Page 125 - Haltom City FY19 Annual Budget

Fiscal Year 2019 Capital Plan

The total of the capital projects planned in the Capital Projects Funds for FY2019 is
$23,126,000. The Budget Summary of the Capital Projects Funds is listed below:

Actual Adopted Projected Adopted
Capital Project Funds FY2017 FY2018 FY2018 FY2019
Street Reconstruction $4,204,910 $6,897,500 $1,831,070 $8,083,500
Capital Improvements 736,186 1,595,000 1,434,000 8,375,000
Equipment Replacement 591,444 542,100 1,052,100 573,000
Water & Sewer Projects 905,411 12,247,500 9,728,416 4,799,500
Water & Sewer Impact Fees 19,408 250,000 75,000 250,000
Drainage Capital Projects 50,885 500,000 425,000 1,045,000
Total Revenues $6,508,243 $22,032,100 $14,545,586 $23,126,000

A matrix of the FY2019 expenditures is listed below:

Vehicles / Water &
Fund Equipment Streets Fire Station Parks Sewer Drainage Total
Street Reconstruction $0 $8,083,500 $0 $0 $0 $0 $8,083,500

Capital Improvements - - 5,500,000 2,875,000 - - 8,375,000
Equipment Replacement 573,000 - - - - - 573,000
Water & Sewer Projects - - - - 4,799,500 - 4,799,500
Water & Sewer Impact Fees - - - - 250,000 - 250,000
Drainage Capital Projects - - - - - 1,045,000 1,045,000
Total $573,000 $8,083,500 $5,500,000 $2,875,000 $5,049,500 $1,045,000 $23,126,000

Capital Expenditures and Impact on Operating Costs

Most of the capital improvement projects are recurring (reconstruction/replacement)
expenditures since the City is a matured city with aged streets, water and sewer systems. The
City rarely adds new roads and or new infrastructure for expansion. Most of the reconstruction
expenditures on capital project do not have significant impact on operating cost.

For non-recurring (expansion) capital outlays, the impact upon operations of these
improvements is reflected in the additional cost of maintaining parks, streets and drainage
systems.

Replacement of storm sewers, curb and gutters does not reduce the annual budget for
maintenance. It does allow these scarce dollars to be allocated to other projects for up to 15
years. Every mile of road in which the City rebuilds the storm sewers, curb and gutter allows
the City to shift nearly $40,000 in maintenance materials and labor to other needed projects.
Replacing worn and damaged water lines reduces lost water and increases customer billing.
Each 1% of lost water that is captured through capital outlay is worth about $90,000 at current
commodity rates.

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