-18 FY. A forecast of this adjustment has been included on the “Part 5 Current Debt Service” tab of the Capital Plan Recent/Ongoing Activities 6

7.  2016-17 Debt Service Certification/Adjustments  Certification of the 2016-17 Debt Service by campus will be submitted to Tax and Finance prior to June 1 st.  Current certification figures have been distributed to campuses and represent known debt service figures.  We will be re-certifying later in the fiscal year to ensure sufficient funds are collected to cover the debt service that will be attributable to the of ‘16 new money bond sale.  New Debt Service attributable to the 2016 sale will be calculated based on the new borrowing requested in your Capital Plan.  We will not re-certify after the adjustments from ‘13 bond sales are finalized. These adjustments will be rolled into the debt service charge for the ‘17-’18 FY. Recent/Ongoing Activities – Cont’d 7

8.  Next  Capital Plan Request  Capital Budget Request Process Res Hall Program – Questions 8

9.  Capital Plan Request – Spring 2016  Distributed to: business officers, physical plant administrators, & residence life personnel  Completed plans are to be returned by June 3, 2016  Worksheets have been modified from what you have received in previous years.  Changes outlined in subsequent slides Res Hall – Capital Plan Request 9

10.  “Part 1 - Last Years Cap Plan”  No Change from previous years  “Part 2 - Building Inventory”  No Change from previous years “Part 3 – DASNY Proj Budget Rpt”  Listed are all active projects in DASNY’s system as of 2/28/16, this sheet was used to populate the cash flow values on “Part 4 LTD Cash Flow Bonding” Res Hall Capital Plan – Changes 10

11.  “Part 4 – LTD Cash Flow Bonding“  This spreadsheet is used to indentify projects that require additional cash-flow bonding/debt service to be accounted for in “Part 8 – Total Debt Service”, if sheet is blank no action is required.  Listed are all projects that have either a portion or the entire project budget allocated from cash flow bond sales (2008 and beyond).  To be listed, one of the following scenarios are met: They are listed in DASNY’s system as of 2/28/2016 or; They were listed on last year’s capital plan in 2015-16 or 2016-17 and it is anticipated that the projects will utilize funds from the ’13 or ‘15 bond sale.  Please review the results shown in the “Future Bonding to Account For” section. If it is decided that additional bonding is not required, please enter a (negative) value in the “Additional/(Cutback)” section of this sheet. This means the project is currently over funded and will need to be cutback. Res Hall Capital Plan – Changes 11

12.  “Part 5 – Current Debt Service”  This is based on data campuses received from SUNY Controllers Office.  At the bottom of the sheet, in the 2017-18 FY, there are estimated adjustments to the 2013 sale based on our most current projections.  The adjustment shown in 2017-18 is cumulative and covers 5 years worth of estimated adjustments (2013-14 through 2017-18)  These new projected debt service amounts are link to “Part 8 – Total Debt Service”  Please note that until the 2013 sale is completely spent, the respective debt service will remain at the original amount by campus.  Adjustments are anticipated to be completed in the 2017-18 FY. Res Hall Capital Plan – Changes 12

13.  “Part 6 - New Capital Plan”  This serves the same purpose as it has in the past. It allows us to quantify the project dollars needed for both bonded and hard dollar work.  The “Bonded” or “HD Cash” dollar values you enter should be the additional project budget needed to let contracts. Please do not list projects that already have their full budgets in DASNY’s financial system or those with full allocation in SFS. (please do not list cash or disbursement projections)  If a project is already partially funded, place that amount in the “CURRENTLY in DASNY's system or SFS” column and utilize the “Bonded” or “HD Cash” columns to reflect the balance of project budget needed to fully fund the project.  Please note that the date section of this sheet is now shaded pink. All projects must have dates entered in this section or the plan will be returned. Project dates are critical, and are used to determine the timing and sizing of future bond sales. These dates are also used to help calculate the borrowing spread by year included on Part 7. Res Hall Capital Plan – Changes 13

14.  “Part 7 – Borrowing Spread by Year”  This sheet has been enhanced this year. All debt service for projects entered on Part 6 is automatically calculated and spread across the corresponding future years. In order for this sheet to function correctly all dates must be populated on Part 7.  Use this data to help populate future bonded borrowing on Part 8.  “Part 8 - Total Debt Service”  Options are listed as estimates of what it might cost to borrow certain amounts in future years.  Based on the cash on hand, we expect to bond in the Winter of 2016-17.  For new projects that you add to “Part 6”, or for amounts not accounted for in Part 4, please add the same amount in future bonding in 2016-17 and beyond. If you are not using Part 7 to assist in calculating the spread of future borrowing, please use the samples in the Capital Plan procedure for guidance. Res Hall Capital Plan – Changes 14

15.  “Part 9 - Cash Flow”  Please start by completing the projected ending cash balance in 2015- 16. This is then used as the starting point for future values linked via increase factors  The actual values for the O&M and R&R reserve have been populated for 2016-17 to reflect actual amounts being certified June 1 to T&F.  Please note that the room rate increase factor has been changed to 0% for the entire 10 year plan. Please adjust accordingly to reflect realistic and attainable rate increases.  All submitted plans must be solvent and reflect overall positive cash balances throughout the life of the plan. Any plans submitted in the “red” will be returned to be reworked. Res Hall Capital Plan – Changes 15

16.  Next  Capital Planning Process Capital Plan – Questions 16

17.  Project dates are critical  These dates are used to estimate the timing of expenditures and estimate future Bond Sale needs. Whenever possible, please populate all 3 dates (Design Start, Construction Start and Occupancy) on Part 6 of the Capital Plan.  Bed Count is significant  Increases and decreases in Bed count and corresponding utilization greatly impact revenue projections.  Next one to two years are most critical … we need to size the upcoming bond sale  The current plan is to bond new money this winter and then again every 12 months.  Inform OCF of changes throughout the year  Changes to project budget and/or project dates have significant bond sale and debt service implications. 17 Capital Plan Reminders

18.  Early June - Plans are delivered and OCF analyzes them  OCF shares with DASNY for reasonableness  OCF/Campus - follow-up with questions/issues  Once we know which projects are planned, we develop an aggregate request for all campuses to be submitted to the appropriate parties in the Fall.  Throughout the year … If changes occur, inform OCF 18 Capital Planning – Upcoming Actions

19. Final Questions 19