TO:Andrew P. Powers, City Manager
FROM:Jaime Boscarino, Finance Director
DATE:April 8, 2025
SUBJECT: Proposed FY 2025-26 and FY 2026-27 Capital Improvement Program Budget Study Session
RECOMMENDATION:
1. Receive information on Proposed FY 2025-26 and FY 2026-27 Capital Improvement Program (CIP) Budget.
2. Schedule a public hearing for June 10, 2025, for adoption of the FY 2025-26 and FY 2026-27 Operating and CIP Budgets.
3. Find that this action is not a project as defined under the California Environmental Quality Act.
LEVINE ACT ITEM: No
FINANCIAL IMPACT:
Financial Impact to Be Determined. Current financial impact of the Proposed FY 2025-26 and FY 2026-27 CIP Budget is $83,310,359 and $76,256,064, respectively across all funds. This is a study session only. City Council will be requested to adopt the FY 2025-26 and FY 2026-27 CIP Budget at its June 10, 2025, public hearing.
BACKGROUND:
The purpose of this study session is to provide City Council with an overview of the Proposed FY 2025-26 and FY 2026-27 CIP Budget (Proposed CIP Budget), along with the five-year CIP Plan. As a core component of the overall budget, the five-year CIP plan provides a strategic framework for meeting the community’s long-term capital improvement needs. The Proposed CIP Budget is provided under separate cover and available for review by contacting the Finance Department at [email protected] or on the City’s website at www.toaks.gov/budget.
Development of the Proposed CIP Budget began with a kickoff meeting in October 2024. Since then, Finance staff have collaborated closely with departments to refine project requests, ensuring projects are financially feasible, aligned with identified capital improvement needs, and responsive to City Council’s Goals and Top Ten Priorities over the upcoming two fiscal years.
Proposed FY 2025-26 and FY 2026-27 CIP Budget Study Session April 8, 2025
City Council Top Ten Priorities
At the City Council Goal Setting Meeting held on March 18, 2025, City Council discussed and agreed upon their Top Ten Priorities (Priorities) for FY 2025-26.
The Proposed CIP Budget includes a broad range of projects that support these Priorities, with an emphasis on fiscal sustainability as a guiding principle to ensure that the City’s long-term investments are both responsible and aligned with City Council Priorities and community needs. Proposed projects align with City Council Priorities by addressing homelessness and housing production, setting funding aside for affordable housing, and promoting environmental sustainability through EV charging and microgrid projects. The Proposed CIP also supports public-safety by ensuring traffic signals, water reservoirs, and pump stations remain operational during power outages, while continuing to invest in public infrastructure such as the biennial pavement management program and bike lanes.
Historical CIP Budget Comparison
The Proposed CIP Budget represents a $35.8 million increase, or 28.9 percent, compared to FYs 2023-2025 CIP Budget as illustrated in Figures 1 and 2 below.
The majority of the increase is concentrated in Facility, Landscape/Streetscape, and Transportation/Traffic project categories. Key drivers include funding for the Downtown Thousand Oaks Project, major landscaping projects, and transportation investments that support sustainability efforts such as electric buses, battery storage and investment in bike lanes.
Figure 1: Ten-Year CIP Budget History
# ProjFYs 2017-2019# ProjFYs 2019-2021# ProjFYs 2021-2023# ProjFYs 2023-2025# ProjFYs 2025-20271.Water 26 12,800,000$ 22 28,910,000$ 17 14,470,000$ 25 30,095,000$ 31 33,815,000$ 2.Facility 18 3,270,00015 7,131,90018 12,992,00032 12,347,00024 28,833,7753.Wastewater18 11,255,00021 16,040,00027 17,167,00031 25,604,00024 24,157,0004.Streets 14 18,326,30018 23,410,55013 25,488,24012 20,650,00013 22,209,1865.Transportation/Traffic23 7,418,00025 5,751,49528 9,642,42026 16,863,48424 21,422,7946.Stormwater5 1,250,0007 1,541,65716 6,262,00014 10,747,25015 12,814,7527.Landscape/Streetscape5 4,570,0007 9,515,0006 6,740,0003 3,380,0007 10,020,0008.Undergrounding1 90,0001 240,0002 170,0002 375,0004 4,200,0009.Open Space1 140,0002 540,0002 914,0002 380,0002 1,793,91610.Library 4 700,0007 1,395,0002 850,0006 3,350,0003 300,00011.Housing - - - - 1 16,273,050- - - -11559,819,300$ 12594,475,602$ 132110,968,710$ 153123,791,734$ 147159,566,423$ Category
Total
Proposed FY 2025-26 and FY 2026-27 CIP Budget Study Session April 8, 2025
Figure 2: Ten-Year CIP Budget History
Capital Facilities Committee and Planning Commission Review On April 7, 2025, staff will have presented the Proposed CIP Budget to the City Council Capital Facilities Committee to receive input on the proposed CIP projects.
That same day, the Proposed CIP Budget will have been reviewed by the Planning Commission for consistency with the City’s General Plan, in accordance with Government Code Sections 65401 and 65402.
DISCUSSION/ANALYSIS:
The Proposed CIP Budget document provides detailed information for each project budgeted in FY 2025-26 and FY 2026-27. In addition, summary information for projects anticipated through FYs 2028-2030 are included as part of the five-year CIP plan. Developing a five-year plan allows City Council and staff to forecast and anticipate future capital needs. As the City’s infrastructure continues to age, the five-year plan also helps identify long-term maintenance and asset management funding requirements.
The Proposed CIP Budget is organized into three main sections:
1) Summaries
a. Five-Year Summary of CIP Projects by Category
b. Overview of CIP Projects for FY 2025-26 and FY 2026-27 c. Five-Year Summary of CIP Projects by Fund
d. Deferred Requirements Summary
2) CIP Projects by Category – The CIP is organized by project category, with each section providing detailed information on projects funded in FY 2025-26 and FY 2026-27. Each page provides information about the
Proposed FY 2025-26 and FY 2026-27 CIP Budget Study Session April 8, 2025
project, including how much has already been expended, how much is requested to be carried over to FY 2025-26, and new budget amounts proposed. Also included is the Project Priority of One, Two, or Three. 3) CIP Projects by Fund – This section illustrates the amount each fund will spend on capital improvement projects, as well as the overall impact of proposed capital projects on each fund’s available balance.
Overview of Proposed CIP Budget
The Proposed CIP Budget is presented in Figure 3 below, with a total budget of $159,566,423. Also included in the table is the estimated carryover amount of $54,312,262 in FY 2024-25 budget that will be carried over to FY 2025-26.
Figure 3: Proposed FY 2025-26 and FY 2026-27 CIP Budget Figure 4: Proposed FY 2025-26 and FY 2026-27 CIP by Category
Proposed FY 2025-26 and FY 2026-27 CIP Budget Study Session April 8, 2025
The top ten proposed capital improvement projects with the highest total budget are presented in Figure 5. Individual new projects will be discussed in greater detail below.
Figure 5: Top Ten Proposed Projects by Total Budget
During the development of the Proposed CIP Budget, staff analyzed available funding sources and potential grants to support project requests. For any one project, the City may use multiple funding sources, some of which may have various constraints. For example, water capital revenue/reserves can only be used for water system projects. The General Fund is the only discretionary fund in which reserves can be used for any capital improvement project. Funding sources for projects is illustrated in the “CIP Projects by Fund” section.
The appropriations by funding source for the Proposed CIP Budget are as follows:
Figure 6: FY 2025-26 and FY 2026-27 CIP by Funding Source, $159.6M No.Proj. # Project Title CategoryCarryoverFY 2025-26FY 2026-27Total1CI5735Pavement Overlay FY 2025-27Street Projects $ - $ 6,750,000 $ 6,500,000 $ 13,250,000 2CI5540Downtown Thousand Oaks ProjectFacility Projects 505,966 4,500,000 7,000,000 12,005,9663CI5660Lynn Road Class IV Bike Lane and Pedestrian ImprovementsTransportation/Traffic Projects 4,466,234 1,866,000 2,146,000 8,478,2344MI2590Hill Canyon Treatment Plant Tertiary Filters RehabilitationWastewater Projects 2,791,800 3,935,000 - 6,726,8005CI5726Transit Battery Energy Storage at MSCTransportation/Traffic Projects 1,200,000 4,050,000 - 5,250,0006CI5717Power Backup Resiliency Center at the Transportation CenterFacility Projects - 200,000 4,834,000 5,034,0007CI5722Purchase of Zero Emission BusesTransportation/Traffic Projects - 2,500,000 2,500,000 5,000,0008CI5445Unit W ImprovementsWastewater Projects 4,714,590 - - 4,714,5909HSHOMEHousing Assistance SupportHousing Projects 4,574,550 - - 4,574,55010CI5654Kanan Road Landscape ImprovementsLandscape/Streetscape Projects - 440,000 3,960,000 4,400,000 Proposed FY 2025-26 and FY 2026-27 CIP Budget Study Session April 8, 2025
Highlights of proposed projects by fund are presented below.
General Fund: The General Fund is the City’s primary operating fund and provides City Council with the most discretion in allocating resources. Capital projects are funded with General Fund reserves and the majority of proposed projects are for the improvement and maintenance of City-owned facilities and stormwater infrastructure. Staff prepares a 15-year facility maintenance plan to strategically plan for future replacement and maintenance of aging City facilities. The City owns various facilities requiring ongoing improvement, maintenance, and major renovations and upgrades.
In addition to facility maintenance projects, the General Fund also funds various other projects, including those related to City Council Goals and Priorities that do not have identified funding sources or adequate funding.
Highlights of proposed General Fund projects are as follows:
•Downtown Thousand Oaks Project (CI 5540) - $11,500,000 General Fund Budget with $505,966 carryover. This project is for the Redevelopment of the Civic Arts Plaza property, introduction of a new activated “Main Street” south of Thousand Oaks Boulevard, creation of public plazas and squares, and preparation/solicitation of the Westside parcel to be developed by a third party. This is a multi-year project still in development, with the scope and budget subject to revision. •Hodencamp Road Utility Undergrounding (MI 2667) - $3,000,000 General Fund Budget. This project is for undergrounding of 66kV electrical lines on Hodencamp Road, from Thousand Oaks Boulevard to Hillcrest Drive in conjunction with development of a mixed-use residential project at Thousand Oaks Boulevard and Hodencamp Road.
•South Branch Arroyo Conejo Drainage Improvements (CI 5807) - $1,900,000 General Fund Budget. Drainage improvements and upgrades to the existing underground storm drain system in Newbury Park adjacent to the South Branch Arroyo Conejo, in order to remove properties from the FEMA Floodplain.
•Lynn Road at Janss Road Channel Rehabilitation (CI 5152) - $1,700,000 General Fund Budget. Replacement of a deteriorating 900-foot-long concrete lined trapezoidal channel adjacent to the west side of Lynn Road.
The project also includes planting trees and drought-tolerant plants for slope protection.
Library Fund: The City has two library facilities, the Grant R. Brimhall Library and Newbury Park Branch Library. The Grant R. Brimhall Library was opened in 1982 and consists of a 62,000-square-foot building, which was expanded in 2006, Proposed FY 2025-26 and FY 2026-27 CIP Budget Study Session April 8, 2025
adding an additional 22,000 square feet to accommodate an improved Children's Services area. The Newbury Park Branch Library opened in 1991 and consists of a 31,000-square-foot building on Borchard Road. The Libraries are primarily funded through property tax, with support from the General Fund as necessary.
A highlight of proposed projects at the Libraries is as follows:
•Battery Energy Storage at Grant R. Brimhall Library and Newbury Park Library (CI 5704 and CI 5705) - $200,000 combined Library Fund Budget.
These projects are for design, construction and installation of battery energy storage systems, and associated infrastructure at Libraries to provide resilience and off-grid operation in the event of a power outage. Priority is to support use of Libraries as emergency cooling centers and/or shelters.
Design is budgeted in FY 2026-27.
Gas Tax Funds: Historically, the City has relied on several funding sources for street projects, including Gas Tax, Transportation Development Act (TDA) funds, Federal and State grants, and former Redevelopment Agency (RDA) funds. With the passage of Senate Bill (SB) 716 in 2009, the City was unable to use TDA funds toward street-related purposes starting in 2014. However, in FY 2019-20, SB 848 was passed, allowing the City to utilize TDA funds for streets and roads after meeting transit needs. This amounts to approximately $3.0 million over the next two fiscal years. Despite the reinstatement of TDA funds and the addition of SB1 revenue, there is an ongoing challenge to fully fund the City’s annual street maintenance needs as outlined to City Council on February 11, 2025, in the 2024 Pavement Management Program update presentation.
Per the City’s 2024 Pavement Management Program report, in order to maintain Pavement Condition Index (PCI) in the upper 70’s by the end of FY 2032-33, the City should be funding pavement rehabilitation at an annual amount of $11.0 million for FY 2025-26 and FY 2026-27. However, revenue from Gas Tax, TDA, and Road Maintenance and Rehabilitation (RMRA) is approximately $6.8 million in FY 2025-26, and $7.0 million FY 2026-27, bringing the two-year total to $13.8 million. Additional available fund balance in the amount of $5.0 million would bring the total funding to $18.8 million, $3.2 million below the required $22.0 million. Per City Council’s direction, if there is adequate financial capacity in the General Fund’s FYs 2025-2027 budget, then CIP Budget will be increased to fund the $22.0 million and will be included as part of the CIP Budget for Public Hearing to be heard on June 10, 2025.
The following graph shows the street improvements revenue history, projections through FY 2029-30, and required street improvement funding needs to maintain streets and roads at a PCI in the upper 70’s. As illustrated in Figure 7, the addition of RMRA funding and the renewal of TDA funding for streets and roads lowers the gap in meeting the minimum needs to maintain the City’s streets and roads for the two-year budget period.
Proposed FY 2025-26 and FY 2026-27 CIP Budget Study Session April 8, 2025
Figure 7: Pavement Maintenance Needs
Street Improvements Revenue History & Budget Projections Highlights of projects for the Proposed Gas Tax Funds’ CIP Budget of $18,950,000 with an additional $173,740 in carryovers are as follows:
•Pavement Overlay FYs 2025-2027 (CI 5735) - $13,250,000 State Gas Tax Budget. Citywide pavement rehabilitation program overlaying various arterial and residential streets with Asphalt Rubber Hot Mix (ARHM) or other appropriate paving materials.
•Pavement Slurry Program FYs 2025-2027 (MI 2661) - $2,000,000 State Gas Tax Budget plus $350,000 from Miscellaneous Developer Fee Fund for a total project budget of $2,350,000. Annual street maintenance program to slurry seal City streets and roads. Placement of Type ll emulsion aggregate slurry seal preserving pavement surface.
•Citywide Concrete Replacement and Sidewalk Repair FYs 2025-2027 (MI 2659) - $1,800,000 State Gas Tax Budget. Annual program is to repair sidewalks, curb, and gutters citywide. This amount was increased from the existing CIP Budget by $1,300,000 in order to replace and repair additional sidewalk segments.
•Curb Ramps Citywide FYs 2025-2027 (CI 5734) - $1,000,000 State Gas Tax Budget. Annual construction of curb ramps in accordance with Americans with Disabilities Act (ADA) requirements on streets that are to be overlaid, cape sealed and micro-surfaced as part of the bi-annual street rehabilitation program and other locations as may be determined by the Disabled Access Appeals and Advisory Board.
Proposed FY 2025-26 and FY 2026-27 CIP Budget Study Session April 8, 2025
State and Federal Grants Fund: The Proposed State and Federal Grants Fund CIP Budget is $9,733,747 with an additional $6,440,151 in carryovers. Highlights of projects are as follows:
•Lynn Road Class IV Bike Lane and Pedestrian Improvements (CI 5660) - $3,550,000 estimated grant funding and $4,068,724 grant carryover.
Install on-street separated class IV bike lanes with flexible bollards in both northbound (NB) and southbound (SB) directions on Lynn Road between Gainsborough Road and Reino Road, vertically separated Class IV bikeways north of US 101 NB ramps, add two Rectangular Rapid Flashing Beacon (RRFB), and construct eight new ADA-accessible ramps and complete missing sidewalk segments. On US 101 over-crossing install safety fencing to include LED lighting on both sides. On NB Lynn Road, widen the pedestrian sidewalk and convert to shared bike/pedestrian path, install concrete barrier. On SB Lynn Road, create 12-foot-wide travel lanes to accommodate class IV bike lane with concrete barrier at the edge of travel lanes.
•Stormwater to Sewer Diversion and Reuse Project - Malibu Creek - Ocho Rios (CI 5600) - $2,459,752 estimated grant funding. Design and construction of a diversion structure in the Malibu Creek Watershed to divert water from the storm drain system to the sewer system. This is a Best Management Practice (BMP) and water reuse project that will be part of the Watershed Management Plan (WMP) to remove pollutants from the watershed, provide water for reuse, and to comply with requirements in the Municipal Separate Storm Sewer System (MS4) Permit and the Malibu Creek Watershed Bacteria Total Maximum Daily Load (TMDL) requirement.
A diversion location at Ocho Rios has been identified as the primary location for this project. This location is a joint County of Ventura and City compliance point.
•Hillcrest Drive Bike Lanes & Pedestrian Improvements (CI 5682) - $2,371,427 carryover budget. Converting existing Travel Lane #3 (outside lane) to Class IV bike lanes on Hillcrest Drive between Lynn Road and Moorpark Road in both directions. Project also includes installation of a new sidewalk and curb ramps on the north side of Hillcrest Drive between Lynn Road and McCloud Avenue.
•Municipal Service Center Microgrid and Backup Power (CI 5585) - $1,853,625 in estimated grant funding. Battery energy storage system and backup generator with accompanying microgrid electrical infrastructure, including switch gear, metering, inverter, controls system, and related system components to allow for off-grid autonomous operation of the Municipal Service Center during power outages.
Proposed FY 2025-26 and FY 2026-27 CIP Budget Study Session April 8, 2025
Capital Projects and Developer Fee Funds: Revenue is primarily from developer fees to fund developers’ fair share of infrastructure improvements. The Proposed Capital Projects and Developer Fee Funds CIP Budget is $7,519,526 with an additional $570,000 in carryovers. Highlights of projects are as follows:
•Open Space Acquisition – Citywide (CI 1227) - $1,643,916 Capital Projects Fund Budget. This project enables the acquisition of land with important open space resources and trail easements identified on the Trail Master Plan citywide, as opportunities arise. Project budget is equivalent to the available fund balance.
•Agoura Road/Westlake Boulevard (CI 5301) - $705,838 Developer Fees Budget with $530,000 in carryover. This project will widen the right-of-way by 10 feet at the northeast corner of Agoura Road/Westlake Boulevard and add a second westbound left turn. Traffic signal improvements to be coordinated with Caltrans include new signal poles, wiring, detectors, retaining wall, and signing/striping modifications.
•Newbury Road RDA - Kelley Road Drain & Road Widening
Improvements (CI 5330) - $1,709,944 Capital Projects Budget. Design and construction of drainage improvements to resolve local ponding at the intersection of Newbury Road and Kelley Road. Enhance drainage conveyance efficiencies for deficient regional drainage infrastructure.
Design and construction of intersection improvements. Widen Newbury Road adjacent to Kelley Road to improve traffic circulation. •Hillcrest Undergrounding (MI 2652) - $825,000 Developer Fees Budget.
Undergrounding of overhead utility lines on Hillcrest Drive east of Erbes Road, in connection with the developer of 384 Erbes Road.
Lighting and Landscaping Funds: There are two main revenue sources in the Lighting and Landscaping funds; ad valorem property tax revenue and special assessment district tax revenue. The City annually assesses a special tax on those property owners that have annexed into the district. This revenue funds lighting and landscaping improvements in the districts.
The Proposed Lighting and Landscaping Funds CIP Budget is $11,715,000, with an additional $2,555,148 from carryovers. Highlights of projects are as follows:
•Kanan Road Landscape Improvements (CI 5654) - $4,400,000 in Landscape Fund Budget. This project is to improve landscaping along Kanan Road from Westlake Boulevard to Lindero Canyon Road. The project consists of approximately 210,000 square feet of landscaping.
Proposed FY 2025-26 and FY 2026-27 CIP Budget Study Session April 8, 2025
•Westlake Boulevard Landscape Improvements (CI 5652) - $3,470,000 Budget with $180,000 in carryover. Design and construction of landscape and irrigation improvements within the center medians on Westlake Boulevard between Thousand Oaks Boulevard and Allyson Street. The project site consists of various center medians totaling approximately 210,000 square feet.
•Thousand Oaks Boulevard Landscape Improvements (CI 5653) - $2,010,000. Design and construction of landscape and irrigation improvements within the center medians on Thousand Oaks Boulevard between Duesenberg Drive and the County line near Via Colinas. The project site consists of various center medians totaling approximately 130,000 square feet.
•Emergency Generators for Traffic Signals (CI 5819) - $400,000 in Landscape Fund Budget. This project is to procure portable generators to power traffic signals during PSPS events, including a storage shed to house them, security cages, supercapacitors, accessories to secure generators when deployed (chains, locks, cables, etc.). Project will also include cabinet connectors to upgrade all cabinets to be able to receive generator power and cabinet indicator lights to indicate when signals are experiencing power outages.
•Reflective Backplate for Traffic Signals (MI 2692) - $300,000 in Landscape Fund Budget. Retrofit existing traffic signal backplates to retroreflective backplates at up to 40 intersections (approximately 20 per fiscal year).
Housing Funds: The Proposed Housing Trust Fund CIP Budget is $3,374,550 carried over from FY 2024-25. Revenues that support this project are derived from residual receipts from existing affordable housing project loans that are restricted to affordable housing. There is one project in the Housing Trust Fund as follows:
•Housing Assistance Support (HSHOME) - $3,374,550 carryover (additional $1.2 million in carryover from General Fund for a total of $4,574,550). Housing support to a variety of projects, including, but not limited to permanent supportive housing, navigation center, contributions to the Land Trust, and affordable housing.
Stormwater Fund: The Stormwater Fund has three main recurring revenue sources: a share of a special assessment from the Ventura County Watershed Protection District, revenue from the sale of reclaimed water, and revenue from the City’s exclusive trash hauler. The Stormwater Fund’s recurring revenues are insufficient to meet mandated capital requirements from the National Pollutant Discharge Elimination System (NPDES) permit. These projects, as well as future Proposed FY 2025-26 and FY 2026-27 CIP Budget Study Session April 8, 2025
projects included in the five-year CIP plan, will require funding through grants or General Fund support.
The Proposed Stormwater Fund CIP Budget is $2,115,000. Highlights of projects are as follows:
•Watershed Management Plan Study and Implementation (MI 2638 and CI 5780) - $800,000 and $400,000 Stormwater Fund Budget. Study feasibility of one or more structural BMP projects as part of the implementation for the WMP to remove pollutants from the watershed and comply with requirements in the Municipal Separate Storm Sewer (MS4) Permit. In additional, build one structural BMP project. This capital project is for the design and construction of a structural BMP for either the Calleguas Creek Watershed or the Malibu Creek Watershed. •Stormwater to Sewer Diversion and Reuse Project - Malibu Creek - Ocho Rios (CI 5600) - $615,000 Stormwater Budget. Design and construction of a diversion structure in the Malibu Creek Watershed to divert water from the storm drain system to the sewer system. This is a BMP and water reuse project that will be part of the WMP to remove pollutants from the watershed, provide water for reuse, and to comply with requirements in the MS4 Permit and the Malibu Creek Watershed Bacteria TMDL requirement. A diversion location at Ocho Rios has been identified as the primary location for this project. This location is a joint County of Ventura and City compliance point.
Water Fund: The Proposed Water Fund CIP Budget is $34,917,750 with a carryover of $7,462,110. The Water utility system is a multi-million-dollar system that must be properly maintained. With some of the Water infrastructure over 50 years old, investing in the City’s Water assets is a key component to the long-term sustainability of this critical service area. Highlights of projects are as follows:
•Automated Meter Replacement Program FY 2025-2027 (CI 5677) - $4,000,000 Water Fund Budget. Installation, replacement, and/or upgrade of existing water meters and infrastructure throughout the City's water service area. Additional meter upgrades are needed to make all meters fully capable of remote data collection via cellular or radio network to complete the conversion of all City water meters to Automated Meter Infrastructure (AMI) technology.
•Power Backup at Lang Ranch Pump Station (CI 5702) - $2,750,000 Water Budget. Design, construction and installation of battery energy storage system (BESS) and associated backup generator and microgrid infrastructure at Lang Ranch water pump station to provide resilience and off-grid operation for water delivery in the event of a power outage.
Proposed FY 2025-26 and FY 2026-27 CIP Budget Study Session April 8, 2025
Wastewater Fund: The Proposed Wastewater Fund CIP Budget is $27,708,550 with a carryover of $21,701,374. The Wastewater Fund provides for the operation and capital improvement of the City’s wastewater system and Hill Canyon Treatment Plant (HCTP). Continuous investment in the City’s wastewater asset system is critical to the continued successful operation of the system. Highlights of new projects are as follows:
•Hill Canyon Treatment Plant Tertiary Filters Rehabilitation (MI 2590) - $3,935,000 Wastewater Budget and $2,791,800 carryover. This project involves repairing deteriorating concrete and metal surfaces, and replacement of existing equipment associated with the Tertiary Filters at HCTP. Construction efforts will include the installation of new equipment, replacement of media, and the rehabilitation of concrete and metal surfaces to ensure the long-term functionality of the filters.
•Wastewater Collection System Master Plan Implementation Project Phase I (CI 5680) - $3,000,000 Wastewater Fund Budget. The Wastewater Collections System Master plan is being updated under MI 2589 with anticipated completion in Fall 2025. The 2025 Wastewater Collection System Master Plan Update will address the future needs for maintenance, infrastructure improvements, and capital improvement project planning.
This project is for design and construction of the first-priority project proposed in the Wastewater Collection System Master Plan Update. •Hill Canyon Treatment Plant Slope Stabilization (CI 5736) - $2,465,000 Wastewater Fund Budget and $130,000 carryover. This project is currently in design to address slope stabilization along a section of the access road leading into HCTP and to address stormwater management and stabilization of the eastern slopes near aeration basins #1 and #2 and maintenance buildings #1 and #2. Depending on the final design, the work may include re-grading the existing slope cut bench and other improvements to re-direct stormwater, remove loose soil, and reduce potential debris fall.
Transportation Fund: The Proposed Transportation Fund CIP Budget is $16,409,750 with a carryover of $6,089,014. The majority of projects in the Transportation Fund are funded by Federal grants. If a proposed project in the CIP Budget does not receive the anticipated grant funding, the project will be reevaluated. Highlights of projects include:
•Power Backup Resiliency Center at the Transportation Center (CI 5717) - $5,034,000 Transportation Fund Budget. This project will install solar panels, battery backup, and EV Chargers at the Thousand Oaks Transportation Center (TOTC) to enable charging even during power outages. A Charging and Fueling Infrastructure (CFI) Grant has been secured to fund 80 percent of the costs of the project.
Proposed FY 2025-26 and FY 2026-27 CIP Budget Study Session April 8, 2025
•Purchase of Zero Emission Buses (CI 5722) - $5,000,000 Transportation Fund Budget. Purchase 4 heavy-duty EV-powered buses.
•Transit Battery Energy Storage at MSC (CI 5726) - $4,050,000 Transportation Fund Budget and $1,200,000 carryover. Design, construct, and install battery energy storage and associated microgrid, electrical and controls infrastructure at MSC to provide resilience and off-grid operation for Transit operations in the event of a power outage. Microgrid will be designed to support electric bus charging and allow for autonomous operation of transit fleet under emergency conditions.
Other Enterprise Funds: The Proposed CIP Budget for the Golf Course Fund is $1,400,000 with a carryover of $100,000 primarily for design and construction of the Maintenance Facility. The Solid Waste Fund Budget is $570,000, primarily for a Food Recovery and Storage Facility. There are no additional proposed projects for the Theatres Fund.
Summary
Staff developed the Proposed CIP Budget in the context of ongoing economic uncertainty, including impacts of tariffs, elevated federal funds rate at 4.25 percent to 4.50 percent, potential economic recession, and an evolving federal fiscal policy environment. Despite these uncertainties, the City remains committed to maintaining and investing in public infrastructure to meet current and future community needs. All proposed projects are evaluated for financial feasibility prior to inclusion in the Proposed CIP Budget and certain projects will not move forward without sufficient grant funding identified.
The Proposed CIP Budget for the next two fiscal years includes 147 projects with proposed appropriations of $159,566,423. With aging infrastructure and City Council Priorities in mind, staff prepared the Proposed CIP Budget with a focus on environmental sustainability, infrastructure maintenance, continued efforts to address homelessness, and traffic circulation improvements. Investing in the maintenance of the City’s infrastructure is a key component to long-term financial health and the Proposed CIP Budget represents a responsible fiscal plan that addresses the City’s infrastructure needs for the next two fiscal years and plans for long-term continued management of over a billion in City assets.
Proposed FY 2025-26 and FY 2026-27 CIP Budget Study Session April 8, 2025
COUNCIL GOAL COMPLIANCE:
Meets City Council Goal C:
C. Operate City government in a fiscally and managerially responsible and prudent manner to ensure that the City of Thousand Oaks remains one of California's most desirable places to live, work, visit, recreate, and raise a family.
PREPARED BY:Ryan Roman, Budget Officer
Miguel Chavez, Sr. Financial Analyst
Documents Provided Under Separate Cover:
Document #1 – Proposed FY 2025-26 and FY 2026-27 CIP Budget FIN:330-40\MC\H:\COMMON\Council\2025\Administration\040825 CIP Budget Study Session Staff Report.docx