School Impact FeesAppendix C to POMC 20.182 (Ord. 019-17)
South Kitsap School District 2015 Capital Facilities Plan
VII. DISTRICT FINANCE PLAN
The principal funding mechanism for school facility construction and modernization has
traditionally been voter approved bonds. More recently, school districts have been turning to capital
levies to support modernizations and elementary school new construction projects. Other funding
sources can include state funding assistance and development impact (mitigation) fees.
General Obligation Bonds
Bonds are typically used to fund construction of new schools and other major capital improvement
projects. A 60% voter approval is required for passage. Bonds are then retired over time through
the collection of property taxes.
The South Kitsap School District had an assessed valuation of $6,123,112,269 as of August 31,
2014. The limit for all outstanding bonds for SKSD is 5% of assessed value or $306,155,613. The
District had $5,645,481 of debt as of August 31, 2014, and therefore has a current bonding capacity
of $300,510,132.
State Funding Assistance
The source of State Funding Assistance, formerly State Match Funds, is the Common School
Construction Fund. Bonds are sold on behalf of the fund then retired with revenues accruing
predominantly from the sale of renewable resources (i.e., timber) from state school lands set aside
by the Enabling Act of 1889. If these sources are insufficient to meet the needs of the program, the
Legislature can appropriate additional funding, or the State Board of Education can ration project
funding on a priority basis.
School districts may qualify for state funding assistance for specific capital projects based on an
eligibility system. Eligible projects are prioritized using seven different criteria. Funds are then
disbursed to districts on a percentage basis that is based on a formula that compares each district's
assessed valuation per pupil relative to the entire state assessed valuation per pupil. This percentage
is known as the Funding Assistance Percentage, formerly State Match Ratio.
The base to which this percentage is applied is the cost of construction as determined by the
"Construction Cost Allocation" multiplied by the "Eligible Area". The Construction Cost
Allocation (CCA) is used by OSPI to help define or limit its level of financial support for school
construction. It is a budget driven value that is not intended to fully reflect the actual cost of school
construction in Washington State. The Eligible Area portrays either the square footage of new
space required to address unhoused students for an enrollment project, or the building square
footage approved for upgrade or replacement for a modernization project.
State funding assistance is available to assist districts with construction costs for enrollment and
modernization related school construction projects but cannot be used for site acquisition, the
purchase of portables or for normal building maintenance. Because the availability of state
assistance funds may not always keep pace with the enrollment growth or modernization needs of
all of Washington's school districts, assistance funds from the state may not be received by a school
district until two or three years after a school project has begun. In such cases, a district may be
required to "front fund" meaning it must be prepared to finance the entire project with local funds.
The State's share of the project funding is then provided to the district later in the form of a
reimbursement. In some cases projects may not receive any state assistance at all. State funding
assistance is not guaranteed.
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South Kitsap School District 2015 Capital Facilities Plan
New Development Mitigation/Impact Fees
The authority for local jurisdictions to condition new development on the mitigation of school
impacts is provided for under the State Subdivision Act, Chapter 58.17 RCW, the State
Environmental Policy Act, Chapter 43.21C RCW, and the Growth Management Act, Chapter
36.70A RCW. These state statutes seek to ensure that adequate public facilities are available to
meet the demands of new growth by authorizing permitting jurisdictions to condition development
approval on the implementation of mitigation measures that enable local jurisdictions to meet the
infrastructure demands of new development.
Subdivision Act Mitigation RCW 58.17.110 requires the permitting jurisdiction to find
that proposed plats adequately provide for schools and school grounds. The proposed
development must provide land sufficient to ensure that such facilities are provided for
potential new students.
• SEPA Mitigation. SEPA provides that local jurisdictions may condition the approval of a
new development to the mitigation of specific adverse environmental impacts which are
identified in SEPA environmental documents. See RCW 43.21C.060. Under SEPA, the
"built environment" includes public schools. See WAC 197-11-444(2) (d) (iii).
GMA Mitigation. Development impact fees have been adopted by Kitsap County and the
City of Port Orchard as a means of supplementing traditional funding sources for the
construction of public facilities needed to accommodate new development. The City of
Bremerton does not impose an impact fee on new development. The District participates in
the permit review processes of jurisdictions within its boundaries to ensure that its interests
are considered when new developments are proposed that will generate additional students.
Six -Year Finance Plans
The Six -Year Capital Finance Plan (Table 12) portrays how South Kitsap School District intends to
fund improvements to school facilities for the years 2015 through 2020.
40
South Kitsap School District 2015 Capital Facilities Plan
Table 12
Capital Finance Plan (2015-2020)
Sources:
CFP Balance/Impact Funds (Aug 2014)
$
1,000,164
Impact Fee Collections 2015-2020 (est.)
$
1,438,680
Transfer from General Funds
$
0
State Matching Funds (est.)
$
0
Sale of General Obligation Bonds
$
0
Improvements to Existing Facilities
$
4,750,000 $7,188,844
Uses:
CFP Balance/Impact Funds (Aug 2020 est.) $ 378,769
Improvements to Existing Facilities $ 4,750,000
Construction for Enrollment Growth $ 0
Site Acquisition $ 1,760,075
Construction of Support Facilities $ 0
Interim Classroom Space $ 300,000
Program Changes $ 0 $ 7,188,844
Balance: $ 0
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South Kitsap School District 2015 Capital Facilities Plan
VIII. UNFUNDED NEED CALCULATION
The calculation of the South Kitsap School District unfunded need in support of jurisdictional
school impact fee collection is provided on the spreadsheets that follow. This calculation recognizes
projected costs anticipated over the life of the six -year plan including acquisition costs for interim
housing and debt service payments on a 56 acre school site that was purchased in 2005.
The "Unfunded Need Total" on the last line of the SKSD Impact Fee Calculation document
portrays the cost of addressing new home construction related enrollment growth identified within
the six -year capital construction plan. This value is greater than the actual school impact fees
specified and collected under respective Kitsap County and City of Port Orchard impact fee
ordinances.
42
South Kitsan School District 2015 Cabital Facilities Plan
Description
Grade Span
Value
Units
Comments
Student Generation Factor-SFH
Elementary
0.32
StudentslResidence
2007 Kendrick Demographic Study
Student Generation Factor-SFH
Jr. High
0.10
StudentslResidence
2007 Kendrick Demographic Study
Student Generation Factor-SFH
Sr. High
0.10
StudentslResidence
2007 Kendrick Demographic Study
Student Generation Factor-MFH
Elementary
0.18
StudentslResidence
2007 Kendrick Demographic Study
Student Generation Factor-MFH
Jr. High
0.09
StudentslResidence
2007 Kendrick Demographic Study
Student Generation Factor-MFH
Sr. High
0.09
StudentslResidence
2007 Kendrick Demographic Study
Facility Acreage
Elementary
14.00
Acres
District Average
Facility Acreage
Jr. High
22.00
Acres
District Average
Facility Acreage
Sr. High
42.00
Acres
Plan for New High School
Cost per Acre
All
$115,000
CostlAcre
Market Estimate
Facility Size - New Construction
Elementary
550
StudentslSchool
District Standard
Facility Size - New Construction
Jr. High
900
StudentslSchool
District Standard
Facility Size - New Construction
Sr. High
1800
StudentslSchool
Plan for New High School
Facility Size - Temporary Construction
Elementary
24
StudentlClassroom
District LOS
Facility Size - Temporary Construction
Jr. High
26
StudentlClassroom
District LOS
Facility Size - Temporary Construction
Sr. High
26
StudentlClassroom
District LOS
Permanent Sq. Footage (Total)
Elementary
507894
Square Feet
State Study & Survey
Permanent Sq. Footage (Total)
Jr. High
286193
Square Feet
State Study & Survey
Permanent Sq. Footage (Total)
Sr. High
345474
Square Feet
State Study & Survey
Portable Sq. Footage (Total)
Elementary
45900
Square Feet
Portables Inventory
Portable Sq. Footage (Total)
Jr. High
18900
Square Feet
Portables Inventory
Portable Sq. Footage (Total)
Sr. High
10800
Square Feet
Portables Inventory
Facility Cost - New Construction
Elementary
CostlSchool
Facility Cost - New Construction
Jr. High
CoslISchool
Facility Cost - New Construction
Sr. High
CostlSchool
Facility Cost - Temporary Construction
Elementary
$300,000
CostlPortable
Standard Dbl Portable including Site Costs
Facility Cost - Temporary Construction
Jr. High
$300,000
CosUPortable
Standard Dbl Portable including Site Costs
Facility Cost - Temporary Construction
Sr. High
$300,000
CostlPortable
Standard Dbl Portable including Site Costs
Boeckh Index I Area Cost Allowance
All
$206.70
Costlsq. ft.
OSPI - 2015
SPI Footage
Elementary
90.0
Sq. FUStudent
OSPI .2015
SPI Footage
Jr. High
121.3
Sq. FUStudent
OSPI - 2015
SPI Footage
Sr. High
130.0
Sq. FUStudent
OSPI .2015
State Match Ratio
All
59.98%
Percent
OSPI .2015
Average Assessed Value - SFH
All
$201,260
CostlUnit
Kitsap County Assessor SFH 2O15
Average Assessed Value - MFH
All
$100,630
CostlUnit
Kitsap County Assessor SFH 2O15 @ 50%
Capital Bond Interest Rate
All
0.00%
Percent
Years Amortized
All
10
Years
Property Tax Levy Rate - Capital Construction
All
$0.00
Costl$1000 A.V.
43
South KitsaD School District 2015 Capital Facilities Plan
School Site Acquisition
Cost:
CALCULATIONS
((Acres X Cost per Acre)/Facility
Capacity) X Student Generation
Factor
Facility
Cost per
Facility
SGF SGF
Cost per
Cost per
Acreage
Acre
Capacity
SFH MFH
SFH
MFH
Elementary
14
$115,000.00
550
0.32 0.18
$936.73
$526.91
Jr. High
22
900
0.10 0.09
$0.00
$0.00
Sr. High
42
$115,000.00
1800
0.10 0.09
$268.33
$241.50
$1,205.06
$768.41
School Construction Cost:
((Facility Cost/Facility Capacity) X Student Generation Fai ctor) X Pei manent/Total Sq. Ft.)
% Perm/ Facility
Facility
SGF
SGF
Cost per Cost per
Total Sq. Ft. Cost
Size
SFH
MFH
SFH MFH
Elementary 92%
550
0.32
0.18
$0.00 $0.00
Jr. High 94%
900
0.10
0.09
$0.00 $0.00
Sr. High 97%
1800
0.10
0.09
$0.00 $0.00
Temporary Facility Cost:
((Facility Cost/Facility Capacity) X Student Generation Factor) X (Temporary/Sq. Ft)
% Temp/
Facility
Facility
SGF
SGF
Cost per
Cost per
Total Sq. Ft.
Cost
Size
SFH
MFH
SFH
MFH
Elementary
8%
$300,000.00
48
0.32
0.18
$165.77
$93.24
Jr. High
6%
52
0.10
0.09
$0.00
$0.00
Sr. High
3%
52
0.10
0.09
$0.00
$0.00
$165.77
$93.24
State Match Credit
Area Cost Allowance X SPI Sq.
Ft X State Match X Student
Generation Factor
Boeckh
SPI
State
SGF
SGF
Cost per
Cost per
Index
Footage
Match %
SFH
MFH
SFH
MFH
Elementary
$206.70
90.00
0.32
0.18
$0.00
$0.00
Jr. High
$206.70
121.30
0.10
0.09
$0.00
$0.00
Sr. High
$206.70
130.00
0.10
0.09
Tax Pavment Credit
Average Assessed Value
Capital Bond Interest Rate
Net Present Value of Average Dwelling
Years Amortized
Property Tax Levy Rate
Present Value of Revenue Stream
NEED SUMMARY
School Site Acquisition Cost
Permanent Facility Cost
Temporary Facility Cost
State Match Credit
Tax Payment Credit
UNFUNDED NEED TOTAL
$0.00 $0.00
SFH MFH
0.00%
0.00%
10
10
$0.00
$0.00
$0.00
$0.00
SINGLE FAMILY
MULTI FAMILY
$1,205.06
$768.41
$0.00
$0.00
$165.77
$93.24
$0.00
$0.00
$0.00
$0.00
$1,370.83
$861.65
44