Page 69 - CityofEulessFY26AdoptedBudgetOrdinance2432

B. Definition —
1. Facilities - include any structures or properties owned by the City, the land upon which the
facility is situated for the provision of City services, and the initial furniture, fixtures, equipment
and apparatus necessary to put the facility in service. Facilities include, but are not limited to
the following: administrative offices, parks, service centers and storage yards, recreation
centers, libraries, fire stations, jails and courts, and water and sewer related structures.
2. Infrastructure - includes permanently installed facilities, generally placed underground or at
grade, which form the basis for the provision of City services. Typically included are
thoroughfares, bridges, water and sanitary sewer lines, drainage channels, and storm sewers.

C. Control — All capital project expenditures must be appropriated in the capital budget. The Finance
Department must certify the availability of such appropriations or the availability of resources so an
appropriation can be made before a capital project contract is presented by the City Manager to the
City Council for approval.
D. Program Planning — The capital budget will include capital improvements program plans for future
years. The planning time frame should normally be at least five years. The replacement and
maintenance for capital items should be projected for the next five years. Future maintenance and
operations will be fully costed, so that these costs can be considered in the operating budget.
E. Alternate Resources Where applicable, assessments, impact fees, pro- rata charges, or other user -
based fees should be used to fund capital projects which have a primary benefit to specified property
owners. Drainage Utility revenues are established to fund small citywide drainage projects. Single
large drainage projects may be funded by debt.
F. Debt Financing — Recognizing that debt is usually a more expensive financing method, alternative
financing sources will be explored before debt is issued. When debt is issued, it will be used to acquire
major assets with expected lives which equal or exceed the average life of the debt issue. The
exceptions to this requirement are the traditional costs of marketing and issuing the debt, capitalized
labor for design and construction of capital projects, and small component parts which are attached to
major equipment purchases.
G. Infrastructure Maintenance - The City recognizes that deferred infrastructure maintenance increases
future capital costs by an estimated five- to ten -fold. Therefore, a portion of the General Fund budget
will be set aside each year to maintain the quality of streets and a portion of the Water 1 Wastewater
Fund will be set aside each year to maintain the quality of water and wastewater infrastructure. The
amount will be established annually through the budget process.
H. Reporting — Periodic financial reports will be prepared to enable the Department Managers to manage
their capital budgets and to enable the Finance Department to monitor and control the capital budget
as authorized by the City Manager.
VI. REVENUE MANAGEMENT
A. Simplicity — The City will strive to keep the revenue system simple, which will result in a decrease of
compliance costs for the taxpayer or service recipient and a corresponding decrease in avoidance to
pay. The City will avoid nuisance taxes, fee, or charges as revenue sources.
8. Certainty — An understanding of the revenue source increases the reliability of the revenue system.
The City will try to understand its revenue sources, and enact consistent collection policies so that
assurances can be provided that the revenue base will materialize according to budgets and plans.
C. Equity — The revenue system of the City will strive to maintain equity in its structure. That is, the City
will seek to minimize or eliminate all forms of subsidization between entities, funds, services, utilities,
and customers. However, it is recognized that public policy decisions may lead to subsidies in certain
circumstances, e.g., homestead tax exemption.
D. Administration — The benefits of a revenue will exceed the cost of producing the revenue. The cost of
collection will be reviewed annually for cost effectiveness as a part of the indirect cost, cost of services
analysis. Where appropriate, the City will use the administrative processes of State or Federal
collection agencies in order to reduce administrative costs.

Ordinance No. 2432, Page 69 of 474