HomeMy WebLinkAbout06 18 2018 2019-2028 CIP PresentationJason Wedel
Cathy Erickson
2019-2023 CAPITAL
IMPROVEMENT PROGRAM
June 18, 2018
Workshop Purpose
The purpose of this meeting is to
review the proposed 2019-2023
Capital Improvement Program
(CIP).
2019-2023 CIP Process
April 2:Long-Range Planning Workshop
June 18:Capital Plans Review I
July 16:Capital Plans Review II
August 6:Public Hearing and Adopt 2019-2023 CIP
City Council Values
•Financial sustainability
•Articulate each fund purpose &
maintain at the appropriate level
•Adjust rates annually
•Invest in Technology
City Council Values
•Collaborate with Other Entities
•Preventative maintenance is cost
effective (Roads/Fleet/Public Buildings)
•Equipment Replacement
•Impact on the Long-Range Plan
•Service Impact
City Council Values
PAYGO example including 2019 unplanned expenditures
PAYGO Example
2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028
Use of Funds:
Fire Dept Total 678,770$ 323,575$ 46,933$ 703,443$ 99,698$ 71,643$ -$ -$ 859,846$ -$ -$
Police Dept Total 143,170 207,823 198,198 229,505 255,287 92,738 134,056 221,263 155,485 150,519 216,863
Public Works Dept Total 445,493 681,625 655,289 466,205 623,779 475,292 472,225 687,144 447,966 699,416 842,373
Total Use of Funds 1,267,433$ 1,213,023$ 900,419$ 1,399,152$ 978,763$ 639,673$ 606,281$ 908,407$ 1,463,297$ 849,934$ 1,059,237$
Source of Funds:
Interest Earnings (1.5%)5,524 7,775 1,276 (631) 1,433 (1,497) 766 3,938 2,626 5,571 5,160
Annual Equipment Levy 550,000 600,000 600,000 600,000 600,000 600,000 625,000 625,000 625,000 625,000 625,000
General Fund Contribution - - - - .- - - - - -
Water Fund Contribution 70,000 70,000 70,000 75,000 75,000 80,000 80,000 80,000 80,000 80,000 80,000
Sewer Fund Contribution 70,000 70,000 70,000 75,000 75,000 80,000 80,000 80,000 80,000 80,000 80,000
Water Quality Fund Contribution 15,000 20,000 20,000 20,000 20,000 20,000 20,000 20,000 20,000 20,000 20,000
Forfeiture Funds / Donations - - 30,389 - - - - - - -
Watershed District Grant 30,000
Auction Proceeds 12,000 12,000 12,000 12,000 12,000 12,000 12,000 12,000 12,000 12,000 12,000
Bond Proceeds 665,000 725,000 - - - - 840,000 - -
Total Source of Funds 1,417,524$ 779,775$ 773,276$ 1,536,758$ 783,433$ 790,503$ 817,766$ 820,938$ 1,659,626$ 822,571$ 822,160$
Change in Fund Balance 150,091$ (433,248)$ (127,143)$ 137,605$ (195,330)$ 150,830$ 211,485$ (87,469)$ 196,329$ (27,363)$ (237,076)$
Beginning Fund Balance 368,241$ 518,332$ 85,084$ (42,059)$ 95,546$ (99,784)$ 51,046$ 262,531$ 175,062$ 371,391$ 344,028$
Ending Fund Balance 518,332$ 85,084$ (42,059)$ 95,546$ (99,784)$ 51,046$ 262,531$ 175,062$ 371,391$ 344,028$ 106,952$
CITY OF PRIOR LAKE
2019 - 2028 EQUIPMENT REPLACEMENT PLAN
Today’s Topics
Capital Plans Review I:
▪Transportation Plan
▪Street Overlay Plan
▪Equipment Replacement Plan
▪Park Plan
▪Facilities Management Plan
July 16 CIP Topics
Capital Plans Review II:
▪Water Plan
▪Sewer Plan
▪Storm Water Plan
▪Technology Plan
▪Financial Impacts
Street Facts
•111 Miles of City Streets
•2.4 Miles Gravel
•Fairly Even Age Distribution
2.5%1.3%
26.1%
15.8%
27.1%
20.3%
6.8%
Distribution of Road Ages
Unimproved
0-1970
1970-1980
1980-1990
1990-2000
2000-2010
2010-2020
Distribution of Road
Conditions
Preventative Maintenance
77 Miles
Rehab./Recon.
7 Miles
Resurface
10 Miles
Network OCI: 64
Total: 109 Miles
Does not include gravel roads
0 to 45
21%45 to 65
14%
65 to 100
65%
Preventative Maintenance
71 Miles
Rehab./Recon.
23 Miles
Resurface
15 Miles
Street Funding
Maintenance Activity Annual Cost
Seal Coat 6.75 miles $125,000
Overlay 4 miles $700,000
Reconstruct 2 miles $7,920,000
Annual Total $8,645,000
2017 Street Program
Maintenance Activity Annual Cost
Seal Coat 2.12 miles $38,100
Overlay 2.9 miles $442,050
Reconstruct/Reclaim 2.08 miles $6,040,519
Total $6,520,669
Ideal Street Program
Transportation Plan
Transportation Plan
Changes
Shifting of projects between years
▪To coincide with Scott County
Transportation Plan
▪To moderate the impact on the tax levy
and utility user rates
▪To prioritize streets based on current
conditions
Transportation Plan
2019
•CR 21/ TH 13 / Main Ave / Arcadia
•Fish Point Road (Fawn Meadows to CR 21)
Reclamation
•Watermain extension from Well #6 to WTP
Notes:
There is significant amount of sanitary sewer and watermain
replacement with CR21 project.
Fish Point Road will be full depth reclamation project.
Transportation Plan
2020
•CSAH 42 (CR83 -CR17) –widen to 4 lanes
•Fish Point Rd area Reconstruction:
▪Fish Point Road (CR 44 to TH 13)
▪Hidden Oaks/Timberview/Timber
▪Millers/Omega/Glory
•Colorado Street (Arcadia to Main) –
Reconstruction
•Colorado Street Parking Lot
Transportation Plan
2021
▪Pershing/Dunkirk/Dutch/Roanoke/Green
Heights/Spring -Reconstruction
▪Inguadona/Roosevelt/Ramsey/Green Heights
Trail/Park (Private) -Reconstruction
▪Park Avenue –Reclamation
Transportation Plan
2022
▪Northwood Road (Fremont to Knollridge) -
Reclamation
▪Northwood Road (Knollridge to CSAH 12) -
Reconstruction
▪Knollridge/Hawk Ridge/Viewcrest/Lake
Haven/ShadyCove/Lake Bluff/Fremont
Cir/Fremont St/Crystal -Reclamation
▪Frost Point Circle -Reconstruction
Transportation Plan
2023
•Martindale/Henning Circle/Hickory Lane -
Reclamation
•Lakeside Avenue (CR21 to Pleasant)
Reconstruction
•Colorado (Duluth to Arcadia)
Reconstruction
Transportation Plan
Changes
2019 -Pershing/Dunkirk/Dutch/Roanoke/
Green Heights/Spring
Reconstruction
-Park Avenue Reclamation
-Inguadona/Roosevelt/Green Heights
Trail Reconstruction
▪These streets removed and added to year 2021
Transportation Plan
Changes
2020 -Fish Point Road (Fawn Meadows
to CR21) Reclamation
▪This street removed and added to year 2019
Transportation Plan
Changes
2021 -Northwood Road (Fremont to
Knollridge) Reclamation
-Northwood Road (Knollridge to
CR12) Reconstruction
-Knollridge/Hawk
Ridge/Viewcrest/Lake Haven/Shady
Cove/Lake Bluff/Fremont
Circle/Fremont Street/Crystal
Reclamation
▪These streets removed and added to year 2022
Street Overlay Plan
▪The plan reflects four miles of street mill and
overlay per year.
▪Increase in the Street Overlay/Resurface
assessment, based on increase in the CCI is
recommended
▪Funding sources are special assessments and
tax levy. Tax levy is reviewed annually & may
be reduced based on special assessment
prepayments.
▪The 2019 project includes Pike Lake Trail from
CSAH 42 to Carriage Hills Parkway and streets in
the Wilds neighborhood.
Equipment Replacement
Plan
▪Reviewed equipment condition for safety,
functionality, and effectiveness of
repairs/refurbishing
▪Updated base vehicle costs and inflationary
factors
▪Staff shifted replacement years, where
possible to smooth the levy impact.
Equipment Replacement
Plan
Significant plan changes:
▪Fire Water Tanker moved from 2024 to
2019 -$325,000
▪Police encrypted radios by 2022-$220,000
▪Bond proceeds/other funding source will
be needed to fund these expenditure
Equipment Replacement
Plan
The annualized cost of the equipment
replacement is over $900,000. The updated
financing plan includes:
▪a phased increase in the tax levy from
$550,000 in 2018 to $600,000 in 2019
▪bonding for the water tanker in 2019.
Park Plan –New
▪Master Park Plan to be completed by mid 2019.
The purpose of the plan is to look at current parks
and proposed changes/updates as well as the
City’s future needs and new park location.
▪2018 change to review opportunities for
developers to install new neighborhood parks and
crediting the cost against their park dedication fees
rather than having City staff construct the parks.
Park Plan –New
▪Current plan estimates completion of a new
park every two years.
2019 -Trillium Cove (Phase II)
2021 -Summit Preserve (Phase II)
▪Current plan includes 2019 expenditures of
$250,000 for the Hwy 13 trail gap to be
completed as part of Duluth/TH 13 project.
▪Current plan anticipates Community Park
Referendum Bond Proceeds –2022. This
will be reevaluated as part of the Master
Park Plan.
Park Plan –Replacement
▪Updated Master Park Plan will include a
sustainability study that includes existing,
as well as new parks and a trail gaps
analysis
▪The plan includes a phased increase in the
tax levy from $100,000 in 2019 to
$425,000 in 2024 to fund annual trail
replacement.
▪Issue Bonds -2028
Facilities Management
Plan
▪Plans for major maintenance and
replacements
▪No changes for use of funds for 2019-2023
CIP
▪Updates made to source of funds-
increased transfers from Water Fund for
utility specific projects
▪Issue Bonds –2021
Financial Impacts
Adjustments that impact the property tax levy:
Transportation Plan 2019-2023:
2019-2023 bonding -$14,403,000
Five year reduction in bonding of $5,440,000 with project
planning changes
Estimated change in debt service tax levy –see following slide
Financial Impact-Prelim Debt Service
Draft 06.18.2018
CITY OF PRIOR LAKE
PROPERTY TAX PROJECTION SUMMARY
LONG RANGE FORECAST
Adopted Budget
2018 2019 2020 2021 2022 2023
Tax Levies:
General 7,779,182 8,213,358 8,866,039 9,275,439 9,812,104 10,328,012
Equipment Revolving Fund 550,000 600,000 600,000 600,000 600,000 600,000
Revolving Park Equip Fund 238,184 339,292 433,276 527,649 632,832 903,913
Facilities Management Fund - - 30,000 80,000 80,000 105,000
PIR Fund - 95,000 175,000 175,000 185,000 185,000
EDA Fund 140,000 140,000 140,000 140,000 140,000 140,000
Debt Service 3,370,172 3,497,468 3,583,968 3,927,061 4,264,059 4,447,962
12,077,538 12,885,118 13,828,283 14,725,149 15,713,995 16,709,887
Breakdown of Change in Levies:
General 586,390 434,176 652,681 409,400 536,665 515,908
Equipment Revolving Fund 175,000 50,000 - - - -
Revolving Park Equip Fund 24,778 101,108 93,984 94,373 105,183 274,981
Facilities Management Fund - - 30,000 50,000 - 25,000
PIR Fund - 95,000 80,000 - 10,000 -
EDA Fund - - - - - -
Debt (276,784) 127,296 86,501 343,092 336,998 183,903
Total Change 509,384 807,580 943,166 896,865 988,846 999,792
General 8.15%5.58%7.95%4.62%5.79%5.26%
Equipment Revolving Fund 46.67%9.09%0.00%0.00%0.00%0.00%
Revolving Park Equip Fund 11.61%42.45%27.70%21.78%19.93%43.45%
Facilities Management Fund n/a n/a n/a 166.67%0.00%31.25%
PIR Fund n/a n/a 84.21%0.00%5.71%0.00%
EDA Fund 0.00%0.00%0.00%0.00%0.00%0.00%
Debt -7.59%3.78%2.47%9.57%8.58%4.31%
Total Change 4.40%6.69%7.32%6.49%6.72%6.36%
Change in Debt Levy per 4.2.2018 Long Range Forecast 119,205 206,680 438,291 475,244 183,358
Projected
1
2
3
4
5
6
7
Financial Impacts
Adjustments that impact the property tax levy:
▪Street Overlay Plan 2019-2023:
–Phased in tax levy increase to $205,000 in 2023
Facilities Management Plan –no significant changes
–Dedicated Funding from Property Tax Levy -2020
–Bonds Issued in 2021, 2024 and 2026
Equipment Replacement Plan
–Planned increase in tax levy in 2019 and again in 2024
–Bonds issued in 2019 for Fire water tanker
–Bonds issued in 2021 for Fire pumper
Financial Impacts
Adjustments that impact the property tax levy:
Park Equipment Replacement Plan –No significant
changes
Plan may change significantly with Park Master Plan
Financial Impacts
Other Impacts to Prepare
Projected Debt Balances
Projected Debt Per Capita
Operating Plans –Water, Sewer & Water Quality
Rate Changes
What’s Next?
April 2:Long-Range Planning Workshop
June 18:Capital Plans Review I
July 16:Capital Plans Review II
August 6:Public Hearing and Adopt 2019-2023 CIP
Questions/Discussion