14 - Laserfiche WebLink

Considering Enhancement projects or not, the staff work on the ten-year infrastructure plan has been useful, and eye-opening. Attachment 3 is a summary sheet of the anticipated needs over the next ten years. The summary sheet accounts for all facilities and infrastructure so it includes all funds, while the General Fund needs are highlighted. As stated, although there are some Enhancement projects in the plan, most of the identified needs are associated with State of Good Repair projects. Attachment 3 indicates that an average of approximately $52 million in General Fund dollars is needed for capital improvement projects and repair and replacement and $89 million when we include enterprise and other restricted funds, is needed each year to simply maintain what we have over the next 10 years, with some front loading due to the few Enhancement projects included and past deferred maintenance. There are a lot of assumptions in the plan, such as the life expectancy of facilities and infrastructure, but even so the ten-year infrastructure plan clearly reveals a structural problem with respect to revenues and potential expenses. Maintenance can be deferred, but as City facilities and infrastructure continue to age, it will become more challenging to defer maintenance and remain operational. The recent work on the ten-year infrastructure plan has revealed there is a lot of important work ahead to ensure the City can sustain today's many existing facilities and infrastructure that residents, businesses, and visitors enjoy. It has also been revealed that the deficit in funding exists without considering much in the way of Enhancement projects, which the City must be able to provide in the future as priorities and expectations change. This issue is presenting itself now since so much of the City's facilities and infrastructure, that came with significant community growth during the 1980s and 1990s, is now 30 to 40 years old. Notably, Pleasanton is not alone in determining the significant funds necessary to maintain and eventually replace older existing facilities and infrastructure; Walnut Creek recently did a ten- year infrastructure plan that resulted in a similar position with similar dollar amounts needed each year. While the ten-year infrastructure plan is a good start, it does not provide enough to move toward definitive discussions about alternative funding sources. As a next step, staff is proposing that the preparation of an Asset Management Plan with a focus on City facilities and infrastructure (assets) that are maintained and eventually will be replaced with General Fund dollars. The plan will create an inventory of those assets, and through various industry standards, establish a remaining life expectancy of each asset and determine an asset replacement cost. The plan will also consider each asset's current condition and may recommend maintenance practices to extend each asset's useful life which will help smooth the funding need over time. The result will be a cost-loaded Asset Management Plan that will allow decisions to be made about maintenance requirements and desired maintenance levels, as well as provide a foundation for discussions about possible new revenue streams. The Asset Management Plan will be similar to the City's existing Pavement Management System (PMS) which is an inventory and condition assessment of all streets, and assists with the planning for maintenance of some and reconstructions of others, with the focus on maintaining the overall average condition of the city streets. The PMS has also been used regionally as the basis for various gas tax proposals and other measures, such as Measures B and BB. The Asset Management Plan has been identified by staff as a priority project in the upcoming 6