February 26, 2015

Completed Phases 1 & 2 of Design ◦ In process of completing Phase 3 (Final) ◦ Completed Geological Investigation ◦ Completed Value Engineering Study (necessary for federal funding) ◦ Obtained 7 environmental clearances

Held preliminary discussions with UPRR Held preliminary discussions with Westar

◦ Attaching to new bridge

Began R-O-W negotiations ◦ Agreed on price for SE quadrant ◦ Will be making contact for NE and NW quadrants ◦ Wabaunsee County to acquire for SW quadrant

SR (2006): 61.5 SR (2008): 61.2

• BCC Approved Commencement of Design (2009) • Position ourselves if any grant funding became available

SR (2010): 61.2 SR (2012): 61.2 SR (2013): 50.7 SR (Current): 23.7

Met with Representatives of KDOT and Wabaunsee County to discuss funding assistance ◦ KDOT Advance

Met with Senator Moran to discuss funding assistance

Met with Sheriff Staff RE: Increased enforcement and related issues

Developed more stringent weight restrictions resolution to provide easier enforcement capabilities

Developed Cashflow Needs Projection

Developed Project Completion Schedules

Developed Potential Funding Strategies

Complete Final Design (Summer 2015)

Complete R-O-W acquisition (July 2015) Obtain Permits (Nov 2015) ◦ UPRR* ◦ Corps of Engineers ◦ KDWR ◦ KDHE Notice of Intent ◦ KDOT Environmental Services Action Permit

Finalize Funding Package

Bid/Construct

*Critical Path Component

TASKJan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May

Design

Right-of-Way

Utility Adjustment

SNCO / WabCo Agreement

Permitting

UPRR Agreement

SNCO BID

SNCO Award Contract

Construction

NOTE: Progress Schedule assumes NO Federal Funding

PROJECT PROGRESS SCHEDULE

2015 2016 2017 2018

NW Carlson Road (Willard) Bridge over the Kansas River SNCO Bridge Number: BSN 130SNCO Project No. S-121015.00KDOT Project No. 89C 0066-01

Bridge

Road Tie-In, Final Grading,

Seeding

TASKJan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

Design

Right-of-Way

Utility Adjustment

SNCO / WabCo Agreement

Permitting

UPRR Agreement

SNCO BID

SNCO Award Contract

Construction

NOTE: Progress Schedule assumes NO Federal Funding

PROJECT PROGRESS SCHEDULE

2015 2016 2017

NW Carlson Road (Willard) Bridge over the Kansas River SNCO Bridge Number: BSN 130SNCO Project No. S-121015.00KDOT Project No. 89C 0066-01

Bridge Const.

Road Tie-In, Final Grading,

Seeding

REMAINING PROJECT COSTS

2015 2016 2017 Total Design $115,625* $115,625*

R-O-W $124,000* $124,000*

UPRR Permit $35,000* $35,000*

Utility Relocation $100,000* $100,000*

Construction $8,014,000 $12,021,000 $20,035,000

Const. Engineering $641,120 $961,680 $1,602,800

Contingencies $100,000* $641,190 $961,785 $1,702,975

TOTAL $374,625* $9,296,310 $14,044,465 $23,715,400 *Funding is Currently Available

YEAR

AMOUNT (est)

FUNDING SOURCE

REPAYMENT SOURCE

2016 $7-$10M KDOT Advance STE* (2017-2026)

2016 $2-$3M 2016 Gen Fund N/A

2017 $6M CST** Excess N/A

2017 $1M Wabaunsee Co. N/A

2017 $2-$3M 2017 Gen Fund N/A

2017 $1M STE/Exch. Funds/PW 391

N/A

2018 (if nec.) $2-$3M 2018 Gen Fund N/A

*Sales Tax Extension **Current Sales Tax

KDOT Financial Advance ◦ Provides Construction Funding in 2016 ◦ Prior to Current Sales Tax Excess Funds Availability ◦ Significantly reduces bonding costs

Sales Tax Extension County Bridge Allotment ◦ $32.5M (includes $10M allotted for Willard Bridge) ◦ Provides reimbursement funds for KDOT Advance

Assistance in Expediting UPRR Agreement ◦ KDOT/Sen. Moran

Goal is a Dec 2015/Jan 2016 Bid ◦ Construction in Jan/Feb 2016 Environmental Restrictions April 1st - August 31st

◦ Completion in Dec 2017

WILLARD BRIDGE FINANCING PRESENTATION

Greiner, Director of Services February 26, 2015

Let me begin by saying that we have been working on this issue for some me – both internally and with bond counsel.

As Tom Vlach stated in his the County has sufficient funds set aside to cover all of the costs up to the construc phase. Therefore, we need to have the final details of our financing plan by the me constr begins which could be as soon as one year from now.

I’d like to present some financing op that we are looking at and evalua ng.

O n 1

The County must look to statute for authority to bond. K.S.A. 68-1103 allows bonding for the replacement of a bridge. All the necessary paperwork could be completed in advance so that bonding could be secured prior to the start of constr n. With the paperwork ready, this process could be completed and funded in 1-2 months.

The primary factor will be to determine the amount of financing needed. The following factors will affect this amount:

1. JEDO interlocal agreement - It is an ipated that $10 million from the sales tax extension will come to the County in annual allotments over the 15 year term beginning in 2017.

2. costs - Before construc begins, we will have accepted a bid for the project and will have the final constr cost.

3. Federal or state par cipa n in costs 4. Excess from the current sales tax – A more accurate es mate of this excess will be available when the

last road project costs have been determined and the 2015 sales taxes receipts have been received.

Interest and principal payments on the bonds will start immediately upon the sale of the bonds. Interest will be paid on the en re amount of the bond regardless of how much money has been spent.

O n 2

Since K.S.A. 68-1103 permits general oblig to be issued for the replacement of the bridge, K.S.A. 10-123 authorizes the issuance of temporary notes as part of the financing for the replacement bridge.

The County could issue a temporary note or series of notes with a local bank for the constr period of the bridge. The term of a temporary note could be six months, one year or one year with a call period. The benefits of the temporary notes are as follows:

1. Interest on the temporary note would only be on the principal amount of the note or series of notes rather than on the en re constr total.

WILLARD BRIDGE FINANCING PRESENTATION

2. The amount of the temporary notes could be increased as constr progresses and funds are needed.

3. When received in 2017, the excess funds from the current sales tax could be used to pay co costs or re all or a n of the temporary notes.

4. When the 2017 sales tax allotment is received, those funds could be used for constr costs rather than issuing a temporary notes.

When the bridge is completed, the amount of the co costs paid from temporary notes would be permanently financed with bonds and any temporary notes issued would be paid with bond proceeds.

As an example, this method is similar to an individual building a home. They get a constr loan for the constr period. They borrow the money as it’s needed for the constr costs. When the home is completed, they obtain a mortgage and pay off the constr loan. They do not start making mortgage payments un l the house is completed.

Since we would be paying interest only on the amounts needed, this op should cut interest costs significantly.

We will con nue to evaluate the ming and best financing for this bridge.