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HomeMy WebLinkAbout20062183 ..,]...i..,..:2324,11 � I` y�1 :33!e33iv ICI G� rk ,13 P9a� y � ''' J L,If • �i • •r SI r • � 1 ° P .'�i v1 y v� k4 w ' � Iqi` � a I' �I e �I R t F a '� " '� 7 ��k uk C s� v ' I�;Rift� P1 i a Y—c.P ! 3 �II �. 174.4.1.4.4444, 9 PI i� s} -,4 ` IE i� � il' 'i i 61k�'. �t v 4 • i u°AEI aq • , I. � ly� 7w� I "I j •R �fv I. i d. iI i iI'' i '1 4d .11 ; ru �fi 1 J � II ] P @41 3 -• 4- ..I 33 4 �` 4 ICI Y, � k • kl344 It ,0,W 1,r k•i ,0 i • �y q y, i i { 4x4#• ^-. 35k�$r y _ r3y 7 3 �IG, 1 {{I V.�{ fl;4 C n k �It. !i It ry k Ipip a • I• 4 Yy v g6 } 4 .,9 •'1 7 ip i� , 1 I� I,1 i� 1 •ly 1 iii P� • • 1i• , 3� '�� ��4 1 i ki �'� 'Ir ti ' � 11 � r I tl .� �! h d ' "1 3 I I it � � L. k I INSii, I I Ir ( s,; 1 I i f s r� 3 ' `� " � ' l i °� yv i k a f• r y ! isi :i 'I fv 3�s y ..� 3 3� I I[[{{�: e * � TI k,„ .L.. • . kp y # � I ₹ i f F [ [ N • II k „ it 11 �k rt1 r 4 Vkl � 3 t �I'f 1 i v • t y9i�t.: ' ° < gait+ t ,3 3 � " 3 .# '- k N I g 1 y {v' .' "'I AD' t( Itt it ;,�k 14 5 . an]�i'lm IM .. i I`;. '71I:. ' I '!!!'!I 'I's);314 IK :' 1' ill': �f I '<1��119 e 13 a�i . t�'�. , z k 4. �' i3 � itt""il k. I3 .I5 M Iy Ri Y . 1� V .i y: l! ` y PARKWAY 1 , PU9lIC NIGNiRIAY * k' q , xt � �I ADM1HIkAORSTY gT RATION L LL F ANNUAL REPOR f 7777.7k 3I11477, .7 ;Hat ot .i '.k 4.i 1 II It i ,. 4....„.....,:;E:...� _ i ��F 2006-2183• ' TABLE OF CONTENTS 2 Letter to the Reader 3 Board of Directors 4 Variable Message Signs Expanded Fiber Optics Wireless Connectivity 5 Mile High Toll Services Community Outreach 6 Sheridan Parkway Interchange New Maintenance Facility 8 US 287 Toll Reduction 5 Millionth Customer 9 Development Along the Parkway 10 Operational Statistics 11 Financials 12 Outstanding Bonds 1 iIli } r ,FI I' Lii In 2005, the Northwest Parkway Public Highway Authority began the transition from a new toll highway to 9 Y 9 a vital transportation corridor linking I-25 and E-470 on the east to U.S. 287 and the Boulder Turnpike on the west. Over the year, as the Denver metro area slowly pulled itself out of recessionary times, the Northwest Parkway became a more valued connection to many drivers. We reached almost 6.5 million toll paying customers since opening, and saw the end of the year bring our monthly average to almost 11,500 transactions per day, harkening good news for 2006. As traffic at Denver International Airport increased, so did traffic on the Northwest Parkway. We are also proud of the fact that in just our second year of operation, gross toll revenues exceeded operating and maintenance expenses. Mid-year construction was authorized on both a new permanent maintenance facility and transitioning Sheridan from a grade separation to a fully directional interchange. Both projects were completed ahead of schedule and opened by year end. The Sheridan interchange will help to serve the new Pulte/Del Webb development called Anthem, which also broke ground in 2005. Anthem, which was previously known as Preble Creek, will see immediate construction activity in 2006, and should positively impact Parkway traffic figures. The Northwest Parkway continued to be involved in the community as well. Our support of a variety of economic development agencies, charitable organizations, and community activities are well recognized. Our focus on being a transportation link proved successful as we moved from 8,170 transactions per day in January to 11,437 transactions per day in December. That's an increase of 40 percent over the course of the year. 2005 began with enthusiasm and ended with expectations. In 2005, we initiated efforts to address permanent financing needs for the Northwest Parkway, and in 2006 we will continue that effort. We expect to serve several million more drivers with the very best in highway connections in the fast growing north metro area. The future for our Project is bright. We are pleased to be a part of the Denver Metro Area Beltway System, and to bring speed, safety and service to our loyal customers. Sincerely, The Board of Directors Northwest Parkway Public Highway Authority 2 I 2005 Board lof Directors I Chairman of the Board Vice-Chairman of the Board Secretary/Treasurer Karen Stuart Chris Berry Glenn Vaad City & County of Broomfield City of Lafayette Weld County Ex-Officio Members: Wallace (Wally) Pulliam Regional Transportation lk.. , ::::„. .44 „ District • Joe Jehn �, Transportation Commission L.�� ..,,, , ......... , w �� of Colorado t x .„ 77; Joel Rosenstein a ..., Interlocken Consolidated 1 Metropolitan District , �P Associate Members: Lorraine Anderson t .„ City of Arvada f i Board of Directors Pictured (left to right;standing to seated): Robert Masden, Chris Berry, Wally Pulliam, Karen Stuart Lee Kemp,Chris Cameron,and Walt Spader. Alternates/Representatives: Don Allard Lee Kemp City of Arvada Regional Transportation District Chris Cameron Walt Spader City of Lafayette City & County of Broomfield Robert Masden Gwen Anderson Weld County Interlocken Consolidated Metropolitan District Peggy Catlin Colorado Department of Transportation 3 I at Technolo • y Ai' VARIABLE MESSAGE SIGNS The Variable VMS Sign Message g g (VMS) project was completed in 2005 and it has been a very helpful tool for keeping drivers f I, informed of changing road n iti n and 3 cod o s a marketing activities. 9 9 The signs are from a Colorado based company, Skyline, and , I have very low maintenance requirements. The lights are ' I made from LED's and the entire unit is temperature controlled, f giving it a low Cost of Ownership and high mean time between failures. EXPANDED FIBEROPTICS The fiber backbone was extended in 2005 from the mainline plaza �. Nssz. ws:ax east to I-25. This allowed the Northwest Parkway to add new r functionality to the system and keep ownership costs down. The �� two toll ramps at Sheridan were added to this fiber extension to have a high speed network for transferring information back and ka' w " • forth with the servers at the plaza. With this fiber extension, we 1.3 , s were also able to add communications to the existing weather station at I-25 and the new maintenance facility; consequently lowering telecommunications costs. Also, with new network orrnit connectivity at the maintenance facility, the maintenance group = -_ can monitor the weather conditions as they are refueling or -' = '` E' refilling with material to combat the snow, in order to maintain the road at the highest level possible. WIRELESS CONNECTIVITY Two other large infrastructure improvements were made in 2005: a new backup system and wireless network were designed and installed. The backup /1h system is fully automated, changing tapes daily; allowing staff to only switch tapes on a monthly basis, and a wireless infrastructure was installed to expand the functionality of the system. Toll Service Attendant shift leaders and maintenance technicians always on the move around the facility and along the roadway now have cordless phones that connect via the wireless network. This allows them to stay in contact without the cost or inconvenience of using cellular phones. Another advantage is that there is now signal in the tunnel where there is no cell phone signal. This creates a safer, more secure environment. By adding the wireless network, the maintenance technicians and network administrators are allowed mobility while working on the network. With equipment installed on gantries and in hard to reach areas, many hours are saved by not having to physically plug into the network to see if a camera is focused or if a piece f equipment the is working. With these hi-tech improvements, we did not forget about the customer. A free, wireless zone is /) available at the mainline plaza for customers to use for free to check emails and surf the net. 4 "THE FOLKS IN THE BOOTHS AIDE FANTASTIC!" CUSTOMER- COMMENT MILE HIGH TOLL SERVICES ♦ . Mile High Toll Services (MHTS) is a subsidiary of ,{ Parsons Brinckerhoff. MHTS has been the primary z operations contractor since Northwest Parkway + ?' opened in 2003. MHTS is responsible for oversight in the following areas: manual lane toll collection, - ` . EXpressToll customer service, image processing, violation processing, transaction auditing, traffic and ' ` } revenue analysis, maintenance, and administrative x support. MHTS currently has eleven full-time and 10 part-time employees working with the Northwest Parkway. During 2005, the Authority worked closely with MHTS to achieve more accurate accounting from the system - including manual and electronic toll / collection. MHTS has also worked to enhance the violation processing system and coordinates with a credit agency for collection of unpaid tolls. MHTS will continue to support the Northwest Parkway in marketing and promotions to encourage a continuous rise in traffic. MHTS has provided excellent customer service to those customers who choose to stop and pay their toll in the manual lanes. In a recent survey, numerous positive comments about the tollbooth attendants were received: "Friendly, smiling, happy—a real joy when you pull up!" "They always say 'have a nice day'." COMMUNITY OUTREACH I The Northwest Parkway, in association with E-470 Public • Highway Authority and MHTS, recognize the - importance of serving our community. As a result, the Northwest Parkway participated in several different community initiatives throughout 2005. When Hurricane • -4��i��� �_� ,� _ • - Katrina devastated the Gulf Coast region, we collected roadside donations in September to benefit Colorado-based hurricane relief efforts in the Lowry Redevelopment Area. InlatThe Northwest Parkway matched the $5,000 raised from ►. I generous drivers to create a $10,000 total gift for The ,: Salvation Army Intermountain Divisional Headquarters. A x ` S holiday-timed canned food drive during the month of a# December collected more than 2,080 food items and approximately $1,150 in cash donations to benefit area 11 -±<>si'lttict community assistance programs. Numerous news stories E- Q tf chronicled these successful assistance initiatives in our _ community and created a powerful connection between the area and the Northwest Parkway. 5 Expanding Access 4 1 h k a x ti y a } n • II '111 `y4 , LS'„ 140M ItIl� yi:. _ zcss,^ xc,.,.. 3, ,. M . @ "-� , T } SHERIDAN PARKWAY INTERCHANGE During the Parkway's initial construction phase, a bridge watchful eye from an oversight consultant, the project was built over the toll road for a future Broomfield arterial went smoothly. Coordination with the toll equipment known as Sheridan Parkway. No scheduled work was provider was a crucial element of this otherwise forecast for this new connection until 2008. However, in standard diamond interchange design and construction anticipation of the booming development of project. Just to make certain the work will last as well Anthem/Preble Creek, the Northwest Parkway was as the project ran, a one-year warranty was included in iii7.--encouraged to accelerate the construction of this full, the construction contract, which will be in effect four direction interchange. Design work for completing through November 2006. On a warm winter morning, the Sheridan Parkway interchange was finished in March the Northwest Parkway ushered in a ribbon-cutting 2005, a contractor was then selected and construction opening ceremony on November 7th. The Northwest i commenced in April 2005. The construction work Parkway introduced motorists to this new access point, consisted of embankment and asphalt pavement for the by making this connection toll-free until the first of four ramps connecting the toll road to Sheridan Parkway December. EXpressToll customers were further and two ramp-booth buildings that include toll collection rewarded by not being charged until January 1st 2006. facilities. The initial construction for the eastbound on and westbound off ramps, was completed with two lanes, one manual (cash) /AVI (EXpressToll) lane and one AVI (EXpressToll) only lane, at each ramp. With a 6 Improving Maintenance \. .. 3 -----4 * I 34, # n NEW MAINTANENCE FACILITY 2005 was also an exciting year for Maintenance above-ground chemical storage island containing Operations. Maintenance personnel were treated to a diesel, gasoline, magnesium chloride and potassium permanent facility rather than the office on wheels, acetate tanks. Associated site work also included a which they had been operating out of during the sand/salt storage structure, landscaping, site utilities, previous two years. This new facility was constructed asphalt parking lots, driveways and an access driveway in coordination with the Sheridan Interchange project, to the Parkway mainline. A one-year warranty was which occupies the ground where the temporary included in the construction contract, which will be in maintenance facility was located since road opening in effect through November 2006. 2003. The new facility is located along the north side of the Northwest Parkway, about one mile west of , the I-25 interchange. After plenty of input from Northwest Parkway personnel and maintenance inter operations personnel, the design was completed in 4 c i 4 "`� March 2005. A contractor was selected in April 2005 '.4� ! • i4 ,2'* ' I' ' c` and construction was completed in November 2005. , f The new facility consists of a one story office building i 2 .. ,; 1 adjacent to: an open bay, six-vehicle storage building, � ' ? " an on-site wash bay/mechanics bay building and an _ . ..,,r--a.°4 4.4 7 I , • vi ce tmvin • Customer mer Se i C n � v e U.S. 287 TOLL REDUCTION fast What began as an experiment, turned into a 1 _ permanent feature of the toll road in the �A9� a�4e.4 ' ,�: a n spring of 2005. The Parkway Authority , l _ ,a� it-i � r "a reduced the original $0.75 toll between U.S. „„ + lit d i r ' J •. •I' iIt :.r, 287 and U.S. 36, to $0.50. Several media NORTHWEST PARKWAY releases e and marketing initiatives promoted fficat the limited-time offer to increase traffic at the popular access point. In addition, another PI I media release announced the news of the Board vote to make the lower $0.50 toll, a permanent feature of the roadway. Software I coordination was essential during this trial and implementation period so that the system PARKWAY would recognize the new payment by both cash customers and charge EXpressToll US-287 TOLL REDUCTION INFORMATION customers the correct amount. Several news ' t1 stories resulted from this media outreach ka, effort, to further promote the permanent 64 t lower U.S. 287 toll to our targeted customer ;:I I base. _ l.: s . i 5 MILLIONTH CUSTOMER 4 A landmark milestone was achieved in August of 2005, as the Northwest Parkway celebrated the five millionth toll transaction with a special prize package delivered by a unique character - all on live morning television! Operations Director, Steve Bobrick donned a sumo wrestler suit to "wrestle" the five millionth customer to the side of the road to present the lucky driver with a luxury hotel stay and free rounds of golf from local partners. The amusing event was broadcast live on FOX-31 news during the morning hours. Five millionth customer Sean Meyer of Platteville, CO., driving a cattle hauler, will never forget his lucky day! • i I P Atir • I _ _ a I Pr Oil - -� ' J F ']/ 8 • "WITH OUR C OSE PROXIMITY TO THE NORTHWEST PARKWAY AND DIRECT ACCESS TO DENVER INTE ATIONI# LAIRPORT, NEW RETAIL AREAS AND COMMERCIAL DEVELOPMEN 5, LAFAY4TTE'S FUTURE LOOKS VERY PROMISING." LAFAYETTE CHAMBER,WEBSITE DEVELOPMENT As the Northwest Parkway moved into its second year of toll collection and operation in 2005, multiple economic development projects were initiated in the vicinity of the toll road. These retail, residential and community projects will provide new pockets of potential Northwest Parkway drivers, as these projects move from design to construction to completion. With more people living and working in the surrounding area, continued economic development equates to a continuation of the increasing growth in traffic and revenue figures we have seen over the first two years of operation. A new mixed-use development is in the works south of the U.S. 36 & Northwest Parkway interchange - Arista. This large-scale development includes retail, office space and residential properties within one development pad. The area is bordered by U.S. 36 to the north, Wadsworth Blvd. to the south and the future 120th Avenue to the west. A 2,500-acre Anthem Colorado development in Broomfield will bring a very large-scale mixed use residential and office complex to the north of the Northwest Parkway, connecting with our new Sheridan Parkway interchange. When the project is completed, plans for Anthem Colorado will include 3,100 homes, a town center, 12 million square feet of commercial office space and open space considerations. The site is north of W. 160th Ave. Vista Ridge, a new home development located north of the Northwest Parkway on Highway 7, is a 455-acre residential project. The development offers a golf club, community center and a tennis and swimming pool complex. The property consists of single-family homes, condominiums and patio homes. A new elementary school is planned as part of the multi-phase project. J.� Three large retail developments are in the works in the area of Highway 7 and I-25. Larkridge Center, in Thornton; Northlands, in Broomfield; and Orchard Town Center, in Westminster, will provide the area with a combined three million square feet of new retail space when completed. Directly to the east of the U.S. 36 and Northwest Parkway intersection, a 13-acre project is developing 351 townhomes and lofts - Vantage Pointe. To serve the public in this quickly growing area, a new Exempla Medical Center is located near U.S. 287 and the Northwest Parkway. The new 477,000 square-foot medical center is supported by 950 employees and includes a multi-use retail space Ias part of the site. In all, 2005 welcomed plans for many new retail, multi-use and residential projects to our area. Good news for Northwest Parkway customers! 9 t Operatio al Statistics Toll Revenue $600,000 5500.000 i 5400.000 �■ —0-2004 5300.000 f-2005 $200-000 $100,000 ' 8- Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 2005 monthly revenue grew 40%from approximately$392.000 ei January to$547.000 in December The highest monthly rnveriag collection occurred in August with approximately 5570,000 collected- Annual ave age nx nteiy evaum grew 33%from over$351 000 in 2004 to over 8458 000 in 2005 y „a Total Monthly Traffic 400.000 350,000 • 300.000 250,000 — -2004 200.000 150.000 2005. 100.000 50,000 � I it Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 2005 monthly traffic grew 40%from over 253,000 in January to 354.000 in December The highest monthly transactions occurred in December with 354,545 total vehicle transactions. Annual average monthly transactions grew 35%from over 228.000 in 2004 to over 308.000 in 2005- . Average Daily Transactions 14.000 12,000 10,000 8,000 —0-2004 6,000 t 20051 4,000 pypy 2.000 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 2005 average daily transactions grew 41%from over 8.100 in January to over 11400 in December The highest average daily transactions were seen in December with 11.437 average daily transactions. Annual average daily transactions grew 36% truer over 7.400 in 2004 to over 10,100 in 2005. 10 Financials • Northwest Parkway Public Highway Authority Statement of Net Assets Year Ended December 31, 2005 ASSETS 2005 Current assets - Unrestricted cash and cash equivalents $5,913,467 Restricted cash and cash equivalents 9,255,318 Restricted investments 13,554,647 Restricted accrued interest receivable 134,421 Accounts receivable 155,351 Prepaid and other expenses 72,204 Total current assets 29,085,408 Noncurrent assets Restricted investments 50,608,864 Capital assets (net of accumulated depreciation of $33,846,080 and $17,563,430, respectively) 352,599,684 Bond issuance costs (net of accumulated amortization of $4,681,199 and $3,558,959, respectively) 30 849 554 Total noncurrent assets 434,058,102 Total assets $463,143,510 LIABILITIES AND NET ASSETS Current liabilities Accounts payable and other liabilities $1,533,068 Accrued bond interest payable from restricted assets 537,388 Total current liabilities 2,070,456 Noncurrent liabilities Revenue bonds payable 469,482,892 Intergovernmental payable 20,000,000 Reimbursements payable 55,872,040 Accrued interest on reimbursements payable 2689,028 Total noncurrent liabilities 548,043,960 Total liabilities 550,114,416 Net assets Invested in capital assets, net of related debt (33,572,617) Unrestricted deficit (53,398,289) Total net asset deficit (86,970,906) Total liabilities and net assets $463,143,510 *Complete copies of the Northwest Parkway Public Highway Authority 2005 financial statements and the accompanying notes 11 are avaliable upon request from the Authority administration office at(303)533-1200. F Outstandi g Bonds The Northwest Parkway Public Highway Authority issued approximately $364 million of insured Senior Bonds and approximately $52 million of Subordinate Bonds in June 2001 to fund the construction of the Northwest Parkway toll road project. The Underwriters were George K Baum & Company and Bear, Stearns & Co. Inc. PBConsult Inc. was the financial consultant and provided the chief financial officer for the Authority. A.G. Edwards & Sons Inc. was the financial advisor. Vollmer Associates conducted the traffic and revenue study with PB Consult Inc. providing the economic/land use inputs for the study. The 100% toll-revenue backed start-up toll road received senior bond insurance from both Ambac and FSA resulting in a positive reception of the Northwest Parkway Authority bonds in the market. The Authority believes that some of the factors supporting this project are that it is making an improved connection to already developed areas including Broomfield and Lafayette and one of the largest • employment centers in the Denver Metropolitan area, Interlocken Business Park. Because the project is backed solely by toll revenues, the finance team devised a structure that included a combination of Current Interest Bonds, Capital Appreciation Bonds (CABs), Convertible Capital Appreciation Bonds, and First Tier Subordinate Bonds. Unlike current interest bonds that pay interest every six months, the CABs only pay interest at maturity, allowing the issuer to conserve cash flow. The use of the convertible CABs allows the Authority to minimize the amount of the interest payable while still allowing a period for the ramp-up of toll revenues. All of the existing senior debt is insured by AMBAC and FSA and consequently carries the highest and most secure rating of the rating agenacies. Underlying ratings for the senior bonds are as follows: Moody's Bl, Standard & Poor's B-, and Fitch BB-. Northwest Parkway Revenue Bonds Outstanding At December 31, 2005: Series Amount Rating Insured 2001A Senior Current Interest $ 175,720,000 AAA Yes 2001 B Senior Capital Appreciation 41 3,045,000 AAA Yes 2001 C Senior Convertible Capital Appreciation 189,175,000 AAA Yes 2001 D Subordinate Current Interest 52,465,000 CCC/B3 No Discounts (original issue and future accretion) (360,922,108) $ 469,482,892 The Authority is anticipating a restructuring of the outstanding debt in 2006 after the completion of an investment grade traffic and revenue study. 12 II �I a11P s �� Iu1i4 I� I24 ti"�'Ii`� � ' a ' l IIp all r iii :di- : r II,.I, �,i1 : V €ICIt 4 l � 1 I' 4 it' I ''' til, 'Ht. t :I', I' �Edi "� lila kII ;, JAI 1 i I ' Y I I 17 0. I !, tl,Id ! 1,k. 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