Capital Planning and Infrastructure

Local, state and provincial governments should establish a system for assessing their capital assets and then appropriately plan and budget for any capital maintenance and replacement needs.

State and local government officials should extend the involvement of the finance director through all phases of asset management. Finance officers should be involved by understanding and providing information to support decisions.

Governments should adopt a written policy addressing capital asset reserve for renewal and replacement. The establishment of a capital asset reserve provides governments additional flexibility in a strong capital asset management program.

Governments should develop and adopt capital planning policies that take into account their unique organizational characteristics including the services they provide, how they are structured, and their external environment. 

Finance officers should evaluate both the financial and non financial impacts of a project including environmentally-responsible measures that impact the jurisdiction in the long term as well as the local, regional, and global environment, changes to resource use and efficiency, and other areas that impact quality of life for the public.

Economic development strategies and capital improvement planning should be coordinated and integrated within and among governments.

State and local governments should prepare and adopt comprehensive, fiscally sustainable, and multi-year capital plans to ensure effective management of capital assets.

Governments should consider multiple important elements of Master Plans during its Capital Improvement Planning.

Finance officers should take an organizational-wide approach to using technology for capital program management.

Organizations should develop a communications plan for public participation focused on explaining capital needs, options, and strategies and facilitating feedback in advance of any major capital program.

Governments should incorporate a number of appropriate guidelines when presenting its capital budget.

Jurisdictions should create a policy on the appropriate parameters for use of economic development incentives.

Economic development strategies and capital improvement planning should be coordinated and integrated within and among governments.

The finance officer or budget officer should lead or be a key participant in the analysis of the economic and fiscal impacts, as well as the risks and uncertainties, associated with proposed economic development plans, strategies or individual projects.

Local governments should carefully evaluate whether TIF and TIF districts are the most appropriate and effective tool to assist the local government in its economic development plans.

Government officials should analyze the specific benefits, costs, and risks associated with economic development projects, programs, and policies as an integral part of selecting which projects, programs or policies to pursue.

Governments should develop and pursue a clear negotiating strategy when working with 3rd party developers on an economic development project, and that the finance department/officer should always be represented on the negotiating team.

Governments should take steps to ensure effective administration of economic development agreements through an on-going assessment of government benefits, monitoring of commitments and requirements, and communicating progress to the governing body.

State, provincial and local jurisdictions should monitor economic development projects and program performance to ensure objectives established in an economic development policy are accomplished.