Capital project planning is an ongoing process where annually the Capital Improvement Plan (CIP) is reviewed and updated. Changing needs and priorities, emergencies, cost changes, mandates and changes in technology all require the CIP to be updated annually. The city’s public facilities, streets, parks, water lines, equipment, etc., are constantly in need of repair, replacement or expansion. The CIP achieves the following objectives as a component of the city’s budget and financial planning process:
Focuses attention on community goals, needs and capabilities
Advance planning ensures that projects are well thought out in advance of construction
Provides for the orderly replacement of capital expenditures
Creating the Plan
The City of Marshalltown completes capital planning on a five-year schedule. Projects included in the CIP are items that meet the fixed asset thresholds identified in the Capital Assets and Depreciation Policy and have a useful life of more than one year. The City’s Capital Improvement Tax levy of 67.5 cents per $1,000 of taxable valuations is used to pay for Items in funds 030 and 032 The other items are paid from grant funds, bonds, donations, fund balance, etc. Through a series of work sessions, the Council focuses on prioritizing the expenditures along with identifying future needs. Once approved, the CIP outlines the City’s official commitment to funding these expenditures in the budget for the upcoming fiscal year and providing a plan for funding future projects or assets. Once the Council has agreed to a plan, a public hearing must be held prior to adopting the plan.