TO: Mayor and City Council
THROUGH: Krishna Namburi, City Manager
FROM: Josh Eggleston, Chief Financial Officer
SUBJECT:
title
Capital Improvement Plan for FY 2027 through FY 2031
Ward(s): All Wards
Councilor(s): All Councilors
Neighborhood(s): All Neighborhoods
Result Area(s): Good Governance; Natural Environment Stewardship; Safe and Healthy Community; Safe, Reliable and Efficient Infrastructure; Strong and Diverse Economy; Welcoming and Livable Community.
end
SUMMARY:
summary
The City of Salem Budget Committee held a public hearing for the CIP on April 22, 2026. Staff provided notice to the community and at the public hearing, provided a presentation about capital planning and anticipated projects. At the conclusion of the public hearing, the Budget Committee recommended the CIP to the City Council for consideration and adoption.
end
ISSUE:
Shall the City Council adopt the Capital Improvement Plan for FY 2027 through FY 2031?
RECOMMENDATION:
recommendation
Adopt the Capital Improvement Plan for FY 2027 through FY 2031.
body
FACTS AND FINDINGS:
The CIP consists of planned capital projects that are expected to cost $409,453,070 over the next five-year period. The CIP includes four groups of projects that are funded at the following levels:
Community Facilities - $26,689,210
Municipal Facilities - $59,743,710
Transportation - $151,415,480
Utilities - $171,604,670
Detailed information about specific capital projects planned for the next five fiscal years can be found in the attached CIP document.
Additional CIP Adjustments
After the Budget Committee approved the FY 2027 CIP, it was determined that a project to replace the roof, gutters, siding, and trim as well as paint the exterior of the Navigation Center was inadvertently omitted from the CIP. State of Oregon Grant funding in the CIP has been increased by $150,050 in FY 2027 with previous project funding of $550,000.
This adoption report also adds the State Street: 13th Street NE to 17th Street NE Bicycle Lanes and Pavement project back to the CIP. The funding source for this project is General Obligation Community Improvement Bond and will add $950,000 in FY 2027 and $8,500,000 in FY 2028. Previous funding for the project was $3,500,000. This project was removed during the Budget Committee process so that Councilors with a conflict of interest as determined by the Oregon Government Ethics Commission could participate in voting and deliberations on the CIP.
BACKGROUND:
The Capital Improvement Plan (CIP) is governed by Council Policy C-9 (Resolution 2024-10), which requires that the CIP process include: establishment of a Staff Review Committee to score and rank projects; Designation of the City Council Finance Committee as the governing body responsible for oversight of the CIP process; Guidelines for implementation of a public outreach program; and a requirement that equity be used as a criterion in the scoring process.
James Wharton-Hess
Sr. Fiscal Analyst
Attachments:
1. Budget Committee Recommended Capital Improvement Plan for FY 2027 through FY 2031