2. How to Develop a Capital Facilities Plan Managing Your Update Presented by Leonard Bauer, FAICP for Growth Management Services and the Public Works Board

3. Agenda  Why Plan?  What is a Capital Facility?  Steps in Developing a CFP  Small City CFP Tips  Conclusion  Helpful Resources

4. Why Plan?  Growth Management Act (GMA) Requirement  Several funding agencies require it or give points  Guides implementation of the community’s vision  Framework for decision makers  Provides transparency about purchasing decisions to your public  Provides the orderly replacement of capital assets  It helps AVOID SURPRISES

5. What is Required by GMA?  Inventory capital facilities  Forecast of future needs for capital facilities  Proposed location and capacity of expanded or new facilities  Financing plan for at least the next 6 years  Requirement to re-evaluate plan if funding falls short RCW 36.70A.070(3)

6. What is a Capital Facility?  Streets, roads, sidewalks, street and road lighting systems & traffic signals  Water systems  Sanitary sewer systems  Storm water facilities  Solid waste systems  Schools  Park and recreation facilities  Police and fire protection facilities RCW 36.70A.030(12)(13)

7. Optional Capital Facilities  Telecommunication systems  Rolling stock  Public Buildings  Bridges  Airports  Or any other major long-lasting asset, including land that is provided for public purposes

8. Steps involved in developing a CFP  Put a team together  Inventory assets  Revisit goals and determine future needs  Determine financial needs  Prioritize  Develop financing plan to achieve goals  Re-evaluate plan every few years

9. Key Players in CFP Development Capital Facilities Planning requires participation from a host of people.

10. Examples of Capital Assets  A structure, improvement, piece of equipment, or other major asset having a useful life greater than one – five years  Capital facilities which cannot be paid for out of general fund monies  Anything over a designated amount owned by the jurisdiction Capitalized on “the books” as an asset

11. Example Inventory Current Needs - Parks & Trails Facility Name, DescriptionLocationCapacity Present ConditionImprovements Required Project Needed Year or PriorityCost Est. Milo Schneider Park 832 Ocean Shores Bl.71 ac fence, lighting, picnic furn., play equip., misc any/all imprvts5$85,000 Limpet Park Limpet and Copalis Dr Skate Park Minard Ave. new in 2010 North End Grand Canal Park J.K. Lewis/Pt. Brown new dock, picnic facilities Emerson Park Bass Ave./W. Court L new vinyl surface for tennis court North Bay Park Duck Lake Dr/Chance7.1 ac fields, fence, ltg., restrooms, shelter, seating any/all imprvts1$1,129,000

12. Inventory Current Assets  Facility Name/Description and Location  Capacity (e.g. 5,000 gallon water tank)  Present Condition and Useful Life Expectancy  Improvements/Projects Needed  Year(s) Improvements/Projects Needed  Cost estimate

13. Examples of Life-Cycles  Pavement is designed to last 15 to 25 years  Curbs are designed to last 25 to 35 years  Bridges are designed to last 35 to 50 years  Water mains can last up to 50 years  Mechanical equipment is designed to last 10 to 15 years  Street right of way or parks should last forever  Life cycle of sewage lagoons depends upon type of system, effluent make-up, climate, etc.  Ditches can last forever

14. Forecast of Future Needs

15. Level of Service Standards LOS refers to minimum capacity for public facilities or service that is planned to be provided per unit of demand or other appropriate measure of need. Examples: Number of acres of parks per person The time needed for a fire engine to reach the typical call-out.

16. Level of Service Standards Examples of LOS from City of Oak Harbor Capital Improvement Plan, 2012-2018  Major and Minor RoadsLOS D  Highway – SR20LOS E  Domestic Water Supply73 gpcd  Commercial/Industrial37 gpcd  Sewer60 gpcd  Stormwater25 year storm  Fire Response5 minutes

17. Forecast of Future Needs

18. 2014201520162017201820196 Yr. Total20 Yr. Total General Fund125126103100130151$735$3,327 Capital Fund – REET 50 79572730$293$1,085 GO Bonds Other Debt Proceeds Grants173329$502$5,043 Loans20100$120$1,171 SEPA Impact Fees Park Levy Unknown Funding Resources R Resources

19. Prioritize Now that you’ve identified current and future capital facility needs, estimated costs and potential revenues, you can prioritize projects for funding. This will result in which projects are included in your six-year CIP vs your 20-year CFP.

20. Prioritize Projects PriorityRating Score Facility/ProjectEstimated Total Cost Unknown 1309Marina Redevelopment $20,884,330$4,553,000 2245First Street widening $34,000,000 3200Pickle Street sewer line replacement $1,000,000$250,000 4155New Central Fire Station $3,253,142$1,500,000 5120Local Street Overlays $2,207,482

21. Decision Making Tool

23. Financing Plan GMA requires that 6-year financing plan be realistic, but local government should develop financing plan that covers full life of plan (7-20 years).

24. 6-Year Capital Improvement Plan Capital Facilities Planning Cost/Funding Sources - Parks & Trails (costs in thousands) Cost/Funding Sources201420152016201720182019 6 Year Total 20 Year Total North Way Park$1,477$500$293$2270$16,667 Cedar Access Area$140 $4,121 Pickle Boat Access$32$101$22$155$903 Rover Dog Park$85 $1.631 Wastewater Trtmt Plant Access$400 $7,677

25. Financing Plan (cont’d) The Growth Management Hearings Board (GMHB) has consistently read RCW 36.70A.070(3)(e) to require that the estimates for revenues meet the estimated expenses for the 20-year planning period, or a reassessment of the land use plan would be required.RCW 36.70A.070

26. County Considerations Counties responsible for adopting Urban Growth Areas (UGAs)  Review and revise Countywide Planning Policies as necessary  UGA expansions must be accompanied by CFP analysis showing that the area can be adequately served at adopted LOS  Counties should have policies to address emergencies  Unincorporated UGAs treated same as all UGAs…must show full range of facilities and services  Special purpose districts

27. Consistency and Coordination

28. Small City CFP Tips Planning Commissions – Use them!  They know the community  They know the Comprehensive Plan  Great forum for public involvement  Intelligent advice for electeds  Already in place and used to linking big ideas

29. Conclusions  Strategic planning for facilities and services is critical  Invest where you want new growth to occur  Understand how growth drives need for infrastructure  New residences increase tax base and revenues but will increase need for services  Consider alternative land use scenarios before expanding UGAs  Work collaboratively with service providers to look at long-term needs

30. Good Examples A Small City Capital Facilities Plan Case Study – City of Westport: http://www.newpartners.org/2010/docs/presentations/friday/np10_gibb.pdf City of Oak Harbor Capital Improvements Plan 2013-2018: http://www.oakharbor.org/uploads/documents/6176adopted_capital_improveme nts_plan_2013_2018.pdf City of Walla Walla Capital Facilities Element – http://www.wwjcda.org/vertical/sites/%7BA99EFDD8-2880-46D9-8872- 33C0125E020B%7D/uploads/%7B4801DFAA-EF9C-46B6-AF14- CB478B106025%7D.PDF Municipal Research and Services Center - www.mrsc.org

31. CFP Guidebook http://www.commerce.wa.gov/Services/localgovernment/GrowthManagement/Capita l-Facilities/Pages/CapitalFacilitiesPlanningGuidebook.aspx

32. Thank you Leonard Bauer, FAICP Deputy Director of Community Planning & Development City of Olympia lbauer@ci.olympia.wa.us Joyce Phillips (CFP Guidebook Primary Author) Senior Planner, Growth Management Services (360) 725-3045 Joyce.Phillips@commerce.wa.gov