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HomeMy WebLinkAboutCIP(08-09) Staff Report CIP Study SessionSARATOGA CITY COUNCIL MEETING DATE: May 7, 2008 AGENDA ITEM: ______ ORIGINATING DEPT: Public Works CITY MANAGER: PREPARED BY: John Cherbone DEPT HEAD: John Cherbone SUBJECT: Capital Improvement Plan (CIP) – Study Session ______________________________________________________________________________ RECOMMENDED ACTION(S): Accept report regarding the CIP and provide direction to staff. REPORT SUMMARY: CIP Process: The scheduling over time of public improvements is an essential task of a CIP and is based on a series of priorities according to need, desire, importance, and of the City’s ability to fund the various projects. A comprehensive CIP can provide many benefits to the City. The following are a few examples of these benefits: 1. Ensures that public facilities and circulation portions of the general plan are carried out. 2. Remedies deficiencies in the City’s infrastructure. 3. Ensures projects built when they are needed. 4. Ensures that funds can be provided from a variety of sources in a logical manner over a multi-year period. Recommended criteria to consider when making choices on project priorities: Importance relative to community needs. Resources available. Operation and Maintenance Costs. Some projects may be fully funded over a multi-year period. Other projects may be included but unfunded, awaiting grants and special funding sources not available at the time of the CIP development. In other cases Council may wish to fund design and engineering costs only for projects likely to be submitted for competitive grant applications requiring projects that are pre-approved and for which designs have been completed. Once direction from City Council on the draft changes to the CIP is received, staff will schedule a hearing for public input. The next step in the process will be to submit new projects to the Planning Commission for review of general plan conformance and environmental approvals. The process will conclude with public hearings and final adoption of the new CIP projects by City Council. CIP Funding: At the February 1st City Council Retreat, in conjunction with the Mid-Year Budget Report, Council directed $1.2 million dollars from unallocated end of year savings to be equally allocated to two types of reserve accounts, namely 1) for Operational Efficiencies and 2) for General Capital improvements. Other funding sources include grants, local cost sharing agreements, Park Development Fund, and existing funding in the adopted CIP. Operational Efficiency Funded Projects (See Attachment 1): These projects aim to increase efficiencies in the operation of City which can include money savings, power savings, staff time savings, and increased level of service to the public at a lower cost. Total Funding Available for Operational Efficiency Projects: $600,000 Total Cost of Identified Operational Efficiency Projects: 554,326 Balance of Available Funds: $45,674 General Capital Improvement Funded Projects (See Attachment 2 & 3): There are two groups of projects under this category, New CIP Projects and Existing Unfunded CIP Projects. Unlike Operational Efficiency Projects, the Capital Improvement Project’s costs exceed the $600,000 available funding amount. Therefore, these projects will have to be prioritized. Total Funding Available for General CIP Projects: $600,000 Total Cost of Identified New General CIP Projects: 1,169,800 Total Cost of Identified Existing Unfunded Projects: 1,078,000 2,247,800 Park Development Funded Projects (See Attachment 4): These projects are traditionally funded from Park Development Fees as they are collected. Currently there are no available funds to allocate towards new projects funding, therefore the projects will be placed on a waiting list until funding is available. Total Cost of New Park and Trail Projects: $239,000 City Council Direction: City Council will be asked to provide direction regarding staff’s recommended funding options for projects, provide project prioritization, and to add projects which are not currently listed in the CIP. FISCAL IMPACTS: Unknown at this time. Depends on the final CIP project list. CONSEQUENCES OF NOT FOLLOWING RECOMMENDED ACTION(S): Not Applicable. ALTERNATIVE ACTION(S): None in addition to the above. FOLLOW UP ACTION(S): Subsequent Public Hearings will be held with both the Planning Commission and City Council. ADVERTISING, NOTICING AND PUBLIC CONTACT: Nothing additional. ATTACHMENTS: Operational Efficiency Funded Projects General Capital Improvement Funded Projects (New) General Capital Improvement Funded Projects (Existing Unfunded) Park Development Funded Projects