Brevard County collects educational facilities impact fees from residential development for construction of educational facilities or capital improvements that provide educational capacity in the Impact Fee Benefit District from which the funds were collected.

The funds may be used on capacity projects identified in the District's Annual Educational Facilities Work Program. The process by which funds are allocated to projects is outlined in the Interlocal Agreement between Brevard County and the School Board. Each Benefit District (North and South) has an Educational Facilities Impact Fee Benefit District Advisory Committee that includes the School Board, County and applicable municipal representatives. The District Advisory Committees make a recommendation to the School Board. The School Board approves or modifies the recommendation and then submits the funding request to Brevard County for approval by the Board of County Commissioners. The process can take 2-4 months before the funds are received by the District.

The School Board most recently approved the recommendations for the educational facilities impact fee revenue through December 31, 2019 at the February 11, 2020 School Board Meeting.

Board action requested allocates the impact fee revenue collected through June 30, 2020. The Impact Fee Benefit District Advisory Committees met on July 13, 2020. The Committees' recommendations for new educational facilities impact fees through June 30, 2020 are attached to this agenda memo and are summarized as follows:

• South Area Elementary School                                                        $896,348.77
• Central Area Secondary Capacity                                                 $2,500,000.00
• South Elementary Capacity                                                           $2,500,000.00
• North Elementary Capacity                                                            $1,500,086.14
• North Area Debt Service                                                                   $400,000.00
• South Area Debt Service                                                                $1,400,000.00

The Five-Year Work Plan includes educational facilities impact fee funding and project schedules for capacity projects.  These projects are included in the Work Program approved by the Board in April 2020.  

• South Area Elementary School (location TBD) budgeted for design in FY2023-24. 
• Central Area Secondary Capacity project budgeted for design in FY2020-2021 and construction in FY2021-2022. The location, scope, and timing of this project will be determined through collaboration with Leading and Learning and future Board direction to staff.  Given the budget available, only a modest classroom addition could be considered for construction in FY2021-2022.
• North Area Elementary Capacity project budgeted for design in FY2020-2021 and construction in FY2021-2022.  The location, scope, and timing of this project will be determined through collaboration with Leading and Learning and future Board direction to staff.  Given the budget available, only a modest classroom addition could be considered for construction in FY2021-2022.

The South Area Elementary Capacity project will need to be added to the Five Year Work Program. Elementary classroom addition(s) would be the intended use of these funds in location(s) determined in collaboration with Leading and Learning. 

Once school resumes in the fall the Planning Team will work with Leading and Learning to analyze current and projected enrollment relative to capacity. The team will be making specific recommendations to the School Board as to the location and timing of any new school capacity projects. 

When using educational impact fees to pay debt for prior construction of student stations, the debt must be related to a project within the impact fee benefit district from which the fees were collected. The Finance Department has confirmed that the proposed use of the funds is in compliance with this requirement. The proposed FY 21 budget allocates approximately $35 million of the District's capital revenue for debt service. Previous educational facilities impact fee allocation cycles have included a partial allocation towards debt service in compliance with Florida Statutes and the Interlocal Agreement. Capital funds can then be used to offset the loss of Public Education Capital Outlay (PECO) funds that were allocated to charter schools by the Florida Legislature for FY 2020 ($1.6 million) and applied to other capital projects. PECO funds were previously used for painting and corrosion control, safety to life and replace at failure. 

Approve the recommendations of the Educational Facilities Impact Fee Benefit District Advisory Committees.

Authorize the Superintendent, or designee, to request Brevard County disburse the Educational Impact Fees available through June 30, 2020.

Approve utilizing $1.6 million in capital funds to offset the loss of Public Education Capital Outlay (PECO) funds.