CIP Review Session

Transcription

1 CIP Review Session (November 28, 2017) TO: FROM: Governing Body members Eric Wade, City Administrator Doug Robinson, CFO SUBJECT: Recommended Capital Improvement Program (CIP) We are pleased to submit the FY Recommended CIP for review and discussion by the Governing Body beginning at a work session on November 28 th. Staff has organized the CIP document in the following sections: Section 1 Executive Summary Section 2 Financial Projections & Outstanding Debt Information Section 3 Detail Information for Funded Projects Section 4 List of Unfunded Projects Section 5 Draft of Revised Debt Policy The total FY Recommended CIP is $138 million with 32 funded projects. Proposed CIP Review Schedule Staff proposes the following schedule for review and discussion of the CIP: November 28 th Governing Body work session to review CIP December 4 th Planning Commission considers CIP December 19 th Public Hearing on CIP December 19 th or January 2 nd Governing Body adoption of the CIP Staff can adjust this schedule as needed for Governing Body consideration of the CIP. Please contact us if you have any questions on the Recommended CIP. 1

2 FY 2018 FY 2022 Recommended Capital Improvement Program (CIP) Executive Summary The recommended FY 2018 FY 2022 CIP is $138 million (including prior year expenditures) and is $100 million lower than the previous CIP due to the completion of several projects, including: the Civic Center campus, 95 th Street and I-35 Interchange, Lenexa Logistics North special benefit districts, and the Mill Creek Road special benefit district. Sources of Funding The debt service property tax rate for the CIP is estimated at approximately 7.94 mills in FY 2018 through FY 2022 (no change from the FY 2017 debt service property tax rate). The property tax revenue generated from the debt service mill levy is used to make principal and interest payments on general obligation debt issues. The funding sources in the recommended CIP are: Funding Sources: FY CIP General Obligation (includes SBD bonds) $44,022,284 32% General Fund Revenues $30,792,994 22% 3/8-Cent Sales Tax $16,642,845 12% Stormwater General Obligation $12,418,491 9% External Grants $9,702,040 7% Special Highway Fund (Gas Tax) $7,906,700 5% Stormwater Revenues $6,550,878 5% Excise Tax Revenues $3,811,349 3% CARS Program $2,172,000 1% Other $3,768,359 3% Total $137,787, % The general obligation bonds category includes $44 million for street and facility (Fleet Maintenance Facility) projects. Stormwater projects are funded with general obligation bonds ($12.4 million) and Stormwater pay-as-you-go revenues ($6.6 million). In addition, external sources of funding (including the Special Highway Fund, the County Assistance Road System, or CARS program, and grants) finance 15% of the recommended CIP for FY 2018 through FY Project Information The recommended CIP includes 32 funded capital projects. Three projects comprise over 50% of the recommended CIP: Ridgeview Road Prairie Star Parkway to K10 Highway ($33.2 million) Pavement Management Program ($32 million) Stormwater Infrastructure Replacement ($14.3 million) The uses of funding in the recommended CIP are listed on the next page. 2

3 FY 2018 FY 2022 Recommended Capital Improvement Program (CIP) Executive Summary Uses of Funding: FY CIP Streets/Bridges/Traffic Projects $98,027,997 71% Stormwater Projects $18,618,491 13% Facility Projects $12,540,963 9% Parks & Recreation Projects $6,312,989 5% Capital Equipment/Other Projects $2,287,500 2% Total $137,787, % Stormwater Financial Model Staff has updated the stormwater financial model to incorporate the stormwater projects funded in the recommended CIP. For FY 2018 through FY 2022, the stormwater service charge is $109 per equivalent dwelling unit, or EDU. This is the same rate as FY Debt Amortization The time period for debt amortization varies depending on the type of project. The city s current practices are summarized below: Special benefit districts debt is retired over a period of 10 to 20 years, and debt is repaid by property owners within the benefit district. Stormwater projects debt is retired over a period of 20 years, and debt is repaid by dedicated stormwater revenues. General projects debt is retired over a period of 10 years, except for the Ridgeview Road project (which is retired over a period of 20 years). Final Comments In developing communities like Lenexa, the CIP represents a snapshot in time. As such, it is the best plan that can be formulated today based on the information available. As conditions change, staff anticipates presenting amendments to assure the CIP continues to implement the city s Comprehensive Plan and accomplish the Governing Body s goals. 3

4 Recommended CIP Sources and Uses of Funding by Year Prior Sources of Funding: Years FY 2017 FY 2018 FY 2019 FY 2020 FY 2021 FY 2022 Totals % share General Obligation $2,396,181 $0 $17,650,000 $11,682,603 $0 $6,833,500 $0 $38,562,284 28% Stormwater $0 $1,994,000 $5,344,000 $1,037,391 $2,657,500 $1,385,600 $0 $12,418,491 9% Special Benefit District $0 $0 $5,460,000 $0 $0 $0 $0 $5,460,000 4% General Fund Revenues $3,534,169 $5,856,543 $11,693,031 $3,100,050 $2,034,472 $2,854,928 $1,719,801 $30,792,994 22% Stormwater Revenues $0 $650,878 $1,300,000 $1,325,000 $1,225,000 $1,025,000 $1,025,000 $6,550,878 5% Excise Tax $0 $763,400 $2,116,449 $0 $931,500 $0 $0 $3,811,349 3% TIP Fees $0 $196,805 $274,050 $287,100 $300,150 $157,200 $0 $1,215,305 1% PRIF Fees $59,071 $299,305 $0 $0 $0 $0 $0 $358,376 0% 3/8 cent sales tax $517,635 $4,898,609 $319,000 $2,535,504 $2,611,568 $2,989,916 $2,770,613 $16,642,845 12% County 1/4 cent sales tax $0 $0 $220,000 $0 $0 $0 $0 $220,000 0% Parks Revenues $266,624 $450,000 $0 $25,000 $25,000 $25,000 $25,000 $816,624 1% Subtotal: $6,773,680 $15,109,540 $44,376,530 $19,992,648 $9,785,190 $15,271,144 $5,540,414 $116,849,146 85% External sources of funding: Federal & State Grants $2,814,822 $964,790 $5,278,428 $44,000 $600,000 $0 $0 $9,702,040 7% CARS Program $0 $0 $1,158,000 $1,014,000 $0 $0 $0 $2,172,000 2% SMAC Program $0 $0 $0 $0 $0 $0 $0 $0 0% Special Highway fund (gas tax) $0 $1,282,800 $1,324,780 $1,324,780 $1,324,780 $1,324,780 $1,324,780 $7,906,700 6% Other local funding $0 $958,054 $200,000 $0 $0 $0 $0 $1,158,054 1% Total external sources of funding: $2,814,822 $3,205,644 $7,961,208 $2,382,780 $1,924,780 $1,324,780 $1,324,780 $20,938,794 15% Grand Total Sources of Funding: $9,588,502 $18,315,184 $52,337,738 $22,375,428 $11,709,970 $16,595,924 $6,865,194 $137,787, % 4

5 Recommended CIP Sources and Uses of Funding by Year Prior Uses of Funding: Years FY 2017 FY 2018 FY 2019 FY 2020 FY 2021 FY 2022 Totals % share Streets & Bridges $5,437,400 $12,104,845 $43,627,975 $5,994,334 $6,672,320 $11,910,624 $5,185,194 $90,932,692 66% Traffic $0 $1,151,805 $3,679,050 $667,100 $680,150 $537,200 $380,000 $7,095,305 5% Stormwater $42,113 $4,057,355 $4,938,532 $2,337,391 $3,857,500 $2,385,600 $1,000,000 $18,618,491 14% Facilities $22,600 $1,483,963 $8,240,400 $1,694,000 $500,000 $300,000 $300,000 $12,540,963 9% Parks $1,629,508 $1,973,024 $2,410,457 $0 $0 $300,000 $0 $6,312,989 5% Capital Equipment & Miscellaneous $0 $0 $1,125,000 $0 $0 $1,162,500 $0 $2,287,500 2% Total Uses of Funding: $7,131,621 $20,770,992 $64,021,414 $10,692,825 $11,709,970 $16,595,924 $6,865,194 $137,787, % 5

6 Recommended CIP Funded Project Expenditures by Year Year Capital Expenditures are Incurred Prj Prior Budget No. Project Title Years Total STREETS/BRIDGES Pavement Management Program 0 8,100,000 3,223,189 5,784,334 4,872,200 4,977,124 5,085,194 32,042, Bridge Maintenance 0 110, , , , , , , K-10 & Lone Elm Interchange Design and ROW Acquisition 3,284,929 68,488 4,130, ,484, Ridgeview Road - Prairie Star Parkway to 99th Street 406, ,938 21,590, ,212, Ridgeview Road from K-10 north to 99th Street 1,699, ,775 8,429,126 11,008, City Center Amenity Zone 45,960 1,007, , ,226, I-435 & 87th Street Parkway Landscaping 0 450, , , th Street & Clare Road ,500 6,833, ,765, Westbound 87th Street Right Turn Lane at Northbound I-435 Entrance Ramp , , th Street & Santa Fe Trail Drive Intersection Improvements , , , ,610 New (60097) Maurer Road Special Benefit District 0 511,000 3,889, ,400,000 New (60098) Lone Elm Special Benefit District 0 763,400 1,176, ,939,849 Subtotal 5,437,400 12,104,845 43,627,975 5,994,334 6,672,320 11,910,624 5,185,194 90,932,692 TRAFFIC Street Lighting System Replacement 0 680, , , , , ,000 2,880, LED Streetlight Conversion 0 275,000 2,725, ,000, th Street Traffic Signals - Scarborough to Winchester 0 196, , , , , ,215,305 Subtotal 0 1,151,805 3,679, , , , ,000 7,095,305 PUBLIC BUILDINGS Fund 73 Facilities Improvements & Maintenance Fund 0 1,483, , , , , ,000 3,583,963 Fund 15 Community Center & Senior Center Improvements 22, ,400 44, , City Center Parking Structure (SMSD Aquatics Center) 0 0 1,150,000 1,150, ,300, Municipal Service Center Fleet Facility 0 0 6,000, ,000,000 New Public Safety Facility Study , ,000 Subtotal 22,600 1,483,963 8,240,400 1,694, , , ,000 12,540,963 PARKS Playground Equipment Replacement 1,132,335 47, , , ,798, Park Entry Signage and Wayfinding 288,431 32, , , Sar-Ko-Par Trails Park Improvements 79,154 1,821, , ,474, Renner Boulevard (91st to 93rd Street) Mixed Use Trail 29,565 21, , , Lackman Road (Sar-Ko-Par to 95th & I-435) Mixed Use Trail 100,023 49, , ,800 New Pool Facility Needs Study , ,000 Subtotal 1,629,508 1,973,024 2,410, , ,312,989 6

7 Recommended CIP Funded Project Expenditures by Year Year Capital Expenditures are Incurred Prj Prior Budget No. Project Title Years Total STORMWATER Traditional Stormwater Infrastructure Replacement 0 2,394,000 3,810,000 2,337,391 2,362,500 2,385,600 1,000,000 14,289, Brookwood Place Stormdrainage Improvements 42,113 1,663,355 1,128, ,834, Pflumm & College Stormwater Rehabilitation ,495, ,495,000 Subtotal 42,113 4,057,355 4,938,532 2,337,391 3,857,500 2,385,600 1,000,000 18,618,491 MAJOR CAPITAL EQUIPMENT & MISCELLANEOUS Command Post Replacement Vehicle , , (2018) Fire Engine/Pumper , , (2021) 75' Elevated Stream/Aerial Ladder Apparatus ,162, ,162,500 Subtotal 0 0 1,125, ,162, ,287,500 Funded Projects 7,131,621 20,770,992 64,021,414 10,692,825 11,709,970 16,595,924 6,865, ,787,940 7

8 Amount changes for funded projects change from Amended CIP to Recommended CIP Amended Recommended Prj No. Project Title CIP CIP Change Reason for change STREETS/BRIDGES Pavement Management Program 27,975,915 32,042,041 4,066,126 $2.2 in CARS funding and increase in funding from Capital Improvement Fund Bridge Maintenance 610, ,000 0 No change K-10 & Lone Elm Interchange Design and ROW Acquisition 7,484,000 7,484,000 0 No change th Street & I-35 Interchange 12,126, ,126,954 Project complete 60081/60082 Ridgeview Road 33,220,941 33,220,941 0 No change City Center Amenity Zone 1,226,718 1,226,718 0 No change Lenexa Logistics Center North SBD - Mill Creek Road 3,460, ,460,000 Project complete Mill Creek Road Improvements SBD (Fairways at City Center) 3,140, ,140,000 Project complete Winchester Street & Civic Center Amenity Zone 900, ,000 Project complete Britton Street Extension Improvement District - Special Benefit District 1,513, ,513,349 Project complete I-435 & 87th Street Parkway Landscaping 900, ,000 0 No change th Street & Clare Road 7,765,000 7,765,000 0 No change Westbound 87th Street right turn lane at Northbound I-435 Entrance 390, ,533 0 No change ramp th Street & Santa Fe Trail Drive Intersection Improvements 953, ,610 0 No change New/60097 Maurer Road Special Benefit District 0 4,400,000 4,400,000 New special benefit district New/60098 Lone Elm Road Special Benefit District 0 1,939,849 1,939,849 New special benefit district Subtotal 101,667,020 90,932,692-10,734,328 TRAFFIC Street Lighting System Replacement 3,980,000 2,880,000-1,100,000 Street light maintenance funds moved to General Fund in Street light replacment funds retained in CIP th Street Traffic Signals 400,000 1,215, , included Penrose signals LED Streetlight Conversion 3,000,000 3,000,000 0 No change Subtotal 7,380,000 7,095, ,695 PUBLIC BUILDINGS Fund 73 Facilities Improvements & Maintenance Fund 3,115,001 3,583, ,962 Unspent funding carried over from previous years Lenexa Civic Center 75,400, ,400,000 Project complete Fund 15 Community Center and Senior Center Improvements 437, ,000 0 No change City Center Parking Structure (SMSD Aquatics Center) 4,600,000 2,300,000-2,300,000 Only show City portion of project Municipal Service Center Fleet Facility 6,000,000 6,000,000 0 No change Civic Center - Park University Tenant Finish 520, ,000 Project complete New Public Safety Facility Study 0 220, ,000 New project Subtotal 90,072,001 12,540,963-77,531,038 PARKS Playground Equipment Replacement 1,798,335 1,798,335 0 No change Park Shelter and Restroom Improvements 1,140, ,140,323 Funding combined with Sar-Ko-Par Trails Park Improvements Park Entry Signage and Wayfinding 611, ,000 0 No change Sar-Ko-Par Trails Park Improvements 2,474,014 2,474,014 0 No change Renner Blvd (91st to 93rd) Multi Use Trail 363, ,840 0 No change Lackman Road (Sar-Ko-Par to 95th & I-435) Mixed Use Trail 1,273, , ,950 Project split into phases City Center Trail and Pond Improvements 575, ,093 Project complete New Pool Facility Needs Study 0 67,000 67,000 New project Subtotal 8,236,355 6,312,989-1,923,366 8

9 Amount changes for funded projects change from Amended CIP to Recommended CIP Amended Recommended Prj No. Project Title CIP CIP Change Reason for change STORMWATER Traditional Stormwater Infrastructure Replacement 16,487,835 14,289,491-2,198, Brookwood Place Stormdrainage Improvements 2,069,000 2,834, ,000 Eliminate inflation factor in future years. Added Brookwood Phase II (87th Street to 83rd Street from I-435 to Allman) Lenexa Logistics Center North SBD - Stormwater 4,970, ,970,000 Project complete Pflumm & College Stormsewer Rehabilitation 1,495,000 1,495,000 0 No change Subtotal 25,021,835 18,618,491-6,403,344 MAJOR CAPITAL EQUIPMENT & MISCELLANEOUS Video Cameras, Upgrade and Integrate Video Control System 1,302, ,302,719 Project complete SCBA Fleet Replacement 1,024, ,024,000 Project complete Command Post Replacement Vehicle 325, ,000 75,000 Revised cost estimate 10 (2017) Fire Engine/Pumper 704, ,000 Project complete 10 (2018) Fire Engine/Pumper 742, ,000-17,500 Revised cost estimate 10 (2021) 75' Elevated Stream/Aerial Ladder Apparatus 1,162,500 1,162,500 0 No change Subtotal 5,260,719 2,287,500-2,973,219 Funded Projects 237,637, ,787,940-99,849,990 9

10 FY 2018 FY 2022 Multi-year Financial Models (Updated November 2017) Introduction Staff has updated the multi-year financial models for the Debt Service Fund and Stormwater Fund to incorporate the final approved budget for FY 2018 and the recommended CIP for FY 2018 FY The financial models continue to reflect structural balance (projected revenues equal or exceed projected expenditures) for the Debt Service Fund and Stormwater Fund beginning in FY Financial Model Assumptions Staff has summarized the major financial assumptions for the models in the table below. FY2018 FY2019 FY2020 FY2021 FY2022 Assessed Value % change 6.1% 6.1% 5.2% 4.8% 4.3% Debt Service Fund mill levy Estimated property tax delinquency rate 3% 3% 3% 3% 3% Stormwater Equivalent Dwelling Unit 3% 2% 1% 1% 1% (EDU) % change Stormwater EDU annual fee $109 per EDU $109 per EDU $109 per EDU $109 per EDU $109 per EDU Debt Service Fund Financial Model Staff has updated the Debt Service Fund projections to include the estimated debt service necessary to finance projects funded with debt in the recommended FY 2018 FY 2022 CIP. 10

11 The Debt Service Fund financial model reflects a deficit of $1.7 million in FY 2018 and structural balance beginning in FY 2019 (due to the retirement of bonds in FY 2018 originally issued in FY 2003). The ending Debt Service Fund reserve ranges from 26% to 47% of projected debt service expenditures ($3.6 to $6.7 million). The reserve policy requires a reserve of 10% to 20% of debt service expenditures. The estimated surplus amount of $1.7 million in 2022 would be sufficient to cover debt service on a $14.5 million bond issue retired over 10 years or a $24 million bond issue retired over 20 years (based on the current interest rate environment). Stormwater Fund Financial Model Staff has updated the Stormwater Fund projections to include the estimated debt service necessary to finance stormwater projects funded with debt in the recommended FY 2018 FY 2022 CIP. The Stormwater Fund financial model reflects a deficit of $1 million in FY 2018 and structural balance beginning in FY 2019 (due to the retirement of bonds in FY 2018 originally issued in FY 2003). The ending Stormwater Fund reserve ranges from 16% to 17% of projected revenues ($1.1 to $1.2 million). The reserve policy requires a reserve of 10% to 20% of Stormwater Fund revenues. 11

12 Final Comments The financial model projections are based on a number of assumptions which continue to change as time passes. The City can control some of the assumptions while others cannot be controlled and are difficult to predict. Overall, the projections are a tool to illustrate the impact of policy alternatives and to highlight potential financial issues in future years. 12

13 Recommended FY FY 2022 CIP Debt Statistics General Obligation - non-stormwater Principal Balance - beginning of year 108,720, ,633, ,238, ,890, ,248,266 Principal Payments 11,910,325 11,476,961 12,348,430 12,475,795 12,346,252 New Debt Issued 26,823,349 16,082, ,833,500 0 Principal Balance - end of year 123,633, ,238, ,890, ,248,266 97,902,014 Stormwater General Obligation Principal Balance - beginning of year 21,369,675 30,673,000 29,523,871 29,872,704 28,842,018 Principal Payments 3,004,675 2,186,520 2,308,667 2,416,286 2,501,420 New Debt Issued 12,308,000 1,037,391 2,657,500 1,385,600 0 Principal Balance - end of year 30,673,000 29,523,871 29,872,704 28,842,018 26,340,598 BOND TOTALS Principal Balance - beginning of year 130,090, ,306, ,762, ,763, ,090,284 Principal Payments 14,915,000 13,663,481 14,657,097 14,892,081 14,847,672 New Debt Issued 39,131,349 17,119,994 2,657,500 8,219,100 0 Principal Balance - end of year 154,306, ,762, ,763, ,090, ,242,612 General Obligation Notes (temporary financing for Special Benefit Districts) Balance - beginning of year 11,100,000 4,400, Principal Payments 12,160,000 4,400, New Notes Issued 5,460, Balance - end of year 4,400, General Obligation Debt Totals Principal Balance - beginning of year $141,190,000 $158,706,349 $157,762,862 $145,763,265 $139,090,284 Principal Payments $27,075,000 $18,063,481 $14,657,097 $14,892,081 $14,847,672 New Debt Issued $44,591,349 $17,119,994 $2,657,500 $8,219,100 $0 Principal Balance - end of year $158,706,349 $157,762,862 $145,763,265 $139,090,284 $124,242,612 RATIO Calculations Estimated Market Value of Tax Base $6,724,784,976 $7,128,272,075 $7,484,685,679 $7,858,919,963 $8,173,276,762 Outstanding Debt as a % of Tax Base 2.4% 2.2% 1.9% 1.8% 1.5% 13

14 ANNUAL PAVEMENT MANAGEMENT PROGRAM The annual Pavement Maintenance Program will maintain roadways during their useful life (Pavement Condition Index above 55). Current maintenance procedures include curb & gutter replacement, crack sealing, micro seals, mill & overlay and asphalt surface replacement using ultra-thin bonded asphalt surface (UBAS). In an effort to maintain quality roadways, the takes a proactive approach to pavement maintenance. Using the GBA Street Master Pavement Maintenance Program, we are able to evaluate alternative maintenance techniques, such as crack sealing, slurry seal, and mill & overlay to create a cost effective program. $75,000 will be dedicated towards maintenance of trails. Funding sources include $25,000 each from Stormwater, Parks and Pavement Maintenance Program. Various locations throughout Lenexa In-house Construction Timeline $32,042,041 Legend Stephen Mustain, Pavement/Asset Management Technician smustain@lenexa.com

15 ANNUAL BRIDGE MAINTENANCE Without routine maintenance, the useful life of Lenexa s bridges will be significantly shortened. The is required to have all 26 bridges inspected biennially and report to the Kansas Department of Transportation. A bridge is defined as a structure or reinforced concrete box with an overall width (measured along the centerline of the roadway) exceeding 20 feet. Our consultant has identified a number of maintenance needs to keep our bridges safe and to extend their useful life. Specific improvements include: expansion joint repairs, crack sealing, guardrail repair, and scour protection. Various locations throughout Lenexa In-house Construction Timeline $610,000 Legend Tim Green, City Engineer tgreen@lenexa.com

16 K-10 HIGHWAY & LONE ELM ROAD DESIGN AND R.O.W. ACQUISITION This project represents an integral component to further development within the City as outlined in the Western Lenexa Study completed in Design of the interchange at Lone Elm and K-10 with over 2 miles of continuous auxiliary lanes between the new K-10 at Lone Elm interchange and the existing K-7 interchange and the Woodland Road interchange. The plan includes widening of approximately 4,600 feet of Lone Elm to a fourlane arterial street section from 101st Street north of K-10 to 2,600' south of K-10, plus realignment of the frontage road in the southwest quadrant of the interchange to intersect with Lone Elm approximately 1,200' south of the interchange. This project also includes right-of-way acquisition costs. K-10 & Lone Elm Road Burns & McDonnell Construction Timeline Future $7,484,000 Funding Sources Steve Schooley, Transportation Manager sschooley@lenexa.com

17 RIDGEVIEW ROAD PHASES 1 & 2 Construction of Ridgeview Road to open land for new development. The project will be financed by General Obligation bonds, the Capital Improvement Fund, Excise Tax, and private funding. A portion of the General Obligation bonds will be repaid with Tax Increment Financing (TIF) revenues. Work includes constructing Ridgeview Road as a four-lane divided arterial roadway with concrete curb and gutter, asphalt surfacing, storm drainage infrastructure, and intersection improvements from Prairie Star Parkway to K- 10. Ridgeview Road from Prairie Star Parkway south to K-10 HNTB To be awarded to the Design/Build Team presenting the best value. Construction Timeline $33,220,941 Legend Tim Green, City Engineer tgreen@lenexa.com

18 CITY CENTER STREET AND SIDEWALK AMENITY ZONE The amenity zone and street lighting adjacent to the Lexmark Enterprise Software buildings and Renner89 building are being installed as part of the 89 th Street/Penrose Lane Street Improvement project. This proposed project will complete work along the remainder of 89 th Street/Penrose Lane. Provide pedestrian street lighting, sidewalk, amenity zone, and landscaping along 89 th Street/Penrose Lane from 87 th Street Parkway to Hampton Street. Penrose Lane from 87 th Street Parkway to Hampton Street George Butler Associates MEGA Industries Construction Timeline $1,226,718 Legend Ben Clark,

19 87 TH STREET PARKWAY AND I-435 LANDSCAPING IMPROVEMENTS This development will enhance the most visible portion of City Center's access and provide way finding for visitors. This project will provide landscape improvements and signage/way finding for the access point into City Center. 87 th Street Parkway and I-435 Indigo Design Construction Timeline $900,000 Legend ` Logan Wagler, Deputy Parks & Recreation Director lwagler@lenexa.com

20 99 TH STREET & CLARE ROAD IMPROVEMENTS To facilitate development of new residential subdivisions. Construct 99th Street as a four-lane, divided roadway from the current end-of-pavement (EOP) at 98th Street easterly 2,550' to future Clare Road. In addition, the project would construct Clare Road from the current EOP at 97th Terrace southerly 1,350' to the proposed 99th Street extension. Clare Road would require grading for the ultimate four-lane section, but only constructing the eastern-most two-lanes of asphalt at this time. 99th Street & Clare Road Construction Timeline 2021 $7,765,000 Legend Tim Green, Deputy Community Development Director / City Engineer tgreen@lenexa.com

21 87 TH STREET PARKWAY & NB I-435 ENTRANCE RAMP IMPROVEMENTS Due to development west of I-435, westbound 87th Street Parkway traffic volumes continue to grow. The addition of a right turn lane on 87th Street Parkway at the northbound I- 435 entrance ramp will remove turning vehicles from the through lanes and increase the capacity of the intersection. Addition of a right turn lane along westbound 87th Street Parkway at the northbound I-435 entrance ramp. Work includes new concrete curb and gutter; asphalt pavement; storm drainage system; and relocation of existing 10' trail and street lights. 87 th Street Parkway & I-435 Schlagel Construction Timeline 2018 $390,533 Legend Tim Green, Deputy Community Development Director / City Engineer tgreen@lenexa.com

22 95 TH STREET & SANTA FE TRAIL DRIVE INTERSECTION IMPROVEMENTS There are currently several operational issues with this intersection. Heavy right turning movements cause excessive congestion and delay. Driveway access is too close to the intersection causing conflicts that negatively impact the operation. One drive will be relocated and the other will be restricted to right-in/right-out. There are also no current accommodations for bicycles through the intersection. Work will include southbound, eastbound and westbound right turn lanes, extending the storage length of the eastbound left turn lane, restricting an access drive to rightin/right-out to minimize conflicts, replace the traffic signal, ADA ramps and accessible pedestrian signals on all approaches, relocation of drive approach to minimize conflicts through the intersection, and extension of a mixed use trail along the north side of the intersection. 95 th Street & Santa Fe Trail Drive Construction Timeline 2020 $953,610 Legend Lenexa, Kansas 6621 Paula Parke, Traffic Engineer pparke@lenexa.com

23 MAURER ROAD SPECIAL BENEFIT DISTRICT Maurer Road extension will provide access to the new Sonoma Plaza, which includes retail, restaurants, grocery, and apartments. In addition, 87th Street Parkway will be widened to accommodate the additional traffic generated from the development. Northbound Loiret Boulevard will tie in to Maurer Road and provide a full access signal at 87th Street Parkway. Loiret will become a right-in, right-out at 87th Street Parkway. Construct Maurer Road as a multi-lane arterial roadway from 87th Street Parkway to Loiret Boulevard. Widening of 87th Street Parkway will include auxiliary turn lanes, traffic signal improvements at 87 th Street Parkway & Maurer; and median construction on 87th Street Parkway at Loiret. 87 th Street Parkway & Maurer Road Construction Timeline 2018 $4,400,000 Legend Matt Just, Engineer II mjust@lenexa.com

24 LONE ELM ROAD SPECIAL BENEFIT DISTRICT Construction of Lone Elm Road opens the area for proposed development. A collector road starting at the northern terminus of Lone Elm Road and extending north a distance of approximately 2,200 linear feet. This road shall be constructed as a two lane, twenty-eight (28) foot wide street from back-of-curb to back-of-curb and including concrete curb and gutter and sidewalks, asphalt pavement, street lighting, landscaping, associated utility relocation and associated appurtenances. Lone Elm Road north of 95 th Street Phelps Engineering Construction Timeline $1,939,849 Legend Matt Just, Engineer II mjust@lenexa.com

25 ANNUAL STREET LIGHT REPLACEMENT PROGRAM In 2009, the ended its lease of and purchased 2,437 street lights from Kansas City Power & Light. Purchasing them outright instead of leasing them led to a cost savings which funds this program. Over time, old and functionally deficient lights will be replaced modern, energy-efficient ones. Most of the street lights purchased from Kansas City Power & Light are over 30 years old, were installed under different standards, and have exceeded their expected service life. This program will gradually replace older lights with new, energy-efficient lights meeting current standards. Various locations throughout Lenexa In-house Installation Timeline $2,880,000 Legend Steve Schooley, Transportation Manager sschooley@lenexa.com

26 LED STREET LIGHT CONVERSION PROGRAM The replacement of street lights with LED's will result in significant energy savings with a payback of about 5-6 years. LED lights also provide a more desirable white light. Replace existing HID lights with more energy efficient LED lights. Various locations throughout Lenexa In-house Facility Solutions Group Installation Timeline $3,000,000 Legend Paula Parke, Traffic Engineer pparke@lenexa.com

27 87 TH STREET PARKWAY TRAFFIC SIGNAL IMPROVEMENTS Due to increased traffic, it has been determined that the signal is needed in order to support growth and development in the City Center area. The original project included the design and construction of a traffic signal at eastbound 87th Street and Penrose Lane and also included the final signal design of the remaining seven (7) intersections on 87th Street from Scarborough to Winchester. The amended project now includes a schedule over the next several years to install the remaining seven (7) traffic signals along 87th Street from Scarborough to Winchester at a rate of two traffic signals per year. 87 th Street Parkway from Scarborough to Winchester Construction Timeline $1,215,305 Legend Paula Parke, Traffic Engineer pparke@lenexa.com

28 ANNUAL FACILITIES IMPROVEMENTS AND MAINTENANCE To prolong the useful life of our infrastructure, reduce operational costs, and protect stakeholders investments. Funding for maintenance and improvement of all Cityowned facilities, including parks. Includes: interior and exterior, site parking, roofing, deferred maintenance for equipment replacement, heating, ventilation, and air conditioning (HVAC). Various locations throughout Lenexa In-house Construction Timeline $3,583,963 Legend Nick Arena, Municipal Services Director

29 COMMUNITY / SENIOR CENTER FEASIBILITY STUDY AND IMPROVEMENTS Senior and low income persons are the main focus of CDBG monies. Necessary renovations to the Community/Senior Center will be prioritized and implemented with available funding available through the CDBG program. The Senior Center/Community Center Rehabilitation project includes a feasibility study for the repurposing of the existing Community Center facility to accommodate senior activities, including ADA upgrades. Walnut Street & Pflumm Road Construction Timeline $437,000 Legend Danielle Dulin, Assistant to the City Administrator ddulin@lenexa.com

30 LENEXA CITY CENTER PARKING STRUCTURE The parking structure will provide additional public parking for the City Center development area, including City Hall and the Rec Center. The City will pay 50% of the cost ($2,300,000) of the parking structure and the Shawnee Mission School District will pay the remaining 50% ($2,300,000). Construction of a public parking structure to serve the new Shawnee Mission School District Aquatics Facility and the City Center neighborhood. 87 th Street Parkway & Winchester Street ACI Boland JE Dunn Construction Construction Timeline $2,300,000 Legend Todd Pelham, Deputy City Administrator tpelham@lenexa.com

31 MUNICIPAL SERVICES FLEET MAINTENANCE FACILITY The current fleet maintenance facility is inadequate to serve the needs of the city due to its insufficient size and configuration. During times of inclement weather, routine maintenance and emergency service work are very challenging for maintenance staff due to no lifting capability outside of the building and with mechanics required to work on the ground and inadequate light levels. The new facility will include new maintenance bays, office area, break room, parts room, storage area and an automotive paint shop. This facility will be responsible for all maintenance and repair of the entire fleet and small equipment for the Cottonwood Street Construction Timeline 2018 $6,000,000 Legend Nick Arena, Municipal Services Director

32 PUBLIC SAFETY FACILITY STUDY Public Safety space needs have increased since the current Police Station was constructed. This study will determine how to best meet the facility requirements for public safety activities. Feasibility study to determine potential remodel of the old City Hall, Municipal Court and Police Department building at 87th Street Parkway and Monrovia (including potential construction of new Police Station and Fire Station). 87 th Street Parkway & Monrovia Street Timeline 2018 $220,000 Funding Sources Todd Pelham, Deputy City Administrator

33 ANNUAL PLAYGROUND EQUIPMENT REPLACEMENT Replace playground equipment at various parks due to its age and safety. Playground has a useful life-span and eventually has to be replaced. This project continues replacement of equipment on a rotating basis according to the replacement schedule Gillette Park, McNearney Park, Sar-Ko-Par Trails West and Heritage Forest Gillette Park, McNearney Park, Sar-Ko-Par Trails West and Heritage Forest. Construction Timeline $1,798,335 Funding Sources Logan Wagler, Deputy Parks & Recreation Director lwagler@lenexa.com

34 PARKS / GATEWAY ENTRY SIGNAGE AND WAYFINDING Identified by the Parks Master Plan and according to the signage study completed in 2012, replace signage according to schedule. This is a phased approach and would reduce maintenance costs on signage and create consistent branding and way finding throughout the park system and city completed Phase III which finishes all existing parks and trail signs. This includes 2 large, 5 medium, and 23 single column signs. Replace aging and outdated park signage throughout the park's system. Signage, way finding, and branding is in the top priorities identified in the Parks, Recreation, and Open Space Master Plan. Various locations throughout Lenexa Indigo Design Construction Timeline $611,000 Funding Sources Logan Wagler, Deputy Parks & Recreation Director lwagler@lenexa.com

35 SAR-KO-PAR TRAILS PARK IMPROVEMENTS As the central point of the park, this space will be repurposed for a large shelter/pavilion and additional parking. This project will also replace the park restroom that serves this area of the park. And improve the connections between the playground, new pavilion, and pond. Demolition of the Rose House, garage, and surrounding amenities; complete improvements for this area of the park identified in the Sar-Ko-Par Trails Park Master Plan. 87 th Street Parkway & Lackman Road Indigo Design Mega Industries Construction Timeline $2,474,014 Funding Sources Logan Wagler, Deputy Parks & Recreation Director lwagler@lenexa.com

36 RENNER BOULEVARD MIXED-USE BIKE/HIKE TRAIL Recent construction of the Prairie Creek Center which built the trail from 95 th Street/Prairie Star Parkway to their north property line has made it necessary to continue construction of bicycle/pedestrian infrastructure. With recent activity at Lenexa City Center, along with the planned construction of the City Center Mixed-Use Bike/Hike Trail, this segment of trail is needed to ensure a major connection between Prairie Star Parkway and 87 th Street Parkway is made. Provide a key missing segment of the mixed-use bike/hike trail system on Renner Boulevard and work toward completing the connection between 87 th Street Parkway and Prairie Star Parkway. Renner Boulevard from 91 st Street to 93rd Street Shafer, Kline & Warren Construction Timeline 2018 $363,840 Funding Sources Ben Clark, bclark@lenexa.com

37 LACKMAN ROAD MIXED-USE BIKE/HIKE TRAIL PHASE 1 This project will provide a key missing segment of the mixed-use trail system on 95th Street. This segment will allow continuous trail access to Mill Creek, City Center, Sar- Ko-Par and the Little Mill Creek trail system. This project will construct a 10' wide, concrete mixed-use trail with retaining walls, drainage structures and other appurtenances. 95 th Street from Lackman Road to Loiret Boulevard Shafer, Kline & Warren Construction Timeline 2018 $998,800 Funding Sources Ben Clark, bclark@lenexa.com

38 POOL FACILITIES STUDY Currently, the city has three outdoor aquatic facilities and one indoor aquatic facility. Two of the outdoor pools are aging and in need of repairs and updates. This study will determine the appropriate need for indoor/outdoor aquatic facilities. Feasibility study to determine the need for outdoor and indoor aquatic facilities for the citizens of Lenexa. Indian Trails Aquatic Center, Lenexa Rec Center, Ad Astra Pool, and Flat Rock Creek Pool Construction Timeline 2018 $67,000 Legend Logan Wagler, Deputy Parks & Recreation Director

39 ANNUAL STORMWATER INFRASTRUCTURE REPLACEMENT The City has over 60 miles of corrugated metal pipe (CMP) allowed for stormwater infrastructure due to a previous storm drainage standard that Lenexa and many cities around the country employed for several decades. Lenexa no longer allows CMP for storm drainage due to its susceptibility to corrosion. The City completed its first Condition Assessment of pipes and storm boxes in 2005 and stormwater crews continually update the database. Numerous pipes and the catch basins that connect them are in need of immediate replacement. Others require ongoing proactive maintenance. This project addresses this significant issue in a systematic way over several years. This project reflects the ongoing replacement of CMP and the catch basins that connect them, primarily in eastern Lenexa. Various locations throughout Lenexa Construction Timeline $14,289,491 Funding Sources Tom Jacobs, Stormwater Engineer tjacobs@lenexa.com

40 BROOKWOOD PLACE STORM DRAINAGE IMPROVEMENTS This storm drainage system has reached the end of its useful life. Rehabilitation of existing storm drainage system. Routine inspections by staff have identified many pipes in this area that have reached the end of their useful life. Project will include pipe lining and replacement to bring the entire system to an acceptable level of service. East of Maurer Road and west of Lackman between 83 rd Street and 87 th Street Renaissance Infrastructure Consulting Construction Timeline $2,834,000 Funding Sources Tom Jacobs, Stormwater Engineer

41 COLLEGE & PFLUMM STORM DRAINAGE IMPROVEMENTS This storm drainage system has reached the end of its useful life. Replacement and rehabilitation of large corrugated metal pipe that began to fail in Emergency repairs were made at that time but the remainder of the pipe needs to be evaluated and repaired. Northeast corner of the College Boulevard & Pflumm Road Construction Timeline 2020 $1,495,000 Funding Sources Tom Jacobs, Stormwater Engineer

42 POLICE MOBILE COMMAND POST There is a critical need that the has for a Command Post: one that will be a shared resource within the City and one that is capable of being used to facilitate effective and coordinated response to an emergency or other incident and thereby aid in the proficient use of resources. Being able to respond to emergencies and disasters in a coordinated and efficient manner is critical since these situations can cause severe disruptions in normal operations and communications. This capital investment is for the vehicle only and not the equipment contained therein. Funding of equipment will come from 911 Fee Funds. Mobile Command Post outfitted with radio dispatch area, conference area, work stations, video monitoring capabilities and backup/side monitoring surveillance system. Chassis and length to be determined. Lenexa Police Department Purchase Timeline 2018 $400,000 Funding Sources Maj. Dawn Layman, Police dlayman@lenexa.com ,

43 FIRE ENGINE/PUMPER CLASS A This apparatus replaces fleet #9202, a 2008 class A engine/pumper. Apparatus #9202 will be reassigned to reserve status and fleet #929 (1991 class A engine / pumper) is recommended for trade-in. This purchase helps to ensure a safe, efficient, and effective fire apparatus fleet that is necessary for fire operations at commercial, industrial, and residential occupancies. 1,250 GPM, class A engine/pumper fire apparatus with 750-gallon water tank. Fire Station #3 Purchase Timeline 2018 $725,000 Funding Sources Battalion Chief Rick DeVries, Fire rdevries@lenexa.com

44 FIRE ENGINE WITH AERIAL LADDER To maintain a high quality fleet of both front-line and reserve apparatus it is recommended that each fire apparatus be assigned to 8-10 years of front line service and 8-10 years of reserve service. Delaying this apparatus replacement program will negatively affect front-line and reserve apparatus quality and reliability. This requested apparatus replaces fleet #9501, a 2011 class A pumper / engine with 75' aerial ladder. This unit will be reassigned to reserve status and fleet # 953 (2003 Engine / Pumper with 75 aerial ladder) is recommended for trade-in. 1,500 GPM Class A Engine/Pumper with 75' Aerial Ladder. Fire Station #5 Purchase Timeline 2021 $1,162,500 Funding Sources Battalion Chief Rick DeVries, Fire rdevries@lenexa.com

45 FY FY 2022 CIP: Unfunded Projects Estimated costs shown include design, right-of-way acquisition, utility relocation, construction and inspection services. Design Project design entails surveying, preparation of right-of-way and easement documents, plan preparation, and bidding documents. Right-of-way Acquisition Purchase of right-of-way and easements necessary for access and construction of projects Utility Relocation Major construction projects often conflict with existing utilities such as waterlines, gas, electric, telecommunications, and fiber. Utilities within existing right-of-way are required to relocate at no cost to the city under approved franchise agreements. However, the city is responsible for relocation of utilities within private easements. Construction Work includes grading, curb, pavement, bridges, storm drainage facilities, signals, sidewalks and other necessary appurtenances. Inspection Services The city maintains full-time construction observation to inspect, document, and provide material testing during construction. Project Title Estimated STREETS/BRIDGES Priority - High Ridgeview Road from Prairie Star Parkway to 87th Street $19,740,000 Gleason Road, Prairie Star Parkway south 850' (School entrance - SBD) $1,520,750 K-10 & Lone Elm Road Interchange Construction Phase 1 (north ramps) $15,000,000 Costs K-10 & Lone Elm Road Interchange Construction Phase 2 (includes overpass and south ramps) $34,800,000 Pavement Reconstruction $12,675,440 Quivira Road, 91st Street to 95th Street $7,122,000 Priority - Medium 83rd Street (K-7 to Mize Boulevard) $13,048,000 Renner Boulevard from 84th Street to 79th Street $3,645, st Street/Woodsonia from Prairie Star Pkwy to Prairie Creek Road $13,875,000 Lone Elm from Prairie Star Parkway to 101st Street $2,950,000 K-7 & Prairie Star Parkway Interchange Improvements $14,380,000 87th Street Parkway & I-435 Ramp Improvements $1,275,000 Subtotal $140,031,880 TRAFFIC Priority - High Priority - Medium 95th Street & Monrovia Intersection Improvements $2,197,000 Street Lighting System Expansion $2,285,000 95th & Loiret Signalization $488,250 $4,970,250 PUBLIC BUILDINGS Priority - High Priority - Medium City Hall Public Safety Facility/Fire Station #6 Fire Station #2 rebuild TBD TBD PARKS Priority - High Swimming Pool Construction/Renovation TBD Cedar Station Park (Mize Lake) $780,000 Centennial Park Development Phase I $1,911,065 Lackman Road/95th Street Mixed Use Trail Phase 2 $1,611,800 Sar Ko Park Trails Park - Skate Park & Parking Lot Renovation $975,000 Sar-Ko Par Trails and Bois D'Arc Tennis Court Renovations $700,000 Black Hoof Trail $380,000 Priority - Medium Construction of Future Walking/Jogging Trails TBD Centennial Park Development Phase 2 $1,549,970 Little Mill Creek trail crossing 79th Street $687,670 Little Mill Creek trail crossing 87th Street Parkway $1,158,110 Subtotal $9,753,615 45

46 FY FY 2022 CIP: Unfunded Projects STORMWATER Priority - Medium Project Title Estimated Costs Upper Coon Creek Development $1,532,137 Subtotal $1,532,137 MAJOR CAPITAL EQUIPMENT/OTHER Priority - High Priority - Medium City wide radio project $3,500,000 95' - 105' Aerial Platform Class "A" Fire Apparatus $1,200,000 City Gateway Signage Replacement $859,890 Fiber Optic Upgrade $2,035,744 Opticom System Upgrade $300,000 Subtotal $7,895,634 TOTAL COST $164,183,516 46

47 Policy Number: GB-Finance-3 Effective Date: GOVERNING BODY POLICIES Debt Policy (Resolution xx) Approved By: Governing Body Sunset Date: None Approval Date: Prepared By: Finance Dept. Repeals/Replaces: Statutory Authority: Cross References: Current Debt Policy (GB05-A) GB-Finance-4 (Post Debt Issuance Tax Compliance Policy); GB05-C (Special Benefit District Policy); GB05-E (Tax Increment Financing Policy); GB05-I (Community Improvement District Policy) Policy Purpose: To establish guidelines for the issuance of City debt in order to achieve favorable credit ratings and minimize interest costs incurred on outstanding debt. 1. Introduction. A formal debt policy allows the City to properly plan for the financing of capital expenditures and minimize the interest costs incurred on outstanding debt. When evaluating the issuance of debt, the City will consider a number of factors: Adherence to the approved Capital Improvement Program (CIP). Potential for the debt-financed project(s) to create an increase in assessed valuation and/or sales tax revenue. The property tax or other revenue required to fund the annual debt service. Any other factors the City believes are pertinent. This policy does not address industrial revenue bonds and other private activity debt that may be issued by the City (see the City s Private Activity Conduit Financing Policy for information on industrial revenue bonds and other private activity debt). The City Administrator and Chief Financial Officer have overall responsibility for enforcement of this policy. The Governing Body may waive provisions of this policy provided the waiver does not violate state or federal law. 2. Ethics, Integrity & City Values. Section 1-6-H-1 et seq. of the City Code establishes a Code of Ethics for all City employees. This Code of Ethics is reinforced through the City s Personnel Policies/Procedures and the City s values. 47

48 GOVERNING BODY POLICIES Debt Policy All City employees involved with the issuance of City debt shall act in an honest and professional manner in accordance with the City s values, Code of Ethics, and Personnel Policies/Procedures. 3. Method of Sale. The City will market any debt issues on a competitive basis, unless circumstances related to unusual credit quality, issue size, or market access create a need for a negotiated sale process. If a negotiated sale process is necessary and appropriate, the City will normally select the underwriter(s) needed to accomplish the structuring, marketing, pricing, and sales of the bonds through a formal competitive selection process. The City Administrator may approve exceptions to this formal competitive selection process after consulting with the City s bond counsel and financial advisor. City staff and the City s financial advisor will be directly involved in all pricing for the negotiated sale of debt. 4. General Obligation, Special Obligation, and Temporary Notes. The City will normally issue general obligation bonds for equipment, land acquisition, buildings, and other public improvements. The maximum maturity of the bonds shall not exceed the estimated useful life of the capital item(s) being financed with the bonds. As a general guideline, the City will structure debt for normal capital improvement projects to mature over 10 to 15 years or the estimated useful life of the project, whichever is less. In addition, the City will normally structure debt service for general obligation bonds on a level payment basis with at least 60% of the debt service occurring during the first 10 years of the bond issue. When possible, special assessment revenues or other available revenues will be pledged for the payment of debt service in order to reduce the financial burden on the City-at-large. The City may issue special obligation bonds for special benefit district projects. These bonds are secured by special assessments levied on property owners within the special benefit district and by the City s full faith and credit. The City will structure debt for special benefit district projects to mature over 10 to 20 years or the estimated useful life of the project, whichever is less. The City s Special Benefit District policy includes additional information on the process for establishing a special benefit district. The City will normally issue general obligation temporary notes for equipment, land acquisition, buildings, and other public improvements. The maximum maturity of the bonds shall not exceed the estimated useful life of the capital item(s) being financed and will not exceed four years from the date of issue. The City will determine call provisions and other special provisions on a project-by-project basis. The City may sell temporary notes in a public sale or may decide to issue temporary notes without a public sale (including the City buying and holding the temporary notes as an investment). The City may choose to request ratings on general obligation bonds and temporary notes from credit rating agencies after consulting with the City s bond counsel and financial advisor. GB-Finance-3 48