HomeMy WebLinkAbout6.j. 10-Year Capital Improvement Plan (CIP) Working ProgramAGENDA ITEM: 10 -Year Capital Improvement
Plan (CIP) Working Program
AGENDA SECTION:
Consent
PREPARED BY: Jeff May, Finance Director
AGENDA NO. 61.
ATTACHMENTS: 10 -Year CIP Summary Pages
APPROVED BY:
nb)
RECOMMENDED ACTION: Motion to approve the 10 -Year CIP Working Program for the
City of Rosemount for the years 2010 through 2019.
4 ROSEMOUNT
CITY COUNCIL
City Council Meeting Date: December 15, 2009
ISSUE
Approve the annual updating of the 10 Year CIP Working Program.
SUMMARY
Recommend the above motion to approve the 10 Year CIP Working Program..
EXECUTIVE SUMMARY
BACKGROUND
This item is on the agenda for Council to formally approve the final draft of the 10 -Year CIP Working
Program. This is the fourteenth 10 -year CIP that has been completed. Each year we try to make the plan
better and 2010's continues to be a very realistic working document that will be easy to build upon in the
future. The CIP benefits the City as outside agencies look at us and how we are planning. I believe the
document before you this evening to be a good working program that will continue to evolve in the future.
The pages attached are the summaries of the 10 years of activity with the last year including projects that
have been identified but not in a specific year yet. Once approved a final document will be produced that
will be given to you for your future reference as well as copies that will be forwarded to the appropriate
agencies.
The document has been cleaned up since the Council last reviewed the document at the November 17`
work session.
10 -YEAR CIP
WORKING PROGRAM
2010 -2019
4 ROSEMOUNT
BACKGROUND
10 -YEAR CAPITAL IMPROVEMENT PLAN (CIP)
Historically, the City of Rosemount has usually had some form of 5 -year CIP in place to
utilize for its capital improvements. There have been times where just a single year's capital
improvements have been addressed and funded. As the City continues to grow, we believe
that the careful development and continuous utilization of a realistic Capital Improvement
Plan is essential to the proper management of the City. As we looked at developing a new 5-
year CIP, it became apparent that the dilemma that the City of Rosemount faces is one of
continued growth combined with restoration/reconstruction of the older portions of our city.
This being the case, it was almost impossible to develop a plan for a 5 -year period that was
very realistic. As work continued on the plan, we decided to explore the possibility of looking
out farther and developing a longer plan that would more realistically allow us to plan for the
City's future. What has evolved is the following 10 -year Capital Improvement Plan. We
believe that great strides have been made to more accurately plan for the future of the City of
Rosemount. This document is only a working guide that is utilized by the City Council and its
staff to prepare for the future. The first year of the plan will be included as part of the formal
budget that is prepared yearly as part of our Truth -in- Taxation process with the following
years developed as a working tool for future years' discussions.
GENERAL /ADMINISTRATIVE DESCRIPTION
The CIP provides for specific funding of items, the nature of which is not considered
"current" in their use or life expectancy. These items are generally of a higher estimated cost
than $5,000 and will have a life expectancy of 3 years or greater. The source of funding for
these expenditures is typically the general tax levy. In some instances, other funding is
utilized. For example, beginning in 1996, revenues received from user fees are being
designated in various CIP funds for capital improvement/equipment purchases. If these
revenues are realized, the equipment or project will be completed and if the revenue is not
realized the equipment will not be purchased. Individual departments are designated for each
item proposed for purchase in this plan.
TYPES OF CAPITAL IMPROVEMENT FUNDS
Another area of change for the CIP is the implementation of three separate funds to isolate and
better track the types of capital improvements being planned for. The following briefly
describes each of the three:
Building CIP Fund This fund is used to account for the on -going capital improvements and
possible additions to government buildings.
Street CIP Fund This fund is used to account for the on -going street construction and
reconstruction projects within the City and all other major maintenance items related to both
paved and unpaved streets including, but not limited to, street lights, signal lights, sidewalks
and gravel road resurfacing.
Equipment CIP Fund This fund is used to account for the on -going replacement of and
additions to City equipment.
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