Agenda Item: 15(b)
Prepared By: Casey Lucius, Ph.D., Interim City Manager
Business: City Council Item
Department: Executive
Subject:
Title
Discussion and Preliminary Decisions Regarding Proposed Capital Bonds - Casey Lucius, Ph.D., Interim City Manager
Body
BACKGROUND:
On December 1, 2025 the City Council held a workshop to discuss future capital projects and options for funding those projects. The Council has been discussing the possibility of putting one or more general obligation bonds on the August 18, 2026 ballot to fund major capital projects. At the December 1 meeting, Council narrowed the list of capital projects to four main categories: 1) transportation, 2) water quality, 3) community enhancements, and 4) City facilities and parks. On December 12, 2025, Carol McDermott and I spoke to the City's bond counsel and received feedback on these four categories. First, they clarified that road paving can be considered capital for bond purposes. They also recommended placing median work, bike lanes, and shared use paths in the "transportation" category rather than community enhancement. Finally, shade in parks should be included in the "city facilities and parks" category. As a result of this guidance, the following represents a summary of potential bond issues:
1. Transportation bond: intersection improvements ($8.5M), paving ($25M), 2 bridge replacements ($15M), medians, bike lanes, and shared used paths ($8.5M) for a total of $57M.
2. City parks/facilities bond: space analysis and remodel of Mackle Park and MIPD ($3M), park upgrades and shade ($4M) for a total of $7M.
3. Water quality bond: Tidal flushing match ($1.9M and swale exfiltration ($2.2M) for a total of $4.2M.
FUNDING SOURCE / FISCAL IMPACT: No cost associated with this discussion.
RECOMMENDATION: City Council should solidify the categories of capital projects and decide which specific project to "keep or delete" from these lists. For the projects that the City would like to comp...
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