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Capital Projects in the Works
Posted 11-22-2002
Westmoreland County is
finalizing plans to issue about $30 million in bonds for three significant
capital projects. This month, I would like to discuss the importance of
these projects and why we are undertaking them now. For readers not familiar
with the projects, they are: the development of an 800-MHz emergency radio
communication system, the construction of a new juvenile justice center, and
the implementation of energy-saving improvements through the Guaranteed
Energy Savings Act. Each project is important for different reasons.
In the realm of public
safety, Westmoreland County has been operating for years with low-band radio
communication. While the low band communication works to a certain degree,
there are coverage gaps and limitations to the number of users sharing
channels. We were granted 800-MHz frequencies years ago, but initially took
no action. Then in 1999, in a rush before the new board of commissioners
took office, an attempt was made to sell us a $20 million system that
thankfully was not acted upon.
The initial effort to garner
support for changing to an 800-MHz system floundered due to ineffective
marketing to the fire, police, and EMS community. Our current public safety
director, Rich Matason, took a different approach and developed strong
consensus from local public safety providers. They have worked with us each
step of the way and have helped develop standards for its use. The county
will pay for the bulk of the project, spending roughly $12.4 million for the
largest part of the 800-MHz radio system and another $1.6 million for the
development of 25 tower sites. We will build three new towers, construct
buildings, and place generators at the other sites.
We will also provide base
station radios and "rip-and-run" printers for each of the county's 218 fire,
police, and EMS stations through the county's bond issue. From a grant
through Congressman Murtha, we will purchase roughly $1.3 million worth of
hand-held radios and distribute them to public safety providers. Public
Safety Director Matason is working with local providers to help them secure
funding through a variety of state and federal grant programs to pay for
additional radios. Some communities have already taken advantage of these
funding sources.
The next largest capital
project we are undertaking is the development of a new juvenile justice
center. Our current detention center has served adequately for more than 30
years. While we are not always "bursting at the seams" with juvenile
detainees, we are operating with a waiver from the Commonwealth for the
ratio of detainees to supervisory staff. Also, the juvenile probation staff,
which was comprised of about 20 people two decades ago, now has more than 60
people.
The facility has considerable
wear, space that limits the services we can provide, and is not expandable.
We studied expansion first before deciding to undertake the construction of
a new building. The first proposal from our architect was for a $13 million
center. We said, "No, make it functional, and we want a $10 million
building." We have an agreement with the state Bureau of Corrections to swap
land that will allow us to construct a one-story building on a better piece
of land. In addition to detainees, the new building will house courtrooms
for juvenile masters, the offices of juvenile probation, and a medical
intake unit that will allow the county to draw down greater reimbursements.
The third piece of the bond
issue ($6.2 million) will fund our partnership with NORESCO to develop a
long-term performance-based energy program. The program utilizes an energy
savings performance contract as authorized by Act 57, the Pennsylvania
Guaranteed Energy Savings Act. We fund a series of energy-saving capital
improvements, and NORESCO guarantees that we will recoup our investment over
a 10-year period. If we do not, they pay us for that investment. When the
time period is up, and we have recouped our investment, future energy
savings will be recognized by county government because new high-efficiency
equipment is in place. Though we front the money, NORESCO -- a Division of
Equitable Resources -- guarantees the results. Therefore, over time, we have
new equipment, lower energy costs, and consume fewer resources.
The timing of these projects
has worked in the county's favor too. Interest rates for the bond issue are
very low, and we will save interest expenses for the debt. While budgets
have and will continue to be extremely tight, we also must continue to
improve the services and functionality of county government. We all
recognize the importance of continuing to utilize improving technology for
public safety. We are also being progressive by beginning to build a new
juvenile justice center before incurring operational problems and an endless
stream of capital improvements at the existing center. The energy-savings
program is an investment that will benefit county taxpayers for years to
come. So while there may be opposition to these long-term investments, the
projects have been evaluated on their merits. With prudent fiscal management
the total annual increase to the county's debt service ($1.423 million) can
be absorbed so that we continue to move county government forward in the
21st century. |
