CIP or Capital Improvement Projects are the Citywide projects. A capital improvement program addresses the location and cost of all receiving area infrastructure and the method of cost-sharing if any portion of the cost is to be assessed against developers. CIP, is a short-range plan, usually four to six years, which identifies capital projects and equipment purchases, provides a planning schedule and identifies options for financing the plan. Essentially, the plan provides a link between a municipality, school district, parks and recreation department, and/or other local government entity and a comprehensive and strategic plans and the entity’s annual budget.
A CIP provides many benefits including:
- Allows for a systematic evaluation of all potential projects at the same time.
- The ability to stabilize debt and consolidate projects to reduce borrowing costs.
- Serve as a public relations and economic development tool.
- A focus on preserving a governmental entity’s infrastructure while ensuring the efficient use of public funds.
- An opportunity to foster cooperation among departments and an ability to inform other units of government of the entity’s priorities. For example, it is not uncommon for a large city or county to incorporate into its CIP the capital needs of a school district, parks and recreation department and/or some other public service structure.
The CIP typically includes the following information:
- A listing of the capital projects or equipment to be purchased.
- The projects ranked in order of preference.
- The plan for financing the projects.
- A timetable for the construction or completion of the project.
- Justification for the project.
Download: 2010 Projects Update (PDF 5027 kb)