About the Capital Improvements Program (CIP)

What is the CIP?

The Capital Improvements Plan (CIP) details the capital asset rating process and prioritization process used when selecting projects to receive citywide funds. This section will also outline the CIP timeline and all statutory regulations that must be followed as the CIP Budget is developed.

Ultimately, the capital improvement plan is the result of a systematic evaluation of capital needs. It serves as a roadmap for the acquisition and improvement of City infrastructure and public facilities. Formulation of the plan includes the prioritization of public improvements and cost projections, which allow the City to take advantage of federal, state and county funds. Eventually, the plan takes shape with the identification of capital projects. 

A capital project may include construction, acquisition, maintenance, or improvements to a City asset. To be included in the capital budget, a project must meet one of the following requirements:

• It is a mandated project governed by federal, state, or local laws and ordinances
• It is a local funding match to a project in which the state or federal government is contributing resources
• It is a new construction, expansion, renovation, or replacement project for an existing facility or facilities
• It is a major maintenance or rehabilitation project for existing infrastructure and buildings
• The estimated useful life is greater than one year

Project costs may include the cost of land, engineering, architectural planning, and contract services needed to complete the project. As is the case with all urban capital improvements programs, the Kansas City, Missouri Five-Year Capital Improvements Plan attempts to balance the City’s resources among previous commitments, reconstruction, and maintenance needs, as well as the demand for new construction.

The CIP is shaped by many obligations including debt service requirements, tax redirections, federal and state mandates, and cooperative funding agreements. Furthermore, the Capital Improvements Program- one percent sales tax, which provides the majority of revenue for the CIP, has restrictions. Thirty-five percent is invested in neighborhood conservation improvements, twenty-five percent is earmarked for street preservation and complete street type activities. Once obligations have been met, remaining resources are divided among debt, mandated, capital maintenance, rehabilitation, and new construction. Capital maintenance includes the annual work necessary to ensure that capital investment meets or exceeds its useful life. Rehabilitation is undertaken in those instances where the infrastructure has experienced substantial deterioration, and it is safer or more economical to rebuild. Finally, development or redevelopment often demands that new construction be undertaken to provide new or expanded infrastructure to changing areas.

Why is the CIP Important?

 The Five-Year Capital Improvements Plan is reflective of the City Council’s stated emphasis on basic infrastructure. Funding decisions are based on needs as reflected in infrastructure condition assessments and demographic growth patterns, with an additional effort made to complete projects begun in previous years. The majority of the planned projects occur in the central city. Infrastructure in the central city is the oldest and most heavily used. Many projects in this area deal with substantial deterioration due to deferred maintenance. Improvements outside of the central city have been targeted at key infrastructure links which experience substantial growth, and attention will continue to be given to meeting the developing needs of these areas. However, as maintenance continues to be underfunded, addressing backlogs will be done at the expense of new projects.

As resources continue to be limited, having a CIP plan based in data becomes vital as we look to utilize resources making every dollar count towards what is needed the most.

How are projects selected and prioritized?

The departments select the projects that should be reviewed for citywide funding based on the priority of the project inside their department.  City Council can also select a project for their council district every year to be added to the priority list for review and possible funding. 

Once a project is selected, it will be reviewed by the Capital Improvements Program Technical Committee (CIP Tech).  This committee reviews and evaluates projects for funding based on the capital asset rating system. 

The highest rated projects are placed recommended for funding.

What is the Capital Asset Rating System?

There are many capital improvement needs in the City and funding constraints prevent us from accomplishing all needs in a 5-year window. Due to this, in June 2022 the City Council implemented a capital asset scoring system to utilize in prioritizing capital needs that receive citywide funding. Once the project needs list is developed, the capital asset scoring system is used to help define the projects in most need of immediate funding for improvement. The system looks at 12 categories and points are assigned to each category by the Capital Improvements Program Technical Committee. The committee reviews each project and each category to ensure complete evaluation of every project.

The 12 categories evaluated are as follows:

• Maintenance (up to 20 points): Reviews the current state of the asset based on its condition rating.
• Safety (up to 10 points): Reviews if the project is a known Vision Zero need or in a high injury network. It also reviews if the upgrades the project will receive improve safety for the user or community that utilizes the asset.
• Accessibility and Modal Choice (up to 10 points): Reviews how many modal choices the project will improve or expand on the modal network, vehicular, pedestrian, bike, traffic or ADA.
• Project Development (up to 10 points): Reviews based on stage the project is in and the most points are awarded if the project is fully construction-ready and has completed, study, design and Right of Way stages.
• Project Leverage (up to 10 points): Points are awarded based on the percentage of outside (non-City) funding the project is receiving; this can include funding from grants or any source that is not a city funded source.
• Usage (up to 10 points): Reviews based on the population within 1 mile of the project that will be affected by it or the jobs within 1 mile that will be affected by the project. The most points are given to projects that affect the largest amount of people.

• Environmental Justice Tract (up to 5 points): Points are awarded based on whether the project is in or adjacent to an environmental justice tract.
• Health Equity (up to 5 points): Points are awarded based on the project's location on the Health Prosperity map, located on the KCMO Health Department's Webpage. If the project falls in the red zone of the health prosperity map it receives 5 points, if it falls in the yellow or orange zone it receives 2 points.
• Environmental Sustainability (up to 5 points): Points are awarded if it implements green solutions, adds trees or is part of the tree, green streets or watershed plans.
• Economic or Activity Centers (up to 5 points): Points are awarded based on whether the project connects to or improves connection to an activity center or community center/public facility it receives points based on the connection provided.
• Community Investment and Quality of Service (up to 5 points): Points are awarded if the project has received community involvement through PIAC recommendations, is in proximity to affordable housing, or if it promotes growth for city services.
• Master or Corridor Planning (up to 5 points): Points are awarded up to 5 based on if the project implements a plan or supports goals outlined in an area or neighborhood plan.

Using these areas, any project can receive up to 100 points based on the criteria above. The rated needs list is then evaluated to determine the projects most in need of funding immediately or in the near future. These projects then become part of one of the city’s 5 year plans. All projects on the needs list are then evaluated yearly for any changes in need and the plans are updated yearly to continue reflecting the assets and improvements most in need.

Who prioritizes the CIP projects?

The Capital Improvements Program Technical Committee reviews each project recommended for funding, each department rate the projects that would go to them for funding, then the committee evaluates the rating as a committee to ensure every project is rated fairly.  The projects that rate the highest get recommended for funding from a citywide source each year until all funding for citywide projects has been utilized.  The recommended list then goes to City Council in October for approval with the Citywide Business Plan.

Projects not funded will remain on the list in the event additional funding becomes available mid-year.

Who manages the CIP projects?

Once funded, the department responsible for that project will begin work on the project.  The project will be directly managed by an assigned project manager. 

The departments will report quarterly to the council district as to the progress made on the projects.

How are the projects implemented?

Once the project receives funding the project will be turned over to a department to construct.  The department will begin working on what is funded in the scope of the project for each project funded.