RES 03082 - Laserfiche WebLink

THE CITY OF ATTACHMENT A pL£AS&NTON May 25, 2003 Honorable Mayor and City Council: SUBJECT: CAPITAL IMPROVEMENT PROGRAM FOR FISCAL YEARS 2003-04 TO FISCAL YEARS 2006-07 I. INTRODUCTION AND OVERVIEW OF CIP PROCESS This Capital Improvement Program (CIP) has been prepared to provide the City Council and the community with information necessary to identify capital improvement needs, projects and reserves for the next four years. Consistent with the City's two-year budget program, it is recommended that the first two years of the CIP be adopted and that funds be appropriated to cover the projects included in these two years. The projects included in the final two years of the CIP are tentative based on currently identified needs and revenue projections and as such, are subject to revision to accommodate changes in priorities and/or expected funding levels. As part of the ongoing budget monitoring program, staff intends to conduct a thorough review of the Capital Improvement Program at the end of Fiscal Year 2003-04 and will provide the City Council with any recommended changes on the projects and revenues being proposed in the CIP as part of the Mid-Term Budget process. Because a significant portion of the total revenue available to the Capital Improvement Program is derived from development related fees assessed on new development and other sources not directly related to ongoing City revenue, the status of the economy, state and federal programs and policies and the amount of local development activity during the next several years will play a major role in the City's ability to finance projects included in this program. As a result, similar to previous CIP's, staffhas taken a conservative approach to forecasting development approvals and related revenue. As a result, as indicated later in this Introduction and further detailed in Section II of the Appendix, future development- related projections are based entirely on residential and commercial development which have received all necessary approvals, including growth management approval. However, there is no assurance that these developments will begin construction and as a result, consistent with previous CIP's, development fee revenue projected to be received in 2003-04 will be used to fund projects in 2004-05. The development revenue for 2003-04 projects is derived from fund balances and development related revenue collected in 2002-03.