20-1020 Discussion on New Public Safety Building
Open Work Session Discussion on New Public Safety Building October 20, 2020 Mr. John Psota, Acting County Executive, Sheriff Mike Lewis, and Mr. Nick Rice, Purchasing Agent, came before Council. Mr. Psota said, as they progress through the Public Safety Building project and its latest projected cost estimate of approximately $28 million, the Finance Department was recently tasked with analyzing the prospective impact this estimate would have on the County’s long-term debt forecast and its debt policy. He said, given COVID’s budgetary impact and the Maryland State Bureau of Revenue’s estimate uncertainties, they applied estimated variables in this analysis to include the following: an interest rate of 3.5 percent on their debt; an applied 5 percent reduction in general fund revenue for FY22 with no general fund revenue for the next four years; and a capital project list of important funding needs over the next five years. He said, to be clear, there is an identified need for this Public Safety Building project. He said the purpose of this presentation is to fulfill their responsibility to provide the prospective impact that the capital projects listed could have on their future debt management and their future borrowing capacity. He said, for this presentation, he would like to introduce Pam Oland. Mrs. Pam Oland, Director of Finance, then came before Council and passed out handouts. She said, as Mr. Psota stated, she was asked to look at the availability of debt service and, moving forward, if they were to do this project, as well as other projects listed in their CIP, or potentially coming up in the next CIP.
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