City eyes cuts to big projects

In a sharp contrast from past years, Charlottesville is proposing to spend roughly $16.1 million on capital improvements next year — 45 percent less than the amount approved in this year’s budget.

“I think, probably the realistic answer, is that this is a good, structured start,” city spokesman Ric Barrick said Monday.

The steep decline in suggested funds for some of the city’s most expensive projects is the latest demonstration of the difficult economy and trying budget times the city government is facing. This year, $29.3 million was allocated for the CIP. In fiscal 2008 and 2007, the amounts were $21.3 million and $12.6 million, respectively.

“It’s one place that we may clearly make adjustments,” City Manager Gary O’Connell said. In 2010, $350,000 in West Main Street improvements, $250,000 for Forest Hills Park, $120,000 in neighborhood projects and $300,000 for new sidewalks are some items that have their funding completely removed in the draft program for that year. Others — such as city-wide traffic improvements, trail development and sidewalk repair — would have less funding next year because of existing monies in their respective project accounts.

Staff and elected officials have said they would make cuts in the program instead of raising the real estate tax rate, currently at 95 cents per $100 of assessed value, to help make up for Charlottesville’s projected $1.4 million budget shortfall by next year. But when reviewing the city’s budget forecasts, City Councilor Satyendra Huja expressed wanting to use some funds from the city’s revenue sharing agreement with Albemarle County to help bolster capital projects in the upcoming years.

Huja said he thinks allocating 10 percent to 20 percent of those funds for capital improvements, instead of putting them into reserve, would be better to help ensure that those projects get funded.

“We do have a lot of capital needs,” he said. “If you don’t maintain infrastructure, it will get worse, and it won’t get any cheaper afterwards.”

The biggest chunk of the fiscal 2010 funds is slated for the Department of Parks and Recreation, which would receive $5.98 million, for large projects such as the construction of the new Smith Pool. Following that is $2.73 million for transportation and access improvements — which, among other things, would include more than $975,000 for street reconstruction and the city’s $450,000 match for the Meadowcreek Parkway — and $2.53 million in school capital projects.

The Planning Commission is set to discuss the draft capital improvement program this evening at a work session, and officials say the city will have a clearer idea of what may occur with some of its costliest improvements after Virginia Gov. Timothy M. Kaine releases his budget in December with updated cuts.

“We probably are going to have to put in some flexibility into this process,” Barrick said. “We’re bracing to have to delay some projects if the cuts are deeper than what we expected.”