Parks, Trails & Recreation Master Plan

CAPITAL IMPROVEMENTS The Capital Improvements Program (CIP) is a five-year + plan to provide and maintain public facilities for the citizens and businesses of Shakopee, balanced against the constraints of available resources. Capital Improvements are the projects that require the expenditure of public funds for the acquisition, construction or replacement of the infrastructure necessary for communities. Capital planning is critical to the continuation of essential public services, as well as being an important component of a community’s economic development program. The creation and update of multi-year capital plan allows for the community to plan for the current and long-term needs of the constituents. This plan is often integrated with the maintenance needs and funding sources that will provide for the delivery of services to a community. Capital projects are different from the operating budgets of a City, as they often represent large financial obligations that may span more than one year. The unique nature of capital projects allows for a different presentation to the governing board, than the process used for operational budget discussions. The information and tracking needs of projects requires an adequate system of management, to ensure the impact on the capital plan, as well as the operational budgets. The development of a capital improvement plan is prepared with the following elements: » » Identification of needs, utilizing strategic plans, comprehensive plans as well as input from citizens, staff and Council; » » Determination of the projects specific to repair, maintenance, replacement or new construction; » » Recognition of the revenue sources that will be utilized to fund the planned projects; » » Need for debt issuance for future needs; and » » Identification of the need for policy updates or creation. The full cost of the projects must be developed as well as the timing and coordination of the project with other entities, both public and private. The

planning process that brings all the impacted parties into play will result in a program that can clearly detail not only the original construction costs, but future year maintenance and operational costs. With this information as a base, the future year plans as well as the affordability of the projects can be evaluated, based on more consistent and reliable information, establishing a strong and consistent Capital Improvement Program. The plan for the City of Shakopee lists the projects scheduled for the upcoming 5 years, and details the activities for the Capital Project Funds, Internal Service Funds, and the Sanitary and Surface Water Enterprise funds. CIP is prepared by city staff. It is then submitted to the City Council for approval, as the 5-year program is utilized by staff for the long-range planning and budget needs of the City. The Department funds Parks related capital improvements through two funds and a separate Tree Replacement Fund. The Department has a Five-Year Capital Improvement Program (CIP) in both funds. The fund descriptions present the project, project costs, and proposed funding sources at the time of this draft. » » Park Development Fund - This Fund accounts for the park capital projects of the City with funding from park dedication fees and other sources. » » Tree Replacement Fund - This Fund accounts for tree replacement throughout the City. Additionally, Shakopee has internal service funds to account for the maintenance and/ or replacement of existing infrastructure. Shakopee is unique in having a fund strictly dedicated to replacing park assets: » » Park Asset Fund - This Fund accounts for the City’s funds accumulated for the maintenance and/ orreplacement of park assets. The following table presents a road map for implementation of major projects found in this master plan. It is intended to be a framework only, and will be modified and updated by staff as needed.

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