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AgdaPkt 2017-01-23 Closed and Joint
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AgdaPkt 2017-01-23 Closed and Joint
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Last modified
1/24/2017 10:22:46 AM
Creation date
1/19/2017 3:58:58 PM
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CC Index
CC Index - Document Type
Agenda Packet
Meeting Type
Joint
Agency Type
City Council and Successor Agency and Public Financing Authority
Date
1/23/2017
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It is important to note that the costs for each project are preliminary and in many cases <br />require further refinement. Current cost estimates for potential projects listed total <br />approximately $300 million. Additionally, there are some potential projects, such as the <br />Middlefield Junction initiative currently being studied with the County, for which the <br />project scope has not yet been determined and therefore the ultimate costs are not yet <br />known. <br /> <br /> <br />Funding Sources for Potential Capital Projects <br /> <br />Funding for capital projects typically derives from one of the following sources: the <br />Utilities Users Tax, the Water and Sewer Funds, the Park-In-Lieu Fund, the Parking <br />Fund, Gas Tax, Grants and special assessment districts. Over the next five years, these <br />sources are expected to yield approximately $143 million in revenues. <br /> <br />With the exception of UUT revenues, most other funding sources are restricted to <br />certain purposes and, in some cases, must be spent in a prescribed period. These <br />complexities shape the ultimate project list that can be accomplished in a given year. In <br />light of the substantial gap between anticipated revenue and the anticipated cost of <br />potential capital projects, the City Council may wish to consider additional funding <br />options, such as increasing current revenue sources (for example, increasing the UUT <br />or the Transient Occupancy Tax) or establishing new revenue sources (for example, <br />issuing general obligation bonds funded by supplemental property taxes or increasing <br />the sales tax). <br /> <br /> <br />Recommended Process for Developing Five Year CIP <br /> <br />At the January 23, 2017 City Council meeting, staff seeks Council direction on the <br />process for developing a Five Year CIP for the Council's consideration in April. Staff <br />proposed to undertake the following steps in order to develop the proposed Five Year <br />CIP for City Council consideration: <br /> <br />· Further refinement of project costs for most urgently-needed projects <br />· Consideration of opportunities to leverage City funding with funding from private <br />sources (such as community benefit funds) or public funding from other levels of <br />government (such as regional, state or federal grants) <br />· Consideration of whether it would be advantageous to delay some projects so <br />that construction would occur during a more cost-competitive bidding climate <br />· Consideration of staff’s ability to manage overall project load <br />· Assessment of timing of projects to avoid unduly burdening certain <br />neighborhoods with multiple construction projects at the same time <br />8.A. - Page 3
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