CC 2024-04-23_12a 5 Year ClP Budget_5 Year Measure O 2006 Sales Tax Fund Expenditure ProgramItem 12.a.
MEMORANDUM
TO: City Council
FROM: Matthew Downing, City Manager
Bill Robeson, Assistant City Manager/Director of Public Works
Nicole Valentine, Administrative Services Director
Shannon Sweeney, City Engineer
SUBJECT: Consideration of the 5-Year Capital Improvement Program Budget and
5-Year Measure O 2006 Sales Tax Fund Expenditure Program
DATE: April 23, 2024
SUMMARY OF ACTION:
Provide direction on the 5-Year Capital Improvement Program (CIP) Budget and the 5-
Year Measure O 2006 Sales Tax Fund Expenditures Program.
IMPACT ON FINANCIAL AND PERSONNEL RESOURCES:
The proposed 5-Year CIP Budget allocates $46.7 million for projects from various funding
sources from FY 2024-25 through FY 2028-29. When City Council considers the single
Fiscal Year (FY) 2024-25 Mid-Cycle Budget, it is anticipated that $18.6 million will be
allocated for CIP projects for that FY. Of the $18.6 million, $2.7 million is from the Measure
O 2006 Sales Tax Fund. The CIP projects will be delivered using City staff time,
consultants, and contractors. As projects are developed and detailed, the impact to staff
resources will be determined and included in future Staff Reports for individual projects.
RECOMMENDATION:
Provide direction on the proposed 5-Year CIP Budget and the expenditures funded by the
5-Year Measure O 2006 Sales Tax Fund Expenditure Program.
BACKGROUND:
The City’s budget provides funding for all City services, infrastructure investments, and
activities performed during each fiscal year. The two major components of the budget are
ongoing operations and capital or one-time expenditures. Capital projects often involve a
multi-year approach, with design and survey work occurring in one year, followed by
construction in the following year or two. Depending on complexity, capital projects can
span several years. Utilizing a five-year plan, the City can identify and fund preliminary
phases of a project with the reasonable expectation that future years will fund subsequent
project phases. However, identifying a project in future years does not mean it will
Item 12.a.
City Council
Consideration of the 5-Year Capital Improvement Program Budget and 5-Year
Measure O 2006 Sales Tax Fund Expenditure Program
April 23, 2024
Page 2
automatically be funded in those years. During each budget cycle, all capital projects are
reviewed and prioritized against then-current needs and available funding.
On May 9, 2023, the City Council provided direction on the 5-Year CIP Budget and the 5-
Year Measure O 2006 Sales Tax Fund Expenditures Program. On May 16, 2023, the 5-
Year CIP Budget was provided to the Planning Commission for determination of
consistency with the City’s General Plan.
On June 13, 2023, staff presented the FY 2023-25 Biennial Budget and 5-Year CIP
Budget for review and public comment during a Public Hearing. On June 27, 2023, the
City Council approved a resolution adopting the FY 2023 -25 CIP Budget and making
appropriations for the amount budgeted.
The City is entering the second year of a two-year budget, referred to as the Mid-Cycle
Update. The purpose of this Mid-Cycle Update is to: 1) update revenue projections as
economic data becomes available; 2) update expenditures as more accurate costs
become available; and 3) to provide adjustments for projects t hat have been funded
through other sources, for example ARPA. After receiving input regarding the updated 5 -
Year CIP Budget presented in this report, Staff will take the City Councils’ direction and
incorporate it in the preliminary Mid-Cycle Budget presentation.
Enterprise Funds for water and sewer are included in this report to the degree that their
budgets reflect the capital improvement projects necessary to sustain those operations.
Enterprise budgets are developed in close coordination with the ten-year water and sewer
master plans and the projected revenue generation of the funds based on adopted rates.
Enterprise operating budgets will be presented to the City Council with the draft operating
budgets of other funds on May 28, 2024.
The Measure O 2006 Sales Tax Fund supports both operating and capital needs relating
to transportation, public safety, and infrastructure. Approximately 60% of the revenue
funds capital programs, and the other approximately 40% funds public safety programs.
The 5-ear revenue and expenditure plan provided in Attachment 3 is prepared in order to
support the multi-year nature of the capital projects funded with revenue from the 5-Year
Measure O 2006 Sales Tax Fund and to provide an opportunity for Council and the public
to review and revise the proposed uses of the funding.
ANALYSIS OF ISSUES:
Approach to Analysis and Prioritization of CIP
A systematic approach to identifying and prioritizing projects was implemented for the
proposed 5-Year CIP Budget. Department Directors submitted requests for capital
improvement projects, including costs, schedule, and priority (low, medium, and high). A
diverse team of City staff from the City Manager’s Office, Administrative Services,
Engineering, Community Development, Police, and Public Works (the CIP team) attended
Item 12.a.
City Council
Consideration of the 5-Year Capital Improvement Program Budget and 5-Year
Measure O 2006 Sales Tax Fund Expenditure Program
April 23, 2024
Page 3
a series of collaborative workshops to discuss the requested capital improvement projects
in consideration of many factors including:
Safety
Community benefit
Funding source
Funding schedule i.e., timeframe for completion before external funding expires
Staff capacity
Urgency – consideration of deferred maintenance costs and/or end of useful life
Number of projects per department i.e., water, streets, parks, fire, police etc.
The CIP team used the factors listed above to evaluate proposed projects. Each project
was assigned a score from 1 (highest priority) to 5 (lowest priority). Projects with a score
of 5 were moved to the unfunded projects list, which is discussed further below. In some
cases, a lower score of 3 or 4 resulted in a project being ‘pu shed’ to a later year. In some
cases, projects have commenced in FY 2023-24 or earlier, these projects are carried into
the FY 2024-29 5-Year CIP Budget and received a score of 1 or 2 (high priority). The
workshops resulted in a 5-Year CIP Budget that is provided in Attachment 1.
Unfunded CIP
Another outcome of the 5-Year CIP Budget analysis is that 32 projects are not included
in the proposed 5-year plan. These lower priority projects are included in the unfunded
project list, which will be revisited during future CIP planning and budgeting exercises.
The Unfunded CIP list is included in Attachment 2. If alternative funding and staff
resources become available, some of the unfunded projects could later be included in the
5-Year CIP Budget.
City’s Capacity to Complete CIP
Historically, the City has completed an average of 8-9 capital improvement projects per
year. Years affected by the COVID-19 may have skewed this average, and it is estimated
that in a normal year, the City will have capacity to complete approximately 10 capital
projects per year. Table 1 shows the goal for the number of capital improvement projects
to complete per year and the number of projects included in the current 5 -Year CIP
Budget. The City typically utilizes engineering consultants for planning, design
construction management and inspection, and contractors for construction of capital
improvement projects. Although consultants balance the workload for City staff, which
allows for a higher number of projects to be delivered, significa nt effort is required to
supervise, coordinate, provide direction and information to consultants. City staff have
institutional, historic, local, community, and neighborhood insight of projects that
consultants do not, and this expertise is necessary to successfully complete each project.
Item 12.a.
City Council
Consideration of the 5-Year Capital Improvement Program Budget and 5-Year
Measure O 2006 Sales Tax Fund Expenditure Program
April 23, 2024
Page 4
Table 1 – Number of Capital Projects Per Year
In a typical year, the City encounters 1-2 unforeseen projects, such as natural disasters
(e.g. storm event flooding) and infrastructure breakdown/damage (e.g. FCFA generator
replacement, and storm drain pipe failures). Although it is difficult to estimate the City staff
time needed to respond to unforeseen/emergency projects, it is necessary to retain some
staff capacity for this purpose. The proposed 5-Year CIP Budget has been prepared with
all of these constraints in mind.
Projects Completed and in advanced stages of activity in FY 2023-24
Many projects in the 5-Year CIP Budget take more than one fiscal year to complete. The
following CIPs have been completed or are anticipated to be completed during FY 2023-
24:
Fair Oaks Waterline Replacement
Permanent Parklets Program
Lift Station #3 Stabilization
Arroyo Grande Creek Debris Removal
2022 Pavement Management Project
2023 Concrete Repairs Project
191 Tally Ho Frontage Improvements
Station 1 Generator Replacement
Trenchless Sewer Rehabilitation
Community Safety Camera Network
These multiyear CIPs completed major milestones during FY 2023-24:
Swinging Bridge - construction begins in May 2024
2024 Street Repairs - in final design phase
Traffic W ay Bridge - in final design and right-of-way acquisition phase
Funding Sources
As summarized in Table 2, the City continues to rely on grant funding for a significant
portion of capital projects. In particular, the Federal Highway Bridge Program (HBP) will
provide over $12.3 million for the Traffic Way Bridge Project and the California Active
Transportation Program (ATP) will fund the Halcyon Complete Streets project with $7.1
FY 2024-25 FY 2025-26 FY 2026-27 FY 2027-28 FY 2028-29
Number of
Projects* - Goal 10 10 10 10 10
Number of
Projects - Actual 15 13 12 9 8
*managed by CIP Public Works Engineering Team
Item 12.a.
City Council
Consideration of the 5-Year Capital Improvement Program Budget and 5-Year
Measure O 2006 Sales Tax Fund Expenditure Program
April 23, 2024
Page 5
million in FY 2024-25 and FY 2025-26. Additionally, the Measure O 2006 Sales Tax Fund
is the other major funding source for the 5-Year CIP Budget, providing $10.7 million in
funding.
Table 2 – 5-Year CIP Budget Summary by Funding Source
American Rescue Plan Act (ARPA) Funding Re-allocation
The City of Arroyo Grande received $4,300,241 in ARPA funds. Allocations of the ARPA
funds were completed at the July 27, 2021, and October 12, 2021 Council meetings. At
the time these allocations were made, the U.S. Treasury had issued an Interim Final Rule
with guidance on the funding allocation methodology, distribution process, and reporting
requirements as well as Frequently Asked Questions to assist jurisdictions in interpreting
the policy language. The Interim Final Rule stated that the recipients may use funds for
the following uses:
Support public health expenditures, by funding COVID-19 mitigation efforts,
medical expenses, behavioral healthcare, and certain public health and safety
staff;
Address negative economic impacts caused by the public health emergency,
including economic harms to workers, households, small businesses, impacted
industries, and the public sector;
Replace lost public sector revenues (referred to as the “revenue loss” use), using
this funding to provide government services to the extent of the reduction in
revenue experienced during the pandemic;
Provide premium pay for essential workers, offering additional support to tho se
who have borne and will bear the greatest health risks because of their service in
critical infrastructure sectors; and
Invest in water, sewer, and broadband infrastructure, making necessary
investments to improve access to clean drinking water, support vital wastewater
and stormwater infrastructure, and to expand access to broadband internet .
Funding Source FY 2024-25 FY 2025-26 FY 2026-27 FY 2027-28 FY 2028-29
5-Year
Total
Park Improvement - 65,000 - 50,000 - 115,000
Parkside Assessment District 250,000 - - - - 250,000
Measure O 2006 Sales Tax Fund 2,720,912 2,416,869 1,730,000 1,720,000 2,095,000 10,682,782
General Fund 2,360,000 - - - - 2,360,000
Streets Fund (SB 1)450,000 450,000 450,000 450,000 450,000 2,250,000
Sewer 100,000 100,000 814,200 100,000 775,000 1,889,200
Water 430,000 100,000 835,000 300,000 500,000 2,165,000
ARPA 204,207 - - - - 204,207
Highway Bridge Program 6,167,352 6,167,352 - - - 12,334,703
Other 5,938,351 3,432,500 3,869,000 1,175,000 - 14,414,851
Total 18,620,822 12,731,721 7,698,200 3,795,000 3,820,000 46,665,743
Item 12.a.
City Council
Consideration of the 5-Year Capital Improvement Program Budget and 5-Year
Measure O 2006 Sales Tax Fund Expenditure Program
April 23, 2024
Page 6
Additionally, a list of ineligible expenditures include:
Offset tax cuts implemented during the public health crisis;
Deposits into pension funds or rainy day funds; and
Funding debt services and legal services
Reallocations of the City’s ARPA funding were approved at the February 8, 2022, May
24, 2022, September 27, 2022, May 9, 2023, and April 9, 2024, City Council meetings.
Table 3 identifies the current allocations of the City’s ARPA funding:
Table 3 – ARPA Allocation
Following the City Council’s allocations of ARPA funding in 2021, the US Treasury issued
its Final Rule governing eligible expenditures of the ARPA funds. The Final Rule went
into effect on April 1, 2022, and included a few major change s, including:
Broader set of uses that are available to respond to the pandemic’s public health
and economic impacts on households, small businesses, and others, including
capital expenditures;
Major simplification of the revenue loss use, including an allowance for local
governments to utilize a standard presumption of at least $10 million in revenue
losses;
Greater flexibility in eligible broadband investments to address challenges with
access, affordability, and reliability, as well as the addition of numerous eligible
water and sewer infrastructure investments; and
More streamlined options to provide premium pay through broadening the share
of eligible workers who can receive premium pay without additional justification.
ARPA Funding Allocation
CC Approved
Allocation
COVID related City expenditures 42,375
Water Infrastructure Projects 1,350,150
Sewer Infrastructure Projects 549,200
Stormwater Infrastructure Projects 900,842
Public Safety Video Cameras 750,700
Fire Station 1 Apparatus Bay Doors 130,000
Streets Infrastructure Projects 24,958
Homeless Shelter Support 300,000
Non-Profit Assistance/Community Service Grants 114,129
Childcare Assistance - First 5, 5% request 100,000
Smart Share ADU SLO Proposal 37,887
Grand Total 4,300,241
Item 12.a.
City Council
Consideration of the 5-Year Capital Improvement Program Budget and 5-Year
Measure O 2006 Sales Tax Fund Expenditure Program
April 23, 2024
Page 7
Arroyo Grande falls into the group of recipients that, under the Final Rule, may use the
ARPA funds as revenue loss and allocate the funds to governmental services. Arroyo
Grande has until December 31, 2024, to commit ARPA funds by way of a contract or
purchase order. Interim US Treasury rules currently list December 31, 2026, as the
deadline to spend these monies. With this new information and approaching deadline for
commitment of the funds, staff is recommending that some of the ARPA funds be
reallocated towards Priority 1 projects that will be completed and or committed by the
ARPA deadline.
Table 4 Highlights the proposed change in specific projects related to the ARPA funding
allocations.
Table 4 – Updated ARPA Project Allocations
The shift in the Misc. and Streets Infrastructure Projects is related to the reduced cost of
the Public Safety Video Cameras project once bids were received. Allocating the
remainder of the funds to the 2024 Pavement Management Program (PMP) project allows
staff to use the remaining ARPA funds. With the ARPA deadline approaching and the
Final Rule allowing for use of the funding for this type of project, the recommendation is
to reallocate ARPA funds to this project as it will be completed wit hin the ARPA allowed
timeframe. Table 5 shows the resulting total allocations of ARPA funding if approved as
recommended:
Misc Infrastructure Projects Current Proposed
Public Safety Video Cameras 750,700 546,493
Fire Station 1 Apparatus Bay Doors 130,000 130,000
Misc Infrastructure Total 880,700 676,493
Streets Infrastructure Projects Current Proposed
Pedestrian Crossing Improvement 24,958 24,958
2024 Pavement Management Program (PMP)- 204,207
Streets Infrastructure Total 24,958 229,165
ARPA Project Allocations Total 905,658 905,658
Item 12.a.
City Council
Consideration of the 5-Year Capital Improvement Program Budget and 5-Year
Measure O 2006 Sales Tax Fund Expenditure Program
April 23, 2024
Page 8
Table 5 – Updated ARPA Allocation:
Major Capital Improvement Projects Proposed for the 5-Year CIP Budget Beginning FY
2024-25
A full list of all projects with proposed funding in the upcoming 5 -Year CIP Budget is
included as Attachment 1. Significant projects are discussed below:
Major CIP Starting or Completing in FY 2024-25 and FY 2025-26 (Year 1 and 2)
ADA Bathrooms Elm Street Park
The proposed 5-Year CIP Budget includes $235,000 for a restroom at Elm Street
Park to replace the restroom that will no longer exist when the Mark M. Mills
building is anticipated to be demolished at the end of calendar year 2024. Funding
is sufficient for a standalone prefabricated restroom.
Pavement Management Program (PMP)
The proposed 5-Year CIP Budget includes a total of $10.3 million for maintaining
the City’s public streets, alleys, and parking lots. This includes maintenance
applications such as digouts, slurry seals, and pavement overlays to the extent
that funds are available. This program also includes providing Americans with
Disabilities Act (ADA) compliant pedestrian facilities such as curb ramps when
triggered by certain maintenance applications that are considered an alteration of
a street (e.g., overlays). Table 6 shows a break of the PMP of the 5 -Year CIP
Budget.
ARPA Funding Allocation
CC Approved
Allocation
COVID related City expenditures 42,375
Water Infrastructure Projects 1,350,150
Sewer Infrastructure Projects 549,200
Stormwater Infrastructure Projects 900,842
Public Safety Video Cameras 546,493
Fire Station 1 Apparatus Bay Doors 130,000
Streets Infrastructure Projects 229,165
Homeless Shelter Support 300,000
Non-Profit Assistance/Community Service Grants 114,129
Childcare Assistance - First 5, 5% request 100,000
Smart Share ADU SLO Proposal 37,887
Grand Total 4,300,241
Item 12.a.
City Council
Consideration of the 5-Year Capital Improvement Program Budget and 5-Year
Measure O 2006 Sales Tax Fund Expenditure Program
April 23, 2024
Page 9
Table 6 – 5-Year PMP Plan
Sewer and Water Infrastructure
The proposed 5-Year CIP Budget includes $4.1 million for the continuation of
replacing, rehabilitating, and maintaining the City’s water and sewer infrastructure.
This includes rehabilitating deteriorating sewer manholes, rehabilitating sewer
mains through trenchless lining techniques, replacing, enlarging and installing
interconnect water mains, replacing aging water mains, water reservoir recoating,
and updating both the water and sewer system master plans.
SCADA Software/Electronics Upgrade
The City supervisory control and data acquisition (SCADA) system is in need of
upgrades. The system controls and monitors the water production and distribution
system, and sewer collection lift stations. The system software, some radios, and
the computer station are all outdated and no longer supported by vendors. The
new software and hardware will bring the system to present day technology
including remote access to make operational changes and alarm
acknowledgement. The current estimated cost for the project is $330,000, the
Water Fund will fully fund this project. This project is included in the Sewer and
Water Infrastructure 5-Year CIP Budget of $4.1 million.
Halcyon Complete Streets Plan
The Halcyon Complete Streets Plan is a concept plan to develop an improved
transportation corridor on Halcyon Road that provides for safe mobility and
accessibility for all users, including bicyclists, pedestrians, transit vehicles, trucks,
and motorists. The Plan proposes multimodal transportation enhancements to
address a lack of bicycle lanes, sidewalks, unsignalized crossings, and
intersections with poor visibility. Construction of the project is funded with $250,000
in Highway Safety Improvement Program (HSIP) funds, $750,000 in Community
Betterment Grant funds, and $8.1 million in Active Transportation Program (ATP)
funds. The key milestone of completion of design, environmental determination,
and permitting is expected to be completed in FY 202 5-26, and construction is
anticipated in FY 2025-26.
Project
Number Request Title Funding Source FY 2024-25 FY 2025-26 FY 2026-27 FY 2027-28 FY 2028-29
5-Year
Total
STREETS PROJECTS
350-5638 Pavement Management Program 49XX - Regional SHA 390,000 - - - -
44XX - Betterments Grant 570,000 - - - -
4910 - General Fund 2,360,000 - - - -
4920 - SB1 450,000 450,000 450,000 450,000 450,000
4950 - Sales Tax 966,833 1,046,624 - 1,250,000 1,250,000
4965 - ARPA 204,207 - - - -
4463 - CDBG 58,960 - - - - 10,346,624
Item 12.a.
City Council
Consideration of the 5-Year Capital Improvement Program Budget and 5-Year
Measure O 2006 Sales Tax Fund Expenditure Program
April 23, 2024
Page 10
Traffic Way Bridge
The Traffic Way Bridge was built in 1932 and has been evaluat ed for structural
and functional integrity. The Caltrans Bridge Inspection Program has determined
that the bridge needs replacement. Of the $13.8 million total project cost, the City
has secured HBP grant funding that will pay $12.2 million of the project costs. The
City will need to fund the remaining $1.6 million to pay for the remainder of the
costs. The key milestone of design, environmental determination, and permitting
was completed in FY 2023-24, and construction commencing in FY 2024-25,
completing in FY 2025-26.
Major CIP Starting or Completing in FY 2026-29 (Year 3-5)
Mark M. Millis Community Center (MMMCC)
The MMMCC is currently identified as a Capital Improvement Project to evaluate
the potential design and cost of a replacement community center due to its age
and continued deterioration. The City has obtained a survey of the site from a
licensed surveyor and will complete a conceptual design with the assistance of a
local architect in the upcoming fiscal year. Additionally, potential partnership
opportunities will be explored with local non-profit service providers, such as the
Boys and Girls Club, to determine whether the MMMCC may be replaced with a
structure that could serve multiple community needs while also minimizing costs
to the City. The overall cost of site, parking lot, and building design, construction
documents, site construction and building construction are anticipated to reach the
$6 million range. An estimated time frame for final design and construction
documents is FY 2024-25 with fundraising into late FY 2025-26 and construction
of the $6 million Community Center beginning in FY 2026 -27 and FY 2027-28.
Measure O 2006 Sales Tax Fund
As previously discussed, the City prepares a 5-Year CIP Budget for the Measure O 2006
Sales Tax Fund. The City has been diligent in using the Measure O 2006 Sales Tax funds
for the four purposes originally identified: infrastructure improvements, including the
street, drainage, and creek systems; transportation projects; public safety needs; and
Facility upgrades to meet Americans with Disabilities Act requirements. In 2015, the City
Council confirmed that Information Technology (IT) infrastructure is included within the
list of infrastructure systems supported by the Measure O 2006 Sales Tax Fund. To
ensure accountability, Measure O-06 required: 1) the City to publish and distribute an
annual report to each household on the revenues and expenditures from the sales tax
proceeds; and 2) a review and public hearing by the City Council every five years to
determine whether the sales tax is necessary to remain in effect. The proposed 5 -year
plan for the Measure O 2006 Sales Tax Fund is provided as Attachment 3.
Item 12.a.
City Council
Consideration of the 5-Year Capital Improvement Program Budget and 5-Year
Measure O 2006 Sales Tax Fund Expenditure Program
April 23, 2024
Page 11
Summary of 5-Year CIP Budget
As shown in Figure 1, the largest focus of the 5-Year CIP Budget will be related to streets
and bridges.
Figure 1 – 5-Year CIP Budget by Function
Next Steps
The proposed 5-Year CIP Budget and 5-Year Measure O 2006 Sales Tax Fund
expenditure plans are being provided for discussion and direction from Council on any
requested changes. Following this direction, the 5-Year CIP Budget will be presented to
the Planning Commission for confirmation that the plan conforms with the City’s General
Plan. The updated 5-Year CIP Budget will then be included in the proposed Mid-Cycle
FY 2024-25 Budget that will be presented for consideration and approval by the City
Council on June 11, 2024.
Item 12.a.
City Council
Consideration of the 5-Year Capital Improvement Program Budget and 5-Year
Measure O 2006 Sales Tax Fund Expenditure Program
April 23, 2024
Page 12
ALTERNATIVES:
The following alternatives are provided for the Council’s consideration:
1. Review and provide direction on the 5-Year CIP Budget and 5-Year Measure O
2006 Sales Tax Fund expenditure program;
2. Provide other direction to staff.
ADVANTAGES:
Providing direction will assist staff in developing a 5-Year CIP Budget and 5-Year
Measure O 2006 Sales Tax Fund Expenditure Program that is responsive to the City
Council and community priorities, while maintaining economic feasibility.
DISADVANTAGES:
There are no disadvantages to providing information for the community, City Council, or
staff regarding the 5-Year CIP Budget and 5-Year Measure O 2006 Sales Tax Fund
budget priorities.
ENVIRONMENTAL REVIEW:
The development of the 5-Year CIP Budget and 5-Year Measure O 2006 Sales Tax Fund
Expenditure Program is not a project, as defined in the California Environmental Quality
Act, and an environmental review is not required. Individual projects listed herein may be
subject to CEQA and environmental reviews will be conducted at the appropriate time
during implementation of those projects.
PUBLIC NOTIFICATION AND COMMENTS:
The Agenda was posted at City Hall and on the City’s website in accordance with
Government Code Section 54954.2.
ATTACHMENTS:
1. 5-Year CIP Budget for FY 2024-25 through FY 2028-29
2. Unfunded Capital Improvement Projects
3. 5-Year Measure O 2006 Sales Tax Fund Expenditure Program
Project Number Request Title Funding Source FY 2024-25 FY 2025-26 FY 2026-27 FY 2027-28 FY 2028-29 5-Year Total
MISCELLANEOUS PROJECTS
350-5468 Community Safety Camera Network 4929 - COPS - - 200,000 - - 200,000
350-54XX
City Hall Second Story Water Leak
Repair 4950 - Sales Tax 20,000 - - - - 20,000
350-5475 ADA Transition Plan 4463 - CDBG 12,391 - - - -
4499 - Other Gov Agencies 23,500 - - - -
4950 - Sales Tax 75,834 - - - - 111,725
350-54XX PD EOC Upgrade 4499 - Other Gov Agencies 27,000 - - - -
4950 - Sales Tax 73,000 - - - - 100,000
350-5422 Le Point Street Parking Lot Expansion 4950 - Sales Tax 42,500 42,500 6,000 - -
49XX - In-Lieu Parking Fee - - 144,000 - - 235,000
350-54XX
Police Department Building Roof
Repair 4950 - Sales Tax - 20,000 - - - 20,000
350-54XX Police Station Security Fencing 4950 - Sales Tax - 40,000 - - - 40,000
350-54XX Fire Station 1 HVAC 4950 - Sales Tax - 100,000 - - - 100,000
350-5430 Short Street Plaza 4950 - Sales Tax - - 50,000 - - 50,000
350-5470
Report Management System (RMS)
Upgrade at PD 4929 - COPS - - 150,000 - 150,000
350-54XX
Property and Evidence Storage System
Upgrade 4950 - Sales Tax - - - 25,000 - 25,000
350-54XX Fire Station 1 Front Lobby Security 4950 - Sales Tax - - - - 50,000 50,000
Total Miscellaneous Projects 274,225 202,500 550,000 25,000 50,000 1,101,725
Project Number Request Title Funding Source FY 2024-25 FY 2025-26 FY 2026-27 FY 2027-28 FY 2028-29 5-Year Total
PARKS PROJECTS
350-5556
Recreation Services / Community
Center Building 4950 - Sales Tax 75,000 75,000 1,300,000 200,000 -
4499 - Other Gov Agencies - - 3,375,000 1,125,000 - 6,150,000
350-55XX New Play Structure - Parkside Park
4915 - Parkside Assessment
District 250,000 - - - - 250,000
350-55XX ADA Bathrooms Elm Street Park 4950 - Sales Tax 235,000 - - - - 235,000
350-55XX
Ash Street Restroom Roof
Replacement 4914 - Park Improvement - 65,000 - - - 65,000
350-55XX
Foot Bridge at Entrance of James Way
Open Space 4914 - Park Improvement - - - 50,000 - 50,000
Total Parks Projects 560,000 140,000 4,675,000 1,375,000 - 6,750,000
ATTACHMENT 1
Project Number Request Title Funding Source FY 2024-25 FY 2025-26 FY 2026-27 FY 2027-28 FY 2028-29 5-Year Total
STREETS PROJECTS
350-5601
Fair Oaks Ave Active Transportation
Improvements, Valley Road to Traffic
Way 4825 - Developer - - - 50,000 -
4950 - Sales Tax - - - 75,000 225,000 350,000
350-5606 Halcyon Road Complete Streets 4482 - RSHA 749,000 - - - -
44XX - ATP 3,684,500 3,432,500 - - - 7,866,000
350-5614 Bridge Street Bridge Habitat Mitigation 4487 - HBP 48,628 48,628 - - - 97,256
350-5621 Arroyo Grande Creek Stabilization 4950 - Sales Tax 40,000 - - - 300,000 340,000
350-5638 Pavement Management Program 49XX - Regional SHA 390,000 - - - -
44XX - Betterments Grant 570,000 - - - -
4910 - General Fund 2,360,000 - - - -
4920 - SB1 450,000 450,000 450,000 450,000 450,000
4950 - Sales Tax 966,833 1,046,624 - 1,250,000 1,250,000
4965 - ARPA 204,207 - - - -
4463 - CDBG 58,960 - - - - 10,346,624
350-5658 Sidewalk Repairs and Improvements 4950 - Sales Tax 240,000 - 200,000 - 200,000
44XX - Betterments Grant 423,000 1,063,000
350-5679 Traffic Way Bridge Replacement 4487 - HBP 6,118,724 6,118,724 - - -
4950 - Sales Tax 792,745 792,745 - - - 13,822,938
350-56XX Wayfinding 4950 - Sales Tax 60,000 - - - - 60,000
Total Streets Projects 17,156,597 11,889,221 650,000 1,825,000 2,425,000 33,945,818
Project Number Request Title Funding Source FY 2024-25 FY 2025-26 FY 2026-27 FY 2027-28 FY 2028-29 5-Year Total
DRAINAGE PROJECTS
350-5794
Corrugated Metal Pipe (CMP)
Investigation and Repair 4950 - Sales Tax 100,000 100,000 100,000 100,000 - 400,000
350-5798 Trash Capture Devices 4950 - Sales Tax - - 74,000 70,000 70,000 214,000
350-57xx Soto Basin #2 Repair 4950 - Sales Tax - 200,000 - - - 200,000
Total Drainage Projects 100,000 300,000 174,000 170,000 70,000 814,000
Project Number Request Title Funding Source FY 2024-25 FY 2025-26 FY 2026-27 FY 2027-28 FY 2028-29 5-Year Total
SEWER PROJECTS
612- 5854 Wastewater Master Plan Update 4930 - Sewer Fund 100,000 - - - - 100,000
612-5849 Maintenance Hole Rehabilitation 4930 - Sewer Fund - 100,000 100,000 100,000 - 300,000
612-58XX
Trenchless Sewer Rehabilitation -
Pilgrim Way, Orchard Avenue, West
Cherry Avenue and California Street 4930 - Sewer Fund - - 282,000 - - 282,000
612-5826
Trenchless Sewer Rehabilitation -
Woodland Drive 4930 - Sewer Fund - - 132,200 - 132,200
612-58XX
Trenchless Sewer Rehabilitation - Alder
and Cameron Court to Victorian Way 4930 - Sewer Fund - - 300,000 - - 300,000
612-58XX
Trenchless Sewer Rehabilitation -
Beech & Alder backyard easements 4930 - Sewer Fund - - - 475,000 475,000
612-58XX
Trenchless Sewer Rehabilitation -
Hillcrest/Sierra backyard easements 4930 - Sewer Fund - - - - 300,000 300,000
Total Sewer Projects 100,000 100,000 814,200 100,000 775,000 1,889,200
Project Number Request Title Funding Source FY 2024-25 FY 2025-26 FY 2026-27 FY 2027-28 FY 2028-29 5-Year Total
WATER PROJECTS
640-5953
SCADA Software/Electronics Design
and Upgrade 4940 - Water Fund 330,000 - - - - 330,000
640-59XX Water Master Plan Update 4940 - Water Fund 100,000 - - - - 100,000
640-59XX
Reservoir No. 5 Redundancy
Interconnect 4940 - Water Fund - 100,000 - - - 100,000
640-5973
Phased Main Replacement - Highway
101 Crossing Upgrade, El Camino
Real to West Branch Street 4940 - Water Fund - - 335,000 - - 335,000
640-5948 Reservoir No. 4 Exterior Coating 4940 - Water Fund - - 500,000 - - 500,000
640-59XX Miller Way Booster Zone Upgrade 4940 - Water Fund - - - 300,000 - 300,000
640-59XX
Reservoir No. 5 booster modfication &
temporary storage 4940 - Water Fund - - - - 500,000 500,000
Total Water Projects 430,000 100,000 835,000 300,000 500,000 2,165,000
Grand Total, All Capital Projects 18,620,822 12,731,721 7,698,200 3,795,000 3,820,000 46,665,743
Unfunded FY 23-25 CIP Total
All City Parking Lots 250,000
AMI - Advanced Metering Infrastructure - Water Enterprise Funds 1,500,000
Bandstand at Heritage Square Park Update unknown
Branch Mill Road slope stabilization unknown
Bridge Preventive Maintenance Plan 116,100
City Hall does have wood rot damage unknown
City Hall Flooring Replacement 75,000
Concrete Seating at Ikeda Field unknown
Connectivity from Branch Mill Rd. to Huasna on Coach Rd. or Tanner 1,000,000
Corporation Yard Renovations 280,502
Crosswalk on Grand and Juniper unknown
Drainage Master Plan 150,000
Elm St. BBQ Pit unknown
Fire Station 1 Carpet Replacement - Laminate Flooring 75,000
Generator for City Hall 200,000
GIS & Atlas upgrade unknown
Harden Street Slope Stabilization unknown
Jayce bathrooms unknown
Kiwanis Park unknown
National Fitness Campaign (court)232,000
Old City Hall roof 60,000
Oro Park Playground replacement unknown
Police Station Firing Range 120,000
Rancho Grande Playground Replacement 800,000
Safe Route to schools - Newport slope stabilization 300,000
Score Keeper Shed at Volunteer Field 10,000
Soto Sports Complex LED lighting 100,000
Soto Sports Complex Trails/Circulation/Irrigation unknown
South Alpine Street Drainage Improvements 70,000
Storm Water Master Plan Update / New Watershed Management Plan 222,500
Strother Park Small Play Structure Replacement 200,000
Women's Club roof/rain gutters unknown
Grand Total 5,761,102
ATTACHMENT 2
Item
2024-25
Proposed
Budget 2025-26 2026-27 2027-28 2028-29 5-Year Total
Fair Oaks/Orchard Rd Intersection Imp - - - 75,000 225,000 300,000
Traffic Way Bridge Improvements 792,745 792,745 - - - 1,585,490
Subtotal Transportation 792,745 792,745 - 75,000 225,000 1,885,490
Pavement Management Program 966,833 1,046,624 - 1,250,000 1,250,000 4,513,457
Striping and Sidewalk Improvements 240,000 - 200,000 - 200,000 640,000
Wayfinding 60,000 - - - - 60,000
Short Street Plaza - - 50,000 - - 50,000
Arroyo Grande Creek Stabilization 40,000 - - - 300,000 340,000
Subtotal Street/Park Improvements 1,306,833 1,046,624 250,000 1,250,000 1,750,000 5,603,457
CMP Replacements 100,000 100,000 100,000 100,000 - 400,000
Sot o Basin #2 Repair - 200,000 - - - 200,000
Trash Capture Devices - - 74,000 70,000 70,000 214,000
Subtotal Drainage Improvements 100,000 300,000 174,000 170,000 70,000 814,000
Fire JPA 994,500 1,024,335 1,055,065 1,086,717 1,119,319 5,279,936
Police Senior Officer Position 200,300 207,300 214,600 222,100 229,900 1,074,200
Narcotics Task Force 24,600 24,600 24,600 24,600 24,600 123,000
Animal Services Building Debt Service 60,000 60,000 60,000 60,000 60,000 300,000
Subtotal Public Safety 1,279,400 1,316,235 1,354,265 1,393,417 1,433,819 6,777,136
City Hall Debt Service 20,000 20,000 20,000 20,000 20,000 100,000
Recreation Services/Community Center Building 75,000 75,000 1,300,000 200,000 - 1,650,000
ADA Bathrooms Elm Street Park 235,000 - - - - 235,000
ADA Transition Plan 75,834 - - - - 75,834
Police Department Building Roof Repair - 20,000 - - - 20,000
PD EPC Upgrade 73,000 - - - - 73,000
Police Station Security Fencing - 40,000 - - - 40,000
Property and Evidence Storage System Upgrade - -- 25,000 - 25,000
F ire Station 1 HVAC - 100,000 - - - 100,000
Fire Station 1 Lobby Security - -- - 50,000 50,000
City Hall Second Story Patio Repair 20,000 - - - - 20,000
Le Point Street Parking Lot Expansion 42,500 42,500 6,000 - - 91,000
Subtotal City Facilities 541,334 297,500 1,326,000 245,000 70,000 2,479,834
Annual Audit and Sales Tax Report 7,500 7,500 7,500 7,500 7,500 37,500
Contingency 25,000 25,000 25,000 25,000 25,000 125,000
Subtotal Other 32,500 32,500 32,500 32,500 32,500 162,500
Total Expenses 4,052,812 3,785,604 3,136,765 3,165,917 3,581,319 17,722,417
Revenue 2,955,000 3,124,000 3,217,700 3,314,200 3,413,600 16,024,500
Revenue Over/(Under) Expenses (1,097,812) (661,604) 80,935 148,283 (167,719)
Beginning Fund Balance 1,759,416 661,604 0 80,935 229,218
Estimated Ending Fund Balance 661,604 0 80,935 229,218 61,500
% Fund Balance of Estimated Revenues 22% 0% 3% 7% 2%
CITY OF ARROYO GRANDE
5-Year Revenue and Expenditure Plan
ATTACHMENT 3