2023-2025 Biennium Budget


The Capital Improvement Program (CIP) is a living and evolving document that is built upon a foundation of master planning. The CIP requires biennial updates based on updated master plans, changes in need or prioritization, changes in funding mechanisms and changes to goals or policy directions.

Master plans or similar planning documents ensure the corresponding utilities and enterprise funds can accommodate growth and keep infrastructure systems fully operational and meeting regulatory requirements. Master plans enable a long-term plan to be developed and strengthen the intent to present the most responsible infrastructure improvement costs. Master plans assess the existing systems, establish level of service goals, review future demand, develop a plan for capital improvements, operations, and ultimately propose a rate structure and other financial guidance to enable adherence to the plan. Typically, master plans are reviewed and updated every seven to ten years depending upon the system changes and should be evaluated at every two-year budget cycle to update costs and verify priorities. Updates on this frequency ensure inclusion of Council goals, new ordinances, changes in the procedures and development of our community, as well as technology advances.

In addition to each master plan, operational requirements are assessed for capital planning. When major infrastructure replacements are necessary, these projects can often be “capitalized”. This is most easily described with the street division’s pavement condition index (PCI) and the resulting street overlay projects. This is an operational requirement and the condition of each street is not specifically evaluated for the Transportation System Plan. With the Food and Beverage tax being shifted to arterial and collector streets, the basis for prioritization is the PCI. The major repairs and replacement of asphalt are considered capital expenses and as such, included in the CIP.

Staff has added the PCI rating for the roadway rehabilitation projects to provide an understanding of the need to perform street maintenance projects. Staff and the Transportation Commission also recommend a minimum PCI of 70 be a performance metric in the 2023-2025 Biennium and subsequent budgets. Also as specified in Ashland Municipal Code 2.13.030 the Transportation Commission is to make funding recommendations to the Public Works Director on the transportation section of the City’s CIP.

The City distinguishes capital projects from general maintenance items. Capital projects and are typically for new construction, expansion, major renovations, replacements, or projects that substantially increase the life of an asset. Many projects are multi-year, beginning with planning, design then construction. Some have multiple funding source including grants and debt service instruments that are paid back through user fees from each specific enterprise fund.


Only major capital items are included in the CIP. Major capital expenditures are defined as follows:

  • The item is tangible
  • The value is $50,000 or over
  • The life expectancy is at least seven years
  • If an improvement, then the value of the asset is increased, or the useful life is extended beyond that originally anticipated.

Major capital assets may include such items or projects, a refuse truck, water line replacement, or construction of a building to name a few.

Minor capital expenditures will be budgeted at the department/division level and are not included in the Capital Improvement Program. Minor capital expenditures are defined as follows:

  1. item is tangible
  2. value is at least $10,000, but less than $50,000
  3. life expectancy is at least two (2) years


Street Fund - Roadway

  • City Wide Chip Seal Project (CMAQ)
  • Hardesty Property Site Development and Equipment Storage
  • Clay Street – Faith Avenue to Siskiyou Boulevard

Street Fund - Overlay

  • Ashland Street Overlay – Siskiyou to Faith
  • N. Mountain Avenue Overlay – I-5 to E. Main St
  • Oak Street Overlay – City Limits to E. Main St.

Street Fund - Pedestrian

  • Install Sidewalk Beaver Slide - Water Street to Lithia Way
  • B Street Bicycle Boulevard (Oak Street to North Mountain Avenue)
  • 8th Street Bicycle Boulevard; ‘A’ to E. Main


Water Supply Fund – Supply

  • Dam Safety improvements
  • East and West Forks Transmission Line Rehabilitation

Water Treatment Fund – Supply

  • 7.0 MGD Water Treatment Plant

Water Supply Fund – Pump Station

  • TAP BPS Backup Power

Water Distribution Fund – Pipe

  • Annual Pipe Replacement Program

Water Supply Fund - Pipe

  • Distribution Pipe Replacement Projects

Water Supply Fund – Operations and Maintenance

  • Water System Telemetry Upgrades

Water Supply Fund – TAP Supply Improvements

  • TAP Non-Peak and Emergency Supply Connection

Water Supply Fund – Booster Pump Station

  • TAP Regional BPS Short-Term Expansion
  • TAP Regional BPS Programming Updates
  • Talent BPS Generator Upgrade
  • Talent BPS Expansion
  • Talent BPS Facility Seismic Upgrades
  • TAP 24” Transmission Main Seismic Improvements


Wastewater Fund – Treatment Plant

  • Water Quality Temperature Trading Program (Shading)
  • UV System Upgrades/Replacement
  • WWTP Headworks Process Improvements
  • WWTP Harmonics Upgrade
  • WWTP Secondary Clarifier 2 Improvements
  • WWTP Membrane Replacement

Wastewater Fund – Collection System

  • Wastewater Miscellaneous In-House Replacement
  • Sanitary Sewer Miscellaneous Trenchless Lining
Hardesty Property Site Development and Equipment Storage
  • Pinpoint I/I Sources in Various Basins
  • Annual I/I Reduction and Collection System Replacement
  • Wastewater Line Upsizing – Bear Creek Interceptor – Wightman to Tolman Creek Road


Storm Water Fund

  • Hardesty Property Site Development and Equipment Storage
  • Stormwater Miscellaneous Trenchless Lining
  • North Mountain Avenue
  • Siskiyou Boulevard at University Way
  • 47 East Main Street at Emerick Street


Airport Fund

  • Oregon Department of Aviation Taxiway Rehabilitation
  • North Apron Reconstruction Project


  • City Facilities Miscellaneous Upgrades and Renovations
  • City Facility Optimization Program
  • Briscoe School Improvements
  • Pioneer Hall & Community Center Rehabilitation
  • City Facility Deferred Maintenance Program


Electric Fund

  • Wildfire Mitigation
  • Sub-station Upgrades
  • Underground Expansion
  • Circuit Automation
  • Underground Cable Replacement


  • Real Estate Acquisitions
  • Repair Butler Perozzi Fountain
  • Japanese Garden
  • Ashland Creek Park Basketball/Sports Court
  • East Main Park Development
  • East Main Park Pump Track
  • Daniel Meyer Memorial Pool Rebuild
  • Kestral Park Pedestrian Bridge
  • Master Plan for All Parks


  • Building Maintenance
  • Alternative Irrigation Improvements
  • Parking Lot/Road/Sidewalk Concrete Repairs
  • Oak Knoll Golf Course Improvements
  • Lithia Park Improvements
  • Capital Outlay Projects
  • General Maintenance
  • ICC Irrigation Control Upgrades