1. Alpena School District Academic Facilities Partnership Program
 ARKANSAS DIVISION OF PUBLIC SCHOOL ACADEMIC
FACILITIES AND TRANSPORTATION
May 14, 2019

2. “Adequate and Equitable”
Lake View Law Suit
“Adequate and Equitable”

3. A.C.A. § 6-21-802 Legislative Intent
In order to ensure that substantially equal access to adequate educational facilities and educational equipment is provided for all public school students in Arkansas, the General Assembly finds that a division of public school academic facilities and transportation should be established under the direct supervision of the Commission for Arkansas Public School Academic Facilities and Transportation.
There is created the Division of Public School Academic Facilities and Transportation, which shall operate under the supervision of the commission.

4. Statute and Rules Master Plan
Academic Facilities Master Plan Program (A.C.A. § )
Rules Governing the Facilities Master Plan
Partnership Program
Academic Facilities Partnership Program (A.C.A. § )
Rules Governing the Academic Facilities Partnership Program
Facilities Distress
Academic Facilities Distress Program (A.C.A. § )
Rules Governing the Academic Facilities Distress Program

5. Update Preliminary Master Plan
Master Plan Tabs
Master Plan
Update Preliminary Master Plan
Feb 1
Odd Year
Master Plan
Feb 1
Even Year
TAB 1 District Information X X
TAB 2 School Board Resolution X
TAB 3 Public Hearing X
TAB 4 District Enrollment Projections X X
TAB 5 Community & District Profile (Optional) X
TAB 6 Narrative Analysis X X
TAB 7 Insurance X X
TAB 8 Identification of Access Issues X
TAB 9 Custodial Plan X X
TAB 10 Maintenance Plan X X
TAB Preventative Maintenance Plan X X
TAB 12 Projected Replacement Schedule for Life Cycle Systems X X
TAB 13 Committed Projects X X
TAB 14 Planned New Construction Projects X X
TAB 15 Annual Expenditures for Maintenance/Repair & Capital Outlay X

6. TAB 6 - Narrative Analysis
Master Plan
TAB 6 - Narrative Analysis
Section of the Rules Governing the Six (6) Year Facilities Master Plan states that Master Plans shall include a “narrative analysis of facility needs and response plans to address the overall district strategy of providing suitable, adequate and maintained public school facilities”.
Experience has shown that the key component of the Master Plan is the district’s narrative analysis (Tab 6). With a good detailed narrative that explains the district’s needs and strategies, the division is best able to assist the school district.

7. Other Features of Master Plan
Division to develop a state-wide academic building value list
All academic buildings depreciated 2% per year (50-year life)
School districts must address all academic buildings with 0% value in Master Plan Narrative
Division to develop a state-wide academic building value list
All academic buildings depreciated 2% per year (50-year life)
School districts must address all academic buildings with 0% value in Master Plan

8. Partnership Program Funding Prioritization Process,
FIRST PRIORITY
Project Type:
WARM, SAFE, DRY (System Replacement)
SPACE (Growth, Suitability)
$10M per Year
Ranking Factors:
Wealth Index
District Student Enrollment (3rd Quarter ADM)
Previous 10-Year Enrollment Growth %
SECOND PRIORITY
WARM, SAFE, DRY (Space Replacement or Total Renovation)
Campus Value Ranking
THIRD PRIORITY

9. Program of Requirements (POR)9

10. Academic Facilities Wealth Index
School district share of project
Complex computation of value of one mill per student
Each district compared to the 95th percentile district
Wealth Index goes up (becomes wealthier) if you lose students or gain assessment
Wealth Index goes down (becomes poorer) if you gain students or lose assessment
Alpena School District Wealth Index about 35.
(State share about 65%)

11. Partnership Program – State Financial Participation Determination
Qualified project scope in square feet (e.g. 10,000 SF)
Project cost factor (e.g. $130/SF)
Qualifying Project Cost (QPC)
Scope x cost factor10,000 SF x $130/SF = $1,300,000
State Financial Participation = QPC x (1 minus Wealth Index)
If Wealth Index = 0.350
State Financial Participation = $1,300,000 x 0.65 = $845,000

12. Partnership Program Project Timelines
After Commission approval and funding
60 Days Sign project agreement
18 Months Start construction
(signed construction contract)
4 Years Complete construction 12

13. Partnership Program Timelines
Projects
February 1, District submitted Preliminary Master Plan
August 7, District and Division Master Plan Consultation Meeting
February 1, District submitted Master Plan
March 1, District submitted Partnership Application
April 27, Commission funded Year-One projects after Legislative Session
June 26, Date signed Project Agreement executed
October 28, Date District must start construction
April 27, Construction Completion Deadline

14. Facilities Distress Rule
Section
Any act or violation determined by the Division to jeopardize any academic facility used by a public school or school district, including, but not limited to:
Material failure to properly maintain academic facilities in accordance with state law and Rules adopted by the Commission;
Material violation of local, state or federal fire, health, or safety code provisions or laws;
Material violation of applicable building code provisions or laws;
Material failure to provide timely and accurate facilities master plans to the Division;
Material failure to comply with state law governing purchasing or bid requirements or school construction related laws or rules in relation to academic facilities projects;
Material default on any school district debt obligation; or
Material failure to plan or progress satisfactorily toward accomplishing the priorities established by the Division and the approved school district master plan.

15. Possible Facilities Distress Sanctions
Replace superintendent
Remove school board
State take over
Require district to cease all expenditures above adequate education and place funds in facilities escrow account
State board may consolidate, annex, or reconstitute the district

16. Alpena School District
Funding Received
How much of the approximately $1.2 Billion of State Partnership Program funds has Alpena School District received?
$633,226.75
New Facility Replace Home Ec Building #
2006 Transitional
$32,570.59
HS Combination Projects #
Immediate Repair
$379,822.00
ES 4-Classroom Addition #
Partnership
$2,545,734.34
New High School #

17. Alpena School District
Existing Facilities

18. Alpena School District
Enrollment

19. Academic Facilities Extraordinary Circumstances Program
Never Funded by Legislature
At a minimum, eligibility criteria for the Academic Facilities Extraordinary Circumstances Program shall address
School districts with declining enrollment
School districts with rapid enrollment growth
School districts with insufficient bonding capacity
School districts with low assessed-property valuations
School districts at or above the ninety-fifth percentile on the academic facilities wealth index
Any other circumstance deemed extraordinary by the division
At a minimum, the application process for the Academic Facilities Extraordinary Circumstances Program shall require a school district to provide the division with evidence of
Estimated cost of the project
Amount of local resources available to contribute to the project
Amount and availability of funds from school district fund balances
Amount and availability of other public or private assistance
Effort made by the school district and the local community to develop and provide local resources

20. Alpena School District Project Scope, Millage, Construction
District reported in Master Plan a need for new
High School
District requested the Division inspect current High School
Division agreed to District’s need for new academic facilities
Law requires construction must start no later than 18 months from funding
District and State agreed to need for new facilities
Project funding by April 27, 2017

21. Alpena School District Division Review of Existing High School
On-site inspection of facilities (February 25, 2016)
Review of building systems and sub-systems to assess remaining life and potential need for replacement of sub-systems
Compute Facility Condition Index (FCI) for building
FCI = Cost of Renovations/Cost of New Facility
Industry accepted practice – Prudent use of funds to replace facility when FCI equals or exceeds 65%

22. Alpena School District
New High School
Project Scope #
Build New High School
Division Review
Approved
Suitability 25,934 SF

23. Project Status New High School Project Scope #1718-0501-001
Cost Factor $158.65/SF
Qualifying Project Cost $3,902,807.66
Wealth Index
State share about 65%
State Financial Participation $2,545,734.34

24. Alpena School District Millage Elections & Project Timeline Dates
District submitted Master Plan February 1, 2016
District submitted Partnership Application March 1, 2016
Commission funds Year-One projects
after Legislative Session April 27, 2017
Sign Project Agreement June 26, 2017
Start Construction October 28, 2019
Complete Construction April 27, 2021

25. Alpena School District Academic Facilities Partnership Program
 ARKANSAS DIVISION OF PUBLIC SCHOOL ACADEMIC
FACILITIES AND TRANSPORTATION
May 14, 2019