Developing the Capital Plan and Managing Debt

A capital improvement program provides a blueprint for planning a community's capital expenditures and is one of the most important responsibilities of local government officials. It coordinates community planning, financial capacity, and physical development. Often times, especially for larger capital projects, communities need to borrow money for financing purposes. These resources are intended to assist communities in developing their own capital planning and debt issuance processes.

Provides a funding strategy for maintaining a community’s capital assets.

Who is involved with this process

• A Deeper Dive Into Municipal Debt - Issuance roles and responsibilities (Video)
• The Financial Management Team (PDF)
• The Role and Responsibilities of the Treasurer (PDF)
• The Role of a Finance Director (PDF)
• The Role of the Finance Committee (Video)

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Introduction to debt

• Introduction to Municipal Debt (Video)

Borrowing procedures

• A Deeper Dive Into Municipal Debt - Accounting for debt and surplus proceeds/abandoned projects (Video)
• A Deeper Dive Into Municipal Debt - Borrowings subject to debt exclusion approval (Video)
• A Deeper Dive Into Municipal Debt - Full Video (Video)
• A Deeper Dive Into Municipal Debt - Introduction and overview (Video)
• A Deeper Dive Into Municipal Debt - Municipal borrowing authority (Video)
• A Deeper Dive Into Municipal Debt - Voting to borrow (Video)
• Borrowing: Purposes and Procedures (IGR 2022-2: Borrowing) (PDF)
• Guidelines: Municipal Finance Provisions of the Community Preservation Act (CPA) (IGR2019-14) (PDF)
• Premiums and Surplus Proceeds for Proposition 2½ Excluded Debt (IGR 2022-1) (PDF)

Credit ratings

• A Deeper Dive Into Municipal Debt - Credit rating agencies (Video)
• Explanation of Moody's Bond Ratings (PDF)
• Explanation of Standard and Poor's Bond Ratings (PDF)
• Report: Trends in Municipal Bond Ratings (PDF)

Long and short-term debt

• A Deeper Dive Into Municipal Debt - Emergency spending (Video)
• A Deeper Dive Into Municipal Debt - Long-term debt (Video)
• A Deeper Dive Into Municipal Debt - Short-term debt (Video)
• Understanding Municipal Debt (PDF)

State house notes

• State House Notes Modernization Webinar Recording (Video)
• State House Notes Modernization Webinar Slides (PDF)
• State House Notes User Guide (PDF)

State oversight

• A Deeper Dive Into Municipal Debt - DLS oversight/conclusion (Video)
• Borrowing Guidelines: Asset Useful Life Schedules and Maximum Borrowing Terms (PDF)

Capital planning

• Capital Planning: Concepts and Process Overview (Video)
• Capital Planning: Components of a Capital Plan (Video)
• Funding the Capital Plan (Video)
• Presenting and Funding Major Capital Projects  (PDF)

Tax exempt lease purchases (TELPs)

• Lease Purchase Finance Agreements (IGR2019-9) (PDF)
• Overview: Tax Exempt Lease Purchases (TELPs) (Video)

Financial forecasting

• Cash Flow Forecasting and Short-Term Borrowing (PDF)
• Introduction to Forecasting (Video)
• Webinar: Next Steps in Financial Forecasting (Video)

Reserves

• Stabilization Funds (IGR2017-20) (PDF)
• Stabilization Funds: Overview and Best Practices (Video)
• The Importance of Free Cash (PDF)
• The Importance of Reserve Policies (PDF)

Enterprise funds

• Enterprise Funds (PDF)
• Enterprise Fund manual (PDF)
• Enterprise Funds: Overview and Best Practices (Video)

Tools

• Capital Improvement Planning Guide (PDF)
• Capital Projects Request Form (DOCX)
• Capital Targets Template (XLS)
• Debt Service Calculator (XLS)
• Debt Service Schedule (XLS)
• Financial Forecasting Template - Instructions (PDF)
• Financial Forecasting Template (XLS)
• Tax Impact Calculator (Databank report)