The Capital Improvement Plan (CIP) is a five-year schedule for the City of Hopkins' capital improvement expenditures that exceed $10,000 and have a useful life of five or more years.
Before plans are finalized each of these projects is again reviewed for to ensure adequate funding and that the project continues to meet the city’s long range plans. If it does not the project is postponed and reviewed for inclusion in a subsequent CIP.
In addition to the CIP, the City also completes an Equipment Replacement Plan, a twenty-year plan that focuses on the next five years. Both of these plans assist the City with budgeting.
The Capital Improvement Plan process begins with departments editing and updating existing plans from previous years and adding or deleting projects.
Once this is completed, the Finance Department does an analysis of funding requirements and any related prioritization is done by the City Manager. The analysis includes a review of projected working capital amounts available for the projects, any operating cost adjustments as a result of the improvement, and determining the impact of future funding needs.
The Mayor and City Council then use the compiled information in the CIP along with the results of public discussion, to determine which projects are to proceed and exactly how they will be funded.