1 Citizens’ Bond Oversite CommitteeArlington ISD 2014 Bond Program Interim Update to Board of Trustees 17 August 2017
2 Agenda Purpose Composition Meeting Schedule CBOC ChargeRecommendations Special Thanks
3 Purpose The Citizens Bond Oversight Committee (“Committee”) is established to provide transparency and enhance public confidence in the use of proceeds from the sale of bonds authorized by Arlington Independent School District (“AISD” or “District”) voters on May 10, The purpose of the Committee is to provide findings and recommendations to the Board of Trustees (“Board”) relating to the expenditure of bond proceeds authorized in the 2014 Bond election, the progress of the 2014 Bond Program, and ways the District can maximize the potential of the 2014 Bond Program.
4 Composition Voters Accountants Realtor Law EnforcementMembers (11) Alternates (6) William Deakyne (chair) Rebecca Deen Cara Hackley H. Suzanne Kelley Andrew Nash Wendy Parker Lori Plamondon Seth Ressl John Slover Ismail Tahir David Wilbanks Stephen Crumby Bill Huff Wesley Maness Kimberly Martinez Cynthia Miller Steve Rothwell Voters Accountants Realtor Law Enforcement Higher Education Sales & Marketing Former Students Engineering & Manufacturing Tax Payers City Management K-12 Education Veterans Parents of Students Internet Technology
5 Meeting Schedule October 12, 2016 - Orientation for new members, Location: PDC October 26, 2016 - Quarterly Meeting, Location: McNutt Elementary January 18, 2017 - Quarterly Meeting, Location: Peach Elementary April 26, 2017 - Quarterly Meeting, Location: Jones Academy August 9, 2017 – Committee Meeting, Location: PDC
6 CBOC Charge (1 of 11) Review the January 2014 report submitted to the Board by the Capital Needs Steering Committee to gain an understanding of the projects and capital needs recommended for inclusion in the 2014 Bond Program. Observation: AISD Staff briefed bond scope Bond Package Areas linked to Strategic Objectives Recommendation: Continue orientation methodology for future committees by AISD Staff
7 CBOC Charge (2 of 11) Review the process used to solicit, qualify, and select design professionals, contractors, and vendors for projects funded from the 2014 Bond Program. Observation: Request for Quote and Bidding process explained Examples of in-stride re-bidding process explained Recommendation: Continue to utilize the appropriate contractual tools to motivate contractor performance
8 CBOC Charge (3 of 11) Review reports on the current status and planned implementation of the 2014 bond program to determine whether such status and implementation are consistent with the Bond Program approved by the voters. Observation: Facility construction efforts appear consistent with the bond’s intent Fine Arts efforts appear consistent with bond’s intent Safety, Security, and Technology efforts appear consistent with the bond’s intent Transportation efforts appear consistent with the bond’s intent Recommendation: Success Metrics or Key Performance Indicators could be tied to demonstrate the intended effect at identified milestones
9 CBOC Charge (4 of 11) Review bond program reports that track budgets, encumbrances, expenditures, and estimated costs for completion for each bond project. Observation: Rate of encumbrances and expenditures appear to be accelerating to meet bond schedule Project timelines have shifted in order to facilitate cost advantages that delay some projects and accelerate others Under performing contractors are addressed by AISD Staff and project re-bids impact timeline Recommendation: Continue with current AISD Staff activities to track, monitor, and manage projects Explore ways to publicly explain the wide array of tools available for contract enforcement in the contract management process
10 CBOC Charge (5 of 11) Review HUB utilization on facilities projects.Observation: HUB participation as of April 2017 at approximately 18% Previous CBOC Committee recommended a target of 20% Recommendation: Monitor HUB participation by vendors and their HUB participation track record when potentially awarding future contracts
11 CBOC Charge (6 of 11) Review internal and external audits of the bond program to ensure the adequacy of scope, administration’s response to the audit, and remediation efforts of the district, as applicable. Observation: Internal Audits were underway and information will be made available to the CBOC in late August 2017 AISD Staff is working with an external audit service to identify projects for audits within the 2014 Bond Program Recommendation: Provide audit criteria for review by CBOC Continue to provide CBOC with general explanations when contractors fail to perform
12 CBOC Charge (7 of 11) Review and provide input on AISD communications to the public regarding the 2014 Bond Program. Observation: Marked improvement in dashboards Project photos by location are useful Provide avenues to specifically address concerns or frequently asked questions about project delays or changes potentially through the website, newsletters, targeted mailings, etc. Recommendation:
13 CBOC Charge (8 of 11) With the coordination of the Superintendent or Superintendent’s designee, conduct on-site campus and facility visits related to bond projects, as necessary, in a non-disruptive manner. Observation: Conducted group on-site visits of McNutt and Peach Elementary, and the Jones Academy CBOC members conducted individual on-site visits: Butler Elementary, Duff Elementary, Arlington HS and Martin HS Recommendation: Group visits were focused on new-construction or significant remodel locations; conduct existing campus facility visits Potentially increase program contingency budget allocations in future bond programs for schools upgrading existing equipment or facilities for areas such as building code compliance
14 CBOC Charge (9 of 11) Agree by majority vote upon all findings and recommendations to be presented to the Board. Observation: CBOC Committee agreed by majority with the enclosed recommendations When CBOC members were not present; their input was solicited through Participation by Student (SLAB) Members was limited Recommendation: Re-assess the charge for SLAB member participation in order to expand student participation
15 CBOC Charge (10 of 11) Recommendations for adjustments:Provide reports to the Board semi-annually or more frequently, if necessary, on the implementation of the 2014 Bond Program and any findings and recommendations for corrective actions or adjustments to the Bond Program. Observation: Interim briefings to the Board on a semi-annual basis appear appropriate Target date for spring briefing to the Board should be in the month of May Include students in the report to the Board Recommendations for adjustments:
16 CBOC Charge (11 of 11) Coordinate with the Superintendent or the Superintendent’s designee to maintain a presence on the AISD website with a link on the AISD home page. The website shall timely provide the public with information regarding the Committee’s activities, including: meeting agendas and minutes; information, presentations and reports received from AISD staff; and meeting schedules of the Committee and all subcommittees. Observation: CBOC meeting materials are easily accessed from the AISD webpage Photos, Financials, and Dashboards are easily accessed from the AISD webpage Recommendation: Continue with development of products such as the Dashboards that are easy to use interfaces for the community to gain information on specific projects and the general bond execution
17 Recommendations Summary (1 of 2)Continue orientation methodology for future committees by AISD Staff Continue to utilize the appropriate contractual tools to motivate contractor performance Success Metrics or Key Performance Indicators could be tied to demonstrate the intended effect at identified milestones Continue with current AISD Staff activities to track, monitor, and manage projects Explore ways to publicly explain the wide array of tools available for contract enforcement in the contract management process Monitor HUB participation by vendors and consider their HUB participation track record when potentially awarding future contracts Provide audit criteria for review by CBOC Continue to provide CBOC with general explanations when contractors fail to perform
18 Recommendations Summary (2 of 2)Provide avenues to specifically address concerns or frequently asked questions about project delays or changes potentially through the website, newsletters, targeted mailings, etc. Group visits were focused on new-construction or significant remodel locations; conduct existing campus facility visits Potentially increase program contingency budget allocations in future bond programs for schools upgrading existing equipment or facilities for areas such as building code compliance Re-assess the charge for SLAB member participation in order to expand student participation Target date for spring briefing to the Board should be in the month of May Include students in the report to the Board Continue with development of products such as the Dashboards that are easy to use interfaces for the community to gain information on specific projects and the general bond execution
19 Special Thanks Kecia Mays, Chair, Community Engagement Committee, Board of Trustees Aaron Reich, President, Board of Trustees Polly Walton, Board Member, Board of Trustees Cindy Powell, Chief Financial Officer Kelly Horn, Executive Director of Plant Services Javier Fernandez, Director of Facility Planning and Construction Chad Branum, Assistant Superintendent of Technology Dr. Jeremy Earnhart, Fine Arts Director Tim Collins, Director of Transportation James Smith, Security Manager Tony Drollinger, Executive Director of Finance Craig Wright, Career Tech Coordinator Ginger Polster, Career Tech Center Principal
20 Derived from reporting in April of each Year of the Bond Program