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HomeMy WebLinkAbout20051636.tiff 1 TOLL SCHEDULE A4 A2 AAA; 4KLtl 5 ., a A4[ tint% ”AClI KM/A05 2 sy S Il :::A .[S 1 [(gm wprrxu3 kW __ 3 rsA , .,I E NI The Northwest Parkway Disclosure Document NW 2005 ("lill ;C:11 For the period ending 03/31/2005 PARK WAY �� o' ' 2005-1636 /v o1 > iv, Plc) tit* -rm TRANSMITTAL MEMORANDUM Northwest Parkway Public Highway Authority 3701 Northwest jil Broomfield, Colorado 80020 jill@nwplsu.orq Phone: 303-533-1200 Fax: 303-404-3049 PARKV�VAY TO: NWP Investors FROM: Jill Lamoureux CC: DATE: Friday, May 13, 2005 SUBJECT: Northwest Parkway Bond Disclosure Document Enclosed is the bond disclosure document for the 1st Quarter of 2005. The PDF file con also be found on the Investor's section of our website (www.nwoku.ora). Please feel free to contact me if you hove any questions or concerns. TABLE OF CONTENTS OVERVIEW 1 CONSTRUCTION OF THE NORTHWEST PARKWAY 1 I SHERIDAN INTERCHANGE 2 PROJECT FINANCIAL HIGHLIGHTS 3 INVESTMENTS 4 BUDGE T 4 BOND FINANCING • 4 THE PEOPLE BEHIND THE PROJECT 5 NW Northwest Parkway Public Highway Authority 3701 Northwest Parkway Broomfield, Colorado 80020 ric4 Telephone: 303-533-1200 Fax: 303-404-3049 www.nwpky.org PARKWAY info@nwpky.org OVERVIEW CONSTRUCTION OF THE The Northwest Parkway Public Highway Authority NORTHWEST PARKWAY The Northwest Parkway Public Highway Authority (Authority) is a political subdivision of the State of Cob- Design/Build Contractor rado established in June 1999 with all the powers, duties In order to construct the Northwest Parkway, a Design- and privileges provided by the Public Highway Authority Build Contract between the Authority and NPC, a Colorado Law. The Board of Directors of the Authority is currently joint venture of Kiewit Western Co. and Washington Group composed of one elected official from each of the City and International, Inc. was executed on June 28, 2001. The County of Broomfield, the City of Lafayette, and Weld full notice to proceed was issued on June 28, 2001 simul- County, Colorado. In the 2nd quarter of 2002 the City of taneous with financing closing. The contract provided for Arvada applied to the Board of Directors and was ap- the road to open to traffic by December 31, 2003 with proved for an affiliate membership to the Authority. .In the revenue collection to begin on the Project Guaranteed 4th quarter of 2002 Jefferson County also applied.to the Substantial Completion date of February 29, 2004. The Board of Directors and was approved for an affiliate mem- final acceptance of all items included in the project was bership to the Authority. Ex-Officio members include the completed by the Project Guaranteed Final Acceptance of Colorado Department of Transportation, the Regional June 29, 2004. Transportation District and Interlocken Consolidated Met- ropolitan District. The Authority is responsible for the fi- ROW nancing, construction and operation of the toll highway To acquire the right-of-way for the Northwest Parkway a known as the Northwest Parkway (Parkway). budget was established that included all estimated costs for right-of-way acquisition including property acquisition, Project Description legal, consultants and associated relocation costs. Under The Northwest Parkway consists of the two-mile Inter- the Design-Build Contract, the Authority was required to locken Loop from State Highway 128 to Tape Drive (just deliver on the contract schedule approximately 564 acres south of the intersection with 96th Street) connecting with of right-of-way. The Authority has obtained possession of the nine-mile limited access toll highway constructed on all of the required right-of-way; of this, 452 acres are fee the northwestern perimeter of the Denver metropolitan simple takes and the remainder is made up by easements. area that links the Interlocken Loop to I-25. Of the purchases which have been finalized or have had The final segment of the E-470 toll road which connects value determination set to date, the overall right-of-way with the Northwest Parkway at 1-25 was completed in the costs have been under the allocated budget amount. For e quarter of 2002, providing access to and from regional the ROW obtained via eminent domain, all parcels have employment centers and retail centers and facilitating received a value determination. Based on the information travel from the northwestern metropolitan area to points currently available, the Authority expects that sufficient east and south, including Denver International Airport. budgetary resources have been set aside for any addi- Current construction work includes completion of an Inter- tional items relating to right-of-way. change at Sheridan Boulevard. Plan of Finance X 94, i` I-t,.e The Authority closed on project financing in June 2001 and simultaneously gave a notice to proceed to the Design- Build Contractor— Northwest Parkway Constructors (NPC). The plan of finance (see further description under Project Financial Highlights) provides for the funding of construction costs under the Design-Build Contract and other capital costs, as well as Authority administrative and ' ' n-t; ` operation/maintenance costs through the construction pe- riod, and amounts due under certain reimbursement ., agreements. In addition, the plan of finance provides for debt service reserves, capitalized interest, contingency funds, bond insurance premiums and issuance costs. & with Pirnack Walters as the design/build contractor at the SHERIDAN INTERCHANGE November 2004 board meeting. The Broomfield City Council formally approved the Site Development Plan in March 2005. The Authority expects to begin construction Site Selection in April 2005 and complete construction of the mainte- The original Authority plan included construction of an nance facility by September 2005. interchange at Sheridan Boulevard no later than 2010. Current activities in that vicinity indicated that it Would be beneficial to Authority revenues to open the inter- change as soon as possible. Due to the fact that the y . majority of the Construction Contingency funds were not s` used from the Original Design-Build Contract and 9 9 asso- ciated mobilization costs, it is possible to complete the P >G, construction of the interchange and still have a Contin- IIIIgency Fund balance. II[ntlIIII�����IIII hi A critical path item to the construction of the Sheridan IIMI I °"". Interchange is to move the current temporary mainte- FUTURE MAINTENANCE YARD nance facility. This is due to the fact that the temporary maintenance facility now sits in the middle of the pro- Interchange Status posed west bound on-ramp from Sheridan to the Park- In the 3rd quarter 2004, the Authority executed a contract way. with Carter Burgess (CB) for design review and construc- tion The City and County of Broomfield is requiring the Au- Ut maintenance on the Sheridan Interchange project. thority to construct a permanent maintenance facility and ntocaoontinet coordination,pr lighting and signage the plans,o rather than moving the temporary facility. The Authority and contractor notice this to quarter.te Design issuance the were id major tasks completed of Sheridan In- has determined that the best site for the maintenance terchange is 100% complete. facility is east of the Sheridan Interchange location on land currently owned by the Pulte Corporation. The Sheridan Interchange project will be constructed as a J As of its Preble plan, the Pulte design, bid, build project. The Authority selected SEMA as As part of itn desires Creek developmentland to hold an the general contractor in February. The Authority negoti- Corp ration. The Authority toobtain owns land old for r permanent to hold ated and executed the contract and issued notice to pro- open in March. The contractor plans to have the inter- for open space. Following discussions and negotia- change open to traffic by January 2006 contingent on Lions, the Authority has agreed to trade parcels of land weather. The project consists of building on and off ramps with Pulte. There is no monetary consideration involved from the Parkway to Sheridan, construction of two un- in this transaction. Once the trade has been finalized, manned toll booths with coin machines and automated toll li the Authority can gain approval from Broomfield for con- collection capability, interchange lighting, and landscaping struction of the permanent maintenance site, and begin around the toll booths and at the ramp. In addition, a construction on both the site and the Sheridan Inter- change order has been executed with NPC to provide con- change. Completion of the maintenance site is sched- crete slab approach ramps. The construction budget for uled for September 2005. Completion of the Sheridan the interchange including the toll collection system installa- Interchange is scheduled for January 2006. Both tion is approximately $5,200,000 which is available from schedules are weather dependent. remaining contingency funds. Maintenance Facility Status Operations Report ugust, the Authority Facility entered a contract with Eidos EXpressToll is the Denver area branding for the trans- Inponder system that allows non-stop use of the toll roads. Architects, LLC to design a maintenance facility. The These transponders are functional on both the Northwest preliminary design work is 95% complete. The building Parkway and the E-470 toll road. is being designed to meet strict aesthetic criteria from the City and County of Broomfield. The project will con- In this quarter, 166 transponders were issued for new EX- sist of covered parking for six snow plows, a 1,500 sq. pressToll accounts opened at the Parkway's mainline Toll ft. office, a 1,000 sq. ft. storage area, a fuel island for Plaza. A total of 12,013 new EXpressToll accounts were diesel and gasoline, storage tanks for anti-ice chemi- opened in this period through the EXpressToll website, cals, covered storage for salt and sand, and a separate service centers and area retail outlets. Due to interopera- building for vehicle maintenance. The construction bility agreements between the Authority and the E-470 budget for the maintenance facility is $1,420,000 which Public Highway Authority (E-470), the Authority benefits will be paid from available contingency funds. The Au- from the entire EXpressToll customer base of over thority recommended and received approval to contract 174,000. 2 The Authority, through an Intergovernmental Agreement (IGA) however, that the initial revenue projections will be achieved in the with E-470, has contracted with Mile High Toll Services(MHTS) short term. to operate the Parkway. MHTS is a division of Parsons Brinck- erhoff. The IGA also provides for the Authority to utilize the Total transactions for January 2005 were 253,248. Average daily back office operations of E-470 for EXpressToll processing and transactions (ADT)for January were 8,169, a decrease from De- customer service functions. cember traffic. January 2005 traffic did represent a 43.3% increase over January 2004. Total transactions in February were 238,159, Operations of the Parkway are continuing smoothly as traffic with an ADT of 8,506 which is a 4.1% increase over January. steadily increases. Detailed auditing has shown that MHTS con- Total transactions for March were 295,319 with an ADT of 9,526 tinues to perform within industry standards. The EXpressToll which is a 12% increase over February. transactions that are handled by the E-470 customer service center are exchanged on a nightly basis and payments are PROJECT FINANCIAL HIGHLIGHTS regularly audited by Authority staff. The violation system contin- ues to operate effectively. Original Capital Budget The Authority has entered into a three-year contract for road- The total capital budget for the Northwest Parkway at financial clos- side, roadway and facilities maintenance with American Civil ing was set at$242,637,528, excluding contingency funds. After Constructors(ACC). ACC handles all snow removal on the adjusting for all change orders through March 31, 2005 the total Parkway and operates the Parkway's Courtesy Patrol. Mainte- capital budget is$246,330,230 excluding the remaining contin- nance work on the Parkway has proceeded as scheduled. ACC gency fund budget. That amount includes the Design-Build Con- continued to perform snow removal during our late winter snow tract covering all original Parkway construction; a contract with E- events, as well as preparing for the spring and summer ahead. 470 for early I-25 interchange design; Program Management costs Activities in the next quarter include activating the landscape including construction oversight and all right-of-way acquisition sprinkler systems and removing snow fencing. Also, the Au- activities. The amount of expenditures through March 31, 2005 thority and ACC are working on the installation of a Living Snow total $235,410,392. The payments to NPC included in that total are Fence which consists of approximately 600 Juniper-type plant$ $191,615,337. on the north side of the Parkway, west of 104th St. The original Contract Amount of the Design-Build Contract was ACC's largest current project consists of preparing the tempo- $187,637,528. Change orders approved through December 31, rary maintenance facility to be moved. Work includes disas- 2004 increased that amount to $191,615,337. There were eighty- sembling equipment and structures and moving them to a tem- one contract changes authorized, with a total cost impact of porary location to await the completion of the permanent main- $3,977,809. However, six change orders, in the amount of tenance facility. $1,269,788, were funded by Pulte Homes Corporation, the City of Lafayette,the City and County of Broomfield and the Colorado De- Project Warranty ended on February 28, 2005, one year after partment of Transportation. In addition, one change order was substantial completion was reached on February 28, 2004. funded as a transfer from the Northwest Parkway Right-of-Way Some warranty items were completed by Project Warranty pe- budget in the amount$285,107. In addition, there was an adjust- riod ending date. Other items that require temperature/weather ment for actual waterline costs incurred. Ten of the change orders permitting were transferred to a new Warranty Deferred List that were technical no cost changes and eleven were for allowances will be completed by June 15, 2005. already provided for in the Design-Build Contract. This contract amount covered all costs associated with the design and construc- On December 1, 2004, the Authority contracted with NEC to tion of the Parkway including such activities as: design, paving, install two Variable Message Signs at each end of the Parkway. interchange and crossing structures, landscaping, communications, Notice to proceed has been issued and mobilization work has toll plazas and operations facilities, and toll collection system. The begun. This project is expected to be completed by June 2005. total value of approved work earned through March 31, 2005 on the original Design-Build Contract is$191,615,337 or 100% of that Law enforcement and incident management on the Parkway is contract. handled by the City of Broomfield Police Department through an IGA with the Authority. Both the Broomfield Police and the Sheridan Interchange Budget North Metro Fire District(NMFD) respond to any occurrences as The budget allocated to the Sheridan Interchange is $7,625,000 needed and continue to meet the Authority's requests and re- which was transferred from the Contingency Budget. The allocated quirements. The NMFD has broken ground on a new facility budget includes funds for design, construction and toll system im- along the Parkway which is scheduled to be completed Decem- plementation for the interchange and maintenance facility. Also ber 2005. included in the budget is a change order to the Design-Build Con- tract in the amount of$86,782 for the concrete slab approach Traffic Summary ramps at the Sheridan Interchange. Toll collections for both cash and EXpress Toll customers be- gan on January 1, 2004, after an initial system testing and mar- Contingency Fund Status keting period following the opening, during which tolls were The original allocated budget for Contingency was$18,763,753, charged only to cash customers as an incentive for users to including expected interest earnings over the life of construction. purchase EXpress Toll privileges. During the first full year of Approved change orders to the original Design-Build contract total roadway operations, traffic levels and toll revenues were signifi- $3,977,809. However, after adjusting for third party funded change cantly below initial projections. The Authority attributes these orders and a transfer from the Right-of-Way budget, the net charge results to the economic downturn experienced in the state over against the original contingency fund is currently$2,422,914,which the past several years and the resultant delay in development adjusts the allocated budget amount to $16,340,839. The Authority within the corridor. The development activities in the corridor has also transferred $3,807,601 for start-up and mobilization costs have increased in recent months, and the Authority anticipates and plans to transfer an additional $7,625,000 for the Sheridan that traffic levels and toll revenues will improve as development Interchange and maintenance facility project. The remaining unal- and natural ramp up occurs. The Authority does not expect, located Contingency Budget is$4,908,238. 3 INVESTMENTS BOND FINANCING Bond Financing Construction Fund The Northwest Parkway Public Highway Authority issued approxi- (a) At the time of closing,$245,114,354 was invested in two mately $364 million of insured Senior Bonds and approximately $52 separate Investment Agreements with Trinity Funding million of Subordinate Bonds in June 2001 to fund the construction of Company.which submitted the successful bid. One ac- count has closed and the remaining balance was trans- the Northwest Parkway toll road project. The underwriters were ferred to COLOTRUST,while the second account will, George K Baum & Company and Bear, Stearns & CO. Inc. PBCon- remain with Trinity Funding until December 2007. suit Inc. was the financial consultant and provided the chief financial officer for the Authority. A.G. Edwards& Sons, Inc. was the financial (b) Bond proceeds in the Construction Fund which were not advisor. Vollmer Associates conducted the traffic and revenue study invested in that Investment Agreement are invested by with PB Consult Inc. providing the economic/land use inputs for the the Trustee in either a Wells Fargo money market fund or study. the AAA Colorado Local Government Liquid Asset Trust. The Senior Bonds received bond insurance from both Ambac and Debt Service Reserve Fund FSA resulting in a positive reception of Northwest Parkway Authority $36,161,406.28 of the Senior Bond proceeds were invested for bonds in the market. The financing plan received investment grade the Senior Debt Service Reserve Fund in a Debt Service Re- underlying ratings from all three rating agencies: Standard & Poor's serve Forward Delivery Agreement with Bayerische Hypo— and and Fitch rated the Senior Bonds BBB— and Moody's Investors Ser- Vereinsbank AG, New York Branch, who was the successful vice rated them Baa3. The Subordinate Bonds received Moody's Bat bidder. rating and a BB-plus from Standard& Poor's. Capitalized Interest Fund Fitch and Moody's have both affirmed their underlying ratings for the The capitalized interest amount from the bond proceeds of Senior and Subordinate Bonds and have issued negative outlooks. $43,047,440.50 was invested in an Investment Agreement with To-date no review has 'been undertaken by Standard and Poor's. MG Matched Funding Corp. This Investment Agreement is Please refer to the individual rating agencies for further information. expected to provide returns which,when combined with interest flowing from the Debt Service Reserve,will provide the neces- The Source and Uses for the Northwest Parkway Bond issue are sary interest payments through the capitalized interest period. estimated as follows: Sources of Funds: 2005 BUDGET Series 2001A Bonds $175,720,000 The Authority adopted the 2005 budget on (current Interest) No- vember 23, 2004. Upon completion of the 2004 Series 2001B Bonds 79,865,792 audit, a budget hearing will be held and an (Capital Appreciation) amended budget which includes all carry for- Series ward amounts for capital items will be adopted oro Capital Appreciation) 108,371,280 by the Northwest Parkway Authority Board of (Convertible Directors. Series 2001D Bonds 52,465,000 (First Tier Subordinate) REVENUES Colorado Department of Transportation 723,000 Investment Income $ 3,800,000 Net Original Issue Discount (4,025,562) Toll Revenue 10,414,000 Miscellaneous Income 5,000 TOTAL SOURCES $413,119,510 TOTAL REVENUES $14,219,000 Uses of Funds: Design-Build Contract Price $179,819,232 (net of interest earnings) EXPENDITURES Other Costs of the Project(1) 104,738,219 Capital 0 Capitalized Interest 2001A, 2001D 43,047,440 Debt-Related 3,500,000 Debt Service Reserve Accounts 41,239,651 Operating Expenses 3,861,843 Administrative Expenses 775,000 Cost of Issuance/Underwriters Discount 26,617,107 Salary Expenses 960,668 Project Contingency 17,657,861 Professional Services 430,000 (available for Project Costs) Furniture& Fixtures 50,000 Contingency 25,000 TOTAL USES $413,119,510 EXPENDITURES $9,602,511 (1)Includes right-of-way acquisitions,project oversight engineering services.admin- TOTAL istrative costs,and amounts due under certain reimbursement agreements. 4 PEOPLE BEHIND THE PROJECT Board of Directors Chris Berry, City of Lafayette r Vice-Chairman of the Board Alternate— Kerry Bensman 41 1 E Karen Stuart, City and County of Broomfield _ Chairman of the Board - i Alternate—Walt Spader - ti' " -. Glenn Vaad, Weld County Secretary/Treasurer of the Board I Alternate- Robert Masden Vet • • 3•.•; Associate Members i ,, - ; ', Lorraine Andersen, City of Arvada Id "4" +iii►' 4 Alternate— Don Allard < w Jefferson County Ex-Officio Directors Joe Jehn, Colorado Transportation Commission 4 Alternate — Peggy Catlin, Colorado Department of • '' Transportation _,�---"- Wallace Pulliam, Regional Transportation District Joel Rosenstein, Interlocken Consolidated Metropolitan District Alternate— Gwen Anderson Authority Senior Staff Authority Core Consulting Team Stephen D. Hogan —Executive Director Richard Bauman—Chief Engineer Norman Lovejoy—Consulting Engineer Steven Bobrick— Business Manager Ed Icenogle—General Counsel Benton Tempas—IT Director Erin Smith— Lead Right-of-Way Counsel Pamela Bailey Campbell—Chief Financial Officer Mark May— Right-of-Way Counsel (Carter& Burgess, Inc.) Mark Shotkoski— Project Oversight Engineering Firm Manager Mary Brown — Public and Governmental Relations Carolyn McIntosh —Special Governmental Counsel Howard Kenison —Special Environment Counsel 5 ` L \I NORTHWEST- sr M CITY BUILDING I tJ NORTHWEST PARKWAY PARKWAY KF ADMINISTRATIVE I! BUILDING A. YOUR TICKET TO TOLL PLAZA — t p �� DIA AND SHOPPING 'o - --� (303) 533-1200 EXEMPLA WWW.NWPKY.ORG HOSPITAL il ) -- - --r. 7' _ e QV �.\( \ • {j / GOLF COURSE ��� BRD�IV IELD 36TH MCK AY LAKE P--- CT'MALL FLATIRON �/` _ �' L MALL Ae• % Hvry \ `I 36 WTEEN RESORT JEFF C;74 C,, e '") a Northwest Parkway Pub is Highway Authority 3701 Northwest Parkway Broomfield, CO 80020 NW Telephone: 303-533-1200 Fax: 303-404-3049 ir www.nwplotorgsisnfo@nwpky.org til 0 f PARKWAY L' c=,,--,,,e , `r I ei, K f, ,,BY h 4: K Hello