Ten year Capital Improvement Programand

Preliminary Bond Information

Land Development CommitteeSeptember 2011

Areas of Discussion• Ten Year CIP

– Graphic Summary– Detailed cash flow(handouts)

• Summary Slides– Fairbanks, Maslin Maulin Statewide Survey– LAO Infrastructure Study (handouts)

• Preliminary Bond Information– RBC Capital Markets

• Continuation of August 3, 2011 discussion on Revenue and Entrepreneurial Activities

• Project Delivery Models– Legal Framework– Technical Overview

2

3

1.31%

54.83%18.75

%

8.20%

11.38%

5.53%

New BuildingsBuilding ReplacementRenovation/ModernizationEquipment (Technology)Facility InfrastructureOther

Capital Improvement Program Spending

4

New BuildingsProject Total Project Cost (6/11 est.) External Funding Local FundingOCC Maritime Academy $8,444,040 $6,533,305 $1,910,735CCC Garden Grove Joint Use Student Center TBD TBD TBDSubtotal $8,444,040 $6,533,305 $1,910,735

Building ReplacementProject Total Project Cost (6/11 est.) External Funding Local FundingGWC Science & Math $77,627,802 $53,487,463 $24,140,339GWC Criminal Justice Training Center $18,415,801 $10,338,684 $8,077,117GWC Language Arts Complex $33,571,588 $19,242,956 $14,328,632GWC Business & Social Science Building $44,776,982 $22,388,491 $22,388,491GWC Cosmetology Building $15,760,875 $0 $15,760,875GWC Campus Safety Building $1,495,728 $1,495,728 $0OCC Language Arts Center $44,725,021 $32,793,767 $11,931,254OCC Business, Math, Computing Center $43,629,000 $0 $43,629,000OCC Student Union Complex $46,602,674 $0 $46,602,674OCC Administration Building $14,416,178 $0 $14,416,178OCC Planetarium $9,800,000 $9,800,000 $0OCC Recycling Enterprise $1,972,000 $1,972,000 $0Subtotal $352,793,649 $151,519,089 $201,274,560

Proposed Capital Improvement Projects

5

Proposed Capital Improvement Projects (cont.)Renovation/ModernizationProject Total Project Cost (6/11 est.) External Funding Local FundingCCC Le-Jao Student Learning Support Center $3,485,241 $1,848,844 $1,636,397CCC Garden Grove Learning Support Center $2,259,180 $1,807,344 $451,836CCC Garden Grove Classroom Renovation $1,912,464 $956,232 $956,232CCC College Center Student Support Center $8,341,212 $4,170,606 $4,170,606CCC Newport Beach Student Support Center $1,021,140 $816,912 $204,228GWC Student Services Center $20,826,073 $16,100,857 $4,725,216GWC Technology Building Renovation $13,187,567 $7,912,540 $5,275,027GWC Design Technology Renovation $1,836,000 $0 $1,836,000GWC Community Center Renovation $4,184,547 $0 $4,184,547GWC Rehabilitation Center Renovation $980,536 $0 $980,536GWC Central Warehouse Renovation $4,532,038 $0 $4,532,038OCC Chemistry Renovation $21,104,511 $15,078,385 $6,026,126OCC Skill Center Renovation $8,856,785 $5,314,071 $3,542,714OCC Adaptive P.E./Pool/Gym $22,423,835 $0 $22,423,835OCC College Support Center $5,651,016 $0 $5,651,016Subtotal $120,602,145 $54,005,791 $66,596,354

EquipmentProject Total Project Cost (6/11 est.) External Funding Local FundingDistrict-wide Technology Refresh $52,786,760 $0 $52,786,760Subtotal $52,786,760 $0 $52,786,760

6

Proposed Capital Improvement Projects (cont.)

Building InfrastructureProject Total Project Cost (6/11 est.) External Funding Local FundingCCC $8,583,152 $0 $8,583,152GWC $35,332,045 $0 $35,332,045OCC $29,288,125 $0 $29,288,125Subtotal $73,203,322 $0 $73,203,322

Other ProjectsProject Total Project Cost (6/11 est.) External Funding Local FundingOCC Parking Structure $29,400,000 $0 $29,400,000CCC NBLC Photovoltaic System $1,200,000 $0 $1,200,000DIST Housing/Mixed Use Development TBD TBD $0GWC Housing/Mixed Use Development TBD TBD $0OCC Mixed Use Development TBD TBD $0GWC Physical Education Outdoor Labs $4,950,000 $2,475,000 $2,475,000GWC Boys & Girls Club Gymnasium TBD TBD $0Subtotal $35,550,000 $2,475,000 $33,075,000

7

The Bottom Line:Project Total Project Cost External Funding Local FundingNew Buildings $8,444,040 $6,533,305 $1,910,735 Building Replacement $352,793,649 $151,519,089 $201,274,560 Renovation/Modernization $120,602,145 $54,005,791 $66,596,354 Equipment (Technology) $52,786,760 $0 $52,786,760 Building Infrastructure $73,203,322 $0 $73,203,322 Other Projects $35,550,000 $2,475,000 $33,075,000 Site Acquisition

CCC Le-Jao Site Acquisition $4,862,500 $0 $4,862,500CCC Newport Beach Site Acquisition $8,320,000 $0 $8,320,000Debt RepaymentCCC NBLC Debt Repayment $20,000,000 $0 $20,000,000District-wide ContingencyInfrastructure $31,765,882 $0 $31,765,882Parking/Vehicular Circulation $7,025,000 $0 $7,025,000Pedestrian Circulation $14,215,000 $0 $14,215,000Site Improvements $6,925,000 $0 $6,925,000Demolition $3,630,000 $0 $3,630,000Swing Space $4,235,000 $0 $4,235,000Equipment/Furnishings $15,410,250 $0 $15,410,250Construction Management $33,449,016 $0 $33,449,016Total CIP Estimate (Present Value) $793,217,564 $214,533,185 $578,684,379

Escalated Local Cost (3.6% annually) $610,598,821

8

Why Move Now?

• Time Value of MoneyTotal program cost escalates to $655,230,311 if delayed two years and $703,256,072 if delayed four years.

• Secure required local match fundsIn the event of a State-wide facilities bond in 2012, District would need:

- local commitment of $24M to secure $53M in State funds in 2012- local commitment of $20M to secure $43M in State funds in 2013- local commitment of $29M to secure $59M in State funds in 2014

9

Board Room6:30 PM

10

11

12

13

September 6, 2011

Coast Community College District

Bond Information

15

Coast CCD – Assessed Valuation Chart

Source: CalMuni

43.245.5

49.253.7

58.262.7

67.772.5

78.8

87.0

93.997.3 97.9 98.4 99.7

8.38%

9.08%

8.17%

5.28%

3.15%

7.90% 7.85%

7.16%

8.62%

10.48%

7.84%

3.64%

0.52%

1.29%0.65%

$0

$20

$40

$60

$80

$100

$120

Billio

ns

0.00%

2.00%

4.00%

6.00%

8.00%

10.00%

12.00%

Assessed Value Actual Growth Rate

16

$40 Million Project – Lease Revenue Bonds Scenario

Assumptions:Project Amount: $40,000,000Term: 30 Years

Annual Debt Service

0

500,000

1,000,000

1,500,000

2,000,000

2,500,000

3,000,000

3,500,000

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30

Years

An

nu

al

Deb

t S

erv

ice (

US

D$)

Year Debt Service

1 $2,909,562.502 2,908,962.503 2,905,112.504 2,905,662.505 2,908,862.506 2,908,062.507 2,906,512.508 2,906,937.509 2,909,037.50

10 2,905,037.5011 2,909,637.5012 2,904,800.0013 2,905,050.0014 2,907,550.0015 2,907,050.0016 2,908,550.0017 2,906,800.0018 2,906,800.0019 2,908,300.0020 2,906,050.0021 2,905,050.0022 2,906,550.0023 2,907,825.0024 2,908,600.0025 2,908,600.0026 2,907,550.0027 2,905,175.0028 2,906,200.0029 2,905,075.0030 2,906,525.00

$87,211,487.50

17

Measure C and 2012 Election – Tax Rate Combination

2005-06 8.62% Actual

2006-07 10.48% Actual

2007-08 7.84% Actual

2008-09 3.64% Actual

2009-10 0.65% Actual

2010-11 0.52% Actual

2011-12 1.29% Actual

2012-13 2.00% Estimated

2013-14 3.00% Estimated

Thereafter 4.00% Estimated

Assumed A.V. Growth Rate:

0.0

5.0

10.0

15.0

20.0

25.0

30.0

2002 Election Series 2003A 2005 G.O. Refunding Bonds 2002 Election Series 2006B 2002 Election Series 2006C

2012 Election Series 2013A 2012 Election Series 2016B 2012 Election Series 2019C 2012 Election Series 2022D

Coast Community College DistrictGeneral Obligation Bonds, 2002 Election and 2012 Election

Tax Rate per $100,000 of AV

Tax Rate Per $100,000 A.V. Series Dated 2002 Election Refunding 2012 Election2010-11 $17.50 A 05/06/03 $110,000,000Maximum $25.00 Refunding 04/05/05 74,893,867

B 07/19/06 149,859,831 C 07/19/06 110,140,169 D 08/01/13 143,500,000 E 08/01/16 99,000,000 F 08/01/19 103,400,000 H* 08/01/22 187,500,000

Total $370,000,000 $74,893,867 $533,400,000

*Issued under the Government Code with a Final Maturity in 30 Year

18

Standalone 2012 Election – Tax Rates per $100,000 Assessed Value

2005-06 8.62% Actual

2006-07 10.48% Actual

2007-08 7.84% Actual

2008-09 3.64% Actual

2009-10 0.65% Actual

2010-11 0.52% Actual

2011-12 1.29% Actual

2012-13 2.00% Estimated

2013-14 3.00% Estimated

Thereafter 4.00% Estimated

Assumed A.V. Growth Rate:

Coast Community College District

General Obligation Bonds, Proposed Election in 2012

Series Dated $15 per $20 per $25 perA 08/01/13 $175,000,000 $225,000,000 $300,000,000B 08/01/16 150,000,000 200,000,000 250,000,000 C 08/01/19 140,000,000 200,000,000 225,000,000 D* 08/01/22 130,000,000 172,500,000 215,000,000

$595,000,000 $797,500,000 $990,000,000

*Issued under the Government Code with Final Maturity in 30 Years

Tax Rate Per $100,000 A.V.

0.0

5.0

10.0

15.0

20.0

25.0

30.0

Series A (2013) Series B (2016) Series C (2019) Series D (2022)

Coast Community College DistrictGeneral Obligation Bonds, Election of 2012

Tax Rate of $15 per $100,000 of AV