Bond Oversight Committee 2014 Bond Program February 1, 2018

AGENDA Welcome, Meeting Schedule – Stewart Jacobson, Chair Bond 2018 Planning – Beth Martinez, Steve Bassett, Carolina Fuzetti Program Summary – Oscar Saenz Budget Indicator – Zandra Becerra Program Status & Next Steps – Oscar Saenz Projected Program Budget – Carolina Fuzetti Project Status – Carolina Fuzetti Classroom Additions James Reese Career and Technology Education Center Update on Other Projects (IT, Security) – Long Pham, David Rider Communication Plan Update – Veronica Sopher Small Business Program – Carolina Fuzetti Debt Service Fund Update – Steve Bassett Open Feedback from BOC Members – Stewart Jacobson

Comprehensive Approach to Planning Bond 2018 Planning Facilities Master Plan Recommended actions to address district’s long-range facilities utilization Includes recommendations to evaluate boundaries, building additions, and/or construction of new schools Capital Plan Analysis of estimated costs to address construction of new buildings, building additions, major renovation, and major maintenance (lifecycle and deficiency) 2018 Bond Program Recommended projects selected from the comprehensive Capital Plan Good evening Dr. Dupre, Madame president, members of the School Board. Tonight, we will provide an update on facilities master planning, capital planning, and the development of the 2018 Bond Program. At your seat we provided a detailed planning document that shows the planning timeline for facilities planning, and bond planning side by side from August 2017 through November 2018. During this presentation we will go into detail about this timeline.

Developing the Facilities Master Plan Bond 2018 Planning Developing the Facilities Master Plan  Facilities Assessment Performed by PBK Currently Underway, Estimated Completion by March 2018 Educational Adequacy Includes Development of FBISD Educational Specifications Building Condition Lifecycle and Deficiency Building Utilization Study Facilitated by Cooperative Strategies Begins January 2018, Estimated Completion by May 2018 30 Member Steering Committee Community Engagement Enrollment Projections Provided by PASA Facilities Assessment - Update PBK – Firm selected to perform 2018 Facilities Assessment Held meetings with Department Heads – Identify Deficiencies Total of 15 Sites have been inspected to date Complete assessment by March 2018 Development of Educational Specifications Guide the development of the structures to support FBISD’s educational priorities Completed initial meetings with BOT members - Identify and Define Guiding Principles. Proposed draft of Guiding Principles presented to the BOT – Develop CV (Local) Scheduling Community Meetings to obtain input/feedback – Nov/Dec Meet with Department Heads to develop / update Ed Specs Investigation stage to determine best ways in which to better utilize our buildings for program such as pre-k Talking to current systems like KIPP and visiting the Rise School in Houston – possible pre-k charter

Developing the Facilities Master Plan Bond 2018 Planning Developing the Facilities Master Plan  Consolidate Results of Facilities Assessment and Building Utilization Study Options and Recommendations Regarding: Construction of New Buildings and Additions Suggested New Boundaries Program Implementation, Expansion, and Relocation Facilities Master Planning process will not include drawing boundaries, but will include “theoretical” boundaries to be considered during future boundary processes

Developing the Capital Plan Bond 2018 Planning Developing the Capital Plan  Components from the Facilities Assessment and Facilities Master Plan Identified other building construction/renovation needs Future Ready Schools Fine Arts Athletics

Bond 2018 Planning Bond Election November 2018 Critical Path Form Bond Oversight Committee December 2017 Bond Oversight Committee Meeting #1 February 2018 Safety & Security Master Plan Presentation to BOC and BOT February 2018 Bond Oversight Committee Meeting #2 and Technology Master Plan Presentation to BOC and BOT March 2018 Bond Oversight Committee Meeting #3 and Facilities Master Plan Presentation (Part 1) to BOC and BOT April 2018 Bond Oversight Committee Meeting #4 and Facilities Master Plan Presentation (Part 2) to BOC and BOT May 2018 BOT Presentation #2 for Bond Planning July 2018 Bond Oversight Committee Meeting #5 and BOT Presentation #1 for Bond Planning June 2018 Bond Election November 2018 Building Utilization Study November/ December 2017 Educational Futures Conference and Steering Committee #1 January 2018 Steering Committee #2 and Community Engagement #1: Educational Framework February 2018 Steering Committee Meeting #3 and Board Update March 2018 Community Engagement #2, Steering Committee #4 and #5, and Board Update April 2018 Facilities Master Plan Update to the Board May 2018 Critical Path

Reimbursement Resolution Projects Bond 2018 Planning Reimbursement Resolution Projects New Construction & Classroom Additions ES 51 Design Fees - HVAC Systems (including air handlers) Multiple Campuses Facility Enhancements Hall Stadium – Structural Issues Mercer Stadium – Light Standard Upgrades In our continued planning for Bond 2018 we have identified several areas that will need funding through this vehicle. Currently, the largest project is Elementary 51 and Classroom Additions. But we are also looking at other facility deficiencies and life-cycle needs. Electrical power distribution, energy conservation initiatives and HVAC projects.

Bond 2018 Planning PROGRAM MANAGEMENT In our continued planning for Bond 2018 we have identified several areas that will need funding through this vehicle. Currently, the largest project is Elementary 51 and Classroom Additions. But we are also looking at other facility deficiencies and life-cycle needs. Electrical power distribution, energy conservation initiatives and HVAC projects.

Program summary Budget Indicator As of December 2017 Total Bond = $484.2M (100%) Committed = $381.4M (78.8%) Cost To Date = $314.6M (65.0%) Total Bond: $484.2M $480M $400M $300M $200M $100M Committed: $381.4M (78.8%) Cost to Date: $314.6M (65.0%)

Note – Phases Percent complete is based on cost to date Program status Overall Bond Program – Approximately 79% Complete Phase I – Approximately 93% Complete 21 campuses are under construction 8 campuses are closing out and under warranty Phase II – Approximately 71% Complete 36 campuses are under construction Phase III – Approximately 10% Complete 29 campuses are being negotiated 7 campuses are under construction 1 campus is complete Note – Phases Percent complete is based on cost to date

Phase I Phase II Phase III Program next steps Close out all of the work Continue warranty period Phase II Complete construction phase Continue closing the projects Phase III Bid and award remaining bid packages Continue construction PHASE DESIGN CONSTRUCTION SD DD CD BID CONST CLOSE/ WNTY I II III LEGEND Complete In progress Next step

Projected Program budget Item    Total Current Commitments/ Approved Change Orders (A) $381.4M Estimates/ Pending Change Orders* (B) $87.3M Total Projected Budget** (C)=(A) + (B) $468.7M 2014 Bond Budget (D) $484.2M Projected Bond Program Balance*** (E)=(D) - (C) $15.5M Notes: Data as of 12/31/2017 * Projected estimate to complete (based on estimates and pending commitments) ** Phase I and II total project budget excludes construction contingency balances ***Phase III total projected budget includes all construction contingency for projects that have not started construction

Cornerstone ES Schiff ES Oyster Creek ES Sienna Crossing ES Holley ES CLASSROOM additions RWS Architects, Inc. Teal Construction Company Cornerstone ES Schiff ES VLK Architects Bass Construction Co., Inc. Oyster Creek ES Sienna Crossing ES Cre8 Architects Holley ES Scanlan Oaks ES Activation Start Complete Feb 5 Feb 12

James Reese Career and Technical Education Center NEW CONSTRUCTION James Reese Career and Technical Education Center Stantec Architects - Architect Bartlett Cocke, L.P. - General Contractor

James Reese Career and Technical Education Center CTE Center Groundbreaking ceremony was held on 11/8/17 Drill pier installation in progress Storm and sanitary underground piping installation in progress

Technology & Security Camera Update

Technology & Security Camera Update Wireless: ES campuses cabling: Phase 1(20/20), Phase 2/3  merged (23/25) Phase 1 remaining campuses: completed All ES campuses have power All campuses’ equipment has been ordered Phase 2 has 3 campuses left Phase 3 has 10 campuses left Colony Bend ES is on hold awaiting build out of an IT equipment room Seguin ES is on hold awaiting build out of campus Estimated completion: the end of summer 2018 Security Cameras: Cameras completed at all Phase 1 campus Cameras are being installed in Phase 2 campuses; estimated completion in May Phase 3 campuses will be installed beginning of summer and complete by the end of summer 2018 Storage 3 Petabytes (3,000 TB) storage is online It is estimated that 1-2 more PB will be needed for future video requirement

Technology & Security Camera Update

Communications Plan Update Continued monthly status reports on www.fortbendisd.com/2014bond. Two-page feature on FBISD CTE programs and groundbreaking for the James Reese Career and Technical Education Center published in the January edition of the FBISD News Magazine, mailed to approximately 141,000 District addresses Publicity photos to celebrate new classroom additions at elementary campuses

SMALL BUSINESS INITIATIVE FBISD Small Business Enterprise Coordinator recognized as "R. A. Wiltz Minority Business Advocate of the Year Award" by Greater Houston Business Procurement Forum Committee. Fort Bend ISD Small Business Enterprise program results: January 2018: Out of $277.5M approved construction budgets, $67.1M are for SBE contractors (24%) October 2017: Out of $259.8M in approved construction budgets, $58.1 are for SBE contractors (22%) Board goal is 25% Multiple events held on‐site to educate vendors on the process Participation in various small business & chamber events throughout the metro area

DEBT SERVICE FUND UPDATE Summary of Outstanding Debt (As of 12-31-2017)

DEBT SERVICE FUND UPDATE Variable Rate Debt - 17.77% of Total Debt Series 2015A – $33,155,000 (2014 Bond) Due 8/01/18 (remarketed 8/01/16) Board approved $11 million pay down from DSF fund balance Series 2015B – $40,395,000 (2014 Bond) Due 8/01/19 (remarketed 8/01/17) Series 2017C – $45,000,000 – (2007 & 2014 Bonds) Commercial Paper Refunding (Green) Due 8/01/20 Series 2017D – $50,000,000 (2007 & 2014 Bonds) Commercial Paper Refunding Due 8/01/21

DEBT SERVICE FUND UPDATE 2018 Planned Transactions (through August) CTE Center $60 million – taxable Refunding Commercial Paper $100 million (currently $40 million in place) Remarketing Series 2015A – $33.1 million less $11 million (due to mature in 2022) Current Refunding 2008 bonds Timing based on district cash flows, market conditions, and balancing combining vs. underwriter management

Bond Oversight Committee 2014 Bond program