Page 318 - Ord 866 Adopting a revised Fiscal Year 17-18 and new proposed Fiscal Year 18-19 budget

Section 10 Capital Improvement Plan
CIP Impact to Operating Budget

1. General revenue- supported debt: Maintain a Capital Improvement Program within the
debt limitations established by state law, and within a maximum local mill levy debt service
established by the Town Council.
2. Capital improvement projects must meet the established useful life criteria to be financed:

Project Type General Life Financing
Public buildings 40 years 10 year
New road construction 40 years 10 year
Major road rehabilitation 15 years 10 year
Water, sewer & drainage 40 years 20 year
Miscellaneous items Based on asset 10 year
Local sales tax projects 10 year 15 year
3. Maintenance of the highway and street system to provide safe and effective vehicular
access and efficient urban traffic flow emphasizing the following:
Include features in new projects which will reduce future maintenance requirements
Provide good streets and roadways to serve Town facilities

4. Emphasize projects without regard to the percentage of the total CIP funds available.

5. Develop a balanced capital maintenance program for all types of Town assets.

6. Include beautification and landscape improvements in projects, especially on arterials
and highways, facilities, etc.

7. Insure an adequate water supply for existing neighborhoods and for the planned growth
and development of the Town.

ADOPTION OF THE CIP
CIP recommendations are forwarded to the Town Manager and then to the Town Council. The
Town Council may shift, add, or delete projects in the proposed CIP. Like the operating budget,
the Town Council will adopt the CIP.

IMPLEMENTATION
After the CIP is adopted by the Town Council, departments use the CIP as a guide for
implementing capital improvements.

BUDGETING FOR ONGOING OPERATING COSTS OF CIP PROJECTS
As a general practice, the CIP is developed and revised in a process that parallels development
of the Town’ s operating budget. Departments provide estimated ongoing costs associated with
CIP projects so all costs can be considered in the evaluation process. When a project is
completed, the operating costs are included in the department’ s operating budget.

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