4.a) Staff Report-2015-2019 CIP
Staff Report
Date of Meeting: May 6, 2014
To: Planning Commission
From: Kristina Handt, Administrator
Re: 2015-2019 CIP
Background:
A Capital Improvement Program, or CIP, is a multi-year (typically 5 years) capital expenditure plan
for a City’s infrastructure (such as streets, parks and utility systems), vehicles, equipment and public
buildings. It identifies the major projects needed and desired by the community, their potential costs
and how they would be financed. Including a project in a CIP does not commit the city to that
project. The City Council must specifically authorize each one, and the associated funding, before
any project may proceed. When the CIP is reviewed (ideally annually, in conjunction with the
budgeting process) projects may go forward as planned, advance ahead of schedule, be removed
entirely, or new projects may be added, depending upon changes in circumstances and priorities.
As requested last year, the Planning Commission is having the Capital Improvement Program (CIP)
requests presented to them earlier in the year. Department heads will also be at the meeting to
answer any questions about the proposed projects/expenditures. Because the CIP is part of the
Comprehensive Plan, the Planning Commission holds a public hearing (typically at their November
meeting) prior to recommending City Council approval. Council approval has occurred concurrent
with adoption of the annual budget and final tax levy, generally at the last meeting of the calendar
year.
Issue:
What projects should be included in the 2015-2019 CIP? When? Should any cost estimates be
changed? Are there any projects to add to the CIP (Must be a capital project that costs over
$10,000 with a useful life of 5 years or more)?
Proposal Details:
Included in your packet are two lists. The first, “Project Listing” lists all CIP projects, both
active and pending, by department. The second, “Projects By Department,” lists all active
projects over the next ten years and includes cost estimates.
Administration:
All projects related to the space needs study and possible community center/city hall expansion
remain pending.
Community Center:
New for 2015: Seal coating of the Community Center parking lot. The parking lot is scheduled
to be cracked filled in 2014. This should be followed up with seal coating the following year to
maintain the parking lot.
Fire:
Included in your packet is a copy of the Fire Chief’s requests.
The Fire Department HVAC Replacement and Radio Replacement have not been
changed from the current plan.
The Civil Defense Sirens have been moved from a 2 to a 3 priority and pushed back a
year.
Tanker 5177 Replacement has been moved from a 3 to 1 priority and the price increased
$30,000.
Grass Rig 5175 Replacement has been moved from a 3 to 1 priority.
The second fire station has been moved from a 3 to 2 priority and increased by $10,000
SCBA Compressor Replacement has been moved from 2 to 1 priority
12 SCBA & 30 Masks has been added for 2016 at a cost of $98,000 from the Equipment
Replacement Fund
Roof Replacement has been added for 2019 at a cost of $100,000 from the Capital
Improvement Fund
Outdoor Training Building has been moved from a 3 to 2 priority.
The Chief’s Vehicle has been moved from pending to active in 2019.
Ice Rink:
The replacement of the Zamboni has been pushed back a year to 2017, if grants/donations are
obtained. The Public Works Director believes it will last longer after the maintenance performed
on it last year.
Parks and Recreation:
The Parks and Recreation Committee reviewed the CIP projects at their April meeting and are
suggesting the following:
No changes were made to Lilleskogen Park Improvements. There is only approximately
$8,000 remaining in the Park Capital Improvement Fund. Park fees from a couple
subdivisions are expected to come through next year. The $36,000 planned for 2015
would be grants/donations for site improvements such as picnic tables, benches, signage,
etc. It is anticipated at this time the parking lot/rain garden and butterfly garden will be
completed in 2014.
Wind in the Pines was moved to pending. The committee did not feel a Natural
Resources Management Plan was needed as long as regular maintenance occurred.
No changes were made for a full reconstruction of the tennis courts in 2018. Resurfacing
was completed in 2013.
Log House Landing Improvements have been updated to reflect the $400,000 cost
estimate in the grant application. The full project has been moved back to 2015. In
addition to the $200,000 grant from the DNR, the plan assumes $100,000 cost share from
the watershed district. The remaining $100,000 would come from the Capital
Improvement Fund.
Public Works:
Public Works Director Kieffer is recommending the following changes to the CIP;
Purchase of a wood chipper has been moved to pending. This winter the City rented a
chipper and that seemed to work well.
PW-024 Utility Truck with Crane has been increased by $6,500.
The John Deere Tractor w/Broom and Blower scheduled for replacement in 2016 has
been pushed back to 2017.
Street Maintenance Program has been increased to $2.8 million and pushed back to 2016.
$300,000 would continue to come from the General Fund. The additional $2.5 million
would need to be bonded for and paid back through the levy and special assessments via
the Debt Service Fund. City Engineer Ryan Goodman put together a couple lists of
possible roads that may need full depth reconstruction (included in your packet). Staff
will be asking the City Council to approve spending money this year to do soil borings.
Completing soil borings will be the only way to truly know if a road needs a full depth
reconstruction or a mill and overlay. For the purposes of this discussion, we are
assuming the roads need a full depth reconstruction.
Quinell Ave is still in the plan for 2015 at $185,000. This assumes a mill and overlay. It
will be updated after a soil boring is done. Approximately $120,000 would come from the
turn back money from Washington County and the other $65,000 from the Local Road
Improvement Fund.
Fiscal Impact:
Included in your packet is a handout titled “Projects By Funding Source.”
By the end of 2014 the following balances are projected for the funds:
Capital Improvement: $255,250
Equipment Replacement: $428,400
Park Capital Improvement: $0
Local Road Improvement: $327,704
Options:
1) Make changes to staff/committee recommendations
2) Make no changes
3) Wait until after Public Hearing to make any changes