CITY COUNCIL REGULAR MEETING AGENDA PACKET 10-6-26

Page 1 of 5 Item #9 CITY COUNCIL AGENDA REPORT October 6, 2026 Public Works - Engineering Division TITLE: RECEIVE AN UPDATE ON THE ASSET MANAGEMENT PLAN, CIP PROJECT NO. 24460, AND THE CAPITAL IMPROVEMENT PROGRAM (CIP) PROGRAMMING STRATEGY FOR FY 2027-2032 SUMMARY Since 2024, the City has been developing an Asset Management Plan (AMP) to better understand the condition, risk, and replacement needs of its infrastructure. The AMP consists of three phases. Phases One and Two, which included an inventory and condition assessment of City assets and a corresponding cost analysis, are complete. This report provides an update on Phase Three, which focuses on using AMP data to inform development of the Capital Improvement Program (CIP) for non-enterprise City assets. The proposed framework is intended to balance available CIP resources with citywide infrastructure needs to the greatest extent possible. BACKGROUND On April 16, 2024, the City Council awarded an agreement to Kayuga Solutions to develop the City's first Asset Management Plan (AMP), a comprehensive, data-driven inventory of the City’s assets, their condition, and the estimated costs to repair or replace them over time. The agreement was amended on February 4, 2025, to include future needs planning. At its December 16, 2025, meeting, the City Council received a status update on the first two phases of the AMP. These phases focused on identifying and inventorying assets the City owns and manages, assessing their current condition, and estimating their expected lifecycles. At the conclusion of that meeting, staff indicated it would return later in 2026 to provide an update on Phase Three of the AMP implementation, including how the data will be used to inform CIP development. DISCUSSION Establishing the Preliminary Asset List Since the December 2025 update to the City Council, staff has refined the AMP asset inventory, condition, and risk data to develop a focused list of infrastructure needs for consideration in the City’s Capital Improvement Program (CIP). More than 200,000 assets have been documented, with a combined estimated replacement value of approximately $4.8 billion. Of these assets, approximately 73,250 are associated with enterprise-funded operations, including water, sewer, and the Callippe Preserve Golf Course. Approximately 132,450 assets are supported by the City’s General Fund. The General Fund-supported, or non-enterprise, asset portfolio has an estimated replacement value of approximately $3.4 billion. Overall, the City’s infrastructure is generally in good Page 35 of 46