photo by: Mike Yoder

Lawrence City Hall, 6 E. Sixth St., Thursday, July 7, 2016

City leaders will soon discuss more than $100 million in proposed capital projects for next year, and are being asked to consider whether they should prioritize existing infrastructure over new projects.

As part of its meeting Tuesday, the Lawrence City Commission will consider two strategies for allocating funding for the city’s 2023-2027 Capital Improvement Plan, one of which focuses more on improvements to existing infrastructure over new projects. Both proposals are approximately the same in costs and include more than $100 million in projects for 2023 and about $400 million in projects total over the five-year plan.

The commission will ultimately allocate funding for the 2023 projects as part of the 2023 budget process this summer, with the remaining years serving as a planning document for upcoming budget years. The commission will consider two options for the CIP, which are based on the two strategies or “perspectives” identified by a committee of city staff.

More specifically, the CIP based on “Perspective A” allocates funding to projects based solely on the city’s scoring system that prioritizes projects based on the commission’s strategic plan, according to a city memo to the commission. The CIP based on “Perspective B” still uses the city’s scoring system, but prioritizes existing infrastructure over new investments, with the ultimate goal of lowering the city’s overall maintenance costs.

“We believe the score is one data point but it should not be the sole data point that’s utilized for funding decisions,” said Finance Director Jeremy Willmoth, who is a member of the CIP committee.

As far as the costs to Lawrence residents, both options are projected to keep the mill levy rate for general obligation debt flat and align with the city’s current utility rate model, which has called for annual rate increases of about 7% in recent years. If commissioners wanted to keep utility rates flat, they would need to reduce funding for projects that would be funded by utility rates.

The memo asks the commission to consider several policy questions, including whether the commission would support increasing utility rates to expedite unfunded projects. Other policy questions include whether there are any projects commissioners think should be delayed or reprioritized, or if there are any unfunded projects that should be swapped with a funded project.

Specifically, Perspective A includes about $106 million in projects for 2023 and about $400.3 million total over the five-year plan. Perspective B includes about $107.2 million in projects for 2023 and about $399.7 million total over the five-year plan.

The two options have significant overlap, but several projects receive funding under one option but not under the other, or receive differing levels of funding. For instance, a city staff presentation notes that Perspective A spends $32.9 million less than Perspective B on street repairs while providing more money for new projects.

Below are some examples of projects that would receive funding in 2023 under these plans. The full CIP document is available as part of the commission’s agenda package.

Funded under both options:

• Improvements at the Kansas River Wastewater Treatment Plant: $23.8 million in 2023 and $61.4 million total

• Field Operations Campus: $900,000 in 2023 and $43.7 million total

• Farmland fertilizer plant site remediation: $1.25 million in 2023 and $15 million total

• Youth Sports Complex artificial turf fields: $3 million in 2023 and $3.6 million total

• Roadwork on Sixth Street from Iowa Street to Massachusetts Street: $2.1 million in 2023

• Storm water, sewer and water main improvements on Maple Lane: $2.4 million in 2023

• Southwest Lawrence sewer corridor improvements: $4.7 million in 2023 and $18 million total

• Water main replacement/relocation program: $4.1 million in 2023 and $22.6 million total

• Water meter infrastructure: $5.1 million in 2023 and $7.7 million total

Funded under Perspective A (based on score only):

• Affordable housing development: $350,000 in 2023 and $1.45 million total

• Expansion of Fire Medical Station No. 6: $1 million in 2023 and $8.5 million total

• Phase A of Kaw River Commons area: $350,000 in 2023 and $7.7 million total

• Electric vehicle infrastructure: $50,000 in 2023 and $550,000 total

Funded under Perspective B (prioritizing existing infrastructure):

• Roadwork on Naismith Drive from 19th Street to 23rd Street: $300,000 in 2023 and $4.3 million total

• Roadwork on Wakarusa Drive from Stoneback Drive to Clinton Parkway: $10,000 in 2023 and $2.8 million total

• Roadwork on Iowa Street from Irving Hill Road to 23rd Street: $250,000 in 2023 and $7 million total

Willmoth said that the commission’s input from Tuesday’s meeting would inform the city manager’s recommended CIP, which will be included in the recommended budget presented to the commission on July 12.

The Lawrence City Commission will convene at 5:45 p.m. Tuesday at City Hall, 6 E. Sixth St.