Subject:
Title
7:00 p.m. - 8:30 p.m. Capital Improvement Plan 2026-2038
Body
BACKGROUND SUMMARY:
The Town’s Budget Committee (BCOM) and the Town Manager present the Capital Improvement Plan (CIP) through 2038 for Council’s review and approval. The CIP is a list of proposed large projects anticipated to be funded through bond issues as well as additional outside funding sources such as grants. Additionally, water and sewer projects, which are funded from water and sewer fees, are included.
It is the Town’s practice to borrow money for capital projects in the form of tax-exempt, municipal bonds on even-numbered years. This fiscal year, 2025, is a planning year only. The package presented includes details for all projects planned for 2026 and 2028, the next two planned bond issuances, as well as the status of projects from the 2020, 2022 and 2024 bond issues.
Also included are summary schedules of capital investments over the whole 13-year planning period summarized by type of project (i.e. paving, parks improvements, etc.), and a schedule showing the changes from the 2024 CIP plan vs. each proposed option.
OVERVIEW:
Three funding options are presented. Options 1 and 2 keep the meals tax rate at 3%. Option 2 reshuffles the projects slightly to allow funding an aquatics facility in 2036/2038. Option 3 proposes raising the meals tax rate from 3% to 4% for 10 years only, which increases funding and moves construction of an aquatics facility up 8 years earlier - 2028/2030.
The BCOM recommends Option 2 - 3% meals tax with aquatics planned for 2036 design and 2038 construction.
The complete package with three options and project details was sent to Council on Aug. 20, 2024, for Council discussion and input on Sept. 16, 2024.
SUMMARY/STAFF IMPRESSIONS:
Department staff will discuss the CIP options and explain specific projects to Council. The goal is to ensure funding needs are met to Council’s satisfaction.
RECOMMENDATION:
Recommended Action
Staff recommends Council review the CIP and reallocation plans and give staff direction to proceed with the plan. A request for plan approval is on the 10/23/2024 Council agenda.