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Commissioners Approve Multi-Purpose Event Center Items

Apr 4, 2022, 14:38 PM by Jon Soles
The Board of Commissioners unanimously approved the Capital Project Budget Ordinance to establish the budget for the Multi-Purpose Event Center.

FAYETTEVILLE, N.C. – The Cumberland County Board of Commissioners today unanimously approved the Capital Project Budget Ordinance to establish the budget for the Multi-Purpose Event Center capital project in an amount not to exceed $82.5 million and adopted a resolution of official intent to pursue tax exempt financing.

The budget includes the $80 million estimated cost that was part of the feasibility study presented in September 2021 to the Board of Commissioners. The additional cost is approximately $2 million contract for the Owner's Agent and $500,000 in estimated debt issuance costs.  Debt takeout is expected to occur in early 2024, before construction begins.  Until debt proceeds are received, the costs incurred on the capital project will be funded by fund balance of the County’s Food and Beverage Tax Fund.  Upon receipt of debt proceeds, the Food and Beverage Tax Fund will be reimbursed.

The following projected expenditures are appropriated for this project:

 

                                                                                  Expenditure

Surveying                                                                    $        48,000

License & permits                                                       $      100,000

Contingency                                                                $   9,052,000

Architect                                                                      $   5,500,000

Owners Agent                                                             $   2,200,000

Engineering (Geotech)                                               $      100,000

Construction                                                                $ 65,000,000

Debt Issuance Costs                                                  $      500,000

Transfer to the Food and Beverage Fund                  $   2,500,000

The following associated revenue is appropriated for this project:

                                                                                    Revenue

Proceeds from Debt Issuance                                    $ 82,500,000

Transfer from the Food and Beverage Fund              $   2,500,000

 

The Cumberland County Board of Commissioners and the Civic Center Commission determined to replace the Crown Theater rather than to spend additional funds renovating it. In accordance with the Commission Act, the Commission has worked with the Board of Commissioners in planning for the construction of a replacement facility for the Theater.

In other action related to the event center, the Board approved a contract with MBP Carolinas to serve as the owner’s representative for the project.

“It’s a big day for Cumberland County,” said Commissioner Jimmy Keefe, who is a board member on the Multi-Purpose Event Center committee.