STATE OF MARYLAND PUBLIC SCHOOL CONSTRUCTION PROGRAM. September 30, 2016
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1 STATE OF MARYLAND PUBLIC SCHOOL CONSTRUCTION PROGRAM 200 w. BALTIMORE STREET BALTIMORE, MARYLAND JOAN T. SCHAEFER ACTING EXECUTIVE DIRECTOR LARRY HOGAN GOVERNOR INTERAGENCY COMMITTEE ON SCHOOL CONSTRUCTION KAREN SALMON, Ph.D. CHAIRPERSON September 30, 2016 The Honorable Edward J. Kasemeyer Chair, Senate Budget and Taxation Committee 3 West Miller Senate Building Annapolis MD Chair, House Appropriations Committee 121 House Office Building Annapolis MD Re: Statewide Contingency Account Quarterly Report Dear Senator Kasemeyer and Delegate Mcintosh: Please accept this letter and the attachments as our quarterly report on the Statewide Contingency Account for the Public School Construction Program (PSCP) as of September 30, This report is submitted consistent with the requirements of Education Article, Section )(4) which states: "On or before March 30, June 30, September 30, and December 31 of each year, the Interagency Committee [on School Construction] shall report to the General Assembly, in accordance with Section of the State Government Article, and the Department of Legislative Services on the balance in the fund [established under paragraph (1) of this subsection] as of the reporting date as the result of transfers or reversions required under this subsection and any expenditures." As of September 30, 2016, the PSCP Statewide Contingency Account had a balance of $46,164,266. Of this amount, $35,747,170, was reserved for specific Local Education Agencies (LEAs), including $6,560,690 for specific programs or initiatives and $29,186,480 that was undetermined as to its use at that time or was pending IAC/BPW approval of adjustments. At this time $5,345,766 is available for allocation to the FY 2018 Capital Improvement Program (CIP); $5,298,955 is reserved for specific LEAs and $46,811 is available for allocation Statewide. The balance of $5,071,330, reserved for other purposes, is unavailable for reallocation in the FY 2018 CIP. Each LEA will be notified in October 2016 of their undetermined reserved contingency balance, with a request to specify its use by November The $5,071,330 unavailable for allocation in the FY 2018 CIP consists of $500,000 for the Emergency Repair Fund, $313,690 for the Relocatable Repair Fund, $3,933,548 for the Supplemental Technology in Maryland Schools (TIMS) Program, $101,092 for the Qualified Zone Academy Bond (QZAB) Program, and $223,000 for the FY 2014 Security Initiative (SI).
2 The Honorable Edward J. Kasemeyer September 30,2016 Page 2 The $6,593,884 designation for specific programs or initiatives consisted of $1,763,818 for the FY 2012 Supplementary Appropriation, $3,397,609 for the FY 2013 Energy Efficiency Initiative (FY 2014 CIP - EEl), $1,254,457 for the FY 2014 Air Conditioning Initiative (FY 2014 CIP-ACI), and $178,000 for the Enrollment Growth and Relocatable Classrooms (FY 2017 CIP-EGRC). Notes: Those LEAs that have FY 2012 Supplemental Appropriation reserved contingency funds ($1,763,818) will continue to submit eligible project requests directly to the BPW to utilize their remaining balances. The $3,397,609 FY 2013 CIP - EEl fund balance will remain unallocated, as the LEAs with these reserved funds have no eligible FY 2014 CIP - EEl project requests that were not funded. Accordingly, once all expenditures on approved projects have been made, we will seek guidance as to the appropriate use of any unexpended balance. As of this writing, 86% or $21.6 million of the total $25 million is allocated to specific projects and 14% remains unallocated. Of the specific project allocations 95% or $20.5 million has been expended by PSCP. For the FY 2014 Air Conditioning Initiative (ACI), $1,254,457 is reserved for allocation to the FY 2018 CIP for Baltimore County ($1,016,562), Charles ($6,701) and Maryland School for the Blind ($198,000), and ($33,194) is available statewide. The $178,000 FY 2017 CIP - EGRC funds will be available in the FY 2018 CIP for Dorchester County. These allocations are over and above the CIP allocation that the LEA would otherwise receive. For the FY 2014 Security Initiative, $24.8 million or 99% of the $25 million was allocated to 22 LEAs and the Maryland School for the Blind for specific projects. The remaining $223,000 was allocated to Kent and Talbot County Public Schools. These two counties elected to utilize the FY 2013 Aging Schools Program funding to complete their security projects rather than participate in the Security Initiative. Of the specific project allocations 96%, or $23.8 million of the project allocations, have been expended. PSCP expects all of the approved projects to be expended by CY At this time, the unexpended allocation is anticipated to be at least $809,320. Attached is a summary of the funding by fiscal year showing the remaining appropriation balance in the accounts as of September 30, Page 2 of the Summary shows the dedicated purpose of the available balances. Please contact me at or via Joan.Schaefer@maryland.gov questions regarding this material or if you need any additional information. if you have any Sincerely, JTS/KAS/jg Enclosures oant~~~r~ Acting Executive Director Interagency Committee on School Construction
3 The Honorable Edward J. Kasemeyer September 30, 2016 Page 3 cc: Dr. Karen Salmon Mr. Ellington E.Churchili, Jr. Ms. Wendi Peters Mr. John Bohanan Ms. Barbara Hoffman Ms. Sarah Albert (5 copies) Ms. Rachel Hise Mr. Matthew Klein Ms. Cathy Kramer Mr. Kyle Siefering Mr. David Brinkley Mr. Marc Nicole
4 Public School Construction Program Page 1 Remaining Appropriation Balance as of September 30,2016 Balance as of lac Actions Balance as of Fiscal Year June 30, 2016 July - September September 30, MLPFA 1,124,771 1,124,771 (b) 2002 MLPFA 2,808,777 2,808,777 (b) 2006 Interest QZAB - 3rd (c) ,586 13, PG 1,985 1, REL 63,690 63,690 (a) 2009 Interest QZAB - 4T (c) 2010 Interest QZAB - 3R (c) 2010 REL 250, ,000 (a) , , QZAB 62,755 62,755 (c) 2012 SA 1,714,321 49,497 1,763,818 (d) ,661 43, EEl 3,387,022 10,587 3,397,609 (e) 2013 QZAB 22,010 22,010 (c) ACt 1,254,457 1,254,457 (f) 2014 SI 223, ,000 (g) ,112,501 (444,628) 12,667, QZAB 8,000 8,000 (c) ,047, ,890 17,029, QZAB 45 7,243 7,288 (c) ,187,136 1,727,087 4,914, EGRC 9,680,000 (9,502,000) 178,000 (h) Totals $52,948,704 ($6,784,438) $46,164,266 The following balances are reserved for specific Programsllnitiatives: (a) Relocatable Repairs account balance of $313,690 (b) Supplemental TIMS account balance of $3,933,548 (c) Qualified Zone Academy Bonds (QZAB) account balance $101,092 (d) Supplementary Program (SA) $1,763,818 (e) Energy Efficiency Initiative (EEl) $3,397,609 (f) Air Conditioning Initiative (ACI) $1,254,457 (g) Security Initiative (SI) allocation has a remaining balance of $223,000, consisting of the allocations from Kent $95,000 and Talbot $128,000 County Public Schools, which have chosen not to participate. (h) Enrollment Growth or Relocatable Classrooms (EGRC) $178,000
5 PUBLIC SCHOOL CONSTIjUCTION PROGRAM SUMMARY OF STATEWIOE CONTINGENCY ACCOUNT p-16 Page 2 of 2 I. CONTINGENCY BALANCE: Curnnt Stat.wld" ConUngency Balance Reiocalsble Repalr cbr'9abons s ,2 6.,..-,.,--...,,--P) $ Reserved for LEAs. Pending lac Approval or UnrtS4tr.".d Contingency LEA Contingency reserves for speofic Programs or Initiatives (See Nole 4) Undetermined and peoolng a~ustmenu (see Note 5) Pending adjusanents (see Note 5) Balance I..I'1avaitab'e for reallocation in the FY 2017 CIP ( ) S (29,OS1,903) S ( ) ) $ ( ) S ( ) Total Current and Antielpated ContJngency Ivallabl, for FY 2Q18 CIP 5,345,766 II. FUNDING SOURCE; Statewide Contlnglncy Fund B~.1nc.by?rogr.iunllnltJallvt! Unreserved Contlng.ncy for LEAs: Emergency Repair Fund Reiocatable Repair Fund Suppk!menlBl TecMology in Maryland Sc.hoo[s (TIMS) Quaifled Zone Academy Bonds {OZAB) FY 14 Seomty Imtiative (51) Funds UnReserved ConUngency available for FY 2Q18 CIP: ACI Funds Bond Funds Pay-Go Funds Contingency Reserved for Sp.clfic LEAs: Bond Funds Pay-Go Funds FY 12 Supplemental Appmpriatbn (SA) FY '3 Enetljy Efficiency InlUative (EEl) Funds FY 14 Air Condrtioning Initiative (ACI) Funds FY 17 Enrollment Growth or Relocatabie Classrooms (EGRC) Funds IFY 17) SubtltBl SublolBl (2) 313, ', ' 330 J ,632 1, ,435 Sublo,.1 S Sub~tal Totals 1,763.8'8 3,397,609 l Q 690 $ 46,16.(,2&6 III. DETAILS: LEA Contlngency ConUng.ncy Balance LEA COf1tg. Res.rves for CUlTlntlEA for SpotlRc LEAs frem LEA Contg. LEA Contg. InCAues! Speclflc LEA Contg. Conti FY 06 - FY DB, & Balance &.5 of Alloc.ated to (Olcreases) Programs or Fonds B~lanc. FY 10 - FY 17: FY 2018 CIP (J) Juty ~ Sept. (3) InttJatlvu (4) Undetermined (5) Available (5) Xlegeny 15,,9j2 8,677 (132,802) ) Anne Arundel '68,811 1,093,506 (20,COO) (1 242,317) Baltimore County 2.663,681 (449,095) (1,630,902) 1520,534) 63.'50 Baltimore City '6,907, '9 (2.878,422) (9, ) 4,900,413 Calven 30,114 2, ,910) (885) Caroline ComJd 814,709 (3) (805,047) Codl 522,7'6 (69.804) (452,912) Challes 20,429 9,'29 (20,'29) (9,129) Dorchester 325,744 ( ) Frederick 251, ,986 (373,573) Garrett ,244 (7) Hariord 42,413 74,749 (96,0'3) Howard 1,525,353 (1.525,353) K..,I 118, ,439 (7] Montgomery 2,OOS, (330,OOO) (2.66J,551) Pnnca G8Qrge'S 20,966,577 (9,009,982) (11,855,BOB) 100,787 Oueen A.nne'5 69,879 (69,879) Sl Mar{' 704,524 (59',065) (113,459) Somerset 138,345 (138,345) Talbot (33.'94) (5,159) WB$hfngton 77,69B (77.698) 'Mcomico W<lrcestBr 126,226 ('26,226) MO School for the 611nd 198, ( ) (281) Subtotal S 47.87'.000 ( ) ( ) s ( ) Total LEA Reslrns ,125 ($35,747,110) 5,298,955 lea R.wrvld Contingancy Balance.vailabll for FY 2018 CIP 5,298,955 (6) B.I.nc;e of Un.reserved ConUngency available for FY 2011 CIP Total Contingency Balanc. avallabll for FY 2018 CIP (Rtservtd and Unreservtd) 5,345,766 Nalls.: (1) There are no outslarlding ccmmmmena fur refocatable repetrs (2) "lnllr'lency reserve lor me Eme'gency Repair Account (3) LEA contingency fund adjustmenl\ resulting from lac actions from July 2016 through September 2016 {4} Include$ ACI, EEl, EGRC, and SA funds for spedftc LEAs (5) Includes CIP tums not designated by LEAs to be assigned pencfi.ng LEA indication of preferences 10 FY 2017 or FY 2018 C!P (6) Contingercy balance 3vmtabkJ for speciftc LEAs as of September If lhe.se funds are nol eeccateo to Ole LEAs WllJlln two years they wril revert 10 the Statewide Un-reserved Contingency (7) Garren $77,244 and Kent $118,439 funds are reserved for FY 2018 CIP
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