COMMONWEALTH OF VIRGINIA
County of Gloucester
William H. Whitley 6467 Main Street Administration
County Administrator P.O. Box 329 (804) 693-4042
Gloucester, Virginia 23061
To: All County Department Heads, Constitutional Officers, and Gloucester County
From: William H. Whitley, County Administrator
Re: Fiscal years 2006-2010 Capital Improvements Program
Date: July 14, 2004
I have attached the FY 2006-2010 Capital Improvements Plan (CIP) Packet for your use
in submitting your individual CIP requests for the stated period. The County’s Capital
Improvement Program (CIP) is a five-year plan, which addresses both the repair and
replacement of existing infrastructure, as well as, the construction or acquisition of new
facilities and equipment to accommodate current and future demands for service.
The enclosed CIP Packet includes the following:
♦ FY 2006-2010 CIP Calendar (tentative).
♦ FY 2006-2010 Capital Improvements Request Form (reproducible or complete
digitally by visiting the Gloucester County Finance Department website at
♦ “Frequently Asked Questions about the CIP” describing the purpose and guidelines
for the CIP.
In preparing your request, please remember the following:
♦ The minimum dollar threshold for a request is $50,000. Projects should
generally have a cost in excess of $50,000. Any need less than this threshold should
be requested via the FY 2006 Operating Budget to be submitted in January 2005.
Land of the Life Worth Living
♦ Only those projects that have a service life estimated at five (5) years or
more should be submitted for consideration in the CIP. Computer hardware,
software, and similar products generally should be requested in the operating
♦ The completeness of the information submitted is critical to the review,
planning, and successful funding of your projects.
♦ The Capital Improvements Plan should be considered by all as a serious
planning document; and, therefore should not include surprising and
unforeseen requests annually nor should it exclude the routine equipment
requiring periodic replacement. All five years should be complete and
include accurate planning of financial needs to assist the Board of Supervisors in
the annual financial plan of the County.
Finally, please return your submissions to the Finance Department by the September 20,
2004 deadline. (Note: E-mailing the Capital Improvements Project Request Form in the
Excel format to Nickie Champion, Finance Department, would be greatly appreciated, but
hardcopy submissions are acceptable.) Projects submitted after this date will not be
included for consideration as the timely completion of this plan is critical to the FY 2006
Budget Process. Departments and agencies wishing to fund an item that has not been
approved through the CIP must be able to clearly demonstrate what has occurred to make
the item a funding priority over items that have been incorporated into the County’s
I thank you for your efforts in contributing to the preparation of the FY 2006-2010 CIP;
and should you have questions concerning the enclosed information, please feel free to
contact Nickie C. Champion, Director of Financial Services at 693-6927.
Cc: J. Scudder, A. Ambrose
County of Gloucester
Capital Improvement Plan (CIP)
Tentative Budget Calendar
July 14, 2004 Information packets to all Departments and Agencies
September 20, 2004 CIP requests due to Finance Department
September 20-30, 2004 CIP requests reviewed by Planning and compiled by Finance
October 1, 2004 CIP forwarded to Planning Commission for review
Planning Commission sets Public Hearing date
October 2004 – Public Notices
November 2004 CIP Public Hearing/Adoption - Planning Commission
November 2004 BOS sets Public Hearing date
November 2004 Public Notices
December 2004 CIP Public Hearing – Board of Supervisors
January 2005 Adoption of the CIP by the Board of Supervisors
CAPITAL IMPROVEMENTS PROJECT REQUEST FORM
Gloucester County, Virginia FY 2006 - FY 2010
Department Project Title
Funding Source or Sources
Operating Budget Impact
ESTIMATED RECOMMENDED FUTURE FUNDING COSTS
COST ELEMENTS COST FY'06 FY'07 FY'08 FY'09 FY'10 FY
Preliminary and Design $ -
Land Acquisition $ -
Site Preparation $ -
Construction $ -
Landscaping $ -
Equipment and Furniture $ -
Legal $ -
Other Cost Elements $ -
Contingencies % $ -
TOTAL COST $ - $ - $ - $ - $ - $ - $ -
ESTIMATED RECOMMENDED FUTURE FUNDING COSTS
OPERATING COSTS COST FY'06 FY'07 FY'08 FY'09 FY'10 FY
Operating Costs $ -
Personnel Requirements $ -
TOTAL OPERATING COSTS $ - $ - $ - $ - $ - $ - $ -
FUNDING SOURCES TOTAL FY'06 FY'07 FY'08 FY'09 FY'10 FY
General Fund $ -
State $ -
Federal $ -
Other $ -
Borrowing $ -
TOTAL FUNDING $ - $ - $ - $ - $ - $ - $ -
SUBMITTING AUTHORITY: CONTACT
TELEPHONE NO.: SIGNATURE:
FREQUENTLY ASKED QUESTIONS ABOUT THE CIP
The following information is provided as an aid in participating in the Capital Improvements Program.
What is the Capital Improvements Program (CIP)?
The County’s Capital Improvement Program (CIP) is a five-year plan, which addresses both the repair
and replacement of existing infrastructure, as well as, the construction or acquisition of new facilities
and equipment to accommodate current and future demands for service. A given capital project must
have an estimated expected useful life of five or more years and have a cost of at least $50,000 to
qualify for inclusion in the CIP. More specifically, the CIP is intended to accomplish the following
♦ To build the facilities required to support the County’s public service responsibilities.
♦ To improve financial planning by comparing needs with resources, estimating future bond issues
and debt service, and identifying tax rate implications.
♦ To establish priorities among projects so that limited available funds are used to the best
♦ To plan public facility construction and major equipment purchases and coordinate timing with
♦ To support the physical development objectives contained in approved County plans.
What should be included in the CIP?
The types of expenditures that will be included in the CIP must be distinguished from expenditures that
will remain part of the operating budget. Generally, the classification of assets as capital versus
operating can be determined by two criteria: cost and useful life.
Cost: Only those projects that are major and exceed $50,000 should be included in the CIP.
Useful Life: Only those projects that have a long service life estimated at five (5) years or
more. Expenditure items that are made annually, such as salaries, office supplies, and service
contracts are not appropriate to include in the capital program.
To classify an item as either a capital or operating expenditure, the cost and useful life
criteria should be applied simultaneously.
Examples of projects typically included as Capital are:
♦ New, expanded, or renovated facilities that are relatively large and expensive such as a school,
library, water lines, and large scale expenses such as the installation of new heating, ventilating, air
conditioning systems or roof replacements, and the repaving of parking lots;
♦ Major equipment that is expensive and has a long useful life such as a dump truck;
♦ Purchase of equipment for any public improvements when first constructed or acquired, such as
playground equipment for a new park or furniture/ appliances for a new or rehabilitated public
♦ Replacement of items as a part of a larger project (e.g., rebuilding a park which includes a
playground), then all such items which individually do not qualify as capital, would be considered as
capital when presented as a single project;
♦ The cost of engineering or architectural studies and services related to a public improvement; and
♦ The acquisition of land for a community facility, such as a park or sewer line.
What should not be included in the CIP?
Any equipment or materials less than $50,000 with a short useful life of five (5) years or less and
considered to be a part of routine operating expenses to include personal computers, computer
software, office furniture, and similar “soft” or non-durable purchases.
Examples of items included as Operating are:
♦ Routine and preventative maintenance of facilities such as painting, slurry sealing of parking lots,
spot patching of a roof that do not significantly upgrade the structure or increase its previously
estimated useful life;
♦ Replacement of light poles or playground equipment except where the replacement items in the
aggregate are sizeable (i.e. $50,000 or more).
What information is needed to submit a proposal for the CIP?
Complete the FY 2006-2010 Capital Improvements Request Form (reproducible or complete digitally by
visiting the Gloucester County Finance Department website at
Your request should be described as clearly and concisely as possible. It should explain how this
request relates to existing services or facilities; and it should indicate if it is a new or replacement
project. Projects involving land or building improvements should include a location map, and schematic
plans of the proposal. It should also include a justification that describes what you expect to
Include information on the impact on operating costs/personnel requirements. Give a narrative
explanation of the effect of the project on operating costs such as personnel; purchases on services,
materials and supplies; equipment purchases; maintenance; and utilities. For personnel, indicate the
estimated increase or decrease in employees and in salary or hourly wage expenses, including fringe
benefits and general administrative costs. If the project is expected to generate revenue, estimate the
It is extremely important that you obtain accurate and complete cost estimates, and that you
realistically project the impact of the request on operating and personnel requirements.
What process is followed in preparing and adopting the CIP?
Once the Finance Department receives your request form(s), all of the requests will be reviewed by
Planning staff and compiled. (Note: E-mailing the Capital Improvements Project Request
Form in the Excel format to Nickie Champion, Finance Department, would be greatly
appreciated, but hardcopy submissions are acceptable.) A draft CIP is then forwarded to the
Planning Commission for public hearing. The Commission will make a recommendation to the Board of
Supervisors who will then consider the CIP for adoption.
How is the CIP used once it is adopted?
The CIP serves as a financial planning tool for the Board of Supervisors and as a starting point for the
annual Capital Budget for each fiscal year. Generally, to be included in the Capital Budget the project
or purchase must be included in the CIP. However, not all expenditures shown for the upcoming fiscal
year will necessarily be funded in the Capital Budget. Both public and private decision-makers use the
CIP to understand where public improvements will be made in the community.
For additional information or assistance in preparing your CIP requests, please contact the
Finance Department at 693-6927.