Laserfiche WebLink
AGENDA ITEM - 3B <br />-ADEN HILLS <br />MEMORANDUM <br />DATE: July 14, 2025 <br />TO: Honorable Mayor and City Councilmembers <br />Jessica Jagoe, City Administrator <br />FROM: Joua Yang, Finance Director <br />SUBJECT: 2026 — 2030 Capital Improvement Plan (CIP) <br />Budgeted Amount: Actual Amount: Funding Source: <br />N/A N/A Various <br />Council Should Consider <br />Provide feedback to staff on Preliminary 2026 — 2030 CIP Plan. <br />Background <br />Annually, the City prepares a five (5) year Capital Improvement Plan for budgeting and forecasting. <br />The focus of the CIP is on the maintenance and protection of the City's existing assets, <br />redevelopment, and investment in new initiatives. The CIP is part of the budget process, but it is <br />not a budget; it is a plan, and one that changes often. The CIP does not commit the council to the <br />proposed projects, nor implement the assumptions made during the preparation; however, this is <br />the basis for the 2026 Budget as we continue with its preparation. <br />The City has a finite amount of resources, so prioritizing and then being able to finance projects is <br />crucial for ensuring the city's long-term sustainability and being responsible stewards of the city's <br />investments. Staff has been working on completing a comprehensive study of the City's current <br />and future needs for infrastructure projects to better estimate project costs and ensure more accurate <br />forecasting of available fund balances. <br />Discussion <br />A preliminary plan has been prepared and is attached which includes a summary of projects, <br />detailed project sheets, sources of funds, and estimated fund balances (since the operating budgets <br />have not yet been completed, these fund balances are estimated operating costs). Information is <br />included on street and park projects going out ten (10) years even though our CIP is only for five <br />years. Please note that project timelines are subject to change and that the current timeline is City <br />Staff s best estimate. <br />The 2025-2029 CIP was a $29.6 million plan, while the proposed 2026-2030 CIP is listed for $37.1 <br />million in expenditures. This is a 25.4% increase from the previous year's program or $7,496,516. <br />The largest increases are in Parks and Streets due to the timing of trail & PMP projects and changes <br />Page 1 of 4 <br />