Title
Action to adopt the Capital Improvement Plan and Community Reinvestment Plan.
Body
Summary:
City staff updates the Capital Improvement Plan every year and reflects proposed expenditures for a five-year period. The Community Reinvestment Plan is an extension of the CIP and reflects an additional five years of larger proposed capital expenditures to serve as a guide for the future. These capital items are incorporated into the 2019 Annual Budget.
Background:
Capital expenditures are generally considered to be: (i) land / real estate / property, (ii) equipment and vehicles, and (iii) infrastructure. Because of the cost of these items, they require special attention to provide for their purchase, which frequently includes multi-year planning, phasing of large projects, and sometimes debt financing. Most funds have some degree of capital projects.
The most crucial year is the first year of the CIP, as it is incorporated into the overall city budget currently being adopted. Each successive year becomes more flexible. As a result, these years and expenditures oftentimes become “place-holders” as a planning tool and a reminder that they need to eventually be addressed, and are subject to future changes based on priorities, age, use, cost, need, etc.
The CIP is again displayed in the traditional five-year chart with its respective list of expenditures broken down by department. Each departmental CIP Chart has an accompanying description of the various capital items containing photos and brief narratives providing further information and background on the item.
The Community Re-Investment Plan (CRP), which is a five-year successive extension of the CIP. Because it is long-range, it is much more speculative in its anticipation of expenditures. It is especially helpful for identifying debt service obligations and their impact on remaining funding for capital projects paid with cash, or additional debt service capacity.
Fiscal Impact:
There are substantial fiscal impacts as capital expenditures are an inherent part of the organization’s overall budget.
Recommendation
Recommendation:
Staff recommends approval.
Body2
Attachments:
2019-2023 CIP / 2024-2028 CRP Book