Planning Commission Regular Meeting/Work Session

Laszlo Palkostaffreally driving the cost of our capital investments. And these are going to be mainly in the facility realm from a general fund standpoint, but also some transportation projects that are transportation funded as well. And then we'll talk about some new projects that are being added from last year. And then we'll end with some highlight projects in specific policy areas. So this is the timeline of the CIP process. We actually started with a city council retreat on November 9th where we gave an even more macro level overview of the CIP and really focused on debt and our future debt position. And again, tonight this doesn't include the school bond data. We hope to incorporate that within the next couple months now that we know that the referendum has passed.

the CIP and you all make your recommendation. We look at financial feasibility and move that to the final step of City Council approval in May. Assuming the project is approved. Added to the CIP, then you get into the project management phase, developing the project schedule, tracking the budget, tracking the project to completion, all the way out to project completion and financial closing of the project itself. So going to the actual five-year CIP, the numbers here, this is the FY26 through 30 CIP. you can see it's about $415.8 million total. $233 million of that is general fund. That compares to last year, $374 million total and $151 million in the general fund. You can see the table on the right breaks down the funding sources.

And what you'll notice is the general fund revenue sources has increased, while all the other sources have decreased, with the exception, one caveat, stormwater has increased by about $2 million. So this is a $41 million total increase, and that stems almost exclusively from that general fund increase that I discussed. And we'll talk about what's driving that. So the general fund increase is about $80 million, while the other sources have fallen by about $19.2 million. Also of note, this year we're not utilizing ARPA funds. Those funds have been obligated, so that's an additional $20 million reduction. So, again, that $80 million increase offset by a $40 million decrease. So, $80 million increase in the general fund offset by the $40 million decrease in the

other sources still results in that net increase of roughly $40 million compared to last year. And we're going to talk about kind of what's driving that. Okay. If you notice, there's also less projects this year than last year. So, last year the general fund had about 165 projects. This year it's about 151. But the projects that are being proposed this year are much more costly. This is an overarching summary view of the CIP. You can see in the top section it's the general fund portion of the CIP and then the bottom section are the other funding sources of the CIP projects broken down into specific programs. For example, you have the state, federal, commercial and industrial, MVTA, 30% MVTA,

Transportation 1.3, maintenance 1.7, technology 3.2, and then fleet 3.6. That's for the general fund funded portion of those programs. For the other funded sources, wastewater is down $7 million, stormwater up $2 million, as I mentioned earlier. ARPA, the use of ARPA funds down $20.2 million because, again, that's obligated in FY25. State and federal is down $3 million. CNI, $1.5 million down. NVTA, 30% down $500,000, and NVTA, 70% down $1.5 million when compared to last year. Grants and other funds, private, other, including grants, is up about $2.1 million. So this overarching $415 million, what makes it up? The biggest sources include facilities, both new facilities to replace existing facilities

So for the general fund section up top, $233.4 million over this five-year period, 50% of that includes the property yard at $63 million, Fire Station 3 at $41 million, and Van Dyke Park at $16 million. So those three projects alone make up 50% of that total amount. So the property yard, as you'll see, is a new project being introduced this year. If you all have visited the property yard, we'll go into more detail about it, but it's one of the oldest buildings that is in desperate need of repair or replacement and renovations. Other major projects include Willard Sherwood, $9 million. dollars has already been a lot of contributions towards that project this would be the final contribution towards that project the police garage is at 8

I will remind you that of all these projects in the transportation program, about 97 percent are funded by non-general fund dollars. That's reflected here with the NVTA, the CNI, other grants that we get as well. It's more a reflection of the success of our transportation division in securing a lot for these transportation investments. So new projects to add, there's about $42.6 million more in new projects added to the CIP when compared to last year. You can see the biggest driver of that. Again, you can see the laser pointer. It's going to be that $63.5 million for the property yard. Again, less projects this year. Last year there was about 36 projects on this list. This year there's about 23.

Paul CunninghamIn looking at your overall funding slide, I think you had about 32 million which was approved for the current year and a little over 80 million for the proposed budget in the coming year. In the general fund area. How much of that do you think is feasible or is it feasible to more than double the of this year and what's the implication going to be for taxes if that happens?

Mr. Naptystaffcontinued with new projects last year, including the climate adaption and resiliency plan and continuing with the LED streetlights conversions. And then also last year, the planning commission specifically wanted to highlight the sprout program which is new last year obviously funded through the grant through outside sources so we didn't need to promote that from the general fund but still something the Planning Commission wanted to convey was important to City Council so this is just an example for things to be thinking about as I said we will identify some specific relationships to the comprehensive plan for you but be thinking about other things as you go through the book that was the link was