The projects contained in the 2023-2027 Capital Improvement Program include periodic equipment replacement, major maintenance-type projects that are incurred on an annual basis, as well as one-time expenditures of funds such as major roadway, utility, parks, public buildings and other infrastructure projects.
The largest major projects and their respective costs consisted of:
- Aeration System Improvements: Install new aeration system diffusers, piping, instrumentation, blowers, and blower air header. The cost of this project will be approximately $7,000,000.
- Route 4 Paving (South): The City, in cooperation with ODOT and the City of Springdale, will develop plans for paving along the southern end of Route 4. The project is a total of 1.81 miles with 1.37 in Fairfield and 0.44 in Springdale. ODOT will fund 80% of pavings. The cost of this project will be approximately $3,500,000.
- Riegert Square Construction: This project is to replace curb and sidewalk in front of Riegert Square. Additionally, the project will include new landscaping, signs, lighting, parking lot resurfacing and minor drainage improvements. This project will allow for a reduction of curb cuts from 15 to 4, providing enhanced safety in the corridor. The cost of this project is approximately $1,250,000 all of which is utilizing funds from the American Rescue Plan Act.
- Replacement Fire Truck: This project will occur in 2023 and is expected to cost $900,000. This is for the replacement of a 2004 Custom E-One Pumper.
- New Water Production Well: Pump and control installation for a new raw water production well. The cost of this project is approximately $400,000.
- Village Green Park Improvements: This project includes a new play structure to upgrade and replace the existing playground at Village Green Park. This will be an expansion of the existing play area by removing some overgrown vegetation. The project is part of a comprehensive strategy to attract and engage people in the Town Center area. The cost of this project is approximately $800,000 with $500,000 being utilized from the American Rescue Plan Act.
For 2023, the larger annual programmed maintenance projects and respective costs include:
|Street Paving and Curb Replacement (Public Works)||
|Sidewalk / Apron Program (Public Works)||
|Citywide Computer Hardware Replacement (City Manager)
|Citywide Network Infrastructure Upgrades (City Manager)||
|Pavement Markings (Public Works)||
|Replacement of Patrol Vehicles (Fleet)||
|Small Water Line Improvements (Public Utilities)||
|Pump Overhaul / Replacement Program (Public Utilities)||
The 2023-2027 Capital Improvement Program places a strong emphasis on the City’s continuing commitment to upgrade and improve its infrastructure while staying within conservative financial parameters. In particular, projects such as storm sewer and planned roadway improvements emphasize the importance of addressing infrastructure needs and improvements as a means of continuing to attract quality development while sustaining an excellent quality of life. Several of these projects are dependent on grants and other forms of outside funding if implementation is to be achieved.
The City’s 2023 General Fund balance is above the reserve requirement. This fund’s primary revenue source (income tax) is projected to bring in approximately $29.6 million. Staff will continue to monitor the General Fund Reserve to ensure that it remains at a fiscally responsible level. Continued vigilance in both operating and capital expenditures remains the primary goal to ensure that the City continues to spend at sustainable levels.
Street Improvement Fund
The Street Improvement Fund began the year with a stable fund balance as the City replenished the income tax revenue to pre-2013 levels. The City will continue to replenish the fund provided revenue projections continue to be met. The City has also been able to secure outside funding to help offset many of the major construction projects slated for current and future years. No new debt is projected for projects in this fund.
Capital Improvement Fund
The Capital Improvement Fund began the year with a low fund balance. The City did replenish the income tax revenue to pre-2013 levels. The City will continue to replenish the fund provided revenue projections continue to be met. Several equipment purchases and projects will need to be paid for via the fund balance; namely, replacement of vehicles, equipment and building repairs. As a result of the high project demand, any non-scheduled purchases or projects would further constrain the fund balance. Continued vigilance in capital expenditures will be needed over the current and the next several years to ensure that the City continues to maintain a focus on funding projects at sustainable levels.
Debt Service-Unvoted Debt
The City currently has $26.6 million in debt obligations with a very healthy investment grade bond rating of Aa1. Continued attention will be given to discerning the type of debt and its timing in order to maintain the City’s healthy financial position. The City’s financial position is largely dependent on maintaining adequate reserves for operations and debt capacity. In 2023, approximately $8.3 million in debt is anticipated, all within the Water and Sewer funds for aeration system improvements and distribution system improvements. An evaluation of the necessity for debt is performed each time a debt issuance is considered. The City had one debt issuances set to conclude during this program, in 2023 and that amount was paid off during fiscal year 2021. Staff will continue to monitor the outstanding debt for all operations, taking into consideration the anticipated near-term capital needs. Council will be advised regarding appropriate recommended actions as new or refunding opportunities become available.
The 2023-2027 Capital Improvement Program represents a proactive approach to capital investment/reinvestment on the part of the City of Fairfield. The Capital Improvement Program exemplifies the strong emphasis that the City has historically placed on providing quality infrastructure as a means of sustaining effective public/private partnerships and service levels within the community. We appreciate the continuing support of the City’s elected officials working with staff in this endeavor.